Environmental economics
Summary
Introduction to economic analysis applied to environmental issues: all the necessary basic concepts, including cost-benefit analysis, for environmental policy making and its instruments (examples: climate, waste, mobility). Introduction to financial calculation applied to project evaluation.
Content
Introduction to economic analysis: Actors, supply, demand / Markets and prices / Price and quantity regulation
Introduction to environmental policy: Externalities / Cost-benefit analysis, policy objectives
Environmental policy: Abatement costs / Instruments for environmental policy / Comparison of instruments
Introduction to financial calculation: Discounting / Net present value
Project evaluation: Investment, costs (Capex, Opex) / Amortization and depreciation / Financial comparison of projects / Multicriteria choice
Concepts are illustrated with examples from Swiss climate policy, waste management, energy retrofitting of buildings, vehicle choice, etc.
Keywords
environmental economics, environmental policy, cost-benefit analysis, project evaluation, financial calculus
Learning Prerequisites
Important concepts to start the course
Basic algebra and using a spreadsheet such as Excel.
Learning Outcomes
By the end of the course, the student must be able to:
- Explain price formation
- Compare environmental policy instruments
- Argue for an environmental policy
- Compute the profitability of engineering projects
- Solve small mathematical problems
Transversal skills
- Take account of the social and human dimensions of the engineering profession.
- Take responsibility for environmental impacts of her/ his actions and decisions.
- Demonstrate the capacity for critical thinking
Teaching methods
Lectures in the first two periods, exercises in the third.
Expected student activities
Participate actively in class.
Assessment methods
Intermediate exam (1/2 of grade) and final exam (1/2 of grade).
Supervision
| Office hours | No |
| Assistants | No |
| Forum | Yes |
Resources
Notes/Handbook
Slides will be made available on a Moodle page
Moodle Link
Videos
In the programs
- Semester: Spring
- Exam form: During the semester (summer session)
- Subject examined: Environmental economics
- Courses: 2 Hour(s) per week x 14 weeks
- Exercises: 1 Hour(s) per week x 14 weeks
- Type: optional
- Semester: Spring
- Exam form: During the semester (summer session)
- Subject examined: Environmental economics
- Courses: 2 Hour(s) per week x 14 weeks
- Exercises: 1 Hour(s) per week x 14 weeks
- Type: optional
- Semester: Spring
- Exam form: During the semester (summer session)
- Subject examined: Environmental economics
- Courses: 2 Hour(s) per week x 14 weeks
- Exercises: 1 Hour(s) per week x 14 weeks
- Type: optional