RES-ECON 363: Economics of Water Policy

Example syllabus only – exact content subject to change. Please see your instructor’s syllabus for the current term for your specific course’s guidelines

 TuTh 10:00AM to 11:15AM
Stockbridge Hall, Room 301
Course Credits: 3.0 

Professor: Dr. David Keiser
Office: 205B Stockbridge Hall
E-mail: @email
Office hours: By appointment.
Mailbox: Across from my Office in 205B Stockbridge Hall

Course Objective

This course offers a broad overview of domestic and global water policy issues. In particular, the course will explore these issues through the lens of economics. The class explores both water quality and water quantity topics. U.S. topics will include a discussion of major environmental and health statutes such as the Clean Water Act and Safe Drinking Water Act. Environmental justice impacts will be discussed. Global topics will cover a range of subjects including the importance of sanitation and safe drinking water in developing countries. Issues of water scarcity in both domestic and global settings will be explored. Foundational economic topics will cover supply and demand models, non-market valuation techniques, and water pricing.

Prerequisites

RES-ECON 102 or ECON 103 or RES-ECON 162 or RES-ECON 262 or RES-ECON 263 or permission of the instructor.

Texts

There is no required textbook for this class. I will assign weekly reading from a variety of sources including academic journal articles, newspaper articles, and web-based resources. Lectures and discussion will also be important for understanding the course material.

Grades

Grades will be calculated according to the following percentages:

I will use the following grading-scale:

I encourage feedback throughout the semester to make sure my goals and your expectations are being met. I will distribute evaluations mid-semester.

Attendance and Class Participation

This is a relatively small class, which will allow for extensive discussion of class topics. I expect for you to show up to class and actively participate in discussion. You are allowed 2 non-excused absences for the semester. Each additional unexcused absence will deduct 5% from your class participation grade. I will assess participation based on your engagement in class. If you feel uncomfortable speaking up or responding to questions, please let me know. We can find alternative ways for you to engage, including sending e-mails to me with your thoughts on the week’s materials. I will be very flexible due to covid and other illnesses. Please do not come to class if you are ill. I will make sure we can find a reasonable way to catch you up on class materials.

The Use of ChatGPT or other AI Software

You are strictly prohibited from using ChatGPT or other AI Software to generate your responses to class questions. If you would like to use this software to aid in any data analysis, you must clear this me prior to use.

Makeup Policy

I expect for you to turn in your assignments by their due date and time. A 5% reduction in your grade will occur per day for late reading assignments and homework unless you have made arrangements with me ahead of time. After 1 week, it won’t be worth any points unless you arrange an extension with me.

Note on Reading Assignments / Homework

This component of the course is closely related to class participation. I will assign weekly reading for our materials. I do not expect for you to understand everything you read! However, I do expect that you will do the reading and answer the corresponding questions that I assign. We will then explore these questions in class. Each reading assignment will be weighted equally.

Non-market Valuation Exercises

You will tackle at least two non-market valuation exercises this semester. Depending on how quickly we move, this may include three exercises. This includes a recreational demand exercise, a hedonic housing analysis, and a stated preference survey analysis. You will be responsible for downloading, summarizing, and analyzing how individuals value changes in water quality. Non- market valuation tools are at the heart of economic analyses of water policy, and environmental economics more broadly. These will be challenging, but I expect you to try your best! We will then discuss the exercises together as a class. You can work independently or in groups of two

people. I will help you find a partner if you’d like to work with someone else. These exercises will start after we cover non-market valuation tools. Grading for each exercise will be: 50% for data analysis, 25% for written discussion of findings, 25% for class discussion.

Communication Channel

I will make class announcements using Canvas throughout the semester. It is your responsibility to make sure that your account is activated and that you check it regularly.

Accommodation Statement

The University of Massachusetts Amherst is committed to providing an equal educational opportunity for all students. If you have a documented physical, psychological, or learning disability on file with Disability Services (DS), you may be eligible for reasonable academic accommodations to help you succeed in this course. If you have a documented disability that requires an accommodation, please notify me within the first two weeks of the semester so that we may make appropriate arrangements. For further information, please visit Disability Services (https://www.umass.edu/disability/)

Diversity, Equity, and Inclusion

The Department of Resource Economics, as is the larger University, is committed to fostering inclusive learning environments. This course is designed to support the needs of all students and honor the diversity of identities, backgrounds, and experiences of all learners via thoughtful dialogue, readings, and assignments. Students are asked to help foster inclusion through their words and actions, to hold one another accountable to these ideals whenever possible, and to consult the instructor if there are related questions, concerns, or improvements that can be made including ways in which the instructor’s methods may fall short of these goals.

Personal Wellness

I want to emphasize that your physical and mental health are important to me. Family emergencies, physical or mental illness, personal crises, or childcare issues can significantly affect your academic performance. If you encounter any issues that severely affect your ability to engage in this course, please contact me so that we can work out a fair resolution. You do not need to tell me all the details of your situation, and you may also speak with someone from student services who can help me determine adequate accommodations without revealing sensitive information to me.

Academic Honesty Statement

Since the integrity of the academic enterprise of any institution of higher education requires honesty in scholarship and research, academic honesty is required of all students at the University of Massachusetts Amherst. Academic dishonesty is prohibited in all programs of the University. Academic dishonesty includes but is not limited to: cheating, fabrication, plagiarism, and facilitating dishonesty. Appropriate sanctions may be imposed on any student who has committed an act of academic dishonesty. Instructors should take reasonable steps to address academic misconduct. Any person who has reason to believe that a student has committed academic dishonesty should bring such information to the attention of the appropriate course instructor as soon as possible. Instances of academic dishonesty not related to a specific course should be brought to the attention of the appropriate department Head or Chair. Since students are expected to be familiar with this policy and the commonly accepted standards of academic integrity, ignorance of such standards is not normally sufficient evidence of lack of intent (http://www.umass.edu/dean_students/codeofconduct/acadhonesty/).

Title IX

In accordance with Title IX of the Education Amendments of 1972 that prohibits gender- based discrimination in educational settings that receive federal funds, the University of Massachusetts Amherst is committed to providing a safe learning environment for all students, free from all forms of discrimination, including sexual assault, sexual harassment, domestic violence, dating violence, stalking, and retaliation. This includes interactions in person or online through digital platforms and social media. Title IX also protects against discrimination on the basis of pregnancy, childbirth, false pregnancy, miscarriage, abortion, or related conditions, including recovery. There are resources here on campus to support you. A summary of the available Title IX resources (confidential and non-confidential) can be found at the following link: https://www.umass.edu/titleix/resources. You do not need to make a formal report to access them. If you need immediate support, you are not alone. Free and confidential support is available 24 hours a day / 7 days a week / 365 days a year at the SASA Hotline 413- 545-0800.

Course-Specific Learning Objectives

The course-specific learning objectives are:

1. Acquire and feel comfortable using an economic toolkit to analyze water policy issues. This toolkit includes using a demand and supply framework for analyzing how a multitude of factors influence the price and quantity of market and non-market goods.
2. Understand and be able to communicate how time influences the optimal allocation of water over time. This includes developing an understanding of the role of discount rates.
3. Develop an understanding of non-market valuation methods (revealed and stated preference methods), their strengths and weaknesses, and how to apply these methods to particular settings.
4. Acquire a basic understanding of randomized control trials and how they are used to evaluate water interventions and solutions.
5. Acquire a strong understanding of domestic and international water policy issues, including topics such as the Clean Water Act, Safe Drinking Water Act, nutrient pollution, sanitation, water quantity issues, climate change impacts on water resources, and challenges to providing safe drinking water in developing countries.
6. Develop strong written and oral communication skills through weekly course discussion, a class presentation, and written summaries of reading assignments.

Department of Resource Economics Learning Objectives

This course contributes to the following student learning objectives for undergraduate students in the Department of Resource Economics:

Class Outline

I would like to cover the topics presented below. Some changes to this outline may occur throughout the semester depending how far we get on various topics. Suggested readings will be given in class.

Part 1: Foundational Economic Methodologies (Weeks 1 -5)

• Introduction to Water Policy and the Role of Economics
• Cost-Benefit Analysis and Water Policy
• Non-Market Valuation Techniques and Water Quality
• Non-market Valuation Exercise # 1 (Recreational Demand)
• The Economics of Water Quantity

Part 2: US Water Resources (Weeks 6 – 10)

• The Clean Water Act
• The Safe Drinking Water Act
• Special Topics on Water Quality
• Water Scarcity
• Non-market Valuation Exercise # 2 (Hedonics)

Part 3: Global Issues (Weeks 11 – 13)

• Sanitation
• Safe Drinking Water
• Climate Change and Water Scarcity
• Non-market Valuation Exercise #3 (Stated Preferences)