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on Environmental Economics |
| By: | Tee, James; Scarpa, Riccardo; Marsh, Dan; Guthrie, Graeme |
| Abstract: | Under the New Zealand Emissions Trading Scheme, new forests planted on/after 1st January 1990 can earn carbon credits. These credits have to be repaid upon forest harvest. This paper analyses the effects of this carbon scheme on the valuation of bareland, on which radiata pine is to be planted. NPV/LEV and Real Options methods are employed, assuming stochastic timber and carbon prices. Valuation increases significantly and rotation age is likely to be lengthened. We include a scenario analysis of potential implications of rotation age lengthening on carbon stock management in New Zealand. |
| Keywords: | Emissions Trading Scheme (ETS), Climate change policy, Kyoto Protocol, Real options, carbon forestry, tradable permit, Demand and Price Analysis, Environmental Economics and Policy, Land Economics/Use, Resource /Energy Economics and Policy, Risk and Uncertainty, Q23, Q28, Q54, |
| Date: | 2012–05–21 |
| URL: | http://d.repec.org/n?u=RePEc:ags:iaae12:123665&r=env |
| By: | Li, Xiaogu; Clark, Christopher D.; Jensen, Kimberly L.; Yen, Steven T. |
| Abstract: | In 2002, EPA established a voluntary program called the Climate Leaders Program (CL Program) designed for organizations to complete a corporate greenhouse gas (GHG) inventory, set a goal for reducing GHG emissions, and achieve that goal. The program was never implemented as a product labeling program. In 2010, EPA announced the program’s phase out. This study examines whether the CL Program could have been effectively used as a consumer product labeling program to assist consumers in choosing products manufactured by firms that have voluntarily set and achieved targeted GHG emission reductions. |
| Keywords: | Consumer Preferences, Climate Leaders, Willingness-to-Pay, Environmental Economics and Policy, Q50, Q58, |
| Date: | 2012–05–22 |
| URL: | http://d.repec.org/n?u=RePEc:ags:aaea12:123756&r=env |
| By: | Michieka, Nyakundi; Fletcher, Jerald J.; Burnett, J. Wesley |
| Keywords: | Environmental Economics and Policy, |
| Date: | 2012–05 |
| URL: | http://d.repec.org/n?u=RePEc:ags:aaea12:123501&r=env |
| By: | Stéphane Dion; Eloi Laurent (Observatoire Francais des Conjonctures Economiques) |
| Abstract: | Two decades after the 1992 Rio Conference,we must admit to collective failure in combating human induced climate change. We cannot escape serious climate disruption if we keep going down that road. We must change direction, and we must move quickly. To this end, we call in this paper for a fine tuning of the international negotiations on climate. We propose refocusing these international efforts on negotiating a global carbon price signal, harmonized in principle but flexible in practice, instead of doggedly spending the next few years attempting to convince countries to accept stricter national targets for quantitative reduction of their greenhouse gas (GHG) emissions. |
| Keywords: | carbon price, carbon taxation, carbon markets, Kyoto Protocol, climate change. |
| JEL: | H23 H77 Q48 Q54 Q58 |
| Date: | 2012–05 |
| URL: | http://d.repec.org/n?u=RePEc:fce:doctra:1216&r=env |
| By: | Ralf Martin; Ulrich J. Wagner; Laure B. de Preux |
| Abstract: | By granting discounts on environmental taxes to heavy polluting firms, the government is missing out on significant tax revenues and achieving considerably less in reducing greenhouse gas emissions. That is the central conclusion of research by Ralf Martin and colleagues, which reveals the failings of the UK's climate change levy. Their study shows that firms that enjoy a discount from the levy, claiming that such measures damage their ability to compete in the global economy, do not in fact face higher risks to their competitiveness. Firms that pay the full climate change levy reduce their energy use and their emissions by more than those that get a tax discount. |
| Keywords: | Industry compensation, industrial relocation, emissions trading, permit allocation, EUETS, firm data |
| JEL: | H23 H25 Q52 Q54 |
| Date: | 2012–05 |
| URL: | http://d.repec.org/n?u=RePEc:cep:cepcnp:369&r=env |
| By: | Farzia Hausil |
| Abstract: | This presentation was commissioned by the Regional Policy Dialogue and presented in the meeting Disaster Risk Reduction: Best Practices for Climate-Resilient Coastal Development held in Bridgetown, Barbados on 20 and 21 of October 2011. It discusses the case study of Suriname and the current challenges of its coasts. |
| Keywords: | Environment & Natural Resources :: Climate Change, Environment & Natural Resources :: Disasters |
| Date: | 2011–10 |
| URL: | http://d.repec.org/n?u=RePEc:idb:brikps:71098&r=env |
| By: | Colyer, Dale |
| Abstract: | Numbers of free trade ageements and those with environmental provisons have grownn rapidly. Enviomental measures include those to protect and enhance the environment, environmental cooperation and citizen particpation activties. Many appear to have made important contributions to environmental activities although often constrained by limited funds. |
| Keywords: | free trade, trade agreements, environment, Agricultural and Food Policy, Environmental Economics and Policy, International Relations/Trade, F13, F18, |
| Date: | 2012–05–22 |
| URL: | http://d.repec.org/n?u=RePEc:ags:wvucps:123723&r=env |
| By: | Mark Schopf (University of Paderborn); Hendrik Ritter (University of Magdeburg) |
| Abstract: | This paper deals with possible foreign reactions to domestic carbon demand reducing policies. It differentiates between demand side and supply side reactions as well as between intra- and intertemporal shifts of greenhouse gas emissions. In our model, we integrate increasing marginal physical extraction costs of fossil fuels into the general equilibrium carbon leakage model of Eichner & Pethig (2011). The results are as follows: The conditions for the emergence of the weak green paradox are similar but somewhat tighter than those derived by Eichner & Pethig (2011). Additionally, a strong green paradox can arise in our model under supplemental constraints. That means a “green" policy measure might not only lead to an acceleration of fossil fuel extraction but to an increase in the cumulative extraction. |
| Keywords: | Natural Resources, Carbon Leakage, Green Paradox |
| JEL: | Q31 Q32 Q54 |
| Date: | 2012–05 |
| URL: | http://d.repec.org/n?u=RePEc:pdn:wpaper:51&r=env |
| By: | Giovanni Marin (IMT Lucca Institute for Advanced Studies) |
| Abstract: | This paper investigates the patterns of emission efficiency (value added per emission) growth of 23 manufacturing sectors in 12 European countries with a focus on five emissions (CO2, NOx, NMVOC, SOx and CO). Emission efficiency growth is expected to be triggered by improvements in the efficiency of frontier countries through the diffusion of better technologies to laggard countries. This effect is likely to differ according to the distance from the frontier country. Finally, the role of productivity patterns (Total Factor Productivity) and energy prices dynamics is assessed. Results based on the European NAMEA (National Accounting Matrix including Environmental Accounts) further merged with sector accounts highlight significant spillovers from leaders in emission efficiency and a general tendency to converge for laggard countries and sectors (except for NMVOC emission efficiency). Energy prices weakly induce improvements in emission efficiency, with the effect being generally stronger for sectors and countries farther away from the emission efficiency frontier. Finally, total factor productivity (TFP) is strongly correlated with emission efficiency while the distance from TFP frontier significantly harms emission efficiency growth. |
| Keywords: | convergence, environmental efficiency, NAMEA, technological diffusion |
| JEL: | Q55 Q56 O33 |
| Date: | 2012–05 |
| URL: | http://d.repec.org/n?u=RePEc:ial:wpaper:2&r=env |
| By: | Pierre Perron (Department of Economics, Boston University); Francisco Estrada (Centro de Ciencias de la Atmósfera, Universidad Nacional Autónoma de México) |
| Abstract: | Climate change detection and attribution have been the subject of intense research and debate over at least four decades. However, direct attribution of climate change to anthropogenic activities using observed climate and forcing variables through statistical methods has remained elusive, partly caused by the difficulties for correctly identifying the time-series properties of these variables and by the limited availability of methods for relating nonstationary variables. This paper provides strong evidence concerning the direct attribution of observed climate change to anthropogenic greenhouse gases emissions by first investigating the univariate time-series properties of observed global and hemispheric temperatures and forcing variables and then by proposing statistically adequate multivariate models. The results show that there is a clear anthropogenic fingerprint on both global and hemispheric temperatures. The signal of the well-mixed GHG forcing in all temperature series is very clear and accounts for most of their secular movement since the beginning of observations. Both temperature and forcing variables are characterized by piecewise linear trends with abrupt changes in their slopes estimated to occur at different dates. Nevertheless, their long-term movements are so closely related that the observed temperature and forcing trends cancel out. The warming experimented during the last century was mainly due to the increase in GHG which was partially offset by the effect of tropospheric aerosols. Other forcing sources, such as solar, are shown to only contribute to (shorter-term) variations around the GHG forcing trend. |
| Date: | 2012–01 |
| URL: | http://d.repec.org/n?u=RePEc:bos:wpaper:wp2012-013&r=env |
| By: | Pierre Perron (Department of Economics, Boston University); Francisco Estrada (Centro de Ciencias de la Atmósfera, Universidad Nacional Autónoma de México); Benjamín Martínez-López (Centro de Ciencias de la Atmósfera, Universidad Nacional Autónoma de México) |
| Abstract: | We use recent methods for the analysis of time series data, in particular related to breaks in trends, to establish that human factors are the main contributors to the secular movements in observed global and hemispheric temperatures series. The most important feature documented is a marked increase in the growth rates of temperatures (purged from the Atlantic Multidecadal Oscillation) and anthropogenic greenhouse gases occurring for all series around 1955, which marks the start of sustained global warming. Also evidence shows that human interventions effectively slowed global warming in two occasions. The Montreal Protocol and the technological change in agricultural production in Asia are major drivers behind the slowdown of the warming since 1994, providing evidence about the effectiveness of reducing emissions of greenhouse gases other than CO2 for mitigating climate change in the shorter term. The largest socioeconomic disruptions, the two World Wars and the Great Crash, are shown to have contributed to the cooling in the mid 20th century. While other radiative factors have modulated their effect, the greenhouse gases defined the secular movement in both the total radiative forcing and the global and hemispheric temperature series. Deviations from this anthropogenic trend are shown to have transitory effects. |
| Date: | 2012–01 |
| URL: | http://d.repec.org/n?u=RePEc:bos:wpaper:wp2012-012&r=env |
| By: | Henry-Osorio, Miguel; Mittelhammer, Ronald C. |
| Keywords: | Minimum power divergence, Cressie-Read statistics, contingent valuation, empirical likelihood, discrete choice, binary response models, Environmental Economics and Policy, Research Methods/ Statistical Methods, C13, C14, C25, Q51, |
| Date: | 2012 |
| URL: | http://d.repec.org/n?u=RePEc:ags:aaea12:123432&r=env |
| By: | Ye, Fanglin; Lu, Liang; Du, Xiaoxue |
| Abstract: | In this paper, we set up a social cost minimization problem for a government. Using dynamic optimization tools, we analytically shows how exogenous parameters could affect the optimal social cost and the optimal tax credit policy path. |
| Keywords: | Optimal Control, Biofuel, Tax Credit, Environmental Economics and Policy, Resource /Energy Economics and Policy, Q42, Q48, |
| Date: | 2012–05–22 |
| URL: | http://d.repec.org/n?u=RePEc:ags:aaea12:123750&r=env |
| By: | Giovanni Marin (IMT Lucca Institute for Advanced Studies) |
| Abstract: | This paper investigates the patterns of emission efficiency (value added per emission) growth of 23 manufacturing sectors in 12 European countries with a focus on five emissions (CO2, NOx, NMVOC, SOx and CO). Emission efficiency growth is expected to be triggered by improvements in the efficiency of frontier countries through the diffusion of better technologies to laggard countries. This effect is likely to differ according to the distance from the frontier country. Finally, the role of productivity patterns (Total Factor Productivity) and energy prices dynamics is assessed. Results based on the European NAMEA (National Accounting Matrix including Environmental Accounts) further merged with sector accounts highlight significant spillovers from leaders in emission efficiency and a general tendency to converge for laggard countries and sectors (except for NMVOC emission efficiency). Energy prices weakly induce improvements in emission efficiency, with the effect being generally stronger for sectors and countries farther away from the emission efficiency frontier. Finally, total factor productivity (TFP) is strongly correlated with emission efficiency while the distance from TFP frontier significantly harms emission efficiency growth. |
| Keywords: | patents, CDM model, eco-innovation, crowding out |
| JEL: | Q55 L60 O30 |
| Date: | 2012–05 |
| URL: | http://d.repec.org/n?u=RePEc:ial:wpaper:3&r=env |
| By: | Cole, Scott (CERE, Centre for Environmental and Resource Economics) |
| Abstract: | Resource-based compensation aims to offset the public's welfare loss associated with environmental injuries. Compensatory payments are frequently scaled using Equivalency Analysis (EA). EA's focus on ensuring equity in utility terms for the victim may lead to an inefficient outcome for society as it fails to incorporate the social opportunity cost of the compensatory payment. An alternative scaling approach based on Cost-Benefit Analysis (CBA) may better address the trade-offs facing society by considering the social marginal benefits of additional compensation, which may be a function of the cost of provision and the quality of existing resources. A simple numerical model illustrates the differences in scaling approaches. In contrast to EA, CBA suggests that the optimal compensatory payment may be positive, zero or negative (i.e., additional damage should be allowed). EA need not lead to a decline in welfare if the environmental damage or the costs of compensation are marginal, or if policy makers have a particular welfare function in mind vis a vis the polluter. The lack of credible methods for pricing non-market resources may lead to a preference by policy makers for the equity-focused EA approach rather than one aiming for socially efficient outcomes. Both methods require inevitable value judgments to determine whether society is, in fact, "no worse off" following compensation. EA seems in conflict with governments' otherwise increasing, but still limited, use of environmental CBA to direct scarce conservation resources to a variety of environmental challenges. |
| Keywords: | Equivalency Analysis (EA); Cost-Benefits Analysis (CBA); interim loss; equity; efficiency; social profitability |
| JEL: | D61 |
| Date: | 2012–05–25 |
| URL: | http://d.repec.org/n?u=RePEc:hhs:slucer:2012_012&r=env |
| By: | Koop, Gary; Tole, Lise |
| Abstract: | In an effort to meet its obligations under the Kyoto Protocol, in 2005 the European Union introduced a cap-and-trade scheme where mandated installations are allocated permits to emit CO2. Financial markets have developed that allow companies to trade these carbon permits. For the EU to achieve reductions in CO2 emissions at a minimum cost, it is necessary that companies make appropriate investments and policymakers design optimal policies. In an effort to clarify the workings of the carbon market, several recent papers have attempted to statistically model it. However, the European carbon market (EU ETS) has many institutional features that potentially impact on daily carbon prices (and associated nancial futures). As a consequence, the carbon market has properties that are quite different from conventional financial assets traded in mature markets. In this paper, we use dynamic model averaging (DMA) in order to forecast in this newly-developing market. DMA is a recently-developed statistical method which has three advantages over conventional approaches. First, it allows the coefficients on the predictors in a forecasting model to change over time. Second, it allows for the entire fore- casting model to change over time. Third, it surmounts statistical problems which arise from the large number of potential predictors that can explain carbon prices. Our empirical results indicate that there are both important policy and statistical bene ts with our approach. Statistically, we present strong evidence that there is substantial turbulence and change in the EU ETS market, and that DMA can model these features and forecast accurately compared to conventional approaches. From a policy perspective, we discuss the relative and changing role of different price drivers in the EU ETS. Finally, we document the forecast performance of DMA and discuss how this relates to the efficiency and maturity of this market. |
| Keywords: | Bayesian, carbon permit trading, fi nancial markets, state space model, model averaging, |
| Date: | 2011 |
| URL: | http://d.repec.org/n?u=RePEc:edn:sirdps:261&r=env |
| By: | Ribaudo, Marc; McCann, Laura M.J. |
| Abstract: | Transaction costs are commonly identified as a major reason why so few point/nonpoint trades have occurred in water quality trading programs. We examine the transaction costs to buyers and sellers in Pennsylvania's trading program, and compare them to baseline costs. |
| Keywords: | transaction costs, water quality trading, Environmental Economics and Policy, |
| Date: | 2012 |
| URL: | http://d.repec.org/n?u=RePEc:ags:aaea12:123509&r=env |
| By: | Verreth, Daphne M.I.; Emvalomatis, Grigorios; Bunte, Frank H.J.; Oude Lansink, Alfons G.J.M. |
| Abstract: | Dutch greenhouse horticultural firms are energy-intensive and major emitters of greenhouse gases. This paper develops a theoretically consistent model that is able to describe the greenhouse firms` behaviour regarding energy use and investments in energy technology. The behaviour of the firm is modelled using a combination of a dynamic cost function and a static profit function framework. This paper derives the optimal quantity of energy and energy capital from the link between these two functions. The model is applied to a panel of 97 Dutch greenhouse firms over the period 2001-2008. The results show that most Dutch greenhouse firms shift from being net electricity users to net electricity producers in the long run. Investing in energy capital contribute to reducing energy, however will increase the quantity of CO2 emissions due to an increase in electricity production. |
| Keywords: | Greenhouse horticulture, energy, dynamic duality, short-run marginal cost, adjustment costs, Production Economics, Resource /Energy Economics and Policy, |
| Date: | 2012–05–15 |
| URL: | http://d.repec.org/n?u=RePEc:ags:aaea12:123508&r=env |
| By: | Banse, Martin; Junker, Franziska; Prins, Anne Gerdien; Stehfest, Elke; Tabeau, Andrzej A.; Woltjer, Geert B.; van Meijl, Hans |
| Abstract: | This paper analyzes the consequences of enhanced biofuel production in regions and countries of the world that have announced plans to implement or expand on biofuel policies. The analysis considers not only mandatory blending targets for transportation fuels, but also voluntary ones. The chosen quantitative modeling approach is two-fold: it combines a multi-sectoral economic model (LEITAP) with a spatial bio-physical land use model (IMAGE). This paper adds to existing research by considering biofuel policies in the EU, the US and various other countries with considerable agricultural production and trade, such as Brazil, India and China. Moreover, the combination of the two modeling systems allows for the observation of changes in both economic and bio-physical indicators. The results show that some indicators with high political relevance, such as agricultural prices and greenhouse gas emissions from land use, do not necessarily react proportionally to increasing demand for agricultural products from the biofuel sector. This finding should be considered when designing biofuel policies because these indicators are directly relevant for food security and climate change. |
| Keywords: | Biofuel mandates, Land use changes, Greenhouse gas emissions, International Relations/Trade, Land Economics/Use, Resource /Energy Economics and Policy, |
| Date: | 2012 |
| URL: | http://d.repec.org/n?u=RePEc:ags:iaae12:123838&r=env |
| By: | Fernando Aragon (Simon Fraser University); Juan Pablo Rud (Royal Holloway University of London) |
| Abstract: | Most modern mines in the developing world are located in rural areas, where agriculture is the main source of livelihood. This creates the potential of negative spillovers to farmers through competition for key inputs (such as land) and environmental pollution. To explore this issue, we examine the case of gold mining in Ghana. Through the estimation of an agricultural production function using household level data, we find that mining has reduced agricultural productivity by almost 40%. This result is driven by polluting mines, not by input availability. Because of its crowding out effects on agriculture, we find that the mining activity is associated with an increase in poverty, child malnutrition and respiratory diseases. A simple cost-benefit analysis shows that the fiscal contribution of mining would not have been enough to compensate affected populations. |
| Keywords: | Natural resources; Mining; Pollution |
| JEL: | O13 Q11 Q33 |
| Date: | 2012–05 |
| URL: | http://d.repec.org/n?u=RePEc:sfu:sfudps:dp12-08&r=env |
| By: | Lee, Min-Yang; Thunberg, Eric |
| Abstract: | In 2010, the Northeast groundfish fishery transitioned from an effort-control system (Days-at-Sea) to an output-control system (catch shares). Simultaneously, a large decrease in aggregate catch was imposed in order to achieve biological objectives. This research examines the welfare effects of the transition to catch-share management by combining an inverse demand model for groundfish with a simulation based model of supply. The Generalized Differential Inverse Demand System is estimated for groundfish and imports using monthly data from 1994-2011 using a Generalized Method of Moments estimator. The estimated parameters are combined with simulated landings derived from a counterfactual policy scenario had ef- fort controls been retained instead of the catch share system. The simultaneous management change to catch shares and reduction in aggregate catch reduced consumer welfare by approximately $11M. A counterfactual policy in which the Days-at-Sea system was adjusted to meet the catch reductions would have reduced consumer welfare by approximately $37M; this finding is robust to instrument choice in the demand model. Because the 2010 fishing regulations and the counterfactual regulations were designed with the same conservation goals, the difference, approximately $26M, can be attributed to the change in management institution. Finally, reversion to the Days-at-Sea regulatory structure would reduce consumer welfare by approximately $25M from the current (2010) levels. |
| Keywords: | Demand and Price Analysis, Environmental Economics and Policy, Resource /Energy Economics and Policy, |
| Date: | 2012 |
| URL: | http://d.repec.org/n?u=RePEc:ags:aaea12:123879&r=env |
| By: | Louis Dupuy (Larefi - Laboratoire d'analyse et de recherche en économie et finance internationales - Université Montesquieu - Bordeaux IV : EA2954) |
| Abstract: | This paper aims at reviewing the literature on international trade and sustainability. In the neoclassical sense sustainability is interpreted as the imperative to maintain constant consumption over time. The literature provides several indicators to assess sustainability empirically. Theoretical and empirical studies alike usually consider the world either as an integrated econ- omy where international is no di erent from intra-national trade and can be neglected or a juxtaposition of closed national economies. Some useful insights can be drawn from the literature on trade and the environment to nally understand the impact of international trade on all the dimensions of sustainability. |
| Keywords: | Sustainability, International Trade, Environmental Accounting |
| Date: | 2012–04–26 |
| URL: | http://d.repec.org/n?u=RePEc:hal:wpaper:hal-00701426&r=env |
| By: | Zoe Van der Hoven; Martine Visser; Kerri Brick (SALDRU, School of Economics, University of Cape Town) |
| Abstract: | While results from public good games with homogeneous players reflect the contribution norm of equal contributions, it is unclear what contribution norm will arise in a heterogeneous setting. Climate change is a perfect example of a social dilemma involving heterogeneous agents. As such, using a public good game with a climate change framing, this study examines what contribution norm arises when players are asymmetric in terms of their impact on the public good (mitigation). The climate change framing exacerbates equity considerations and ultimately increases the difficulty of finding a generalizable concept of fairness (contribution norm) acceptable to both player-types. The efficacy of communication as a means to promoting public good provision is also considered. The default contribution norm, irrespective of player-type, was to free-ride. With the introduction of communication, two dominant contribution norms emerge: free-riding and perfect cooperation. |
| Keywords: | public good; contribution norm; communication; heterogeneity; climate change |
| JEL: | H41 Q54 Q58 |
| Date: | 2012 |
| URL: | http://d.repec.org/n?u=RePEc:ldr:wpaper:77&r=env |
| By: | Zapata, Samuel D.; Carpio, Carlos E. |
| Abstract: | This paper analyzes the theoretical underpinnings of producers’ willingness to pay (WTP) for novel inputs. In addition to conceptualizing the WTP function for producers, we derive its comparative statics and demonstrate the use of these properties to estimate input quantities demanded, outputs supplied, and price elasticities. We also discuss implications of the comparative statics results for the specification of empirical producer WTP models and survey design. |
| Keywords: | Cobb-Douglas production function, contingent valuation, price elasticities, new technologies, survey design., Agribusiness, Demand and Price Analysis, Environmental Economics and Policy, Production Economics, |
| Date: | 2012 |
| URL: | http://d.repec.org/n?u=RePEc:ags:aaea12:123434&r=env |
| By: | Färe, Rolf (Dept. of Agriculture and Resource Economics); Grosskopf, Shawna (Dept. of Economics and Dept. of Agriculture and Resource Economics); Lundgren, Tommy (CERE, Centre for Environmental and Resource Economics); Marklund, Per-Olov (CERE, Centre for Environmental and Resource Economics and CERUM, Centre for Regional Science); Zhou, Wenchao (CERUM, Centre for Regional Science) |
| Abstract: | This paper studies the interaction between economic and environmental performance. Applying the directional output distance function approach, the purpose is to compare estimates of Luenberger total factor productivity indicators, including and excluding bad outputs. Specifically, based on unique firm level data from Swedish manufacturing covering the period 1990 to 2008, we explore to what extent excluding bad outputs leads to erroneous productivity measurement. The main conclusion is that bad outputs should not only be included in the estimations, but also reduction in bad outputs should be credited. From this point of view the directional output distance function approach and the Luenberger indicator serves as an appropriate basis of productivity measurement. |
| Keywords: | Swedish manufacturing; Luenberger indicator; emissions; productivity |
| JEL: | D24 Q01 Q53 |
| Date: | 2012–05–31 |
| URL: | http://d.repec.org/n?u=RePEc:hhs:slucer:2012_013&r=env |
| By: | Driscoll, Áine; Lyons, Seán; Mariuzzo, Franco; Tol, Richard S. J. |
| Abstract: | We have modelled the market for new cars in Ireland with the aim of quantifying the values placed on a range of observable car characteristics. Mid-sized petrol cars with a manual transmission sell best. Price and perhaps fuel cost are negatively associated with sales, and acceleration and perhaps range are positively associated. Hybrid cars are popular. The values of car characteristics are then used to simulate the likely market shares of three new electrical vehicles. Electrical vehicles tend to be more expensive even after tax breaks and subsidies are applied, but we assume their market shares would benefit from an "environmental" premium similar to those of hybrid cars. The "environmental" premium and the level of subsidies would need to be raised to incredible levels to reach the government target of 10% market penetration of all-electric vehicles. |
| Date: | 2012–05 |
| URL: | http://d.repec.org/n?u=RePEc:esr:wpaper:wp437&r=env |
| By: | Hart, Rob (Department of Economics, Swedish University of Agricultural Sciences) |
| Abstract: | We develop a dynamic model of prices and quantities of non-renewable resources, carefully justifying our assumptions. Resource stocks are inhomogeneous, and there is endogenous directed technological change both in extraction and final-good production. The model explains stylized facts while simultaneously providing a framework for prediction; it yields analytical results in the baseline case, and may be developed to make empirical predictions about real resources. In the baseline case the economy passes through a series of phases: initially resource consumption is low; as technology improves, resource consumption rises and real resource price is constant; in the long run there is a transition to a b.g.p. on which resource consumption is constant and resource price tracks the wage. |
| Keywords: | Directed technological change; Natural resources; Hotelling rule. |
| JEL: | O13 O33 |
| Date: | 2012–05–04 |
| URL: | http://d.repec.org/n?u=RePEc:hhs:slueko:2012_001&r=env |
| By: | Arturo Pedraza; Ramón Rosas |
| Abstract: | As part of its Technical Cooperation "Energy Efficiency for Caribbean Water and Sanitation Companies", the Sustainable Energy and Climate Change Initiative (SECCI) of the Inter-American Development Bank (IDB) financed the development of a regional methodology to improve energy efficiency and maintenance of water companies in Latin American and Caribbean countries. This methodology, developed by the consulting firms Econoler International and Alliance to Save Energy, focuses mainly on electromechanical efficiencies of water pumping systems in the Caribbean. This publication presents the calculation sheet. The a guide to the calculation sheet, an energy efficiency assessment manual, and a maintenance manual for the evaluation of the systems are also available on the IDB Publications Portal. |
| Keywords: | Infrastructure & Transport :: Water Supply & Sanitation, Energy & Mining :: Energy Efficiency, Environment & Natural Resources :: Water Management, water pumps, calculation sheet, SECCI |
| Date: | 2011–11 |
| URL: | http://d.repec.org/n?u=RePEc:idb:brikps:69938&r=env |
| By: | Raouf Boucekkine; Aude Pommeret; Fabien Prieur |
| Abstract: | We consider a general control problem with two types of optimal regime switch. The first one concerns technological and/or institutional regimes indexed by a finite number of discrete parameter values, and the second features ecological-like regimes relying on given threshold values for given state variables. We propose a general optimal control framework allowing to derive the first-order optimality conditions and in particular to characterize the geometry of the shadow prices at optimal switching times (if any). We apply this new optimal control material to address the problem of the optimal management of natural resources under ecological irreversibility, and with the possibility to switch to a backstop technology. |
| Date: | 2012–05 |
| URL: | http://d.repec.org/n?u=RePEc:lam:wpaper:12-14&r=env |
| By: | Liu, Xing (Department of Business, Economics, Statistics and Informatics); Bohlin, Lars (Department of Business, Economics, Statistics and Informatics) |
| Abstract: | This paper uses a static, small open-economy computable General Equilibrium (CGE) model of the Swedish economy to study the effects of consistent internalization of external effects from transport and manufacturing. We look at eight policy scenarios: first a fully implemented Social Marginal Cost Pricing (SMCP) in manufacturing, sea and air transport, road transport, and rail transport; and then SMCP in these sectors separately or in various combinations. We evaluate effects on, among others, national and global emission reductions, GDP, government budget, and social welfare. The results show that the fully implemented SMCP in all sectors generates the highest social welfare surplus, largest emission reduction and largest government net revenue. When this option is not feasible, society still could benefit from correcting prices in or more sectors. Correcting prices only for rail transport generates very small social welfare surplus, emission reduction and government revenue; while correcting prices only for road transport generates much larger effects in all aspects. Taking into consideration that sea and air modes are regulated not only by domestic legislation, the findings from this study suggest that the second-best policy scenario could be to correct prices for the rail, road and manufacturing sectors. |
| Keywords: | social marginal cost; externalities; transport taxation; CO2 taxation; general equilibrium |
| JEL: | C68 H23 R48 |
| Date: | 2012–05–22 |
| URL: | http://d.repec.org/n?u=RePEc:hhs:oruesi:2012_009&r=env |
| By: | Reimer, Jeffrey J. |
| Abstract: | Approximately 75% of all water used by humans goes towards food production, much of which is traded internationally. This study formally models how this works in the case of crop agriculture, making use of recent advances in international trade theory and new data on the productivity by which countries use water for crop agriculture. The strength of the model lies in its ability to predict, when there is a shock to the system, how trade between pairs of specific countries changes for products that use water intensively. In one application of the model, international trade in final products is shown to be a means for countries to deal with short- and long-run shocks to water resources that are too big for one country to handle by itself in isolation. In a second application of the model, trade liberalization is shown to be a means for conserving water at the global level, as production shifts to regions where it is of greater abundance. |
| Keywords: | climate change, simulation, trade liberalization, water, Agricultural and Food Policy, Crop Production/Industries, International Development, International Relations/Trade, Resource /Energy Economics and Policy, F11, F18, Q25, Q54, |
| Date: | 2012 |
| URL: | http://d.repec.org/n?u=RePEc:ags:aaea12:123944&r=env |
| By: | Asle Gauteplass and Anders Skonhoft (Department of Economics, Norwegian University of Science and Technology) |
| Abstract: | A model of interaction between a renewable natural resource with capital limitations, as exemplified by the optimal investment problem of sheep farming in a Nordic context, is analyzed. The model builds on existing studies from the fisheries literature, but the important difference is that while capital is related to harvesting effort in the fisheries, capital attributes to production capacity to keep the animal stock during the winter in our farm model. The paper provides several results where both optimal steady states and the optimal approach paths are characterized analytically. The results are further supported by a numerical example. |
| Date: | 2012–05–30 |
| URL: | http://d.repec.org/n?u=RePEc:nst:samfok:12912&r=env |
| By: | Kim, Seung Gyu; Cho, Seong-Hoon; Roberts, Roland K.; Claassen, Roger |
| Abstract: | The main objective of this research is to propose a data-driven approach to estimate the amenity values of restoring urban forest landscapes at potential target sites. The approach allows establishing the overall price-driving time relationship between the amenity values attributable to both deforested and forested areas and their proximities to housing locations within a given community. Establishing the overall price-driving time relationship is important because the hedonic price model cannot be used to estimate the amenity values of yet to be restored urban forest landscapes that do not exist at the time of housing sales transactions. We estimated the sum of the differences between amenity values of deforested and forested areas on housing prices across different proximities to a potential restoration site. It can be viewed as a proxy for the value added to nearby houses resulting from a given urban forest restoration project at a potential target site. |
| Keywords: | urban forest landscapes, spatial hedonic model, travel distance, Land Economics/Use, |
| Date: | 2012 |
| URL: | http://d.repec.org/n?u=RePEc:ags:aaea12:123552&r=env |
| By: | MANAGI Shunsuke |
| Abstract: | The future of both the automobile and the transportation industries has been of significant interest to many people. In this study, we investigate the economic validity of the diffusion of fuel cell vehicles (FCVs) and all-electric vehicles (EVs), comparing the benefit and cost for diffusion of alternative vehicles by employing cost-benefit analysis. We assume the amount of CO₂ and NOx emissions and gasoline use reduction as a benefit, by switching from internal combustion engine (ICE) vehicles to alternative vehicles; and the purchase amount, infrastructure expenses, and maintenance of alternative vehicles as a cost. We obtained data from two alternative fuel vehicles from an interview with an automobile maker in Japan. Considering uncertainties, we conducted a sensitivity analysis of the cost-benefit ratios. The scenarios used are the following: the progress of alternative vehicle production, the increase in CO₂ abatement cost, the increase in the price of gasoline, and the target year for diffusion. In summary, the results show that the diffusion of FCVs will not be economically feasible until 2110, even if their purchase cost is decreased to that of an ICE vehicle. The diffusion of EVs might be possible by 2060 depending on the increase in gasoline prices and the CO₂ abatement costs. |
| Date: | 2012–05 |
| URL: | http://d.repec.org/n?u=RePEc:eti:dpaper:12035&r=env |
| By: | Sébastien MARCHAND (Centre d'Etudes et de Recherches sur le Développement International); Alexandre SAUQUET; José Gustavo FERES |
| Abstract: | The ICMS-Ecológico is a fiscal transfer mechanism from states to municipalities, implemented in the early 1990's in Brazil, to reward municipalities for the creation and management of protected areas. This paper investigates the efficiency of this mechanism by testing for the presence of interactions among Brazilian municipalities in their decision to create conservation units, in the state of Paraná, between 2000 and 2010. We estimate a Bayesian spatial Tobit model in order to analyze the behavior of municipalities. The empirical investigation reveals strategic substitutability in municipalities conservation decisions. |
| Keywords: | biodiversity, Land use, Fiscal Federalism, Interactions, Spatial Tobit model, Brazil |
| JEL: | Q57 O13 H23 |
| Date: | 2012 |
| URL: | http://d.repec.org/n?u=RePEc:cdi:wpaper:1356&r=env |
| By: | Alexandre Sauquet (CERDI - Centre d'études et de recherches sur le developpement international - CNRS : UMR6587 - Université d'Auvergne - Clermont-Ferrand I); Sébastien Marchand (CERDI - Centre d'études et de recherches sur le developpement international - CNRS : UMR6587 - Université d'Auvergne - Clermont-Ferrand I); José Gustavo FERES (IPEA - IPEA - Institute of Applied Economic Research) |
| Abstract: | The ICMS-Ecológico is a fiscal transfer mechanism from states to municipalities, implemented in the early 1990's in Brazil, to reward municipalities for the creation and management of protected areas. This paper investigates the efficiency of this mechanism by testing for the presence of interactions among Brazilian municipalities in their decision to create conservation units, in the state of Paraná, between 2000 and 2010. We estimate a Bayesian spatial Tobit model in order to analyze the behavior of municipalities. The empirical investigation reveals strategic substitutability in municipalities conservation decisions. |
| Keywords: | biodiversity;Land use;Fiscal Federalism;Interactions;Spatial Tobit model;Brazil |
| Date: | 2012–05–23 |
| URL: | http://d.repec.org/n?u=RePEc:hal:wpaper:halshs-00700474&r=env |
| By: | Eaton, Sarah; Kostka, Genia |
| Abstract: | China's national leaders see restructuring and diversification away from resourcebased, energy intensive industries as central goals in the coming years. This paper argues that the high turnover of leading cadres at the local level may hinder state-led greening growth initiatives. Frequent cadre turnover is intended to keep local Party secretaries and mayors on the move in order to curb localism and promote compliance with central directives. Yet, with average term lengths of between three and four years, local leaders' short time horizons can have the perverse effect of discouraging them from taking on comprehensive restructuring, a costly, complex and lengthy process. On the basis of extensive fieldwork in Shanxi province during 2010 and 2011, the paper highlights the salience of frequent leadership turnover for China's green growth ambitions. -- |
| Keywords: | Local state,China,policy implementation,governance,cadre rotation |
| JEL: | D78 D73 O18 R58 Q48 Q58 |
| Date: | 2012 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:fsfmwp:184&r=env |
| By: | Lopez-Feldman, Alejandro |
| Abstract: | The present working paper includes a literature review of deforestation drivers both at the international level and especific to Mexico as well as a preliminary econometric analysis. The main objective is contibute to the understanding of the dynamics of land use change as well as to the understanding of the causes of deforestation in Mexico. The results provide information about general trends in Mexico and point towards the need for more dissagregated analysis using micro level data. |
| Keywords: | Deforestation; Mexico |
| JEL: | Q2 |
| Date: | 2012–05 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:39082&r=env |
| By: | Jacek Zaucha (Institute for Development, Sopot, Poland) |
| Abstract: | Celem niniejszego opracowania jest dokonanie analizy porównawczej rozumienia i praktycznego wykorzystania koncepcji rozwoju sustensywnego oraz spójnoœci terytorialnej w wiod¹cych dokumentach strategicznych na poziomie EU, ba³tyckim i krajowym. Zamys³em autora jest u³atwienie planistom regionalnym pos³ugiwanie siê tymi koncepcjami w ich codziennej pracy na ró¿nych poziomach planowania. Comparative analysis of the meaning and practical application of the two key concepts of territorial cohesion and sustainable development is presented in the paper. The key strategic documents of Poland, Baltic Sea region and EU have been examined to that end. The paper illustrates different approaches to application of the notions of territorial cohesion and sustainable development in programming development at different geographical scales. |
| Keywords: | sustainable development, territorial cohesion, Poland’s Spatial Development Concept, Territorial Agenda of EU, EU Strategy for BSR |
| JEL: | O10 O21 Q56 Q57 R58 |
| Date: | 2012–05 |
| URL: | http://d.repec.org/n?u=RePEc:iro:wpaper:1201&r=env |