Once a (sub)field almost exclusively studied by agricultural economists, environmental and natural resource economics has emerged as the arguably most dynamic field in economics, experiencing unprecedented growth due to the relaxed budget constraints and changed utility functions of modern citizens.

The course navigates the current landscape of environmental and natural resource economics, in which the concepts of externality and equality are more important than ever. While offering a global perspective potentially biased by thoughts from developed countries, the course is committed to provide a more balanced local view for future leaders in Taiwan, an economically developed yet environmentally developing country.

The first part of the course will delve into the fundamental concepts and theories of environmental and natural resource economics (many of which have been introduced in the principles of economics); and, embracing the very strong applied and evidence-based approach rooted in the Department of Agricultural Economics, we will introduce the empirical methods for valuing environmental and nonmarket goods. Students will engage in hands-on learning by applying the acquired nonmarket valuation methods in their midterm project.* In the second part of the course, we will look at the causes and consequences of environmental pollution. We will dedicate a significant amount of our time to the issue of climate change, arguably the biggest threat to the continuation of human civilization, including its consequences and potential (and sometimes dubious) solutions from an empirical perspective. In the third part of the course, we will focus on the economics of natural resources that involves a significant component of intertemporal considerations. Here, we will cultivate a sense of responsibility to actively contribute to safeguarding our future generations, despite knowing that we are not the (primary) culprits of current environmental crises. In the final project, students are expected to leverage the empirical tools and evidence acquired to discuss and address some of the most salient current environmental issues.

* Students are required to have a VERY SOLID knowledge of regression analysis covered in the introductory statistics offered by the Department of Agricultural Economics. Knowledge of causal inference will be an asset.