Learning outcomes of the course unit
The new and reinforced sensibilities for the environmental issues at global level need deeper economic and quantitative skills capable to evaluate the effects of environmental policies on environmental resource availability.
The aim of this course is to provide a set of theoretical and operational skills to face, develop and solve decision problems into the environmental policy framework, throughout models based on mathematical programming and specific software.
By the way of the course, the student can acquire knowledge about methods and operational tools for evaluating the economic relationships between economic activities and environmental resources. In particular, the study of mathematical optimization techniques will provide to the student a support for facing the problem linked to environmental policy evaluation with respect to the economic agent behaviour.
Course contents summary
1. The Linear Programming (LP)
1.1 Economic principles of linear programming
1.2 LP problem formulation
1.3 The duality
1.4 The information organization using the TABLEAU
1.5 LP problem solving: the simplex algorithm
1.6 LP and Langrange function
2. Quantitative tools for developing LP models
2.1 The GAMS (General Algebraic Modeling System) language for mathematical programming model formulation
2.2 Exercises on pc
3. The analysis of environmental issues using mathematical programming
3.1 The environmental performance analysis throughout models for technical and economic efficiency evaluation.
3.2 LCA and LP models.
3.3 The economic agent behaviour facing environmental policy: the study of a positive mathematical programming (PMP) model
3.4 Exercises on pc.
- Quirino Paris, An economic interpretation of linear programming, Iowa State Press, Ames, 1991;
- Richard Rosenthal, GAMS: a user’s guide, Gams Development Corporation, Washington, 2008;
- Documents distributed by the lecturer