Clearing 2022

Our clearing vacancies will be live from Wednesday, 17 August at 5pm. In the meantime, you can sign up for our newsletter and read our clearing guide on the clearing pages.

BAEcon Economics

Year of entry: 2022

Course unit details:
Natural Resource Economics

Course unit fact file
Unit code ECON30232
Credit rating 10
Unit level Level 3
Teaching period(s) Semester 2
Offered by Economics
Available as a free choice unit? Yes

Overview

This course explores the use of natural resources from an economic perspective. The goal is to examine economic theories of natural resource scarcity and sustainability, conflicts and environmental degradation from natural resource use. It aims to provide the students with an analytical understanding of the neoclassical economics analysis of the exploitation of natural resources and markets for non renewable resources (e.g. minerals and oil), and renewable resources (e.g. fisheries and elephants/ivory). 

It will discuss real world examples related to species extinction, biodiversity loss, climate change and the possible policy mechanisms aimed at sustainable development. Students will also learn non-standard behavioural instruments as possible policy mechanisms. For that, they will learn some ideas from behavioural and experimental economics. Finally, this will briefly discuss energy economics, forest economics, ecological economics, and sustainability. 

At the end of this course students should be able to:
1. demonstrate their understanding of some of the fundamental relationships between economic activity and the ‘natural environment’;
2. demonstrate their understanding of the optimal rate of use of non renewable natural resources and the role of the interest rate, extraction costs and backstop technologies on the price and supply path;
3. use bioeconomic models & demonstrate their understanding of the optimal rate of use of renewable natural resources and role of property rights regimes;.
4. demonstrate their understanding about standard economic and non-standard behavioural policy tools to protect the natural resources and the environment and exploit them sustainably; and 
5. how to conduct independent research within a group on natural resource/environmental economics 
6. demonstrate their understanding on forest economics, ecological economics, energy economics, and sustainability.

Pre/co-requisites

Unit title Unit code Requirement type Description
Advanced Mathematics ECON10071 Pre-Requisite Compulsory
Microeconomic Analysis 3 ECON20501 Pre-Requisite Compulsory
Microeconomics 3 ECON20021 Pre-Requisite Compulsory
Advanced Mathematics ECON20071 Pre-Requisite Compulsory
Microeconomics 3 ECON30021 Pre-Requisite Compulsory
Microeconomic Analysis 3 ECON30501 Pre-Requisite Compulsory
(ECON20021 or ECON30021 or ECON20501 or ECON30501) and (ECON10071 or ECON20071)

(ECON20021 or ECON30021 or ECON20501 or ECON30501) and (ECON10071 or ECON20071)

Aims

This course explores the use of natural resources from an economic perspective. The goal is to examine economic theories of natural resource scarcity and sustainability, conflicts and environmental degradation from natural resource use. It aims to provide the students with an analytical understanding of the neoclassical economics analysis of the exploitation of natural resources and markets for non renewable resources (e.g. minerals and oil), and renewable resources (e.g. fisheries and elephants/ivory). 

It will discuss real world examples related to species extinction, biodiversity loss, climate change and the possible policy mechanisms aimed at sustainable development. Students will also learn non-standard behavioural instruments as possible policy mechanisms. For that, they will learn some ideas from behavioural and experimental economics. Finally, this will briefly discuss energy economics, forest economics, ecological economics, and sustainability. 

Learning outcomes

At the end of this course students should be able to:
1. demonstrate their understanding of some of the fundamental relationships between economic activity and the ‘natural environment’;
2. demonstrate their understanding of the optimal rate of use of non renewable natural resources and the role of the interest rate, extraction costs and backstop technologies on the price and supply path;
3. use bioeconomic models & demonstrate their understanding of the optimal rate of use of renewable natural resources and role of property rights regimes;.
4. demonstrate their understanding about standard economic and non-standard behavioural policy tools to protect the natural resources and the environment and exploit them sustainably; and 
5. how to conduct independent research within a group on natural resource/environmental economics 
6. demonstrate their understanding on forest economics, ecological economics, energy economics, and sustainability.

 

 

Syllabus

Topic 1. Economics of Non-Renewable resources
Topic 2. Economics of Renewable Resources
Topic 3: Dynamic Optimization (Optimal Control Technique) method to solve non-renewable and renewable resource exploitation problems.
Topic 4. Management Mechanisms; standard economic and no-standard behavioural mechanisms
Topic 5. Other related issues (e.g., Forest economics, Ecological Economics)
Topic 6. Sustainability
Topic 7. Energy economics

Teaching and learning methods

Synchronous activities (such as Lectures or Review and Q&A sessions, and tutorials), and guided self-study

Intellectual skills

Critical thinking, Problem solving, Problem posing, Decision-Making; Team Work

Practical skills

Planning independent research and study using library, electronic and online resources,

Transferable skills and personal qualities

Information Retrieval, Numeracy, Literacy, Computer Literacy, Time Management Applying Subject Knowledge, Improving own Learning;

Other attributes: Willingness to update knowledge; Listening; Commercial Awareness, Stress Tolerance, Self-confident, Independence, Self-management, etc.

Employability skills

Analytical skills
Problem solving
Research
Planning independent research and study using library, electronic and online resources.
Other
Information retrieval. Numeracy. Literacy. Computer literacy. Time-management Applying subject knowledge. Improving own learning.

Assessment methods

75%      Exam

15%      Group work

10%      Excel exercisement methods

 

Feedback methods

  • Mock exam.
  • Tutorial feedback.
  • Office hours.
  • Discussion boards.

Recommended reading

  • T. Tietenberg, Environmental and Natural Resource Economics, Pearson / Addison Wesley.
  • R. Perman, Y. Ma, J. McGilvray, M. Common (2003), Natural Resource and Environmental Economics (3rd Ed. Or 4th Ed.).
     

Teaching staff

Staff member Role
Prasenjit Banerjee Unit coordinator

Additional notes

For every 10 course unit credits we expect students to work for around 100 hours. This time generally includes any contact times (online or face to face, recorded and live), but also independent study, work for coursework, and group work. This amount is only a guidance and individual study time will vary

Return to course details