Addresses questions about natural resource scarcity using modern capital theory and optimal control theory to derive core results. Two objectives: provide students with a solid foundation in theory of natural resource economics, emphasizing tools and theoretical breadth to enhance research and teaching. Second objective to highlight contemporary themes in theoretical and empirical resource economics. Designed for PhD students in economics, finance, agriculture and resource economics, or public policy (with economics concentration). Prerequisite: one year PhD-level microeconomic theory and econometrics; review of differential equations recommended. Consent of instructor required.