Module 3– Macroeconomic implications & Application, Ozone and Global Warming
See schedule for dates.

Objective: Understand the macroeconomic effects of changes in the environment. Also, be able to describe the economic effects of the Kyoto treaty on various countries.

Read the following chapters in An Economic Approach to Environmental and Natural Resources.
Chapter 6 – Macroeconomics of the Environment
Chapter 7 – Ozone Depletion and Global Climate Change

(By the way, for this module, I don't want to get into a scientific discussion of whether global warming is real or not, caused primarily by man or nature, or even whether or not it ultimately matters. Let's keep our focus on the economic implications of what different governments are trying to implement.)

Written Assignment (50 points) Date Completed ________________ Points ____
Write a 2-3 page paper making the economic arguments for or against one of the following:
1. The European Union's Carbon Trading framework does/does not work.
2. Califonia's Global warming solutions act will be beneficial to the state's economy.
3. Reducing trade barriers increases pollution.
4. A cap and trade system would be beneficial to the US economy.

Email the assignment to me and post it or a summary in the appropriate Module 4 discussion topic.

Discussion I (25 points) Date Completed ________________ Points ____
Critique the arguments made in one of the papers. (Could be your own.)

Discussion II (25 points) Date Completed ________________ Points ____
Critique or defend the economic arguments made in one of the other papers.

Total points for Module 3 (100 possible) Your point total ____