BIRLA INSTITUTE OF TECHNOLOGY & SCIENCE K.K.

Birla Goa Campus INSTRUCTION DIVISION Second Semester 2013-14 Course Handout Part II Dated: 15/01/2014 In addition to part I (General Handout for all courses appended to the time table) this portion gives further specific details regarding the course. Course Number ECON C471 Course Title Instructor in-charge Instructor RESOURCE & ENVIRONMENT ECONOMICS Debdulal Thakur Debdulal Thakur

Course Content Optimal use of exhaustible and renewable resources including fuels, minerals, fisheries, forests and water; resource scarcity and economic growth; valuation of non-marketed environmental amenities; the economics of pollution control; pollution control instruments including taxes, permits, direct regulation, and negotiation; pollution control policy in practice. Learning Outcomes Through this course you will become familiar with: (1) the economic theory of externalities and common property; (2) the optimal use of resources across time and under conditions of uncertainty; (3) policies for managing resources or pollution, including taxes, quotas, permit systems, regulation, liability laws, and recycling policies; and (4) tools for assessing non-marketed costs and benefits, including risk assessment. The course heavily emphasizes learning by doing and for each topic you will learn how to design, solve and analyze appropriate mathematical models. By the end of the course, you will be very comfortable applying key microeconomic techniques: (1) market models and welfare analysis; (2) cash flow models and present value calculations; (3) decision trees and choice under uncertainty; and (4) applications integrating these tools, including the use of option value to analyze irreversible decisions. Necessary conditions Interested students enrolling in this course are advised to take basic courses of Economics (Eg: Principles of Economics) in case they do not have any prior exposure in economics. However, the basic concepts related to Economics will be discussed as a part of the course for students will minimum of no background in Economics. There is no specific math prerequisite but please be aware that the course will use math as and when need be. Textbook (s) Harris Jonathan, M. & Brian Roach (2013): Environmental and Natural Resource Economics- A Contemporary Approach, Third Edition, Publisher- M.E. Sharpe, New York, ISBN 978-0-7656-3792-5 Reference (s) Bhattacharya, Rabindra N. (eds) (2013): Environmental Economics: An Indian Perspective, Oxford University Press, New Delhi, reprint 2013, ISBN-10: 0195655567; ISBN-13: 978-0195655568 Kolstad, Charles. D (2010): Environmental Economics, Second Edition, Oxford University Press, USA, ISBN13: 9780199732647ISBN10: 0199732647 Tietenberg. Tom & Lynne Lewis (2011): Environmental & Natural Resource Economics, 9th Edition, Pearson. Added to the above, relevant working papers and reading materials will be supplied as and when need be. Course Plan* Sl. Chapter Topic(S) No BASIC UNDERSTANDING OF THE CONCEPTS OF ECONOMICS 1 Basic Concepts related to Subject matter of Economics and Scope Economics Utility Demand Supply Production Curves Cost Curves Constrained Optimization Markets Role of Government Basic concepts related to Macroeconomics, Public Economics

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INTRODUCTION: THE ECONOMY AND THE ENVIRONMENT Changing Perspectives on Economics and the Environment. the Environment A Framework For Environmental Analysis Environmental Microeconomics and Macroeconomics A Look Ahead Resources, Environment, A Brief History of Economic Growth and and Economic Development the Environment A Summary of Recent Growth The Future of Economic Growth and the Environment Sustainable Development ECONOMIC ANALYSIS OF ENVIRONMENTAL ISSUES The Theory of The Theory of Externalities Environmental Externalities Welfare Analysis of Externalities Property Rights and the Environment Common Common Property, Open Access, and Property Rights Property Resources and The Environment as a Public Good Public Goods The Global Commons Resource Allocation Over Allocation of Non-Renewable Resources Time Hotellings Rule and Time Discounting Valuing the Environment Total Economic Value Overview of Valuation Techniques Cost-Benefit Analysis Conclusion: The Role of Cost-Benefit Analysis in Policy ECOLOGICAL ECONOMICS AND ENVIRONMENTAL ACCOUNTING Ecological Economics: An Ecological Perspective Basic Concepts Natural Capital Issues of Macroeconomic Scale Long-Term Sustainability Energy and Entropy National Income and Greening the National Income Accounts Environmental Accounting Environmentally -Adjusted Net Domestic Product Adjusted Net Saving The Genuine Progress Indicator The Better Life Index Environmental Asset Accounts The Future of Alternative Indicators POPULATION, AGRICULTURE, AND THE ENVIRONMENT Population and the The Dynamics of Population Growth Environment Predicting Future Population Growth The Theory of Demographic Transition Population Growth and Economic Growth Ecological Perspectives on Population Growth Population Policies for the Twenty-First Century Agriculture, Food and Feeding the World: Population and Food Supply Environment Trends in Global Food Production Projections for the Future Agricultures Impact on the Environment Sustainable Agriculture for the Future ENERGY AND RESOURCES Renewable Resource Use Principles of Renewable Resource Management Fisheries Ecological and Economic Analyses of Fisheries The Economics of Fisheries in Practice Policies for Sustainable Fisheries Management Ecosystem Management The Economics of Forest Management Forest Ecosystems Forest Loss and Biodiversity Policies for Sustainable Forest Management Conclusion: Reconciling Economic and Ecological Principles Water Global Supply and Demand for Water Economics and Policy Addressing Water Shortages Water Pricing

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The Economics of Pollution Control Policies for Pollution Control 2 The Scale of Pollution Impacts Assessing Pollution Control Policies Pollution Control Policies in Practice 15 Greening the Economy The Green Economy: Introduction The Relationship between Economy and Environment 2 Industrial Ecology Does Protecting the Environment Harm the Economy? Creating a Green Economy 16 Global Climate Change Causes and Consequences of Climate Change 2 Responses to Global Climate Change Economic Analysis of Climate Change ENVIRONMENT, TRADE, AND DEVELOPMENT 17 World Trade and the Environmental Impacts of Trade Environment Trade and Environment: Policy and Practice 2 Trade Agreements and the Environment Strategies for Sustainable Trade 18 Institutions The Concept of Sustainable Development and Policies The Economics of Sustainable Development 2 for Sustainable Development Reforming Global Institutions New Goals and New Production Methods Total Lectures (Duration 50 Minutes Per Lecture) 40 *Few portions of some chapters will be reading assignments. These portions will be decided by the IC as and when need be. Evaluation Scheme Duration Weightage Remarks Component Date & Time (%) Test-I 50 mins 20 04.03.14,Tuesday 8.30 am Closed Book to 9.30 am Test-II 50 mins 20 07.04.14,Monday 8.30 am Open Book to 9.30 am Class Quizzes 30 mins 10 To be attempted individually Class participation/Presentations Questions faced in class by peers and Instructor Comp. Exam. 3 hrs. 15 05 30 Dates as per scheduling in class. To be attempted individually To be attempted individually

Green Economics Pollution: Analysis and Policy

07.05.14 (FN) Closed Book Other Issues Chamber Consultation Hours: Friday 5 to 5.30pm (Chamber A-301/18, VOIP-236) Email: debdulal@goa.bits-pilani.ac.in Notice concerning this course will be displayed on the Economics Group Notice Board. Make-up policy: Genuine medical cases only will be permitted to take a makeup within reasonable time and if prior permission has been taken before the test/exam. Instructor-in-Charge

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