Environmental Economics

Paper Code: 
ECO 614
Credits: 
4
Contact Hours: 
60.00
Max. Marks: 
100.00
Objective: 

Course Objectives:

The objectives of this course are -

1. To develop an understanding of various issues relating to the environment.

2. To acquaint the students with the meaning, rules and indicators of sustainable development.

3. To help the students to understand the issues relating to environmental protection and pollution control and also climate change and global warming

 

Course Outcomes (COs):

 

Course

 Outcome (at course level)

Learning and teaching strategies

Assessment Strategies 

Paper Code

Paper Title

ECO 614

Environmental Economics

CO82: Acquire Knowledge of the concepts of environmental economics.

CO83: Comprehend the various approaches of sustainable development.

CO84: Analyze the issues related to environmental protection.

CO85: Understand the effects of climate change and international policies in this direction.

Approach in teaching: Interactive Lectures, Discussion,  Case studies.

 

Learning activities for the students:

Presentations, Assignments and Group discussions.

Class activity, Assignments and  Semester end examinations.

 

12.00
Unit I: 
Environment, Economy & Valuation of environment
  • Environmental Economics: Definition & Scope
  • Environment- Economy Interaction, Development & Environment, Environmental Kuznets Curve
  • Need for environmental valuation, Use Value and Non Use Value
  • Methods of environmental valuation : Contingent Valuation method, Hedonic Pricing Approach, Travel Cost Method
  • Difficulties in measuring  environmental value

 

12.00
Unit II: 
Market Failure, Externalities and Public Good
  • Market Failure: Meaning, Pareto Optimality and Market Failure
  • Externalities: Meaning, Positive Externalities and Negative Externalities
  • Public Goods: Meaning and Characteristics
  • Public Goods and Pareto Efficiency

 

12.00
Unit III: 
Sustainable Development
  • Sustainable Development –Meaning, Rules -Hartwick Approach, London School Approach, Safe Minimum Approach,, and Daly’s Operational Principles.
  • Indicators of Sustainable Development -Pressure Indicators, Impact Indicators and Sustainable Indicators.
  • Weak Sustainability and Strong Sustainability

 

12.00
Unit IV: 
Conservation of Resources & Environment Protection
  • Conservation of Resources- Preservation & Conservation,
  • Methods of Conservation-Material Conservation, Product Life Extension, Recycling, Pollution Tax, Waste Reduction
  • Policy Instruments for Environmental Protection: The Polluter Pays Principle (PPP), The User Pays Principle (UPP) & The Precautionary Principle (PP)
  • Policy Measures to Control Environmental Pollution: Command and Control Approach,  Pigouvian Tax, Environmental Subsidy, Tradable Permits, Deposit Refund System, Participatory and Voluntary Agreements
  • Property Rights  & Coase’s  Theorem, Bargain Solution

 

12.00
Unit V: 
Climate Change & Global Warming
  • Effects of climate change
  • Impact of Green House Effect, Acid Rain, Ozone Layer Depletion
  • Global Level Efforts : Montreal Protocol, Convention on Climate Change (1992 & 1995), GEF, Kyoto Protocol (1997)
  • International Policy Instruments to Tackle  Environmental Externalities : International Carbon Tax, Tradable Quotas & Tradable Pollution Permits

 

Essential Readings: 
  1. Scott J. Callan and Janet M. Thomas, Environmental Economics & Management:   Theory, Policy, and Applications, South-Western College Publishing.
  2. Eugine. T., Environmental economics, Vrinda Publications (P) Ltd.
  3. Bhattacharya, Rabindra N., (Edited): Environmental Economics- An Indian Perspective, Oxford University Press.
  4. Prasad, Lallan and Aggarwal Rashmi: Economics of Environment and National Resource Management.
  5. Hemple, Lamont, C., Environmental Economics: The Global Challenge, First East West Press, and Edinburgh.

 

Academic Session: 
2020-21
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