THE ECONOMICS OF CLIMATE CHANGE

 The Economics of Climate Change is one of the courses for the Master of Economics, Finance, and Sustainability program. The purpose of the course is to provide students with an understanding of the causes of environmental and climate problems, as well as the analytical tools they need to address them. The first part of the course looks at market failures in the presence of externalities and public goods, environmental resource evaluation and cost-benefit analysis, and pollution. The second part of the course examines climate policies - command and control tools, environmental taxes, and emissions trading systems -, the obstacles that prevent global cooperation, and the climate policies that are feasible in the real world.

Knowledge and understanding:
• Students will learn about market failures, market efficiency, environmental protection, environmental valuation, pollution control, benefit-costs analysis, and climate mitigation policies.
Ability to apply knowledge.
• Ability to apply economic thinking to environmental and climate issues.
Making judgments
• Ability to critically evaluate and compare different climate policies.

Students joining this course are expected to be familiar with basic microeconomics.

Class 1-3 Introduction and overview. Markets, market failures, and externalities. Pollution control.
Class 4-6 Public goods and common property resources. Valuing the environment. Cost-benefit analysis.
Class 7 Medium-term exam.
Class 8-10 Climate mitigation policies. Adaptation policies and climate finance. The role of forests in climate mitigation.
Class 11-13 Low-carbon innovation and technology transfer. International climate policy. Behavioral Economics of Climate Change.
Class 14-15 Making Climate Policy work. Revision class to prepare for the exam.

There is no prescribed textbook. Chapters from books and journal articles can be accessed by following the hyperlinks provided in the syllabus that will be circulated at the beginning of the course. Lecture slides will be posted after the respective lecture is delivered.

Learning is assessed through a one-hour-long written test. The test will include 3 questions with short answers, 3 questions requiring more complex answers, and an exercise. There are 4 exam sessions. They will take place in May, June, September and January.

L'insegnamento prevede attività didattiche frontali in aula, esercizi e qizzes/tests.

English

Further details about readings, in-class activities, and assignments, will be communicated at the beginning of the course and published in moodle.

written