Economics 297: Environmental and Natural Resource Economics

Winter 2002
Instructor: Jim Casey
Contact Info: Rm. 205B, Ext. 8102, Email: Caseyj
Office Hours: mtwtf 10-11:30
Prerequisite: Economics 101

Contents
(1) Course Objectives
(2) Readings
(3) Requirements
(4) Course Outline


(1)Course Objectives: The course is an introduction to both environmental and natural resource economics.  Throughout the semester we will see how economic principles can be and are being used in public and private decision making involving the management and use of environmental and natural resources.  Aspects pertaining to fisheries, forests, species diversity, agriculture, solid waste and various economic policies to reduce air, water and toxic pollution will be discussed. The lectures, reading assignments, discussions and papers will be directed at using microeconomic analysis for dealing with environmental and natural resource problems.

(2) Readings:  (KAHN) Kahn, James R.  The Economic Approach to Environmental and Natural Resources, The Dryden Press, Second Edition 1998.

                (WR)   World Resources 2000-2001-- People andecosystems: The fraying web of life.  Prepared by the United            Nations Development Programme (UNDP), the United Nations Environment Programme (UNEP), the World Bank, and the World Resources Institute.

                    (R) Reserve Readings (Located outside my office.  May be borrowed for 2 hours - to read or make copies)


(3) Requirements: There will not be any exams in this class, but don't be lulled into thinking there will not be a significant amount of work.  The first thing you will need to do is pick an environmental issue of your choice, including but not limited to global warming, deforestation, growth and environmental quality, water resources, biodiversity, fisheries, pollution abatement, etc.  By the end of the semester you will become the  "expert" in reference to your issue.  You will be required to write three linked papers.

What does "linked" mean?  Each paper will build upon the previous paper.  For example, your first paper will provide an overview of the current environmental situation.  The second paper will choose a specific issue and develop the appropriate theory for analyzing a specific question.  You will form a testable hypothesis and you must clearly state how you will analyze your hypothesis.  The third paper will require you to use data to test your hypothesis and write up the results.  ( the details )

Papers are due on each of the fourth Fridays before class begins.  Each of the three papers will be worth 25% of your final grade.

 A+ Paper Example
 
PAPERS                   Due Date         Points        Also due                 Points 
(1) sections IA, IB         Feb. 1                 20            ----------------           --------
(2) sections II, III          March 8              20           revised IA & IB         5
(3) sections IV, V          April 5              25            I, revised II & III        5

Another 15% will be class participation.  Notice this does not say class attendance.  You will be required to engage actively in the discussions in this class.  Do  NOT assume that everyone gets an A for class participation or that class participation can “only improve your grade” for it will be possible to receive an F in class participation.

The remaining 10% of your grade will be the cumulative result of four quizzes.


(4) Course Outline

I. Theory and Tools of Environmental and Resource Economics (weeks 1, 2 and 3)
Why study environmental and natural resource economics?, The concept of economic efficiency, Market failure, What is economic value?
Readings:
(Kahn) chapters 1-4
(WR) pp.3-42
(R) The Tragedy of the Commons, by Garret Hardin, from Science v. 162 (1968).
      Conservation Reconsidered, by John V. Krutilla, from AER, v. 57 (1967)

II. Renewable Resources and Agriculture (weeks 4, 5, 6, and 7)
Fisheries and Water resources, Temperate and Tropical Forests, Habitat and Species Diversity, Sustainable Agriculture
Readings:
(Kahn) chapters 10, 16, 14, 11, 12 and 13
(WR) pp. 53-107

III. Exhaustible Resources and Pollution (weeks 7, 8 and 9)
Ozone depletion, Global Warming and Acid Deposition, Energy, Materials, Waste and Toxins:
Readings:
(Kahn) chapters 6, 7, 8, 9 and 15

IV. , Development, and Macroeconomics (weeks 11 and 12)
Growth and the Environment, Macroeconomics
Readings:
(Kahn) chapters 17, 18 and 5
(WR) pp. 225-239
(R) Sustainability: An Economist's Perspective, by Robert M. Solow, from a lecture given at Woods Hole Institute, June 14, 1991.


data links
 EPEQ Data Page
 World Bank Data
More Web Sites
 daily news
 investment
 NACEC
 EPA - NCEE
 iadb
 Forest Trends
 New Ventures

 fisheries links

 emissions data

 Resources For the Future

 Acid Deposition