Finance and organization of environmental protection 2400-ZEWW703-OG

1. The specificity of the environmental protection sector:
- causes of market failure,
- external effects and costs,
- public goods,
- property rights problem,
- globalization.
2-3. Adjusting external costs:
- legal and administrative instruments,
- instruments using the market mechanism,
- creating permit markets for using the environment,
- economic valuation of non-market goods.
4-5. Use of non-renewable and renewable resources:
- classification of environmental goods and resources,
- Hotelling rule,
- maximum permanent revenue and proof of C.W. Clark
- practice of natural resources management.
6. Collective decisions and public undertakings:
- dealing with environmental risk,
- information asymmetry (Weitzman's rule),
- discounting and pre-selection,
- environmental protection projects.
7. Environmental policy:
- subject, scope and policy subjects,
- economic and social evaluation criteria,
- key policy principles,
- international dimension of policy,
- methods of analyzing the impact of policy on the economy.
8. Legal and administrative regulations:
- command-and-control,
- emission, immission, technology and product standards,
- administration, control, monitoring.
9. Economic instruments:
- taxes, emission, product, utility and administrative fees,
- deposit systems and pledges,
- transferable permits to use the environment,
- ecological tax reform,
- subsidies,
- ecological insurance,
- penalties.
10-12. Enterprise and environmental protection:
- environmental impact assessment (EIA),
- integrated permits (IPPC),
- fees for the economic use of the environment,
- environmental accounting,
- liability for environmental damage,
- ecological audit,
- labeling and certification (EMAS, ISO 14000),
- life cycle analysis (LCA),
- financing environmental protection projects,
- creating environmental accounting,
- voluntary agreements,
- environmental business responsibility,
- environmental protection as a competitive strategy.
13. Polish environmental policy:
- organization of environmental protection,
- the document "Ecological Policy of the State",
- environmental policy in the European Union,
- environmental protection finances,
- sustainable and sustainable development and its measures,
- international agreements.
14-15. Financing environmental protection in Poland:
- funds for environmental protection and water management,
- Bank Ochrony Środowiska,
- statistics on expenditure on environmental protection and water management
- financing environmental protection from EU funds,
- the central budget,
- own funds of enterprises,
- undertakings of local authorities.

Type of course

general courses

Course coordinators

Jerzy Śleszyński

Learning outcomes

A. Knowledge
1. The student has in-depth knowledge of the economic basis of environmental protection and economic criteria for assessing environmental policy (S2A_W01, S2A_W04).
2. Knows the general principle of rational management requiring the maximization of the difference between benefits and costs. Under typical circumstances (which he can identify), this principle boils down to comparing marginal benefits with marginal costs (S2A_W06).
3. Knows modern methods of valuing these benefits in relation to the natural environment, namely: both indirect methods (such as the Travel Cost Method or Hedonic Price Method) as well as direct methods (such as the Contingent Valuation Method or conditional valuation method) Choice Experiment Method selection experiment).
4. Knows how to achieve the most socially desirable effect by means of a market mechanism. However, he also knows the circumstances in which the market fails (market failures) and relates them primarily to the occurrence of externalities and public goods. He knows that the public interest requires intervention in the market mechanism (S2A_W07, S2A_W08, S2A_W09).
5. Understands the unique nature of natural resources, supply of which results from natural conditions and can not be adapted to demand - as in the case of man-made goods. Knows the Hotelling rule determining the optimal rate of consumption of exhaustible resources and the concept of Maximum Sustainable Yield used in the analysis of renewable resources (S2A_W05).
6. Knows the policy instruments by which governments try to correct the market in the area of the natural environment and natural resources. These are direct regulations or rights markets as well as fees and other economic instruments (S2A_W02, S2A_W03).
7. He knows the economic conditions that the implementation of environmental protection creates for the company. In particular, he understands what is the system of fees for economic use of the environment, the system of audits and certificates, the concept of voluntary agreements.
8. Knows the structure of the system and methods of financing environmental protection in Poland. He understands, evaluates and interprets the mechanisms of financing environmental protection projects.
B. Skills
1. The student can express the problems of environmental protection in economic terms, and thus determine the associated costs and benefits (S2A_U01, S2A_U03). Can formulate the conditions necessary to achieve environmental protection on a scale justified by social preferences (S2A_U06).
2. Able to choose the method of quantification appropriate to identify benefits for environmental protection (S2A_U02, S2A_U04). Is able to identify instruments of interference in the market relevant to a given problem (S2A_U05, S2A_U07).
3. Understands the economics limitations in determining the appropriate level of environmental protection (S2A_U08). In particular, he understands that the economic value does not exhaust the entire complexity of the relationship between man and the natural environment.
C. Social competences
1. A student may speak in important debates - both at the local and national level - regarding environmental protection, appreciating the importance of science in determining the right solutions (S2A_K01). He is aware of the difference between solutions dictated by "political correctness" and solutions that are firmly based on social preferences (S2A_K04).
He is aware of the limitations in the application of economic analysis, and at the same time can indicate the issues for which a correct knowledge of economics is needed.

Assessment criteria

The basis for the final pass mark is the assessment of an individual presentation in the form of a self-prepared report

Bibliography

OBLIGATORY
Ison S., Peake S., Wall S., 2002. Environmental Issues and Policies. Pearson Education, Harlow.
Śleszyński J., 2001. Ekonomiczne problemy ochrony środowiska. Aries, Warszawa.
Tietenberg T., 2001. Environmental Economics and Policy. Addison-Wesley-Longman, Boston.
SUPPLEMENTARY
Bergstrom J.C., Randall A., 2010. Resource Economics. An Economic Approach to Natural Resource and Environmental Policy. Edward Elgar, Cheltenham.
Chapman D., 2000. Environmental Economics: Theory, Application, and Policy. Addison-Wesley-Longman, Reading.
Dobrzańska B., Dobrzański G., Kiełczewski D., 2009. Ochrona środowiska przyrodniczego. PWN, Warszawa.
Fiedor B. (red.), 2002. Podstawy ekonomii środowiska i zasobów naturalnych. Wydawnictwo C.H. Beck, Warszawa.
Folmer H., Gabel L., Opschoor H. (red.), 1996. Ekonomia środowiska i zasobów naturalnych. Krupski i S-ka, Warszawa.
Żylicz T., 2004. Ekonomia środowiska i zasobów naturalnych. Polskie Wydawnictwo Ekonomiczne, Warszawa.

Additional information

Information on level of this course, year of study and semester when the course unit is delivered, types and amount of class hours - can be found in course structure diagrams of apropriate study programmes. This course is related to the following study programmes:

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Description of 2400-ZEWW703-OG in USOSweb