F '13 ECO359M, Unique No. 34607 ENVIRONMENTAL ECONOMICS SYLLABUS TTH 3:30-5:50; CLA 1.

104

Prof. Stahl

Content: Environment Economics is the study of the feedback loop between the economy and the environment. As the world population and population densities increase, this feedback loop is increasingly important. We will examine why markets may not yield the best outcome. In these market failure cases, we ask what can and should be done. For example, can a market be created that will solve the problem? To evaluate potential policies, and to compose rational arguments, we develop an extended model and tools for analysis. The weekly topics are listed below. Environmental Economics, Charles D. Kolstad, 2nd edition, 2011, Oxford University Press, (required).

Texts:

Grading:

Homework 10%; midterm exam 30%; paper 30%; final exam 30%. Midterm Exam: October 15 (in class)

A:[93,100]; A-:[90,93); B+: [87,90); B:[83,87); B-:[80,83); C+:[77,80]; C:[73,77); C-:[70,73); D+: [67,70); D:[63,67); D-:[60,63).

Course Outline: Week 1 Introduction 2-3 Review of Microeconomic Theory 4-5 Externalities, Public Goods and Market Failures 6-7 Measuring Social Costs and Benefits 8 Regulation 9 Permits and Fees 10 Property Rights revisited 11 Adverse Selection Problems 12 Moral Hazard Problems 13 Congestion 14 Renewable Resources 15 Repeated Games

Chps 1-2 Chps 3-4 Chp 5 Chps 6-8, 10 Chp 11 Chp 12 Chp 13 Chp 15 Chp 16 Lect. Notes Lect. Notes Lect. Notes

Debates: There will be 3 or 4 debate topics. Each student will be assigned to one side of one topic and belong to a group. The group will prepare an opening argument and a rebuttal argument. The debates will be carried out in class during weeks 10-12. Paper: You are required to write and submit a 5-6 page research paper. It should describe an environmental problem that has been addressed by a local, state, federal or international agency, what solutions were tried, how effective they were in correcting the problem, and any remaining issues. Obviously, your paper should utilize the tools developed in this class. The paper is due in class on November 28.

F '13 ECO359M, Unique No. 34607 ENVIRONMENTAL ECONOMICS CLASS SCHEDULE TTH 3:30-5:00, CLA 1.104

Prof. Stahl

Week 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15

Tuesday

Thursday 8/29 Intro Chp 3 Chp 4 Chp 5 Chp 5 Chp 7 Chp 10 Chp 11 Chp 12 Chp 13 Chp 15 Chp 16

9/3 9/10 9/17 9/24 10/1 10/8

Chp 1 & 2 Chp 4 HW1 Chp 5 HW2 Chp 5 Chp 6 HW3 Chp 8 EXAM 1 Chp 12 Chp 13 Chp 15 Chp 16 LN1 LN2 LN3

9/5 9/12 9/19 9/28 10/3 10/10 10/17 10/24 10/31 11/7 11/14

10/15 10/22 10/29 11/5 11/12 11/19 11/26 12/3

Thanksgiving 11/28 12/5 LN2 LN3 Paper Due!