Economics of Climate Change - Einzelansicht

Exam (90 Min.)

The course has 6 credit points (ECTS)

The aim of this lecture is to provide basic economic knowledge and key tools for analyzing climate policy. The lecture will first give an overview on research methods and findings regarding climate impacts and mitigation options as well as key concepts for integrating climate change in economic welfare and policy analysis. As climate change is an intertemporal (dynamic) problem, tools for solving intertemporal optimization problems will be presented and applied. Students apply these concepts and develop stylized climate-economy models to study optimal mitigation paths, carbon prices and growth effects.

Qualification goals:

Knowing and understanding basic concepts and methods for quantifying economic climate impacts
Understand and apply methods of intertemporal optimization (Hamiltonian) for welfare analyses
Understand key normative aspects for welfare analysis and apply them in research (discounting, inequality aversion, risk aversion)
Understand and applying the Social Cost of Carbon approach for policy analysis and cost-benefit analysis
Be able to include global warming in economic models and to work with integrated assessment models on climate policy
Understand and apply economic concepts for analyzing uncertainty with respect to climate change.