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on Environmental Economics |
| By: | Smulders, Sjak; Tsur, Yacov; Zemel, Amos |
| Abstract: | Unintended consequences of announcing a climate policy well in advance of its implementation have been studied in a variety of situations. We show that a phenomenon akin to the so-called âGreen- Paradoxâ holds also when the policy implementation date is uncertain. Governments are compelled, by international and domestic pressure, to demonstrate an intention to reduce greenhouse gas emissions. Taking actual steps, such as imposing a carbon tax on fossil energy, is a different matter altogether and depends on a host of political considerations. As a result, economic agents often consider the policy implementation date to be uncertain. We show that in the interim period between the policy announcement and its actual implementation the emission of green-house gases increases vis-`a-vis business-as-usual. |
| Keywords: | Climate policy, carbon tax, uncertainty, green paradox, Environmental Economics and Policy, Resource /Energy Economics and Policy, |
| Date: | 2010 |
| URL: | http://d.repec.org/n?u=RePEc:ags:huaedp:93129&r=env |
| By: | Venkatachalam Anbumozhi; Armin Bauer (Asian Development Bank Institute) |
| Abstract: | The global financial crisis and the resulting economic slowdown may be assumed to have at least the benefit of also reducing environmental degradation in the individual countries. This paper discusses the consequences of the crisis for energy use, pollution prevention, and land use in Asia and the associated emissions of greenhouse gases—the principal global warming pollutants—as well as their linkage with poverty. There are some short-term benefits to the global environment from the economic slowdown. Such benefits include reduction in the rate of air and water pollution from reduced energy use—which has direct implications for the urban poor’s health. However, modest benefits to global and local environments arising from the economic slowdown are likely to be much smaller than the costs associated with many environmental conservation measures, related to energy savings, natural resources protection, and water environment. Both supply and demand side investments in energy and environment are being affected. Many ongoing projects are being slowed and a number of downward revisions are being made in expected profitability. Meanwhile, businesses and households are spending less on energy efficiency measures. Tighter credit and lower prices make investment in energy savings and environmental conservation less attractive financially, while the economic crisis is encouraging end users to rein in spending across the board. This is delaying the deployment of more efficient technology and equipment. Furthermore, solution providers are expected to reduce investment in research, development, and commercialization of more energy-efficient models, unless they are able to secure financial support from governments. The economic slowdown is likely to alter land use patterns by increasing the pressure to clear forests for firewood, timber, or agricultural purposes—the livelihood opportunities available with the rural poor. Further, the likely additional delay in many countries in the construction of effluent treatment plans for limiting the discharge of pollutants into the rivers is expected to harm the water environment. Thus on balance, the modest benefits to global and local environments arising from the economic slowdown are likely to be much smaller than the costs of many environmental conservation measures for improving the livelihood conditions of the poor. Natural resources and ecosystem services provided by the environment are essential to support economic growth and better livelihood conditions of the poor. Inaction on key environmental challenges, such as climate change, could lead to severe economic consequences in the future. These concerns justify government action to support investment in green growth measures, promoting direct investment or fiscal incentives for energy efficiency and clean environment low-carbon technologies. But much more needs to be done. The investment needed to put national economies in lowcarbon green growth pathways far exceeds what is expected to occur. Governments should be looking to increase the new funds they commit to long-term energy and environmental policies to improve livelihood conditions and to shift our development trend into an environmentally sustainable future. Hence a commitment that extends well beyond the economic stimulus packages is needed. |
| Keywords: | global financial crisis, energy use, pollution prevention, land use, climate change, poverty, agriculture |
| JEL: | Q27 Q42 Q48 Q54 Q57 |
| Date: | 2010 |
| URL: | http://d.repec.org/n?u=RePEc:eab:develo:2253&r=env |
| By: | Mouez Fohda (CES - Centre d'économie de la Sorbonne - CNRS : UMR8174 - Université Panthéon-Sorbonne - Paris I); Thomas Seegmuller (GREQAM - Groupement de Recherche en Économie Quantitative d'Aix-Marseille - Université de la Méditerranée - Aix-Marseille II - Université Paul Cézanne - Aix-Marseille III - Ecole des Hautes Etudes en Sciences Sociales (EHESS) - CNRS : UMR6579) |
| Abstract: | This article analyzes the consequences of environmental tax policy under public debt stabilization constraint. A public sector of pollution abatement is financed by a tax on pollutant emissions and/or by public debt. In the same time, households can also invest in private pollution abatement activities. We show that the economy may be characterized by an environmental-poverty trap if debt is too large or public abatement is not sufficiently efficient with respect to the private one. However, there exists a level of public abatement and debt for a stable steady state to be optimal. |
| Keywords: | Environmental taxation, public and private abatements, public debt, trap, optimality. |
| Date: | 2010–08–31 |
| URL: | http://d.repec.org/n?u=RePEc:hal:cesptp:halshs-00512789_v1&r=env |
| By: | Thomas Bernauer (Center for Comparative and International Studies (CIS), Institute for Environmental Decisions IED, ETH Zurich); Lena Maria Schaffer (Center for Comparative and International Studies (CIS), Institute for Environmental Decisions IED, ETH Zurich) |
| Keywords: | Climate change, Governance |
| JEL: | Q54 |
| Date: | 2010–08 |
| URL: | http://d.repec.org/n?u=RePEc:ied:wpsied:10-12&r=env |
| By: | Markus Groth (Leuphana Universität Lüneburg, Lehrstuhl für Nachhaltigkeitsökonomie, Germany); Franziska Dittmer (Leuphana Universität Lüneburg, Lehrstuhl für Nachhaltigkeitsökonomie, Germany) |
| Abstract: | The aim of the paper is to give suggestions about how an agri-environment index can be designed by taking into account specific ecological and economical factors that reflect benefits and costs of biodiversity conservation. Main findings are that the general structure of an agri-environment index is recommended to be a benefits-to-cost ratio, whereby the conservation benefits are accounted for by the following factors which evaluate i) certain criteria that value the ecological quality of a site and point out its significance for biodiversity conservation (Conservation Significance Factor), ii) a criterion that reflects the connectivity of the site which is an important factor for species migration (Connectivity Factor) and iii) criteria that estimate the potential biodiversity outcomes induced by specific management actions (Conservation Management Factor). The Cost Factor reflects the amount of money that the landholder demands as compensation payment for his conservation services. The paper points out that an agri-environment index is a promising approach to encourage and compensate farmers for biodiversity-friendly management actions. Thereby, an improvement of the effectiveness and efficiency of European conservation payment schemes is a decisive contribution to biodiversity conservation in agricultural landscapes. |
| Keywords: | agri-environmental policy, biodiversity benefits index, biodiversity conservation, ecosystem services, environmental benefits index, rural development |
| Date: | 2010–08 |
| URL: | http://d.repec.org/n?u=RePEc:lue:wpaper:185&r=env |
| By: | Hochman, Gal; Sexton, Steven; Zilberman, David D. |
| Abstract: | The introduction of renewable biofuels was associated with global food crisis and unintended environmental consequences. This paper incorporates energy environment and agricultural sector to the classic Hecksher-Ohlin model to address these issues. A household production function model was introduced to model consumer energy choices and concern about externalities related to climate change and open space. The conceptual model links energy and food markets and derives guidelines for the development of climate change and land-use policies. The results suggest that globalization and capital flows increase demand for energy, leading to decline in food production, increase in food prices, and loss of environmental land. Globally optimal outcomes may require introducing an emission tax and a land-use tax. The introduction of these policies may undermine the factor price equalization theorem. Policies that allow enhancing either agriculture productivity (e.g., agriculture biotechnology) or biofuel productivity (e.g., second-generation biofuels), are shown to lessen the resource constraint associated with the cost of introducing renewable energy. |
| Keywords: | trade, biofuel, environment, globalization, capital flows, technical changes, household production |
| Date: | 2010–03–11 |
| URL: | http://d.repec.org/n?u=RePEc:cdl:agrebk:1216864&r=env |
| By: | Berck, Peter; Braennlund, Runar |
| Abstract: | California and Sweden are both leaders in green regulations and actions. In both there is a substantial political base for environmental regulation, yet the path to regulation in these two political entities is quite different. California emphasizes command and control regulations while Sweden makes heavy use of taxes. We show that both underlying economic factors and the constraints of the larger systems in which these economies are embedded contribute to their choice of control methods. |
| Keywords: | energy policy, environmental aspects, climate change, automobiles, regulations |
| Date: | 2010–04–01 |
| URL: | http://d.repec.org/n?u=RePEc:cdl:agrebk:1266490&r=env |
| By: | Giovanni Ganelli; Juha Tervala |
| Abstract: | In this paper we examine the international transmission of environmental policy using a New Keynesian model of the global economy. We first consider the case in which the quality of the environment affects utility, but not productivity. This allows us to look at the trade-off between environmental quality and output. We then consider the case in which the quality of the environment increases productivity but does not affect utility. Our main results show that in both cases a unilateral implementation of a more stringent environmental policy by the domestic country raises foreign welfare under a benchmark parameterization. However, since this policy can have a negative impact on domestic utility but a positive one on world utility, an international coordination problem can arise in the implementation of environmental policy: no country will have an incentive to implement environmental reforms if there is a possibility that its trading partners will do so. |
| Keywords: | Environmental Economics, Environmental Policy, International Policy Coordination, Open Economy Macroeconomics |
| JEL: | E30 F41 F42 Q50 |
| Date: | 2010–08 |
| URL: | http://d.repec.org/n?u=RePEc:tkk:dpaper:dp58&r=env |
| By: | Lee, Gunwoo; You, Soyoung Iris; Sangkapichai, Mana; Ritchie, Stephen G.; Saphores, Jean-Daniel M; Ogunseitan, Oladele; Ayala, Roberto; Jayakrishnan, R.; Torres, Rodolfo |
| Abstract: | The San Pedro Bay Ports (SPBP) complex of Los Angeles and Long Beach is the largest container port in the U.S., and a very important contributor to both California’s and the nation’s economies. Although the benefits of the SPBP activities are enjoyed by the whole country, the burden of the congestion and air pollution it generates falls mostly on the shoulders of people who live and work in the transportation corridor serving the SPBP. This corridor includes two busy freeways, the I-710 and the I-110, and a busy rail link, the Alameda corridor. The objective of this paper is to explore an integrated approach for evaluating the environmental and health impacts of freight operations between the SPBP complex and downtown Los Angeles, some 22 miles north. Our integrated approach combines a number of models, including a microscopic traffic simulation model and an emissions model to better estimate the impacts of congestion on air pollution, emission estimates from line-haul and switching train activities, a spatial dispersion model, and a health impact model. We analyze emissions for year 2005, which serves as a baseline in various air pollution inventories of the SPBP complex. Our results show that emissions concentrations are strongly affected by meteorological conditions and seasonal variations (winter is worse than summer); moreover, we found that health impacts from NOx and PM exposure exceed 200 million dollars, which justifies a number of regional initiatives to improve air quality. Our analysis is a starting point for analyzing the economic efficiency of these initiatives, which include modal shift (from trucks to trains) and the Clean Trucks Program. |
| Date: | 2010–03–01 |
| URL: | http://d.repec.org/n?u=RePEc:cdl:uctcwp:1332220&r=env |
| By: | Bronwyn H. Hall; Christian Helmers |
| Abstract: | Global climate change mitigation will require the development and diffusion of a large number and variety of new technologies. How will patent protection affect this process? In this paper we first review the evidence on the role of patents for innovation and international technology transfer in general. The literature suggests that patent protection in a host country encourages technology transfer to that country but that its impact on innovation and development is much more ambiguous. We then discuss the implications of these findings and other technology-specific evidence for the diffusion of climate change-related technologies. We conclude that the “double externality” problem, that is the presence of both environmental and knowledge externalities, implies that IP may not be the ideal and cannot be the only policy instrument to encourage innovation in this area and that the range and variety of green technologies as well as the need for local adaptation of technologies means that patent protection may be neither available nor useful in some settings. |
| Keywords: | Climate change; intellectual property; innovation; technology transfer |
| JEL: | D1 I2 O1 O3 |
| Date: | 2010 |
| URL: | http://d.repec.org/n?u=RePEc:csa:wpaper:2010-23&r=env |
| By: | Markus Ohndorf (Chair of Economics, Institute for Environmental Decisions IED, ETH Zurich) |
| Abstract: | Project-based Emissions Trading Schemes, like the Clean Development Mechanism, are particularly prone to problems of asymmetric information between the project parties and the regulator. Given the specificities of these schemes, the regulator’s optimal monitoring strategy significantly differs from the one to be applied for capand- trade schemes or environmental taxes. In this paper, we extend the general framework on incomplete enforcement of policy instruments to reflect these specificities. The main focus of the analysis is to determine the regulator’s optimal spot-check frequency under the plausible assumption that the submitted projects vary with respect to their verifiability. We find that, given a limited monitoring budget, the optimal monitoring strategy is discontinuous, featuring a jump within the set of projects with lower verifiability. In this region, actual abatement is low and can fall to zero. For these cases, the sign of the slope of the strategy function depends on the actual relationship of the abatement cost and the penalty function. We conclude that, in a real-world context, project admission should ultimately be based on the criterion of verifiability. |
| Keywords: | environmental regulation, emissions trading systems, audits and compliance |
| JEL: | K32 D42 D82 |
| Date: | 2010–08 |
| URL: | http://d.repec.org/n?u=RePEc:ied:wpsied:10-13&r=env |
| By: | Hattori, Keisuke |
| Abstract: | This paper investigates firm incentives for developing environmentally clean technologies in a simple two-country model with international oligopoly, and compares them under price and quantity regulations with and without policy cooperation between governments. Under any policy regime, whether firm incentives are either excessive or insufficient from a welfare point of view depends on the marginal environmental damage and the degree of emission spillovers. If the marginal damage is relatively large, a quantity instrument encourages innovation more than a price instrument. In addition, under either regime of price and quantity regulations, policy cooperation (harmonization) necessarily enhances welfare in each country, but it does not necessarily increase firms' innovation incentives. |
| Keywords: | Technology innovation; International oligopoly; Environmental policy; Policy harmonization |
| JEL: | D62 L13 Q55 Q58 |
| Date: | 2010–09–02 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:24754&r=env |
| By: | Ogden, J; Cunningham, Joshua M; Nicholas, Michael A |
| Abstract: | Global energy challenges, including climate change, energy security and air quality, require that we transform the way we produce and use energy in transportation and other sectors. To reach long-term goals for deep reductions in transportation-related greenhouse gas emissions, more efficient vehicles, lower carbon fuels, and electric drive technologies will play important roles. Hydrogen (H2) and fuel cell vehicles (FCVs) are one of many solutions that will be needed to address these challenges. |
| Keywords: | UCD-ITS-RR-10-04 |
| Date: | 2010–02–01 |
| URL: | http://d.repec.org/n?u=RePEc:cdl:itsdav:1319348&r=env |
| By: | Carriquiry, Miguel A.; Du, Xiaodong; Timilsina, Govinda R |
| Abstract: | Recent increases in production of crop-based (or first-generation) biofuels have engendered increasing concerns over potential conflicts with food supplies and land protection, as well as disputes over greenhouse gas reductions. This has heightened a sense of urgency around the development of biofuels produced from non-food biomass (second-generation biofuels). This study reviews the economic potential and environmental implications of production of second-generation biofuels from a variety of various feedstocks. Although second-generation biofuels could significantly contribute to the future energy supply mix, cost is a major barrier to increasing commercial production in the near to medium term. Depending on various factors, the cost of second-generation (cellulosic) ethanol can be two to three times as high as the current price of gasoline on an energy equivalent basis. The cost of biodiesel produced from microalgae, a prospective feedstock, is many times higher than the current price of diesel. Policy instruments for increasing biofuels use, such as fiscal incentives, should be based on the relative merits of different types of biofuels. |
| Keywords: | Energy Production and Transportation,Renewable Energy,Climate Change Mitigation and Green House Gases,Crops&Crop Management Systems,Transport Economics Policy&Planning |
| Date: | 2010–08–01 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wbrwps:5406&r=env |
| By: | Addison, Tony; Tarp, Finn |
| Keywords: | Triple Crisis, Finance, Food, Climate Change |
| Date: | 2010 |
| URL: | http://d.repec.org/n?u=RePEc:unu:wpaper:wa2010-05&r=env |
| By: | Sexton, Steven E. |
| Abstract: | Policy-makers have relied on non-coercive mechanisms to achieve socially optimal outcomes in a variety of contexts when prices fail to ration scarce resources. Amid heightened concern about environmental damage and climate change, public appeals for cooperation and pecuniary incentives are frequently used to achieve resource conservation and other prosocial behavior. Yet the relative effectiveness of these two instruments is poorly understood when pecuniary incentives are small. This paper examines the extent to which free transit fares and appeals for car trip avoidance reduce car pollution on smoggy days. Using data on freeway traffic volumes and transit ridership, public appeals for cooperation are shown to reduce car trips. The marginal effect of free transit fares, however, is to increase car trips. Public appeals are shown to increase carpooling but not transit ridership. Free fares increase transit ridership but not carpooling. These results suggest that free transit rides do not induce motorists to substitute to transit, but instead subsidize regular transit rides and additional trips. They support findings in the behavioral literature that extrinsic incentives can crowd-out altruism. |
| Date: | 2010–07–01 |
| URL: | http://d.repec.org/n?u=RePEc:cdl:agrebk:1407925&r=env |
| By: | Crost, Benjamin; Traeger, Christian P. |
| Abstract: | We analyze the impact of uncertainty on optimal mitigation policies derived from the integrated assessment of climate change. For this purpose, we construct a close relative of the DICE model in a recursive dynamic programming framework. First, our framework can capture persistent uncertainty and we compare it to the simpler and more frequently employed analysis of ex-ante uncertainty. Second, our framework makes it possible to disentangle effects deriving from risk, from risk aversion, and from a decision maker’s aversion to intertemporal substitution. We analyze uncertainty over climate sensitivity as well as over damages. |
| Keywords: | climate change, uncertainty, integrated assessment, risk aversion, intertemporal substitution, recursive utility, dynamic programming |
| Date: | 2010–06–01 |
| URL: | http://d.repec.org/n?u=RePEc:cdl:agrebk:1354288&r=env |
| By: | McCollum, David L; Gould, Gregory; Greene, David L |
| Abstract: | Combined, aviation and marine transportation are responsible for approximately 5 percent of total greenhouse (GHG) emissions in the United States and 3 percent globally and are among the fastest growing modes in the transportation sector. Controlling the growth in these emissions will be an important part of reducing emissions from the transportation sector. A range of near-, medium- and long-term mitigation options are available to slow the growth of energy consumption and GHG emissions from aviation and marine shipping. Implementation of these options could result in reductions of more than 50 percent below BAU levels by 2050 from global aviation and more than 60 percent for global marine shipping. For these reductions to be realized, however, international and domestic policy intervention is required. Developing an effective path forward that facilitates the adoption of meaningful policies remains both a challenge and an opportunity. “Aviation and Marine Transportation: GHG Mitigation Potential and Challenges†presents an introduction to aviation and marine transportation and a discussion of the determinants of GHG emissions from transportation; gives overview of current emissions and trends and growth projections; explains the technological mitigation options and potential GHG emission reductions; and discusses policy options at both the domestic and international level to achieve deep and durable reductions in emissions. |
| Keywords: | UCD-ITS-RP-10-01 |
| Date: | 2010–01–01 |
| URL: | http://d.repec.org/n?u=RePEc:cdl:itsdav:1319249&r=env |
| By: | Jacob R. Fooks (Graduate Student, University of Delaware); Kent D. Messer (Department of Food & Resource Economics, University of Delaware) |
| Abstract: | This research evaluates the potential gains in benefits from using Goal Programming to preserve forestland. Two- and three-dimensional Goal Programming models are developed and applied to data from applicants to the U.S. Forest Service’s Forest Legacy Program, the largest forest protection program in the United States. Results suggest that not only do these model yield substantial increases in benefits, but by being able to account for both environmental benefits and in-kind partner cost share, Goal Programming may be flexible enough to facilitate adoption by program managers needing to account for both ecological and political factors. |
| Keywords: | Goal programming, multi-objective programming, conservation optimization, forest conservation, environmental services, in-kind cost sharing, matching grants |
| JEL: | C6 Q2 |
| Date: | 2010 |
| URL: | http://d.repec.org/n?u=RePEc:dlw:wpaper:10-08.&r=env |
| By: | Matthew A. Cole (Department of Economics, University of Birmingham, UK); Robert J.R. Elliott (Department of Economics, University of Birmingham, UK); Toshihiro Okubo (Research Institute for Economics and Business Administration, Kobe University) |
| Abstract: | This paper contributes to the small but growing body of literature which tries to explain why, despite the predictions of some theoretical studies, empirical support for the pollution haven hypothesis remains limited. We break from the previous literature, which tends to concentrate on US trade patterns, and focus on Japan. In common with Ederington et al.’s (2005) US study, we show that pollution haven effects are stronger and more discernible when trade occurs with developing countries, in industries with the greatest environmental costs and when the geographical immobility of an industry is accounted for. We also go one step further and show that our findings relate not only to environmental regulations but also to industrial regulations more generally. |
| Keywords: | Environmental regulations, trade, agglomeration, immobility, industry |
| JEL: | F18 L51 L60 Q56 R3 |
| Date: | 2010–09 |
| URL: | http://d.repec.org/n?u=RePEc:kob:dpaper:dp2010-22&r=env |
| By: | Ikefuji, M.; Magnus, J.R.; Sakamoto, H. (Tilburg University, Center for Economic Research) |
| Abstract: | This paper studies the interplay between climate, health, and the economy in a stylized world with four heterogeneous regions, labeled ‘West’ (cold and rich), ‘China’ (cold and poor), ‘India’ (warm and poor), and ‘Africa’ (warm and very poor). We introduce health impacts into a simple integrated assessment model where both the local cooling effect of aerosols as well as the global warming effect of CO2 are endogenous, and investigate how those factors affect the equilibrium path. We show how some of the important aspects of the equilibrium, including emission abatement rates, health costs, and economic growth, depend on the economic and geographical characteristics of each region. |
| Keywords: | Climate change;health;economic growth;local dimming;cobenefits. |
| JEL: | D91 I18 Q54 Q58 |
| Date: | 2010 |
| URL: | http://d.repec.org/n?u=RePEc:dgr:kubcen:201086&r=env |
| By: | Adriaan Perrels; Tarja Tuovinen; Noora Veijalainen; Kirsti Jylhä; Juha Aaltonen; Riitta Molarius; Markus Porthin; Jari Silander; Tony Rosqvist |
| Abstract: | This publication reports on the main findings of the entire TOLERATE project, which was an integrated natural science ? social science project for the assessment of climate changed induced changes of extreme weather events and their social-economic consequences at a regional level. It includes regional projections of changes in climate conditions in Finland, with special reference to (short) periods with extremely abundant and extreme scant precipitation respectively. Based on these projections changes in river flood risks are assessed for two water shed areas by means of hydrological models. The resulting flood maps for events with different return times are subsequently evaluated with respect to their direct damage cost and with respect to the overall macroeconomic impacts in the region. With the aid of a group decision support system alternative flood risk mitigation options (investment alternatives) were preliminary explored with the aim to arrive at a ranking of alternatives based on a mix of criteria. |
| Keywords: | Adaptation, climate change, cost-benefit analysis, decision support, flood risk, hazard economics, regional climate scenario |
| JEL: | Q54 D81 O18 H43 R11 |
| Date: | 2010–07–07 |
| URL: | http://d.repec.org/n?u=RePEc:fer:resrep:158&r=env |
| By: | Tisdell, C.A. |
| Abstract: | This essay classifies different types of wildlife tourism on the basis of whether they rely on captive or non-captive wildlife and whether they involve consumptive or non-consumptive use of wildlife. It is argued that depending upon how they are managed, all these forms of wildlife tourism can be supportive of the conservation of wildlife. Different mechanisms for sharing the benefits of wildlife tourism are considered and it is argued that from several different perspectives, there can be too much or too little sharing of the economic benefits from wildlife tourism. Diverse stakeholders with an interest in wildlife tourism are identified and different ways (direct and indirect) in which they can benefit from wildlife tourism are specified. The distribution of these benefits plays an important role in facilitating access to wildlife resources for tourism purposes and in ensuring their conservation. However, it cannot be assumed that wildlife tourism operators have a large amount of profit or economic surplus to share. Factors that influence their level of profit are identified and discussed. Ways are considered in which the benefits from wildlife tourism might be increased in Australia. These include easier and more widespread access of tour operators to Australiaâs wildlife resources held in the public domain and by some NGOs. |
| Keywords: | economic benefits from wildlife tourism, profit of wildlife tour operators, sustainable tourism, tourism economics, wildlife conservation, wildlife tourism, Environmental Economics and Policy, L83, Q26, Q57., |
| Date: | 2010–08 |
| URL: | http://d.repec.org/n?u=RePEc:ags:uqseee:93404&r=env |
| By: | Mateo Cordier; José A. Pérez Agúndez; Walter Hecq; Martin O’Connor |
| Abstract: | The aim of this paper is to assess the possible contribution of an input-output model towards two of the precepts advocated by the sustainability strategy of integrated coastal zone management and Post-Normal Sciences. According to these precepts, decision support tools should offer a holistic perspective and handle high uncertainty. Non-sustainability is partly due to an inadequate use of ―narrow-system-boundary‖ tools that are non-holistic. Consequently, they fail to capture important ecosystem services and ignore interdependencies between them. To comply with the precepts, our method firstly allows environmental assets to be evaluated in multiple units. Secondly, it integrates results from recent researches in natural sciences. Both enable coverage of interdependencies between ecosystem services. Thereby, we enlarge input-output modelling from the two conventional ecosystem services of sink and provisioning to the most vital ones: the supporting services. An application to the Seine estuary addresses the impacts of maritime transportation infrastructures on nursery habitats for commercial fish. The ecosystem services covered are life support and resource provisioning. Our results show that the restoration of a total of 73.7 km2 of nursery areas over the period 2004-2015 would result in a stock of sole in 2015 that exceeds the ―business as usual‖ scenario by 36.9% (17.4% – 76.3%). In spite of high restoration costs, the negative macro-economic impact is very low. However, on the sector level, a trade-off results between nurseries and three economic sectors. The quantification of such trade-offs in our model is particularly useful to public participation in decision-making. |
| Keywords: | Input-Output; ecosystem services; sustainability; integrated coastal zone management; Post-Normal Sciences; decision-support |
| Date: | 2010–08 |
| URL: | http://d.repec.org/n?u=RePEc:sol:wpaper:2013/61020&r=env |
| By: | Sperling, Daniel; Cannon, James S. |
| Abstract: | Climate change has fully entered the public consciousness, but what to do and how fast to do it remains intensely controversial. Questions about how to mold transportation policy to help achieve climate goals were the focus of the Asilomar conference hosted by the UC Davis Institute of Transportation Studies in July 2009. Two hundred leaders and experts were assembled from the automotive and energy industries, start-up technology companies, public interest groups, academia, national energy laboratories in the United States, and governments from around the world. Three broad strategies for reducing greenhouse gas emissions were investigated: reducing vehicle travel, improving vehicle efficiency, and reducing the carbon content of fuels. This book examines strategies, technologies, and policies to reduce GHGs and oil use. The book is aimed at researchers, policymakers, and students interested in the future of energy and transportation. <a href="http://www.its.ucdavis.edu/events/outreachevents/asilomar2009/indiv-chapters/asilomar-chapters.php" >Individual chapters of this book are available to download free of charge.</a> A paperback version of the book will be available soon on Amazon.com. |
| Keywords: | UCD-ITS-RP-10-09 |
| Date: | 2010–03–01 |
| URL: | http://d.repec.org/n?u=RePEc:cdl:itsdav:1316812&r=env |
| By: | Sathaye, Nakul; Harley, Robert; Madanat, Samer |
| Abstract: | In recent years, the reduction of freight vehicle trips during peak hours has been a common policy goal. To this end, policies have been implemented to shift logistics operations to nighttime hours. The purpose of such policies has generally been to mitigate congestion and environmental impacts. However, the atmospheric boundary layer is generally more stable during the night than the day. Consequently, shifting logistics operations to the night may increase 24â€hour average concentrations of diesel exhaust pollutants in many locations. This paper presents realistic scenarios for two California cities, which provide exhaust concentration and human intake estimates after temporal redistributions of daily logistics operations. Estimates are made for multiple redistribution patterns, including from 07:00â€19:00 to 19:00â€0:700, similar to daytime congestion charging polices and from 03:00â€18:00 to 18:00â€03:00, corresponding to the PierPASS program at the ports of Los Angeles and Long Beach. Results for these two redistribution scenarios indicate that 24â€hour average exhaust concentrations would increase at most locations in California, and daily human intake is likely to worsen or be unimproved at best. These results are shown to be worse for inland than coastal settings, due to differences in meteorology. Traffic congestion effects are accounted for, using a new graphical method, which depicts how offâ€peak policies can be environmentally improving or damaging, depending on traffic speeds and meteorology. An investigation into the decreasing marginal environmental benefits of offâ€policies is then provided, through the application of traffic flow theory. Finally, related environmental and human exposure concerns are considered to provide a comprehensive policy discussion of the environmental effects of shifting logistics operations from day to night. |
| Date: | 2009–10–01 |
| URL: | http://d.repec.org/n?u=RePEc:cdl:itsrrp:1039203&r=env |
| By: | Hixson, Mark; Mahmud, Abdullah; Hu, Jianlin; Bai, Song; Niemeier, Debbie A.; Handy, Susan L; Gao, Shengyi; Lund, Jay R; Sullivan, Dana C; Kleeman, M J |
| Abstract: | Future air pollution emissions in the year 2030 were estimated for the San Joaquin Valley (SJV) in central California using a combined system of land use, mobile, off-road, stationary, area, and biogenic emissions models. Four scenarios were developed that use different assumptions about the density of development and level of investment in transportation infrastructure to accommodate the expected doubling of the SJV population in the next 20 years. Scenario 1 reflects current land-use patterns and infrastructure while scenario 2 encouraged compact urban footprints including redevelopment of existing urban centers and investments in transit. Scenario 3 allowed sprawling development in the SJV with reduced population density in existing urban centers and construction of all planned freeways. Scenario 4 followed currently adopted land use and transportation plans for the SJV. The air quality resulting from these urban development scenarios was evaluated using meteorology from a winter stagnation event that occurred on December 15, 2000 to January 7, 2001. Predicted base-case PM2.5 mass concentrations within the region exceeded 35 μg m-3 over the 22-day episode. Compact growth reduced the PM2.5 concentrations by approx. 1 µg m-3 relative to the base-case over most of the SJV with the exception of increases (approx. 1 µg m-3) in urban centers driven by increased concentrations of elemental carbon (EC) and organic carbon (OC). Low-density development increased the PM2.5 concentrations by 1-4 µg m-3 over most of the region, with decreases (0.5-2 µg m-3) around urban areas. Population-weighted average PM2.5 concentrations were very similar for all development scenarios ranging between 16 and 17.4 µg m-3. Exposure to primary PM components such as EC and OC increased 10-15% for high density development scenarios and decreased by 11-19% for low-density scenarios. Patterns for secondary PM components such as nitrate and ammonium ion were almost exactly reversed, with a 10% increase under low-density development and a 5% decrease under high density development. The increased human exposure to primary pollutants such as EC and OC could be predicted using a simplified analysis of population-weighted primary emissions. Regional planning agencies should develop thresholds of population-weighted primary emissions exposure to guide the development of growth plans. This metric will allow them to actively reduce the potential negative impacts of compact growth while preserving the benefits. |
| Keywords: | UCD-ITS-RP-10-02 |
| Date: | 2010–01–01 |
| URL: | http://d.repec.org/n?u=RePEc:cdl:itsdav:1319295&r=env |
| By: | Bacon, Christopher M. |
| Abstract: | The agri-environmental governance of value chains can favour a Polanyian double movement seeking social protection and control over price setting markets or it can advance a neoliberal logic that strives to overcome the few remaining civic and ecologic obstacles to full market dominance. Coupled with a typology that contrasts corporate social responsibility and social economy Fair Trade models, this theoretical framework elucidates positions in the current policy debates about the minimum coffee price standard. Many Southern smallholders consider Fair Trade's standards, which for coffee include direct market accesses for smallholder cooperatives, minimum prices, and environmental criteria, among the best deals available. The smallholder empowerment benefits are often better than competing eco-labels. However, this study finds that Fair Trade minimum prices lost 41 percent of their real value from 1988 to 2008. Despite objections from several 'market driven' firms and national labelling initiatives, smallholders' collective advocacy and this research contributed to the Fairtrade Labelling Organisations International's (FLO) decision to mandate a 7-11 percent minimum price increase. The price debates demonstrate that Fair Trade governance is neither purely neoliberal nor social movement led - it is a highly contested socially embedded practice. Voices without votes, North-South inequalities, and dwindling prices paid to its stated protagonists indicate the need for governance reform, cost of living price adjustments, and additional investment in the innovative alternative trade and hybrid models. |
| Keywords: | fair trade, eco-labels, environmental and agricultural governance, standards, sustainability |
| Date: | 2010–01–01 |
| URL: | http://d.repec.org/n?u=RePEc:cdl:glinre:1305246&r=env |
| By: | Cheng, Jay J.; Timilsina, Govinda R |
| Abstract: | Large-scale production of crop based (first generation) biofuels may not be feasible without adversely affecting global food supply or encroaching on other important land uses. Because alternatives to liquid fossil fuels are important to develop in order to address greenhouse gas mitigation and other energy policy objectives, the potential for increased use of advanced (non-crop, second generation) biofuel production technologies has significant policy relevance. This study reviews the current status ofseveral advanced biofuel technologies. Technically, it would be possible to produce a large portion of transportation fuels using advanced biofuel technologies, specifically those that can be grown using a small portion of the world's land area (for example, microalgae), or those grown on arable lands without affecting food supply (for example, agricultural residues). However, serious technical barriers limit the near-term commercial application of advanced biofuels technologies. Key technical barriers include low conversion efficiency from biomass to fuel, limits on supply of key enzymes used in conversion, large energy requirements for operation, and dependence in many cases on commercially unproven technology. Despite a large future potential, large-scale expansion of advanced biofuels technologies is unlikely unless and until further research and development lead to lowering these barriers. |
| Keywords: | Energy Production and Transportation,Climate Change Mitigation and Green House Gases,Renewable Energy,Crops&Crop Management Systems,Sanitation and Sewerage |
| Date: | 2010–09–01 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wbrwps:5411&r=env |
| By: | Lin, C.-Y. Cynthia; Prince, Lea |
| Abstract: | This paper calculates the optimal gasoline tax for the state of California. According to our analysis, the optimal gasoline tax in California is $1.37/gallon, which is over 3 times the current California tax when excluding sales taxes. The Pigovian tax is the largest part of this tax, comprising $0.85/gallon. Of this, the congestion externality is taxed the most heavily, at $0.27, followed by oil security, accident externalities, local air pollution, and finally global climate change. The other major component, a Ramsey tax, comprises a full $0.52 of this tax, reflecting the efficiency in raising revenues from a tax on gasoline consumption due to the inelastic demand of this consumption good. |
| Keywords: | UCD-ITS-RP-10-03 |
| Date: | 2010–01–01 |
| URL: | http://d.repec.org/n?u=RePEc:cdl:itsdav:1319393&r=env |
| By: | Tisdell, C.A. |
| Abstract: | This article outlines the efforts of a small NGO, the Mareeba Wetland Foundation, to conserve nature and conduct tourism at its Mareeba Tropical Savanna Wetland Reserve in northern Queensland. It provides background about the establishment of the reserve and its nature and draws on the results from a survey of visitors to this reserve. It provides a socio-economic profile of visitors, their frequency of visits to it and their knowledge of it prior to visiting. This knowledge is found, on the whole, to be poor. The way in which visitors decided to visit the reserve is also considered as are indicators of the economic surplus obtained from visits. Because for most visitors their visit was an experiential good, doubts are raised about the traditional method of estimating the visitorsâ surplus in these circumstances and also about the applicability of the travel cost method to estimating the demand for visits. A further difficulty noted (in relation to the applicability of the travel cost method) was the high frequency of multiple purpose journeys. The extent to which visitors learned about nature and nature conservation and obtained information about the Mareeba Wetland Foundation and its programmes is also evaluated. Views were solicited from respondents about the role which they believe NGOs should play in nature conservation and about public versus private provision of facilities and services in national parks. Significant implications are drawn about political failures in catering for nature conservation. Doubts are raised about the purist view that ecotourism needs to be conducted under virtually natural conditions if it is to make an optimal contribution to the conservation of biodiversity. |
| Keywords: | Conservation NGOs, consumersâ surplus, ecotourism, experiential goods, Mareeba Tropical Savanna and Wetland Reserve, Mareeba Wetlands Foundation, national parks, public economics., Environmental Economics and Policy, Public Economics, Q2, Q5, L83, H30, |
| Date: | 2010–08 |
| URL: | http://d.repec.org/n?u=RePEc:ags:uqseee:93403&r=env |
| By: | Halkos, George |
| Abstract: | Dynamic modeling is general and recently the most interesting perspective to solve a dynamic economic problem based on Pontryagin’s maximum principle. Moreover traditional economic theory, up to the middle of twentieth century, builds up the production functions regardless the inputs’ scarcity. Nowadays it is clear that both the inputs are depletable quantities and a lot of constraints are imposed in their usage in order to ensure economic sustainability. For example the input “oil” used in the production is a non renewable resource so it can be exhausted. In a same way every biomass resides in ecosystems is a resource that can be used in a generalized production function for capital accumulation purposes but the latter resource is a renewable one. The purpose of this paper is the presentation of some natural resources dynamic models in order to extract the optimal trajectories of the state and control variables for the optimal control economic problem. We show how methods of infinite horizon optimal control theory developed for natural resources models. |
| Keywords: | Dynamic optimization; optimal control; maximum principle; natural resources |
| JEL: | Q32 C61 C62 |
| Date: | 2010 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:24744&r=env |
| By: | Hochman, Gal; Rajagopal, Deepak; Zilberman, David D. |
| Abstract: | This paper derives a method to quantify the impact of biofuel on fuel markets, assuming that these markets are dominated by cartel of oil-rich countries, and that prices in these countries are set to maximize the sum of domestic consumer and producer surplus, leading to a wedge between domestic and international fuel prices. We model this behavior by applying the optimal export tax model (henceforth, the cartel-of-nations model) to the fuel markets. Using data from 2007 to calibrate the model, we show that the introduction of biofuels reduces global fossil fuel consumption and international fuel prices by about 1% and 2%, respectively. We identify large differences between the effects of introducing biofuels using the cartel-of-nations model, in contrast to the competitive or the standard cartel model (henceforth, the cartel-of-�firms model). Given that the cartel-of-nations model correctly captures fuel markets, we illustrate that assessing the effect of introducing biofuels under a competitive fuel markets overestimates the reduction in fuel price, and underestimates the reduction of fossil fuel consumption, and therefore the reduction of greenhouse gas emissions. Similar conclusions are derived with respect to cartel-of-�firms model. Finally, we illustrate that a 20% increase in fuel demand more than doubles the impact of biofuels on fuel markets. |
| Keywords: | Energy, OPEC, biofuel, fuel, carbon savings, optimal export tax model, cheap oil |
| Date: | 2010–03–10 |
| URL: | http://d.repec.org/n?u=RePEc:cdl:agrebk:1214645&r=env |
| By: | Kevin Ummel |
| Abstract: | This study provides an in-depth assessment of Concentrating solar power (CSP) potential in China and India using high-resolution spatial data for site selection and modeling of plant performance, assessment of alternative land-use scenarios, estimation of generating costs, and simulation of transmission requirements. The results are used to estimate the costs and Green House Gas (GHG) abatement of an illustrative CSP expansion program that provides 20 per cent of Chinese and Indian electricity by midcentury. [Working Paper No. 219]. |
| Keywords: | solar thermal power, greenhouse gas mitigation, abatement cost, electricity generation, technological, learning, energy economics, developing countries, India, technical potential, china, coal |
| Date: | 2010 |
| URL: | http://d.repec.org/n?u=RePEc:ess:wpaper:id:2807&r=env |
| By: | Delucchi, Mark A.; McCubbin, Donald R. |
| Abstract: | In this chapter we report estimates of the external costs of transport in the United States.1 Generally, we cover road, rail, air, and water transport; passenger transport and freight transport; and congestion, accident, air pollution, climate change, noise, water pollution, and energy-security costs. However, we were not able to find estimates for all cost categories; in particular, there are fewer estimates for freight transport than for passenger transport, fewer estimates for water transport than for other modes, and fewer estimates of water pollution costs than of other costs. Table 1 summarizes the quality of estimates in each category. In our review, negative externalities are the unaccounted for or unpriced costs of an action. This means that they are the result of individual decisions or actions, such as whether to drive or take a train, or freight something by ship or plane, and are related to the explicit prices and unaccounted-for costs of those choices. Estimates of the external costs of transport may be used for several purposes: as a guide to more economically efficient pricing (given that the optimal price is equal to the private market price plus the estimated marginal external costs); as a guide to allocating research and development funds to mitigate the largest external costs; as part of a cost-benefit analysis of optimal investment in transportation modes and infrastructure; and as part of historical or comparative analyses. As indicated in Table 1, the available estimates do not fully characterize all costs for all modes. Moreover, the wide variations in estimation methods, data, and assumptions among even the “good†estimates confound the comparison of estimates across modes. As a result, we are able to make only general comparisons among modes and general statements about total costs of transport. In the following sections we review recent estimates of external costs by mode in the U. S. In each section we first review methods and issues in the estimation of the cost, and then present estimates of the costs. For each cost category (e.g., congestion delay, accidents) we summarize estimates of the cost by mode and study. Presenting the estimates in this way indicates where more research and analysis is needed. |
| Keywords: | UCD-ITS-RP-10-10 |
| Date: | 2010–01–01 |
| URL: | http://d.repec.org/n?u=RePEc:cdl:itsdav:1318218&r=env |
| By: | Heij, C.; Bijwaard, G.E.; Knapp, S. |
| Abstract: | Global trade depends for a large part on maritime transport, and safe ships are needed not only to protect precious cargo but also to prevent environmental damage. Flag state and port state authorities spend much effort in ship safety inspections to ensure a minimum safety level and to prevent casualties. This paper investigates the safety gains of current inspection rules as well as options for further improvement. The analysis is based on a dataset of over four hundred thousand ship arrivals originating from some important trading nations between 2002 and 2007, complemented with data on port state control and industry inspections and casualties. The results indicate considerable potential safety gains of incorporating estimated future casualty risks more explicitly in port state control strategies to select ships for safety inspection. |
| Keywords: | maritime safety;inspection strategy;risk factor;hazard rate;port state control |
| Date: | 2010–07–01 |
| URL: | http://d.repec.org/n?u=RePEc:dgr:eureir:1765019920&r=env |
| By: | Antinori, Camille M.; Rausser, Gordon C. |
| Abstract: | This report summarizes preliminary findings of the Mexican National Database and Community Survey Project which examines linkages between institutional characteristics in Mexico’s common property forestry sector and economic and environmental outcomes. Framing the Mexican agrarian community as a unit of analysis characterized by its history, individual members, resources, civic structure and property rights, we use institutional economic analysis to motivate project design and research on three aspects of Mexican community forestry governance: first, how communities have engaged forest resources to participate in forestry markets; second, how internal models of forestry management are reflect historical circumstances and practices, policy trends and managerial preferences that are independent of vertical integration levels; third, correlation among market participation, internal organization and performance outcomes such as conservation levels, wealth and income indicators and public and private goods investment. The project employs unique community-level survey data collected in Durango and Michoacan between 2005 and 2007 to summarize basic statistics to describe the sector from the point of view of the project’s objectives. Preliminary results reveal an inverse relationship between integration into production chains and material wealth measures, no correlation between internal governance models and vertical integration, and significant regional variation in institutional characteristics. The emerging profile shows continually evolving and varied common property institutions and questions “one-size-fits-all†business models, pointing to the need for more specific understandings of the community forestry sector. The lessons learned can be applied to address the future role of “community†in Mexican economic and environmental policy, and, on a larger scale, the meaning of community forestry management in sustainable development strategies. |
| Date: | 2010–06–01 |
| URL: | http://d.repec.org/n?u=RePEc:cdl:agrebk:1347079&r=env |
| By: | M. R. Dixit; Bhaskar Bhowmick |
| Abstract: | This paper identifies and focuses on a specific type of environmental development called discontinuity. Discontinuities in the forms of rapid technological innovations, regulatory reforms, institutional overhauls, and socio-cultural developments are the source of opportunities and threats to the firm. Firm responds to these discontinuities in specific ways in sustaining its existence at different points of time. This paper conceptualizes discontinuity and identifies its natures; explores the possible types of responses by the firm, and their enablers. The capability of sensing, seizing and reshaping are captured to establish the linkages in the framework of interrelations. It posits a set of propositions based on conceptual development and illustration of two cases. [W.P. No. 2010-08-03] |
| Keywords: | Environmental, development, regulatory, institutional, overhauls, framework, interrelations |
| Date: | 2010 |
| URL: | http://d.repec.org/n?u=RePEc:ess:wpaper:id:2784&r=env |
| By: | Sangkapichai, Mana; Saphores, Jean-Daniel M; Ogunseitan, Oladele; Ritchie, Stephen G.; You, Soyoung Iris; Lee, Gunwoo |
| Abstract: | The goal of this paper is to estimate the health impacts resulting from exposure to PM and NOx emitted by train operations in the Alameda corridor, a crucial rail link that serves the Ports of Los Angeles and Long Beach, also known as the San Pedro Bay Ports (SPBP). We link a pollutant dispersion model (CalPUFF) to a health benefits assessment model (BenMAP) to discover population-based health impacts of PM and NOx emissions from train operations (switching and line haul). After analyzing year 2005 as our baseline, we consider two scenarios that correspond to switching to Tier 2 and Tier 3 locomotives. We find that mortality from PM exposure accounts for the largest health impacts, with health costs in excess of $40 million annually. A shift to Tier 2 locomotives would save approximately half of the annual health costs but the benefits of shifting from Tier 2 to Tier 3 locomotives would be much smaller. This assessment is only partial, however, because of gaps in available health data. To our knowledge, this is the first application of BenMAP to conduct a health assessment at the county level. |
| Date: | 2010–03–01 |
| URL: | http://d.repec.org/n?u=RePEc:cdl:uctcwp:1332241&r=env |
| By: | Paul Collier and Anthony J. Venables |
| Abstract: | This paper provides an overview of the relationships between natural resources, governance, and economic performance. The relationships run in both directions, with re-sources potentially altering the quality of governance, and governance being particularly important for resource poor countries. Both these relationships have threshold effects; if governance quality is above a certain level, then natural resources can lead to further improvement, while, below the threshold, further deterioration may take place. Theoretical and empirical work is reviewed, the interactions between the relationships discussed, and policy implications outlined. |
| Date: | 2010–04–15 |
| URL: | http://d.repec.org/n?u=RePEc:erp:euirsc:p0250&r=env |
| By: | Massimo Morelli (Columbia University); Dominic Rohner (University of Zurich) |
| Abstract: | We examine how natural resource location, rent sharing and fighting capacities of different groups matter for ethnic conflict. A new type of bargaining failure due to multiple types of potential conflicts (and hence multiple threat points) is identified. The theory predicts conflict to be more likely when the geographical distribution of natural resources is uneven and when a minority group has better chances to win a secessionist rather than a centrist conflict. For sharing rents, resource proportionality is salient in avoiding secessions and strength proportionality in avoiding centrist civil wars. We present empirical evidence that is consistent with the model. |
| Keywords: | Natural Resources, Conflict, Strength Proportionality, Resource Proportionality, Secession, Bargaining Failure |
| JEL: | C72 D74 Q34 |
| Date: | 2010–08 |
| URL: | http://d.repec.org/n?u=RePEc:hic:wpaper:80&r=env |