Course 2026-2027 a.y.

The course provides students with a sound understanding of environmental and climate change economics. It examines the key role of economic activities as drivers of environmental degradation and climate change, and shows how economic tools can be used to investigate environmental problems and to design policies to address them. The students will rethink some key economic concepts like efficiency, externalities, and welfare aggregation, from an applied perspective. A set of interactive sessions will allow students to solidify their understanding of environmental economics through a hands-on approach.

At the end of the course, students will have a proper understanding of key environmental economics and policy concepts, including:

Welfare Economics and the Environment

Externalities

Sustainability and Intertemporality

Cost-Benefit Analysis

Environmental policy instruments

Basic dynamics of our planet’s climate system

Main economic implications of climate change

Basics of Energy Economics

Current status of International Climate Negotiations

At the end of the course, the student will be able to:

Understand many of the current international and European environmental policies

Contribute to preserving our planet by employing solid scientific knowledge

Make everyday decisions knowing what they imply in terms of their environmental footprint.

• Lectures
• Practical Exercises
• Collaborative Works / Assignments
• Interaction/Gamification

Teaching methods will include a combination of face-to-face lectures, interactive sessions and games, and in-class discussions.

Selection:

• Face-to-face lectures
  • Face-to-face lectures with use of new technology
  • Face-to-face lectures
• Exercises (exercises, database, software etc.)
  • in-class exercises
• Case studies /Incidents (traditional, online)
  • Multimedia case studies
• Group assignments presentation
  • project work
  • presentation
• Interactive class activities on campus/online (role playing, business game, simulation,  online forum, instant polls)
  • Simulations
  • Interactive exercises

Group assignments are explained in the section about the exam.

In class we will use interactive activities to explore the role of public goods, international climate cooperation and many other topics.

To qualify as an Attending Student, students must attend at least 75% of all classes and actively participate in group work and in-class activities.

Assessment is based on two group assignments (50% of the final grade) and individual written exam(s) (50%). A minimum score of 18/30 in the written exam(s) is required to pass the course.

• Assignment 1 – Policy Memo (30%)

Students work in groups to prepare a short policy memo and present it in class. The written memo is evaluated on clarity, structure, use of evidence, and consistency of the policy recommendation. The in-class presentation and discussion (oral defense) assess students’ ability to justify their arguments, respond to questions, and critically engage with alternative viewpoints. Emphasis is placed on the oral defense, as it provides a direct test of students’ understanding, their ability to reason under scrutiny, and their capacity to distinguish their own analysis from AI-generated content.

• Assignment 2 – One-Minute Video (20%)

Students work in groups to produce a short video explaining a policy issue or concept from a specific perspective. The assignment focuses on strategic communication and framing. Each group is assigned a perspective (not disclosed to the class) and is required to construct a coherent narrative consistent with that perspective. Videos are viewed and evaluated by peers, who are asked to infer the underlying position and assess the message's clarity and consistency.

• 15% of the grade depends on the professors’ assessment of the video content

• 5% of the grade depends on the alignment to the assigned perspective, based on peers’ evaluation: 

• • Groups are rewarded if their assigned perspective is correctly identified by a meaningful but not excessive share of the class (i.e. neither too low nor too high recognition rates);

• • Students who correctly infer the underlying perspective of other groups’ videos are also rewarded. 

These incentives are designed to encourage consistent engagement and careful construction and interpretation of policy narratives.

• Written Exam(s) – Mid-Term + Final or General Final (50%)

Students are assessed individually on their understanding of the course material, including key concepts, analytical frameworks, and policy tools. The exam structure ensures both knowledge of core content and the ability to articulate and connect economic arguments.

Final written exam (Long Version): 100% of the Final Grade
 

A minimum grade of 18/30 in the final written exam is required to pass the course.
Note that if you choose this type of exam you are still welcome to attend all classes!

The final written exam for non-attending students covers the whole content of the course. The exam has two sections: the first set of questions requires short answers and tests whether the student is familiar with the basic definitions and concepts of environmental economics. The second set of questions requires longer answers and allows the student to elaborate on connections that are visible at a deeper level of understanding of the topics covered during the whole course

Barry Field and Martha K. Field, Environmental Economics, 8th Edition (2021).