Environmental and Resource Economics

Module code: EC2053

In this module, we will learn about the interdependence between the economy and the environment. We will discuss the concept of market failure and why it is crucial in environmental economics. We will study some alternative remedies to market failures. We will then see different methods to value the environment and how to use a cost-benefit analysis to help decide on which policy/project to implement. We will also study the importance of risk in environmental economics and how behavioural economics can help us design policies to induce people to act in a more environmentally friendly way. We will discuss the economic principles behind the use of natural resources as well as what economic principles tell us about the climate change problem and how they can help us to offer solutions.