23570 Economics of the Environment
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Subject handbook information prior to 2024 is available in the Archives.
Credit points: 6 cp
Subject level:
Undergraduate
Result type: Grade and marksRequisite(s): (23115 Economics for Business OR 23000 Principles of Microeconomics)) AND ( 26134 Business Statistics OR ((35151 Introduction to Statistics OR 33116 Design, Data, and Decisions OR 33230 Mathematics 2 OR 33290 Statistics and Mathematics for Science OR 37151 Introduction to Statistics OR 36200 Arguments, Evidence and Intuition))
These requisites may not apply to students in certain courses.
There are course requisites for this subject. See access conditions.
Anti-requisite(s): 25570 Economics of the Environment
Description
Economics of the Environment provides students with an understanding of the contribution economic analysis can make to the solution of environmental problems. This subject explores the current debate around the environment, resources and sustainability. An economic approach to this debate follows by examining externalities, ill-defined property rights and the management of natural resources. The subject focuses on the policy question of natural resource depletion, pollution control and climate change, applying various policy tools to contemporary examples. Lastly, the student studies how to satisfy the legitimate claims of future generations through so-called sustainable development.
Subject learning objectives (SLOs)
| 1. | analyse specific environmental problems using the relevant economic model |
|---|---|
| 2. | explain the policy remedies when there are missing markets for environmental goods and services |
| 3. | analyse the agendas and goals of stakeholders in environmental problems |
| 4. | integrate other disciplines (science, ethics and politics) into the environmental discourse. |
Contribution to the development of graduate attributes
Economics of the Environment uses and develops basic economic principles outlined in Economics for Business to examine the problem of natural resource extraction and environmental degradation which is an important issue from both social and business perspectives. It will develop the ability of students to analyse both the consumption and production sides of environmental problems and will enhance their ability to consider these problems from a multi-disciplinary perspective which includes identification of their ethical and sustainability dimension.
Successful completion of this subject will contribute to students’ acquiring the following graduate attributes:
- Intellectual rigour and innovative problem solving
- Communication and collaboration
- Social responsibility and cultural awareness
- Professional and technical competence
Teaching and learning strategies
The subject is presented in a lecture and tutorial format. Essential principles are presented and analysed in lectures and students are led through practical application exercises in tutorials. Lectures also provide a platform to respectfully share our diverse opinions and discuss the topics in a constructive manner. Students are encouraged to reflect on the topics and read the relevant chapters of the textbook before coming to class. The required textbook is an excellent and readable source. The recommended texts complement it for those who desire further readings.
Some tutorial material will be posted before the tutorial sessions. This allows students to work collaboratively on the tutorial questions beforehand and share their own insights and answers during the sessions.
The group work assignment is an opportunity to deepen your insight into a particular aspect of the contemporary environmental discourse and share your informed opinion with your group.
Discussions during lectures will enable students to assess their understanding of key concepts. Students will also receive feedback on their contributions during the tutorial sessions that will provide some direction to their self-directed study. Feedback on assessment submissions will also be provided.
Content (topics)
- Current and future challenges around the environment, resources and sustainability
- Property rights, externalities and environmental problems
- Dynamic efficiency and sustainable development
- The allocation of depletable and renewable resources
- Energy and water
- Economics of pollution control
- Economic principles for efficient environmental regulation and policy
Assessment
Assessment task 1: Assignment (Individual)
| Objective(s): | This addresses subject learning objective(s): 1 and 2 |
|---|---|
| Weight: | 25% |
Assessment task 2: Assignment (Group)
| Objective(s): | This addresses subject learning objective(s): 3 and 4 |
|---|---|
| Weight: | 25% |
| Length: | Assignment 2 must be no more than six (6) A4 sheets, not less than 12 point font. The six-page limit excludes references and appendices. |
Assessment task 3: Final Exam (Individual)
| Objective(s): | This addresses subject learning objective(s): 1, 2, 3 and 4 |
|---|---|
| Weight: | 50% |
Minimum requirements
Students must achieve at least 50% of the subject’s total marks.
Required texts
Tietenberg T and L Lewis (2018), Environmental and Natural Resource Economics, Routledge, 11th edition.
(An earlier edition is available in UTS library. The 11th edition has updated content and some new/updated chapters.)
Recommended texts
Kolstad Ch (2010), Environmental Economics, Oxford University Press, 2nd edition.
Keohane N and S Olmstead (2016), Markets and the Environment, Island Press, 2nd edition.