MSc Economics & Policy of Energy & Climate Change

Economic appraisal and modelling lie at the heart of what most economists in business, consulting and government do on a day-to-day basis. You'll examine the key principles and techniques of economic appraisal and learn – through your own applications - how these are used in private and/or social analysis. Techniques covered will include cost-benefit analysis, cost-effectiveness analysis and multi-criteria analysis. The economic modelling component will provide you with insights into how models designed to describe the operation of any economy can be used to help inform decision making. You’ll drawing on the practical modelling expertise gained within the Fraser of Allander Institute which has – for over forty years – developed an international reputation in the development and use of economic modelling for analysing policy-relevant issues.

20 credits

This class teaches quantitative methods with a practical emphasis. You'll gain an understanding of aspects of econometric theory and of fundamental econometrics tools that are routinely used in the analysis of economic data.

You'll apply the methods you learn about to a variety of models and data sets used in Economics and Finance.

The class will cover the following estimation techniques:

• Descriptive Statistics
• Linear Regression Models
• Heteroscedasticity
• Unit Roots and Cointegration

Each topic will be introduced in lectures and consolidated through practical applications in lab sessions. In this way, students will gain practical experience in analysing data. On completion of the class you should be in a position to motivate and conduct your own empirical work, and you'll have the opportunity to demonstrate this in your Summer Projects.

10 credits

In this class you'll explore key economic issues at the heart of topical energy questions – building on the University’s outstanding reputation as a centre of excellence in energy technology and policy.

The class covers the objectives of energy policy; private and social perspectives on energy supply and demand; the special case of regulation of energy markets; the use of economic models in energy analysis; the economics of oil and gas activity and links between energy use and the energy sector and an economy.

10 credits

This class provides you with a comprehensive overview of natural resources, sustainable consumption and the sustainable development goals (SDGs) through consideration of such topics as:

• where natural resources are located
• how they are used and what are the key challenges facing consumption
• what policies are in place to protect natural resources globally
• how environmental change and degradation may impact natural resources
• how conflicts can occur over natural resources and the steps we can take to remediate this

10 credits

This class provides students with a comprehensive and analytical overview of the energy finance system. This is done through consideration of such topics as:

• Corporate Finance
• Cost of Capital
• Energy Investment Appraisal
• Portfolio construction
• Energy Forecasting
• Energy Modelling

The class will provide the necessary foundational knowledge for studying other core classes in the course, and MSc EPECC students will get the opportunity to learn how the Finance function operates and how energy firms forecast and model energy prices.

10 credits

This class considers the economic, societal and policy context surrounding the adoption and deployment of energy technologies. This class will cover the characteristics and impacts associated with a broad range of technologies that span the energy supply chain and demand side of the energy industry, including both fossil fuel, low carbon and supporting technologies. It also explores their fit to particular circumstances, as well as the common steps and challenges associated with implementing these energy technologies. Finally, this class also explores the innovation processes that deliver novel, commercially viable technologies, as well as how technologies influence wider energy system transitions.

10 credits

A growing, and increasingly important, part of the work of many applied Economists includes the economic analysis of environmental issues. Additionally, many professionals working in the fields of energy, the natural environment, or business more generally will find that their careers require some working knowledge of economic approaches to environmental problems. The main objective of this class is to provide a thorough grounding in the economics of the environment, with a particular focus on environmental protection in an international policy context, such as climate change the loss of biological diversity.

10 credits

Climate change will be the pre-eminent global political and economic issue of the 21^st century. This class is intended to provide students with an overview of the basic model underlying the economics of climate change and the economic approach to climate change policy. It then goes on to describe the complications that need to be considered beyond this basic model in order to think about climate change policy in the real world.

10 credits

You'll examine the structures and trends in global energy markets. Demand and supply of the various types of energy such as coal, oil, natural gas, nuclear and renewables is covered along with a discussion of electricity markets. Topics of relevance for the energy professional, such as the interaction between energy and the environment (including carbon markets) and energy futures and options markets are discussed.

10 credits

Governance of energy systems is as much a technological, financial, and economic challenge as it is a political one. This class focuses on this latter aspect of the politics and political economy of global energy policy. Its central aim is to develop a good understanding of how political systems and institutions shape energy policy and governance outcomes.

The class is grounded in political science and political economy models and equips students with analytical tools to:

1. rigorously assess variation in energy policies around the world
2. analyse these policies
3. understand the drivers of differences in policies
4. formulate actionable policy recommendations

Drawing on examples and data from the developed and developing world, the class strikes a balance between academic and policy debates and between different approaches to student learning and engagement, including, for instance, scenario analysis, group work, or role play.

20 credits

Your summer project makes up 40 of the 180 credits required to receive your MSc award. While we expect that all learning throughout the degree will be helpful for the Summer Project, you can choose your topic from any area/issue in the field of Economics.

Every student will be supervised by an appropriate member of staff with expertise in the research area. This is your opportunity to develop a substantive piece of applied work on a topic that is of particular interest to you under the guidance of a supervisor.

In addition to providing a key opportunity to put into practice what you have learned during your MSc studies, this project will provide useful experience for your future careers. We're also able to supervise students who are sponsored by their employer and wish to work on a topic of interest to both them and their employer.

40 credits

In this class you will study decision making in strategic scenarios where the outcome of a decision depends not only on your decision but also the decisions made by others. This is a key class for those considering careers in industry where competition is crucial and effective market strategies are vital to the success of the business. You will learn how to make effective decisions in such environments and to gain an advantage over your competitors.

10 credits

This class will introduce you to some key concepts and principles of economics, focusing particularly on consumer theory and the theory of the firm. You’ll be shown how these concepts and theories are applied to the analysis of a range of contemporary real-world issues.

10 credits

You’ll learn about key macroeconomic variables and how changes in GDP, unemployment and inflation can impact on day-to-day policy and business decisions. You'll also study objectives and challenges in the design of macroeconomic policies by central banks and government’s finance departments and gain an understanding of how policies impact on the macroeconomic environment.

This class builds on the knowledge acquired in Foundations of Business Economics to explore the role of government and public policy in the economy. You'll learn about why governments often intervene in the economy when markets do not operate as planned, and gain an understanding of the trade-offs faced when intervening. You'll also learn about how public utilities operate and why and how they are regulated.

10 credits

This course will enable you to understand global trends and to study the key drivers of international economics, including how exchange rates move; what determines flows of international investment; and why some countries grow more quickly than others. With the global economy becoming ever more integrated, understanding of these issues is important for the applied Economist working within business, consulting and policy.

10 credits

This class will introduce policy relevant issues and knowledge in the economics of development. Lectures will combine insights from theoretical economic models with policy-relevant empirical evidence on in low-income countries. Moreover, through the thorough analysis of empirical research, the class will assist students in developing skills required to make an effective contribution working as an applied economist.

10 credits

This class provides you with an introduction to health economic policy, a key area for their potential future careers. The purpose of this course is to develop your ability to use economic concepts and theories to analyse existing issues in the health care market and to inform decision making and policy development. The class will provide you with an overview of policy issues from both an academic and practitioner perspective. The class will also focus both on technical skills that are needed to do research in the area of health economics, as well as on policy implications and discussions. Due to its focus on policy evaluation, the course will provide a supporting function for you to proceed to the Summer Project study.

10 credits

Understanding what drives inequalities in economic outcomes is a key aspect of modern economic thinking. Many of the drivers of such inequalities are cross-cutting, covering a range of economic issues from changes in economic policy through to the overall macroeconomic environment and the changing nature of our modern labour market. This class is designed to

1. raise the awareness of the different roles for economic analysis in the formulation of effective policies aimed at tackling inequality and reducing poverty
2. develop policy-relevant understanding of current issues inclusive growth enabling students to effectively contribute as an applied economist

This class will give you an understanding of regional policy issues from an academic and practitioner perspective. It's designed to give you awareness of technical and practical issues in regional policy development in Europe and to develop the skills required to work in the development, implementation and evaluation of regional policies.