NATURAL RESOURCE ECONOMICS
Sponsored by a Grant TÁMOP-4.1.2-08/2/A/KMR-2009-0041 Course Material Developed by Department of Economics,
Faculty of Social Sciences, Eötvös Loránd University Budapest (ELTE) Department of Economics, Eötvös Loránd University Budapest
Institute of Economics, Hungarian Academy of Sciences Balassi Kiadó, Budapest
Author: Gábor Ungvári Supervised by Gábor Ungvári
January 2011
2
NATURAL RESOURCE ECONOMICS Syllabus
The aim of the course is to give perspective and methodology to discuss and analyze environmental conflicts on economic ground.
The first section focuses on the synthesis of ecologic, historical and economic approaches of the landscape change and its consequences on the endowment of natural resources and well-being.
The second section goes through economic sectors and public functions that all users or modifiers of the most relevant natural resources from Hungary’s point of view
By my experience the essential condition of a meaningful economic analysis on an environmental topic is the localization of the problem into the boundaries of a landscape unit. The first section will bring case study for this approach. It is a priority of the lesson to let the students apply the concepts to a place they are familiar with. And to reach a rational economic framing of the environmental problems that provide the necessary information to choose the proper methodology.
The sequence of the project will drive by the logic of interconnections of the most relevant environmental problems, and not the sequence of the handbook.
The handbook that gives background to the course is: Tom Tietenberg: Environmental &
Natural Resource Economics. pl http://wps.aw.com/aw_tietenberg_envnatrese_8/
To fulfill the course a week by week attendance to the lessons is presumed. At the end of the first part, all students have to choose a landscape and summarize its basic characteristics applying the developed perspective. They will have to expand this knowledge base in the second part of the course integrating the applying with the specific information of their chosen territory. It will provide the fundamentals to the preparation of final essays on the synthesized social – economic – ecologic landscape assessment that will give the written base of valuating their work.
3 Themes of the course
1st Part: Developing perspective 1. Introduction.
Overview of perspectives (and their changes) on society, nature and their interferences.
Literature: Environmental & Natural Resource Economics: Chapter 1 Visions of the Future, Environmental & Natural Resource Economics: Chapter 2. Valuing the Environment: Concepts
Gyulai Iván: Gondolatok a Fenntartható fejlődésről:
http://www.ecolinst.hu/letoltok/kiadvanyok/a_fenntarthato_fejlodes.pdf
http://kozjoeskapitalizmus.hu/files/MT02.Bartus_Vane_konzervativ_kornyezetpolitika.pdf Further reading: Sen, Amartia - A szabadság, mint fejlődés;
2. Economic approaches on environmental problems
The most important steps of economics’ approaches on environment problems. The development of methods. Introduction to the results of the Millennium Ecosystem Assessment.
Literature:
Environmental & Natural Resource Economics: Chapter 3. Valuing the Environment: Methods, Chapter 4. Property Rights, Externalities, and Environmental Problems
CIFOR, Self-Governance and Forest resources, 1999
http://www.cifor.cgiar.org/publications/pdf_files/OccPapers/OP-20.pdf
Greenfacts 3.2 How is the economy linked to ecosystem services?
http://www.greenfacts.org/en/ecosystems/index.htm Further reading:
Millennium Ecosystem Assessment: Ecosystems and Human well-being, benne:
• Living beyond our means www.maweb.org/documents/document.429.aspx.pdf
4
• Conceptual framework - www.maweb.org/documents/document.765.aspx.pdf
3. The models of efficient resource / asset allocation
The key question of efficient allocation of renewable natural resources is the management of timing. The oversee of the use of classic allocation criteria from mineral depletion to the efficient management of ecological systems.
Literature:
General: Environmental & Natural Resource Economics:, Chapter 5 Dynamic Efficiency and Sustainable Development
Examples: Environmental & Natural Resource Economics:Chapter 7 The Allocation of Depletable and Renewable Resources: An Overview; Chapter 11 Land; Chapter 14 Common-pool resources: Fisheries and other Commercially valuable species
Costanza, Robert: The value of the world’s ecosystem services and natural capital - NATURE |VOL 387 | 15 MAY 1997
Millennium Ecosystem Assessment: 22. Dry Land Systems:
http://www.maweb.org/documents/document.291.aspx.pdf
4. The interconnectivity of the water circulation and the social supporting processes of nature. -
Case study on consequencies of historical landscape-change process in the Carpathian Basin.
Literature:
Andrásfalvy Bertalan A vízhaszonvétel és árvízvédelem hagyománya Magyarországon http://epa.oszk.hu/00700/00775/00019/709-719.html
5 Árvíz, belvíz talajvíz Alföldi László http://epa.oszk.hu/00700/00775/00019/673-687.html Pásztor Attila: Alakulások (manuscript)
Millennium Ecosystem Assessment: 20. Inland Water Systems:
http://www.maweb.org/documents/document.289.aspx.pdf
Further reading: Rabb Péter: Természeti viszonyok a középkori Kárpát-medencében http://arch.eptort.bme.hu/17/17rabb.html
Andrásfalvy Bertalan: A Duna mente népének ártéri gazdálkodása, Ekvilibrium http://earthobservatory.nasa.gov/Features/AncientForest/ancient_forest.php
5. The scales of environmental conflicts: individual – settlements – landscape.
The consequences of complexity and diversity levels.
Case study of the Bodrogköz small-region
Litreature Borsos Balázs: Három folyó között – Néprajzi tanulmányok Akadémiai 2000;
A cigándi és tiszakarádi árvíztározók természetszerű hasznosításáról, és a hozzájuk kapcsolódó árvízvédelmi, vidékfejlesztési, tájrehabilitációs tervek megvalósításáról (feasibility study - manuscript)
2nd Part: Management of ecological systems and natural resources – the influence and role of sectoral policies on environmental management.
6. The logic of environmental regulation – the case of water. The EU Water framework directive.
Literature: Országos Vízgyűjtő Gazdálkodási Terv (National Water-basin Management Plan). 2. Chapter, 5.5 Chapter
7 Management of natural capital on water-basin level: Floods, inland excess water
6 inundation, droughts – land use.
Literaure: Environmental & Natural Resource Economics: Chapter 11. Land
Simonffy Zoltán: Hazai vízigények és vízkészletek stratégiai szempontjai. Vízügyi közlemények 2000/3-4.
A Tisza árvízi szabályozása a Kárpát-medencében
http://www.elotisza.hu/bovebben.php?id=166; új link!
Víz Keretirányelv megalapozó anyagok – a mezőgazdaság érintettsége OVGT 8.1 háttéranyag;
Further reading: Háttéranyag a VGT 7. fejezetéhez; 7.7 háttéranyag: A területi vízgazdálkodás és a VKI célok kapcsolata.
8. Management of natural capital on water-basin level section: Surface and sub- surface water resources
Litrature: Environmental & Natural Resource Economics: Chapter 10. Replenishable but Depletable Resources: Water;
National Water-basin Management Plan - Report on subsurface resources - Országos Vízgyűjtőgazdálkodási Terv, 2010 www.vizeink.hu
9. Management of natural capital on water-basin level section: Forestry Literature:
http://www.mgszh.gov.hu/szakteruletek/szakteruletek/erdeszeti_igazgatosag/erdeszettortenet Environmental & Natural Resource Economics: Chapter 13. Storable, Renewable Resources:
Forests
Roth Gyula: A szálaló erdőről. 1958
REKK: Fapiaci mérleg; http://www.rekk.eu/images/stories/letoltheto/wp2009_5.pdf
7 10. Energy consumption and generation
Literature: Environmental & Natural Resource Economics: Chapter 7. The Allocation of Depletable and Renewable Resources: An Overview + Chapter8-ból: Energy Efficiency;Transitioning to Renewables
Externalities of Energy, Extern-e http://www.externe.info
Biomassza dilemma: http://www.mtvsz.hu/dynamic/biomassza-dilemma2.pdf
11. Transport
Literature: Environmental & Natural Resource Economics: Chapter 15, Economics of Pollution Control: An Overview; Chapter 18, Mobile-Source Air Pollution
Externalities of Transport, Extern-e http://www.externe.info
12. Environmental investments – infrastructure endowment – lessons of the water utility regulation:
Litrature: Danube Regional Project Assessment and Development of Municipal Water and Wastewater Tariffs and Effluent Charges in the Danube River Basin http://www.undp-drp.org/drp/activities_1-6_-7_tariffs_and_charges.html
Further reading: Strategies for Reform; A Manual for Water Utilities in South Eastern Europe web.rec.org/documents/PEIPWaterManuaFinal.pdf
13. Climate change – the economic perspective on long term adaptation Litrature:
Stern Report its critics: www.hm-
treasury.gov.uk/independent_reviews/stern_review_economics_climate_change/sternre view_summary.cfm
8 K.J. Arrow: Global Climate Change: A Challenge to Policy, 2007
J.E. Stiglitz: A new agenda for global warming, 2006
REDD Financing REDD: how government funds can work with the carbon market http://www.iied.org/pubs/pdfs/17053IIED.pdf
Further reading: Wolfgang Behringer: A klíma kultúrtörténete, Corvina Kiadó, 2010
The closing event of the course
Presentation and discussion of the landscape studies prepared by the students.
