Solution Manual For Environmental Economics, An Introduction 2024 Release By Barry C.Field and Martha K Field

EnvironmentalTEconomics,T2024TRelea
se




Instructor’s Manual to Accompany

ENVIRONMENTAL ECONOMICS
An Introduction

2024 Release



Barry C. Field
University of Massachusetts Amherst

Martha K. Field
Greenfield Community College




©TMcGrawTHillTLLC.TAllTrightsTreserved.TNoTreproductionTorTdistributionTwithoutTtheTpriorTwrittenTconsentTofTMcG
rawTHillTLLC.

,EnvironmentalTEconomics,T2024TReleas
e

TableTofTContents
Preface .................................................................................................................................. 2

SectionTI.TIntroduction

ChapterT1. WhatTIsTEnvironmentalTEconomics? ................................................................. 4
ChapterT2. TheTEconomyTandTtheTEnvironment ................................................................. 6

SectionTII.TAnalyticalTTools

ChapterT3. BenefitsTandTCosts,TSupplyTandTDemandT....................................................... 9
ChapterT4. Markets,TExternalities,TandTPublicTGoodsT...................................................... 15
ChapterT5. TheTEconomicsTofTEnvironmentalTQuality..................................................... 19

SectionTIII.TEnvironmentalTAnalysis

ChapterT6. FrameworksTofTAnalysisT.................................................................................. 24
ChapterT7. Benefit–CostTAnalysis:TBenefits...................................................................... 28
ChapterT8. Benefit–CostTAnalysis:TCostsT.......................................................................... 34

SectionTIV.TEnvironmentalTPolicyTAnalysis

ChapterT9. CriteriaTforTEvaluatingTEnvironmentalTPolicies............................................... 37
ChapterT10. DecentralizedTPolicies:TLiabilityTLaws,TPropertyTRights,TVoluntaryTAction.. 41
.
ChapterT11. Command-and-ControlTStrategies:TTheTCaseTofTStandardsT............................. 47
ChapterT12. Incentive- 53
BasedTStrategies:TEnvironmentalTChargesTandTSubsidiesT...............
ChapterT13. Incentive-BasedTStrategies:TMarketTTradingTSystemsT..................................... 57

SectionTV.TEnvironmentalTPolicyTinTtheTUnitedTStates

ChapterT14. FederalTWaterTPollution-ControlTPolicyT.......................................................... 62
ChapterT15. FederalTAirTPollution-ControlTPolicy............................................................... 67
ChapterT16. FederalTPolicyTonTToxicTandTHazardousTSubstancesT...................................... 71
.
ChapterT17. StateTandTLocalTEnvironmentalTIssuesT............................................................. 75

SectionTVI.TGlobalTEnvironmentalTIssues

ChapterT18. GlobalTClimateTChange ..................................................................................... 78
ChapterT19. InternationalTEnvironmentalTAgreements .......................................................... 82
ChapterT20. Globalization ....................................................................................................... 85
ChapterT21. EconomicTDevelopmentTandTtheTEnvironment................................................. 88




1
©TMcGrawTHillTLLC.TAllTrightsTreserved.TNoTreproductionTorTdistributionTwithoutTtheTpriorTwrittenTconsentTofTMcG
rawTHillTLLC.

,EnvironmentalTEconomics,T2024TReleas
e

Preface
EnvironmentalTEconomics,TAnTIntroductionTisTdesignedTasTaTtextTforTaTone-
TsemesterTcourse.TItTisTbasedTonTcoursesTweThaveTtaughtTforTmanyTyears,TcoursesTpre
dicatedTonTtheTnotionTthatTtheTsubjectTisTinterestingTandTimportantTenoughTtoTbeTprese
ntedTtoTaTwideTaudienceTofTlower-
divisionTstudents,TratherTthanTdelayedTuntilTstudentsThaveTnegotiatedTaTsetTofTprerequi
siteTcourses.TThus,TtheTbookTisTmeantTtoTbeTusedTbyTstudentsTwhoThaveTnotTnecessaril
yThadTanyTeconomicsTyet.TNevertheless,TtheTbookTisTintendedTtoThaveTaTdistinctlyTanal
yticalTperspective.TGivenTtheseTobjectives,Tit’sTnecessaryTtoTfocusTonTaTlimitedTnumbe
rTofTprimaryTconcepts―incentives,Tefficiency,TtheTequimarginalTprinciple,Tcost-
effectiveness,TandTsoTon.TIt’sTalsoTnecessary,TinTtheTlaterTchaptersTonTdomesticTandTin
ternationalTenvironmentalTpolicy,TtoTconcentrateTonTtheTmainTstoriesTandTavoidTgetting
TdrawnTintoTtheTendlessTdetailsTthatTtheseTsubjectsTcontain.


AfterTtheTfirstTtwoTintroductoryTchapters,TthereTareTthreeTchaptersTonTtheTmostT
basicTofTeconomicTprinciples.TTheseTareTprobablyTaboutTtheTminimumTforTsomeoneTw
hoThasTneverThadTanyTeconomics.TInTwritingTtheseTchapters,TthereTwasTaTcontinuingTt
emptationTtoTgoTforTaTslightlyThigherTlevelTofTsophistication.TWeTtriedTveryThardTtoTre
sistTthis,TtoTkeepTclearlyTinTmindTtheTtypeTofTstudentTforTwhomTtheTbookTisTprimarily
Tintended.TWeTwouldThopeTthatTstudentsTwhoThaveThad,Tsay,TintroductoryTmicro,Twoul
dTfindTtheseTchaptersTaTusefulTreview.

InTthisTinstructor’sTmanual,TweThaveTworkedTthroughTeachTofTtheTchapters,Tdis
cussingT(a)TupdatesTofTsubjectsTthatTareTnewTtoTtheTchapterTinTthisTedition,T(b)TtheTobj
ectivesTofTeach,T(c)TmainTideasTcovered,T(d)TpointsTofTdiscussionT(cautions,Ttechniques
TweThaveTfoundTuseful,TpossibleTextensions,Tetc.),TandT(e)TbriefTanswersTtoTeachTofTth
eTquestionsTforTfurtherTdiscussion.

TheTbookTisT21TchaptersTlong,TperhapsTtooTlongTforTstudentsTtoTgetTthroughTco
mpletelyTunderTnormalTcircumstances.TTheTbookTisTdividedTintoTsectionsTsoTthatTdiffe
rentTinstructorsTcanTemphasizeTtheTmaterialTtheyTfindTmostTuseful.TAfterThavingTgoneT
throughTSectionsTITandTII,TyouTmayTwishTtoTpickTandTchooseTchaptersTfromTtheTother
TsectionsTdependingTonT theTrelativeTemphasisT youT wishT toT putT on:T(a)Tbenefit–
costTanalysis,
(b)TpolicyTanalysis,T(c)TU.S.TenvironmentalTpolicy,TandT(d)TinternationalTissues.

TheTquestionsTatTtheTendTofTtheTchaptersTareTcalledT―discussion‖Tquestions,Tb
utTtheyTareTperhapsTmoreTspecificTthanTthisTlabelTimplies.TForTtheTmostTpart,TtheyTare
TnotTmeantTtoTleadTtoTopen-
endedTdiscussionTbutThaveTanswersTthatTweThopeTareTmoreTorTlessTcorrect.TTheyTareT
designedTtoTleadTstudentsTtowardTmakingTmodestTextensionsTofTtheTideasTcovered,Twh
ichTshouldThelpTthemTbothTreviewTtheTmaterialTandTperhapsTthinkTmoreTdeeplyTaboutT
it.

2
©TMcGrawTHillTLLC.TAllTrightsTreserved.TNoTreproductionTorTdistributionTwithoutTtheTpriorTwrittenTconsentTofTMcG
rawTHillTLLC.

, EnvironmentalTEconomics,T2024TReleas
e

TheTexhibitsTpresentedTthroughoutTtheTchaptersTareTforTtheTpurposeTofTillustrati
ngTpointsTinTtheTtext.TTheTobjectiveTisTtoTshowTstudentsTthatTtheTeconomicTideasTweT
areTdiscussingTinTtheTclassroomTareTactuallyTatTworkTinTtheTrealTworld.




3
©TMcGrawTHillTLLC.TAllTrightsTreserved.TNoTreproductionTorTdistributionTwithoutTtheTpriorTwrittenTconsentTofTMcG
rawTHillTLLC.