Energy Economics and Policy

This book explores the economics of energy and policy by examining recent trends in global energy markets and the social cost of war-related emissions, with a focus on the twin energy crises of recent years. It contributes to discussions on the economics of global climate change, the social cost of carbon, carbon tax, emissions trading systems (ETS), the energy crisis during the pandemic, the Russia-Ukraine war, and the geopolitics of oil, tariffs, and trade wars—all grounded in micro and macroeconomic foundations. As global demand rises, so does production, resulting in increased public bads and externalities. The book sheds light on externalities, the public goods problem, and emission accounting, using illustrative examples and calculations to deepen understanding of global energy supply and demand, commodity trends, energy pricing, OPEC behavior, crude oil export and import analysis, energy production patterns, and carbon footprint. It argues that traditional approaches to energy economics should be recontextualized beyond free-market philosophies. This book will appeal to students, researchers, and scholars engaged in debates on current developments. It covers carbon accounting—a vital tool in estimating an organization’s emissions—with illustrations of Scope 1, 2, and 3 emissions, Net Zero targets, energy finance, and recent innovations.