Environmental Economics and Sustainability (2500205) – Course 2025/26 PDF
Contents
Concept of economy. Basic principles that govern economic thinking. Basis of economic analysis. Basic microeconomic concepts. Supply and demand, Types of goods. Concept of elasticity and its effects. Consumer Surplus, and Cost Theory Introduction to macroeconomics. Global vision of the economy. Public sector participation Paradigm of growth. Growth and development. Welfare measures. GDP and other indicators Investment feasibility analysis
Specific Objectives
Introduce the basics of economic reasoning among environmental engineering students Introduce among students the global vision of economics as a system That students value what the economic variables represent if they measure to be able to introduce the environmental elements
Dedication
18h Large group + 18h Self StudyInterrelationships between economy and environment. Impacts of production models. Infrastructures and environment. Environmental Kuznets curve. Elements that can affect market balances. Definition of Public Goods, Common Resources, Club Goods. Consequences and restrictions. Other factors that affect the market: Asymmetric information, uncertainties, temporality, income distribution. Definition of externality. Positive and negative externalities. Consequences of Externalities on economic efficiency. Private vision. Coase's theorem and the agreements between affected agents. Impact and possibilities of articulation in environmental issues. Public view: regulations and fees. Elements to consider for an assessment of environmental assets. Use value, option value, existence value. Double focus: Natural Capital vs. environmental services Different types of valuation elements: Induced costs, avoided costs, disclosed preferences, declared preferences, etc. Specific methods and applications: Travel cost, hedonic prices, contingent valuation. Real cases will be raised to comment and work in class on methods of assessing environmental externalities Evaluation of projects and policies. Introduction to cost-benefit analysis (CBA) as a decision-making element. Inclusion of environmental assessments in the ACB. The problem of temporality and discount rates. The additivity of costs and benefits. Cost-benefit application guides. Quantification of environmental values in European Union guidelines. Real cases of cost-benefit analysis will be raised and the weight of environmental issues in decision-making will be worked on in class in a critical way. Analyze examples of infrastructures and projects with cost-benefit techniques that take into account the environmental impact
Specific Objectives
That students are aware of the importance of the relationship between economics and the environment. That economic decisions must take into account the environmental issue. A vision of the environment from the point of view of the engineer Introduce in students that environmental issues affect market balances Introduce students to the concept of externalities. That students understand the importance of externalities. How policies and actions may be affected by externalities and their assessment Understand what it means to value environmental goods. Define the assessment of intangibles and their applicability to environmental issues. Discuss with students whether environmental goods can be valued and in what situations. Discuss whether they are comparable to the valuation of other assets Familiarize students with the intangible valuation techniques currently used in environmental economics. Develop critical thinking among students about the ability to monetize environmental impacts and integrate them into decision making. Show the importance of evaluation to analyze engineering projects and policies that are carried out. That students learn to interpret the social and welfare viability of an investment project. Develop a critical view of the methodologies used to evaluate projects Have students come up with a cost-benefit analysis and know how to do and evaluate it
Dedication
24h Large group + 12h Medium group + 36h Self StudyIntroduction to the concept of circular economy and sustainability. Sustainable development. Limits of growth. Technology and use of resources. . Environment as an international concept: Kyoto Protocol and subsequent consensus Examples around the circular economy and sustainability. Analysis of applied cases Environmental regulations. Pigounians taxes. Optimal rates. Market mechanisms. The example of the CO2 emissions market. Analysis of environmental policies. Class discussion of the instrument if the consequences Business and the environment. Corporate Social Responsibility and the role on the environment. Environmental accounting instruments. Environmental audits Work in class on cases and examples of business actions in the environmental field and their consequences.
Specific Objectives
Introduce the idea of sustainability and its consequences among students. Critical analysis of the economic model and its environmental consequences. ntroduce among students the idea of sustainability and its consequences. Critical analysis of the economic model and its environmental consequences. Analyze instruments to minimize environmental impacts. Discuss the capacity of market self-regulation and the role of public administration. Analyze instruments to minimize environmental impacts. Discuss the capacity of market self-regulation and the role of public administration. Introduce companies and their responsibility in the environment. See if voluntary measures around corporate social responsibility is enough or is it a marketing model. Introduce companies and their responsibility in the environment. See if voluntary measures around corporate social responsibility is enough or is it a marketing model.
Dedication
24h Large group + 12h Medium group + 36h Self Study