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This course covers the main themes in which economists think about the climate problem. We build on the toolkit of environmental and resource economics, as well as climate-specific models to deal with the historically largest externality that creates a multifaceted and complex economic policy area. In doing so, we combine analytical modelling that addresses the long-run nature of the climate problem with empirical approaches.

First, we deal with the integrated modelling and assessment of dynamic climate-economy interactions, their implications for policy making, and the crucial roles of discounting and uncertainty. In a second step, we work on the choice and design of climate policy instruments, delving into market-based instruments, options for addressing multiple externalities, and empirical evidence for the effectiveness of policies. The third section focuses on the resource side of the climate problem and its interactions with fossil resource extraction, supply-side climate policies, and stranded assets. In the fourth section, we will give a short introduction to modelling biodiversity, a resource that is both renewable and extinguishable, and interacts with climate change and climate impacts. Finally, we look at climate finance, highlighting the role of expectations, uncertainty and financial frictions for investments and policy design.

Prerequisites: B.Sc. level economics, basic understanding of public economics and externalities.

This course is designed for students in the Master's or PhD program in Economics. 

In this course, we will explore key topics in development economics, with an aim to understand the central questions in this field:

• Why are some countries rich and some countries poor?
• Why does poverty persist?
• What tools can help to alleviate poverty?

After working through these “big picture" questions together, we will study the micro-foundations of growth by exploring how economic activity is organized within firms, informal markets, villages, and the State. We will examine how individuals in these diverse organizations—from modern factories to household enterprises, farms, and local government offices—make critical decisions about how to deploy scarce resources, and the constraints they face in the process. We will study these topics using a combination of economic theory, descriptive statistics, and hypothesis testing through empirical applications. The reading list (see syllabus) outlines some of the recent literature we will discuss. Additionally, problem sets and hands-on data work during tutorial sessions will complement the class discussions.

This course is designed for students in the Master's or PhD program in Economics. 

Die Kurseinschreibung ist geschlossen. Es ist keine Teilnahme mehr möglich.