Checking date: 24/05/2023

Course: 2023/2024

Markets and Environment
Bachelor in Philosophy, Politics and Economics (2013 Study Plan) (Plan: 306 - Estudio: 283)

Coordinating teacher: SAN JUAN MESONADA, CARLOS

Department assigned to the subject: Economics Department

Type: Electives
ECTS Credits: 6.0 ECTS


knowledge skills - capacity to understand and analyze problems in environmental economics - capacity to evaluate the environmental consequences of economic activity - capacity to interpret environmental taxes and market-based instruments of environmental regulation - capacity to apply theoretical models from environmental and natural resource economics to real-world problems technical skills - effective problem-solving - solve problems using spreadsheet or econometric software - ability to work in groups - critical reasoning - written and oral communication
Skills and learning outcomes
Description of contents: programme
The program begins by explaining the economics of renewable and non-renewable natural resources. Next, the instruments to correct market failures are introduced, first the control and management solutions: Pigouvian taxes, subsidies and quality standards comparing them with taxes. Secondly, the market based instruments such as tradable pollution rights. Different concepts for the valuation of non-market amenities such as environmental quality are presented, including hedonic pricing, travel cost methods and contingent valuation. Their use is exemplified with an introduction to environmental cost- benefit analysis. Next, the techniques of valuation of the environmental impacts, the problems related to the regulation of transboundary pollution in the international treaties. Finally, the course touches upon the theory of optimal management of renewable and non-renewable resources.
Learning activities and methodology
Students will acquire the knowledge and technical skills set out above by following the lectures ("magistrales"), by solving problems that will be turned in to the professor and corrected jointly in class, and by attending review sessions ("reducidas") in which problems are solved at the black board. Likewise, part of the skills will be acquired by the students through individual research. The educational activities are aimed at enabling the students to use the tools of economic analysis acquired in previous classes and to apply them to the regulation of environmental problems. The teaching method is interactive and based on the use of computer software (spreadsheet and/or econometric applications) for the analysis of case studies related to environmental protection and to natural resources management.
Assessment System
  • % end-of-term-examination 40
  • % of continuous assessment (assigments, laboratory, practicals...) 60

Basic Bibliography
  • Charles Kolstad. Intermediate Environmental Economics. Oxford University Press . 2011 (International 2nd Edition)
  • Tom Tietenberg. Environmental and Natural Resource Economics. Addison Wesley. 2003 or later
Additional Bibliography
  • Pere Riera, Dolores García, Bengt Kriström, Runar Brännlund. Manual de Economía Ambiental y de los Recursos Naturales. Thomson Editores, Madrid. 2005

The course syllabus may change due academic events or other reasons.

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