Environmental and Resource Economics

Faculteit Economie en Bedrijfskunde
Jaar 2017/18
Vakcode EBB898B05
Vaknaam Environmental and Resource Economics
Niveau(s) bachelor, uitwisseling
Voertaal Engels
Periode semester I b
ECTS 5
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Uitgebreide vaknaam Environmental and Resource Economics
Leerdoelen Upon completion of the course, the student is able to:
1. Give examples of environmental externalities, explain why (environmental) externalities lead to market failure, and describe (market-based) solutions to overcome market failure.
2. Evaluate (in real-life examples) the nature of environmental externalities and the effect of different policies.
3. Give examples of natural resources and classify them into categories (renewable or not), and calculate the steady-state values of the stock of the natural resource.
4. Explain Hotelling's rule and its empirical significance.
5. Describe methods that are used to measure how much people care about the environment (in monetary terms) and explain why certain methods over/understate the actual value.
6. Solve international cooperation games and calculate when environmental treaties are stable.
7. Evaluate the (lack of) success of environmental treaties.
8. Explain the nature of climate change and its economics impacts.
Omschrijving The course studies the basic issues of environmental and resource economics from a microeconomic and theoretical perspective. Main subjects are:
- Economic analysis of the causes of environmental degradation (external effects, property rights and market failure);
- Economic valuation methods of environmental damage;
- Markets as allocation mechanism for natural resources (fossil energy,solid waste, recycling, water scarcity, fisheries);
- Market allocation for pollution (The relevance of voluntary negotiations, analysis of policy instruments: standards, pollution charges, markets of emission permits);
- International dimensions of environmental economics: international cooperation on global environmental problems (acid rain, global warming, ozone layer depletion).
Uren per week 4
Onderwijsvorm hoor- en werkcolleges
Toetsvorm schriftelijk tentamen
Vaksoort bachelor
Coördinator dr. P. Heijnen
Docent(en) dr. P. Heijnen , M. Ollar, PhD.
Verplichte literatuur
Titel Auteur ISBN Prijs
Natural Resource and Environmental Economics (4th edition) Perman, R., Y. Ma, M. Common, D. Maddison and J. McGilvray 9780321417534 ca. €  73,94
Entreevoorwaarden Students are assumed to have knowledge of microeconomics at the level of the first- and second-year courses in the E&BE program and are comfortable working with (simple) mathematical microeconomic models.
Opmerkingen This course is also available for students of other disciplines than Economics.
Coordinator: Dr Pim Heijnen, p.heijnen@rug.nl, room 5411.0745
Secretary: Kim Vudinh, e-mail: k.m.vudinh@rug.nl, room 5411.0734
Opgenomen in
Opleiding Jaar Periode Type
BSc Economics and Business Economics/E&BE  (minor E&BE) 3 semester I b keuze
Courses open to Exchange Students (BSc)  ( Courses open to Exchange Students (BSc) without limited access) 3 semester I b keuze
MSc Applied Physics  (Courses in Business and Management) - semester I b keuze
MSc Mechanical Engineering (in ontwikkeling)  (05. Courses in Business, Management and Society) 1 semester I b keuze