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Environmental economics is the study of the impacts of market actions on natural resources and the environment, and the effects of public environmental policy. Why does the free market so often fail to maximize efficiency in the environmental context? Which tools are available for governments to improve environmental outcomes? How do we accomplish environmental goals at lowest cost? What are the impacts of environmental policies? Students will explore the costs, benefits, and tradeoffs involved with environmental policies. Topics include: Externalities, public goods, Pigouvian taxation, global climate change policy, pollution, electricity markets, health and the environment, and more.
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