ECON225-25S2 (C) Semester Two 2025

Environmental Economics

15 points

Details:
Start Date: Monday, 14 July 2025
End Date: Sunday, 9 November 2025
Withdrawal Dates
Last Day to withdraw from this course:
  • Without financial penalty (full fee refund): Sunday, 27 July 2025
  • Without academic penalty (including no fee refund): Sunday, 28 September 2025

Description

Economic theory and tools will be applied to the study of the environment and policy. In particular this course will examine how economists look for least cost ways of achieving environmental objectives even if those objectives are not set according to cost benefit analysis. This course will examine how market, incentive based regulatory mechanisms affect environmental outcomes and how the economy and the environment interact.

We live in a world where concern for the environment has never been greater.  Everywhere you look you will see phrases such as “climate change,” “sustainability,” “zero waste,” or “resource use footprint.”  

The issue of how our economy should interact with the environment is a multi-disciplinary topic.  But it is one that economics has much to contribute to. Economics cannot tell you how much the planet is warming or how much oil is left in the ground.  But it can shed light on questions such as

• Rather than just contributing to environmental problems, can markets be used to help solve them?
• How can governments address environmental problems efficiently, both when they have a lot of information, and when they don’t?
• How much pollution is too much in economic terms?
• Why has the international response to reducing greenhouse gas emissions been so limited, when scientists are confident there is a major problem?
• Does globalisation and trade help or harm the environment?

This course will make use of and build on the tools seen in ECON104 (Microeconomics) and to a lesser extent ECON105 (Macroeconomics).  In general, we will examine how economists look for least-cost ways of achieving environmental objectives.  The objectives themselves may be set according to cost benefit analysis, or other criteria.

Learning Outcomes

The objectives of the course are that by its end, students will be able to demonstrate:

- an understanding of how market, incentive based and regulatory mechanisms affect environmental outcomes;
- how marginal analysis is applied to environmental issues;  
- how cost benefit analysis can be extended to value unpriced environmental amenities;
- current economic contributions to the climate change challenge;
- an understanding of the interaction between international trade and the environment.

Prerequisites

Timetable 2025

Students must attend one activity from each section.

Lecture A
Activity Day Time Location Weeks
01 Monday 16:00 - 17:00 Rehua 101 Lectorial
14 Jul - 24 Aug
8 Sep - 19 Oct
Lecture B
Activity Day Time Location Weeks
01 Thursday 11:00 - 12:00 E14 Lecture Theatre
14 Jul - 24 Aug
8 Sep - 19 Oct
Tutorial A
Activity Day Time Location Weeks
01 Friday 11:00 - 12:00 Meremere 526
14 Jul - 24 Aug
8 Sep - 19 Oct

Course Coordinator

Jeremy Clark

Assessment

Assessment Due Date Percentage 
4 Assignments 20%
Midterm test 30%
Final exam 50%


The ‘45% rule’ does not apply to this course. That is, students do not need to reach 45% weighted average across invigilated assessments. Please refer to https://learn.canterbury.ac.nz/course/view.php?id=7744 for further information.  

The ECON225 midterm test will take place at the end of Term 1 during the tutorial time slot in the regular meeting room, Meremere 526.  Make sure you can attend.


Assessment in Te Reo Māori
In recognising that Te Reo Māori is an official language of New Zealand, the University provides for students who may wish to use Te Reo Māori in their assessment. If you intend to submit your work in Te Reo Māori you are required to do the following:

Read the Assessment in Te Reo Māori PolicyAssessment in Te Reo Māori Policy and ensure that you meet the conditions set out in the policy. This includes, but is not limited to, informing the Course Coordinator 1) no later than 10 working days after the commencement of the course that you wish to use Te Reo Māori and 2) at least 15 working days before each assessment due date that you wish to use Te Reo Māori.

Textbooks / Resources

Required Texts

Hanley, Nick; Introduction to Environmental Economics ; Third; 2019.

Indicative Fees

Domestic fee $946.00

International fee $4,363.00

* All fees are inclusive of NZ GST or any equivalent overseas tax, and do not include any programme level discount or additional course-related expenses.

For further information see Department of Economics and Finance .

All ECON225 Occurrences

  • ECON225-25S2 (C) Semester Two 2025