1.Introduction to
environmental economics
2.Evolution of
environment economics
3.Issues in
environmental economics
◦Concept of
sustainable development
◦Poverty &
sustainable development
4.Economy – Environment
interdependence
5.The material balance
perspective
◦Law of thermodynamics
◦Ecology (dose
response relationship)
6.Limits to growth
◦Environmental limits
to growth
◦Social limits to
growth
7.Can economic growth
improve the environment:- EKC
8.Population growth and
the environment
theory of demographic transition
economics of population control
the impact of population growth on the
environment
9.Biodiversity
◦Definition and
measurement
◦The current extent of
biodiversity
◦Biodiversity loss
Ref UNDP,IBRD, UNEP Reports
World Resource (1992) report http://www.wri.org
Journal of Environmental and Development
Economics
1.Introduction
◦From modest beginnings in the 1960s, environmental
economics has grown to be a major sub-discipline of economics. It combines
traditional work in the field of welfare economics and the theory of economic
growth with more recent perspectives on the political economy of choosing
policy instruments and the philosophy of sustainable development. The central
tenets are that environmental problems have their roots in the failure of
economic systems to maximize human well-being, that environmental quality matters
for human well-being and for more traditionally oriented economic growth
objectives, and that efficient policy can be achieved through incentive design.
◦
◦According to Callen and Thomas, “Environmental economics
is defined as that part of economics which deals with
interrelationship between environment
& economic development and studies the ways and means by which the
former is not impaired nor the later is impeded”
◦Environmental economics is a distinct
branch of economics that acknowledge the value of both the environment and
economic activity and makes choice based on those values. The goal is to
balance the economic activity and the environmental impacts by taking into
account all the costs and benefits.
◦Environment economics is the distinct
branch of economics which deals with policy perspective of scarce economics
resources. It studies how economic analysis and tools can be applied to study
environmental problem and solution.
◦
