Environmental Economics analyses the inter relationship between economic agents and environment. Economics is a Science, which tells about utilization of resources given by nature such as earth, air, water etc., overall natural resources for the development of humanity. Climate change is the most severe problem that we are facing today. There is a very little doubt today among the scientific community that anthropogenic or human-induced green house gas pollution has contributed significantly to the climate change, which has drastically altered life processes and led to widespread population decline and local extinctions. Nonetheless, it has wide impact on wildlife, agriculture, incidence of diseases, local weather, rise in sea level, more heat waves etc. The conservation of environment and promise of economic development are the twin objectives of environmental economics.

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