This course presents a broad-based treatment of the theory and application of environmental economics. Topics are introduced in the context of real-world environmental policy questions (with special emphasis on energy policy), then translated into microeconomic theory to highlight the salient constraints and fundamental trade-offs faced by policymakers. Topics include property rights, externalities, Pigouvian taxes, command-and-control regulation, cap-and-trade, valuation of environmental quality, cost-benefit analysis, policymaking under uncertainty, and inter-regional competition. Students who have previously taken PBPL 28525 should not enroll in this course.