ENR-31306 Economics and Management of Natural Resources


Credits 6.00

Teaching methodContact hours
Individual Paper2
Group work2
Course coordinator(s)dr. HP Weikard
Lecturer(s)dr. HP Weikard
Doctor Sampo Pihlainen
Examiner(s)dr. HP Weikard

Language of instruction:


Assumed knowledge on:

UEC-21806 Microeconomics, ENR-21306 Environmental Economics for Environmental Sciences, ENR-20306 Environmental Economics and Environmental Policy or similar courses.

Calculus on high school level (NL: Wiskunde B) or MAT-14803 is assumed. 

Continuation courses:

Advanced Environmental Economics and Policy, Thesis Environmental Economics.


This course deals with the efficient and sustainable use of natural resources. The key question is how intensely a resource should be exploited, considering the typical properties of the resource, possible externalities, and future generations. The course deals with nonrenewable resources (e.g. minerals and fossil fuels), as well as renewable resources such as forests, fisheries, water, and ecosystems. The course also pays attention to the economic theory of different policy instruments, such as resource extraction taxes, individual transferable quota and days at sea.

Learning outcomes:

After successful completion of this course students are expected to be able to:
- apply dynamic optimization techniques to management of non-renewable resources (such as fossil fuels and phosphate) and renewable resources (such as forestry, fisheries, and ecosystems);
- analyse economic problems of natural resource use in an intertemporal perspective;
- evaluate economic problems of natural resource use, taking into account concerns of intergenerational equity, sustainability, and discounting;
- understand how institutional dynamics and resource dynamics mutually influence each other in a social-ecological system;
- translate real-world problems into mathematical models.


The course consists of four lectures, a tutorial and a computer practical in each week. To deepen the understanding of theory and to foster the ability to solve problems there are an individual paper and two assignments with review questions and exercises. The assignments are group work, which means to solve problems jointly - not to distribute tasks. Participants are required to read relevant textbook chapters and research papers. Class attendance is required.


- individual paper (15%);
- graded group exercises (25%);
- written open book exam with open questions (60%).
The written exam needs a minimum mark of 5.0 to pass, while the joint mark should not be lower than 5.5.


Perman, R; Common, Mc Gilvray, M; [et.al]. ( 2003, 2011). Natural Resource and Environmental Economics. Addison Wesley. 4th edition. 774 p. ISBN: 0321417534; ISBN: 978-0321417534.
Selected research papers.

Restricted Optional for: MFNForest and Nature ConservationMScB: Management4WD
MESEnvironmental SciencesMScB: Environmental Policy and Economics4WD
MAMAquaculture and Marine Resource ManagementMScC: Marine Governance4WD
MBSBiobased SciencesMScC: Biobased and Circular Economy4WD
MBSBiobased SciencesMScC: Biobased and Circular Economy4WD