October 5, 2016
Position Paper #1
In Michigan v. EPA, the Supreme Courts environmental decision of
2015, the court decided to reject an Environmental Protection Agency act.
This regulation planned to control emissions of mercury and other toxi
Chapter 3 (page 77)
A New Hampshire textile mill releases pollution into nearby wetlands, and the
associated health and ecological damages are not considered in the private
market. Suppose you are an environmental economist working with the following
Markets and Economic Efficiency
Determination of value
Value can be determined by how much
someone is willing to pay for a good or service.
Willingness to payvalue of a good is directly
related to how much a person is willing to pay
Why economics and the environment?
Why do we need to include economics in the
analysis of the environment?
Economicsstudy of how society manages its
Scarcitymore is wanted than is available
Scarcity makes choice u
September 30, 2016
Rancher Roy has his ranch next to the farm of Farmer Fern. Cattle tend to roam and
sometimes stray onto Ferns land and damage her crops. Roy can choose the size of his
herd. His revenue
How economists see the environment by Don Fullerton and Robert Stavins
Nature, Volume 395, October, 1998, p.433-434
1. According to Fullerton & Stavins, what are the 4 myths about how economists see the
2. How does the First Welfare Theorem (