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on Environmental Economics |
| By: | Yagi, Michiyuki; Managi, Shunsuke |
| Abstract: | Recent empirical studies often support the positive relationship between corporate environmental performance (CEP) in terms of carbon dioxide (CO2) and greenhouse gas (GHG) emissions and corporate financial performance (CFP). However, this depends on the measurements of CEP (the absolute and relative CEP) and CFP (accounting-based and market-based CFP). To understand the relationship structurally, based on the literature, this study proposes identity models that integrate CO2 and GHG emissions and financial factors. The models decompose CO2 (GHG) emissions into carbon intensity (GHG intensity), energy intensity, the cost-to-sales ratio, the total-assets-turnover ratio (TATR), leverage, and equity. The model of supply-chain GHG emissions additionally adopts supply-chain GHG intensity. As a decomposition method, this study uses the log-mean Divisia index (LMDI). As an application example of the carbon dioxide model, this study targets Japanese manufacturing firms in 16 sectors from fiscal years (FY) 2011 to 2015. Results show that the change in CO2 emissions as of 2015 (−802.1 kilotonnes [kt]) is decomposed into 2922.5 kt for carbon intensity, −26036.3 kt for energy intensity, −6350.5 kt for the cost-to-sales ratio, −8495.6 kt for the TATR, −7912.3 kt for leverage, and 45070.1 kt for equity. Average values of relative contribution ratios are 20.6% for carbon intensity, 19.1% for energy intensity, and the remaining approximately 60% for financial factors. Among the 16 sectors, as of 2015, the change in total CO2 emission is statistically significantly positive for equity and significantly negative for the TATR and leverage, and it is not significantly correlated to the carbon intensity, the energy intensity, and the cost-to-sales ratio. |
| Keywords: | Carbon dioxide and greenhouse gas emissions; Japanese manufacturing sectors; Kaya identity; index decomposition analysis; log-mean Divisia Index |
| JEL: | M11 M20 Q54 |
| Date: | 2018 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:87891&r=env |
| By: | van Kooten, G. Cornelis |
| Abstract: | This paper provides an overview of the role that forestry activities can play in mitigating climate change. The price of carbon offset credits is used for incentivizing a reduction in the release of CO2 emissions and an increase in sequestration of atmospheric CO2 through forestry activities. Forestland owners essentially have two options for creating carbon offset credits: (1) avoid or delay harvest of mature timber; or (2) harvest timber and allow natural regeneration or regeneration with ‘regular’ or genetically-enhanced growing stock, storing carbon in post-harvest products, using sawmill and potentially logging residues to generate electricity. In this study, a model representative of the Quesnel Timber Supply Area (TSA) in the BC interior is developed. The objective is to maximize net discounted returns to commercial timber operations (and sale of downstream products) plus the benefits of managing carbon fluxes. The model tracks carbon in living trees, organic matter, and, importantly, post-harvest carbon pools and avoided emissions from substituting wood for non-wood in construction or wood bioenergy for fossil fuels. Model constraints ensure that commercial forest management is sustainable, while carbon prices incentivize sequestration to ensure efficient mitigation of climate change. The results are confirmed more generally by comparing the carbon fluxes derived from the integrated forest management model with those from a Faustmann-Hartman rotation age model that explicitly includes benefits of storing carbon. One other question is addressed: If carbon offsets are created when wood biomass substitutes for fossil fuels in power generation, can one count the saved emissions from steel/cement production when wood substitutes for non-wood materials in construction? |
| Keywords: | Environmental Economics and Policy, Resource /Energy Economics and Policy |
| Date: | 2017–03 |
| URL: | http://d.repec.org/n?u=RePEc:ags:uvicwp:253887&r=env |
| By: | Bosetti, Valentina; Golub, Alexander; Markandya, Anil; Massetti, Emanuele; Tavoni, Massimo |
| Abstract: | This paper investigates the relative economic and environmental outcomes of price versus quantity mechanisms to control GHG emissions when abatement costs are uncertain. In particular, we evaluate the impacts on policy costs, CO2 emissions and energy R&D for a stringent mitigation target of 550 ppmv CO2 equivalent (i.e. 450 for CO2 only) concentrations. The analysis is performed in an optimal growth framework via Monte Carlo simulations of the integrated assessment model WITCH (World Induced Technical Change Hybrid). Results indicate that the price instrument stochastically dominates the quantity instrument when a stringent stabilization policy is in place. |
| Keywords: | Environmental Economics and Policy |
| URL: | http://d.repec.org/n?u=RePEc:ags:feemcc:6383&r=env |
| By: | Olaniyan, Olanrewaju; Sulaimon, Mubaraq Dele; Ademola, Wasiu |
| Abstract: | The excess concentration of carbon dioxide (CO2) in the earth’s atmosphere has been identified by scientists as the major cause of climate change. If left uncontrolled, this has grave implication for sustainable development. Hence, there is need to formulate and implement informed based climate change mitigation policy. Data on household socio-economic and demographic variables were obtained from the 2015 General Household Survey and household direct CO2 emissions was estimated using the Linear Multiplier Factor Method. An Environmental Kuznets Curve based econometric model was specified and the parameters were estimated using the Ordinary Least Squares technique. At the national level, results revealed that household income, household size, household head gender, literacy ratio and motorisation have significant positive impacts on carbon emissions. However, literacy ratio contradicts a priori expectation. Male population, polygamy and age of household head have insignificant effects. Both age and household income show significant non-linear relationship with household carbon emissions. For urban and rural households, results revealed that household income, household size and household head gender have significant positive effects. Age and motorisation significantly affects urban household carbon emissions. Other factors do not have significant effects on urban household and rural household carbon emissions. The study concludes that household income, household size, motorisation and literacy ratio are the quantitative factors that influence the level of Nigerian household carbon emissions. Based on the research results, the study recommends policies to the government. |
| Keywords: | Carbon dioxide (CO2); Environmental Kuznets curve; Household; Nigerian; Rural; Urban |
| JEL: | O13 |
| Date: | 2018–05–30 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:87801&r=env |
| By: | Khan, Hamad Hasul; Khan, Oshin |
| Abstract: | The study attempts to find out relationships among income, FDI and environmental degradation for developing countries of America continent. Moreover, study examines existence of environmental Kuznets curve and pollution haven hypothesis for developing countries of America continent. The study uses panel data from 1990 to 2014 for America continent and employs four techniques i-e pooled OLS, fixed effects (FEM), random effects (REM) and two stages least square (2SLS). Findings of the study do not confirm existence of both EKC and PHH for America continent. The study also concludes that energy use, population density, globalization and human capital have significant impact on environmental degradation in America continent. The study recommends that policies should target CO2 emissions reduction either by setting threshold or by penalizing pollution intensive industries. Further, cleaner energy and technological developments should be promoted. |
| Keywords: | Environmental degradation, environmental Kuznets curve, pollution haven hypothesis, FDI, income, globalization |
| JEL: | Q43 Q53 Q54 Q56 |
| Date: | 2018–06–01 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:88154&r=env |
| By: | Shahbaz, Muhammad; Nasir, Muhammad Ali; Roubaud, David |
| Abstract: | This paper explores the determinants of carbon emissions in France by accounting for the significant role played by foreign direct investment (FDI), financial development, economic growth, energy consumption and energy research innovations in influencing CO2 emissions function. In this endeavour, we employ the novel SOR (Shahbaz et al. 2017) unit root test on French time series data over the period 1955-2016 to examine the order of integration in the presence of sharp and smooth structural breaks in the variables. We also apply the bootstrapping bounds testing approach, recently developed by McNown et al. (2018), to investigate the presence of cointegration and the empirical findings underscore the presence of cointegration among the time series. Moreover, we find that FDI has a positive impact, while energy research innovations have a negative impact, on French carbon emissions. Financial development lowers carbon emissions, thereby improving the French environmental quality. FDI degrades the environment, and thus supports the pollution-haven hypothesis in France. Similarly, financial development suggests that financial stability is a required condition for improving environmental quality, so are energy research innovations. Contrarily, energy consumption is positively linked with carbon emissions. However, the relationship between economic growth and CO2 emissions is an inverted-U, which is a validation of the environmental Kuznets curve (EKC). |
| Keywords: | FDI, Carbon Emissions, Financial Development, Energy Research Innovations |
| JEL: | A10 |
| Date: | 2018–07–06 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:88195&r=env |
| By: | Lucia de Strasser |
| Abstract: | The simultaneous achievement of the sustainable development goals (SDGs) is, to say the least, challenging. In a situation of increasing and multiple demands over limited resources, pursuing each goal separately could lead to increased competition. The situation in Africa is particularly problematic, as the continent lags behind all others in terms of quality and quantity of infrastructure and counts the highest shares of population living in poverty and without access to food, safe water, and energy. At the same time, natural resources are under increasing pressure from population growth, environmental degradation, and climate change. Given the entity of the challenge, finding synergies and strengthening coordination across sectors will be crucial and the energy sector has an important role to play. As recognized in the Agenda 2030, the energy sector holds the key to many aspects of development, however no energy solution (albeit green or synergetic) should be casually labelled as a nexus solution. This could be deceiving also because of the ambiguities that surround the concept of nexus. In order to give concrete insights to policy makers, this paper proposes a pragmatic approach to the nexus that allows on one hand to detect areas where cooperation needs to be strengthened, on the other to explore the nexus potential of energy solutions. This is in line with a view of the nexus as a way of thinking, which can apply both at the level of policy making and in the actual implementation of projects. We will give three concrete examples to improve energy access at different levels: multipurpose hydropower for large-scale electricity production, solar pumps for irrigation in farms, and efficient cookstoves in households. These can catalyse much needed action in other areas (notably water supply, agriculture, and forestry) but realizing their potential requires stronger cooperation and coordination across sectors. Moreover, their successful implementation requires an honest and thorough assessment of the local context in terms of constraints as well as opportunities. |
| Keywords: | Resource /Energy Economics and Policy |
| Date: | 2017–09–14 |
| URL: | http://d.repec.org/n?u=RePEc:ags:feemes:263161&r=env |
| By: | Buckwell, Andrew; Fleming, Christopher; Smart, James; Mackey, Brendan; Ware, Daniel; Hallgren, Willow; Sahin, Oz; Nalau, Johanna |
| Abstract: | There is now an established interest and a clear case for using economic valuation of ecosystem services to inform a range of policy issues and questions. However, access to both habitat data and economic valuation for less developed countries is limited, despite these communities relying acutely and directly on ecosystem services. Here we set out an ecosystem assessment methodology that employs GIS data and benefit transfer studies, which can be carried out remotely and rapidly and at multiple scales. We use two case studies: Vanuatu, in the south west Pacific Ocean and one of its less developed islands, Tanna. These case studies reveal the value of ecosystem services to communities is considerably larger than income reported through traditional national accounts, suggesting that policies that support sustainable exploitation of these services and conservation of natural capital are paramount in securing human and community well-being. |
| Keywords: | Environmental Economics and Policy, Land Economics/Use |
| Date: | 2018–02–06 |
| URL: | http://d.repec.org/n?u=RePEc:ags:aare18:273524&r=env |
| By: | Till Kuhn |
| Abstract: | The Nitrates Directive is the core legislation to reduce nitrate emissions from agriculture to water bodies in the EU. In Germany, the directive is mainly implemented by the national Fertiliser Ordinance (FO) which aims, besides nitrate, at ammonia and phosphate losses. The FO has been currently revised as a reaction to infringement proceedings against Germany by the European Commission. The revision includes considerable changes, among others: a compulsory and clearly specified fertilizer planning, the inclusion of biogas digestate from plant origin in the organic nitrogen application threshold, a new methodology to calculate an obligatory nitrogen and phosphate balance, a reduction of legal nutrient balance surpluses, stricter blocking periods for fertilizer application in autumn, a stepwise introduction of reduced ammonia emission application techniques and the possibility to introduce additional measures in pollution hot spots. Research on the environmental and economic impact of the revision is still rare. The discussion paper at hand contributes a summary of the most relevant changes by opposing the FO from 2007 and 2017. A detailed scientific analysis on the revised FO is necessary to clarify the economic impact on farms and the contribution to reaching existing environmental targets. |
| Keywords: | Agricultural and Food Policy, Environmental Economics and Policy |
| Date: | 2017–08–16 |
| URL: | http://d.repec.org/n?u=RePEc:ags:ubfred:262054&r=env |
| By: | William Savedoff (Center for Global Development) |
| Abstract: | In 2007, the UN General Assembly adopted the Declaration on the Rights of Indigenous Peoples and the United Nations Framework Convention on Climate Change (UNFCCC) endorsed the Bali Action Plan to pay for reductions in tropical deforestation. While many saw these initiatives as complementary, others considered the Bali Action Plan a threat to indigenous peoples’ rights. This paper reviews the history of efforts to protect indigenous rights and to pay for conserving forests and analyzes how they might be competing or complementary strategies. It then presents country experiences that show indigenous peoples have achieved tangible political benefits in many countries and internationally by using their leverage over and participation in Reducing Emissions from Deforestation and Degradation Plus (REDD+) negotiations. Nevertheless, these experiences also show that insisting on preconditions for REDD+ national performance payments may have inadvertently harmed indigenous peoples by contributing to delays in implementation. Today, the movements for indigenous rights and for slowing deforestation are inextricably entwined. Whereas critics fear implementation of REDD+ will harm indigenous peoples, it is the failure of REDD+ programs to influence national action to slow deforestation which represents the greater risk. In this way, the two movements face a common challenge to refocus attention on the national policies and actions that must change to protect both indigenous rights and tropical forests. |
| Keywords: | REDD+, deforestation, climate change, economic development, indigenous peoples, human rights, public policy, political economy |
| JEL: | O19 Q01 Q23 Q28 P48 |
| Date: | 2018–07–19 |
| URL: | http://d.repec.org/n?u=RePEc:cgd:wpaper:490&r=env |
| By: | Federica Cappelli |
| Abstract: | Water is a multidimensional issue, involving water availability, access to freshwater, spatial and temporal distribution of resources, competition among its uses, ecosystems conservation, climate-related disasters and risks and several other aspects. The water security approach manages such complexity and proposes a comprehensive view of human security in relation to the water-related issues. Consequently, the solutions developed in order to face this multi-faceted concept should reflect its thorough vision. The aim of the present work is to investigate the relationship between climate change and water security. Exploring such a relationship is truly important in order to help policy-makers in the development of adaptation and mitigation strategies. In the water context, this challenge is further complicated by the possible conflicts arising between climate and water policies. In order to carry out such an analysis, an indicator measuring water security, namely the Water Security Index, is created. In the present work, climate change is considered from four different perspectives but, as revealed by the econometric results, it always has a predominant (negative) effect on water security. |
| Keywords: | Environmental Economics and Policy |
| Date: | 2017–06–14 |
| URL: | http://d.repec.org/n?u=RePEc:ags:feemss:257880&r=env |
| By: | van Kooten, G. Cornelis |
| Abstract: | Forest-dependent, rural communities often experience declining populations and prosperity because technological changes related to harvesting, transportation and processing of wood fiber occur more rapidly than technical improvements in fiber availability – in forest growth. How then can communities where forest resources are the primary economic driver increase wealth that might then be used for economic development? Answers to this question are explored by examining the potential of different management regimes to create greater employment and wealth, particularly management options that include carbon values. Our application is to an interior forest region of British Columbia, the province where First Nations control the most timber supply and the region that produces the greatest volume and value of lumber for export. We examine the trade-offs between revenue as measured by net present value, employment and carbon in forest ecosystems, where the latter is a proxy for the ecological health of the forest. We conclude from the analysis that no management strategy is able to satisfy all of the technical, environmental and social/cultural constraints and, at the same time, offer forest-based economic development that will prevent the decline of rural communities. Nonetheless, given knowledge of tradeoffs, there are management options that can improve upon current employment, wealth and/or ecological health of the forest. |
| Keywords: | Community/Rural/Urban Development, Resource /Energy Economics and Policy |
| Date: | 2018–03–07 |
| URL: | http://d.repec.org/n?u=RePEc:ags:uvicwp:270681&r=env |
| By: | Wesley Blundell; Gautam Gowrisankaran; Ashley Langer |
| Abstract: | The U.S. Environmental Protection Agency uses a dynamic approach to environmental enforcement for air pollution, with repeat offenders subject to high fines and designation as high priority violators (HPV). We estimate the benefits of dynamic monitoring and enforcement by developing and estimating a dynamic model of a plant and regulator, where plants decide when to invest in pollution abatement technologies. We use a fixed grid approach to estimate random coefficient specifications. Investment, fines, and HPV designation are very costly to most plants. Eliminating dynamic enforcement would have large adverse impacts on the number of high priority violators and pollutants emitted. |
| JEL: | Q53 Q58 |
| Date: | 2018–07 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:24810&r=env |
| By: | David Blandford; Katharine Hassapoyannes |
| Abstract: | Agriculture is a major emitter of greenhouse gases. Its potential to contribute to limiting global warming to less than 2oC by the end of the century is substantial by reducing direct emissions in crop and livestock production, by reducing indirect emissions associated with changes in land use, and by increasing carbon sequestration. Technological advancements and changes in consumer preferences that result in land-sparing are particularly promising options given food security concerns. Gains in total factor productivity will also enhance the sector’s competitiveness. Changes in domestic and trade policies are essential to maximize mitigation potential. In the absence of global application of carbon pricing, international co-ordination is needed to ensure that national mitigation efforts result in carbon reallocation, i.e. shifts in the location of production to low emissions sources. Measures of emissions relative to the economic contribution of agricultural activities can be insightful for identifying national mitigation priorities. |
| Keywords: | Climate change, global agriculture, mitigation |
| JEL: | Q01 Q18 Q54 |
| Date: | 2018–08–06 |
| URL: | http://d.repec.org/n?u=RePEc:oec:agraaa:112-en&r=env |
| By: | Debertin, David |
| Abstract: | Climate scientists have long warned that global warming, even if by only a few degrees, would play global havoc, with devastating negative impacts on the entire planet. In the climate science world, there are no positive impacts of a temperature increase, only negatives. Climate scientists frequently blame global warming almost entirely on the steady increase in the use of fossil fuels by human beings as the world becomes ever more and more industrialized. Climate scientists generally believe that drastic and costly steps must immediately be taken to curb the burning of fossil fuels in an effort to reduce the pace of global warming, even if these drastic measures have only a minimal impact on atmospheric carbon dioxide levels, if at all.This paper takes an entirely different view grounded in both plant science and agricultural production economics. This has been largely if not entirely ignored by the climate scientists. The scientific basis is grounded both in agricultural production economics and the basics of plant physiology. The conclusion I reach states that to the extent the planet is warming, while there may be some measurable and reasonable costs, the same warming undeniably generates large benefits to agriculture. These benefits accrue to farmers and consumers. Farmers operating in the Northern Plains states have been and continue to be major beneficiaries. These benefits include not only the direct impacts of the carbon dioxide on plant growth, but also benefits such as increased rainfall associated with greater cloud cover, longer growing seasons allowing a larger diversity of high-value species to be grown, more lush pasture growth for livestock and warmer winters that allow more fall-planted and high-yielding plant such as winter wheats to thrive. |
| Keywords: | Agricultural and Food Policy, Environmental Economics and Policy, Food Consumption/Nutrition/Food Safety, Production Economics, Productivity Analysis, Resource /Energy Economics and Policy |
| Date: | 2017–03–22 |
| URL: | http://d.repec.org/n?u=RePEc:ags:ukyaer:254046&r=env |
| By: | Bluffstone, R.; Coulston, J.; Haight, R.G.; Kline, J.; Polasky, S.; Wear, D.N.; Zook, K. |
| Abstract: | Chapter 3 of "The Valuation of Ecosystem Services from Farms and Forests: Informing a systematic approach to quantifying benefits of conservation programs." |
| Keywords: | Agricultural and Food Policy, Community/Rural/Urban Development, Environmental Economics and Policy, Land Economics/Use |
| Date: | 2017–03–22 |
| URL: | http://d.repec.org/n?u=RePEc:ags:cfarer:260680&r=env |
| By: | Laura Bakkensen (University of Arizona); Lint Barrage (Brown University) |
| Abstract: | How do environmental shocks affect macroeconomic outcomes? A growing and influential body of empirical work has sought to quantify the impacts of climate shocks on economic growth. However, this literature currently faces three fundamental gaps: First, empirical studies have found a wide range of seemingly contradictory results, ranging from positive effects of climatic disasters (e.g., Skidmore and Toya, 2002) to large negative effects of tropical storms (e.g., Hsiang and Jina, 2015) and temperature shocks (e.g., Dell, Jones, and Olken, 2011). These results have yet to be reconciled. Second, the empirical literature has remained largely disconnected from macroeconomic growth models (e.g., Ikefuji and Hoori, 2012), making it difficult to compare results across approaches. Third, empirical studies' findings on climate shocks and growth have have generally not been incorporated into climate-economy models. Attempts to do so have shown the potential for significant policy implications, but have again highlighted the challenge of mapping reduced form growth estimates into the structure of climate-economy models (Moore and Diaz, 2015). This disconnect is of concern not only for policy makers (Obama, 2017), but echoes a broader micro-macro gap afflicting the climate change economics literature. This paper thus brings a novel macroeconomic model-based perspective to the data in order to advance the literature in these three dimensions. First, building on incomplete markets approaches (Krebs, 2003), we present a stochastic endogenous growth model where households face both aggregate and idiosyncratic (partly uninsurable) risks from climatic shocks. In particular, disasters may affect both the deprecation and productivity of different types of capital (analogous to business cycle risks in Krebs, 2003). We then revisit the empirical literature through the lens of this model. In particular, we analytically map the impact estimates identified by competing empirical estimation approaches into their structural counterparts in the model. The first main results is that the diverging results of key prior empirical studies can be reconciled as measuring different components of the overall impact of disasters on growth. For example, cross-sectional regressions identify the impact of disaster risk on long-run growth, which can be positive or negative depending on whether precautionary savings effects outweigh rate-of-return effects, in line with empirical studies (e.g., Skidmore and Toya, 2002). In contrast, panel fixed effects regressions of wind speed realizations estimate the effect of disaster strikes, which the model predicts to be negative and persistent, again in line with the empirical evidence (e.g., Hsiang and Jina, 2015). Importantly, the model also demonstrates the limitations of reduced form output-growth estimates for gauging welfare effects of climate change: An increase in climate risk can affect growth and welfare in opposite ways. Second, we propose an alternative approach to estimating disaster impacts that can be directly incorporated into structural climate-economy models and therefore inform estimates of the welfare costs of climate change. This approach specifically focuses on quantifying climate shock impacts on the structural determinants of growth - such as total factor productivity and capital depreciation - rather than on the endogenous equilibrium outcome of output growth itself. Third, we empirically showcase how to implement this approach by producing novel estimates of the impacts of tropical cyclones and climate change on economic outcomes and welfare in Vietnam. Our approach (i) matches the empirical literature's standard of causal identification by using plausibly exogenous variation in extreme weather events to identify their impacts on productivity and income risks, (ii) accounts for adaptation to climate change by explicitly modeling how households respond to changes in the weather risk distribution, and (iii) thus produces welfare estimates in a fully specified decisions-under-uncertainty endogenous growth climate-economy model. On the economic side, the estimation combines standard data on aggregate factors with detailed, nationally representative survey data from the Vietnam Household Living Standards Survey (2004-2014) to quantify the impacts of climate shocks on household income risks. On the climate side, we combine detailed historical cyclone data with synthetic cyclone track projections under future climate change (Emanuel, 2008) to estimate the change in the probability distribution of climate shocks facing households. The benchmark results suggest that changes in cyclone risks by 2100 will depress long-run growth in Vietnam by an economically significant 0.07-0.14 percentage points - on the same order of magnitude as recent estimates of the effect of U.S. business cycles on U.S. growth (Krebs, 2003, Barlevy, 2004). The associated welfare costs are estimated to range from -0.9% to -1.7% of initial consumption. |
| Date: | 2018 |
| URL: | http://d.repec.org/n?u=RePEc:red:sed018:1198&r=env |
| By: | Lipina, Svetlana (Липина, Светлана) (Russian Presidential Academy of National Economy and Public Administration); Agapova, Elena (Агапова, Елена) (Russian Presidential Academy of National Economy and Public Administration); Lipina, Alexandra (Липина, Александра) (Russian Presidential Academy of National Economy and Public Administration) |
| Abstract: | When the role of eco-innovations significantly increases, global changes in the modern economy are increasingly becoming the main factors of economic growth. A common problem for all countries is the definition of appropriate conditions under which their potential innovative activity will develop. Among the tasks that determine the features of strategic management of eco-innovations, it is possible to single out the development of innovative infrastructure, expanded reproduction of intellectual resources and creation of favorable conditions for innovation activity. The close interconnection of these resource, internal and effective components makes it possible to determine the need to study their optimal correlation in practice, to intensify their use, to apply new modern methods of organizing processes, and to search for additional sources of their involvement. The results obtained in the course of the research are the basis for the full characterization of the eco-innovation potential and, thus, contribute to the development of concrete scientific and practical recommendations for its formation and effective use. |
| Date: | 2018–07 |
| URL: | http://d.repec.org/n?u=RePEc:rnp:wpaper:071803&r=env |
| By: | Ibrahima Barry (GAEL - Laboratoire d'Economie Appliquée de Grenoble - UPMF - Université Pierre Mendès France - Grenoble 2 - INRA - Institut National de la Recherche Agronomique); Olivier Bonroy (GAEL - Laboratoire d'Economie Appliquée de Grenoble - UPMF - Université Pierre Mendès France - Grenoble 2 - INRA - Institut National de la Recherche Agronomique); Paolo Garella (Università degli Studi di Milano-Bicocca [Milano]) |
| Abstract: | Taxes and subsidies on products embodying environmental qualities often coexist with certified private labels---like Ecocert, Scientific Certification System, or OEKO-TEX. Their interaction is yet quite unexplored. We analyze a duopoly where consumers value an environmental quality, with an externality. A certifier sets the quality standard for a label. The fee for granting the label is either set by the certifier (certifier power), or in a noncooperative bidding game (firm power). Taxes and subsidies then affect the fee, depending upon how this is set, and the standard. This channel can produce distorted or even reversed effects. If firm power exists, for instance, a subsidy to the labeled good ends up decreasing the environmental quality and welfare. Conversely, absence of firm power nullifies the effects of ad valorem taxing the unlabeled "dirty" product. Only a per unit tax has similar, but always worsening, effects. |
| Date: | 2018–07–20 |
| URL: | http://d.repec.org/n?u=RePEc:hal:wpaper:hal-01845647&r=env |
| By: | Arata, Linda; Guastella, Gianni; Pareglio, Stefano; Scarpa, Riccardo; Sckokai, Paolo |
| Abstract: | In the European Union (EU) periurban agriculture is under the same agri-environmental policy regime designed for general agriculture. We argue that the specific needs of periurban agriculture may justify ad hoc agri-environmental policy measures. We present results from a Choice Experiment (CE) performed on a sample of 600 people living in the municipality of Milan, which was designed to assess the willingness to pay (WTP) for ecological benefits generated by four agri-environmental practices implementable in the periurban area and already included in the Rural Development Programmes of the Lombardy region. Results suggest that a large population share is willing to pay to support an increase in the use of the agricultural practices studied with an average WTP ranging between 5.6 to 16.3 euro/person/year, according to the type of practice. These results are in contrast with their current low level of adoption. The sub-optimal uptake rate is likely due to an insufficient per hectare compensating payment, which is too low to cover the income foregone consequent to the adoption of sustainable agriculture measures in this area. The mismatch between the low uptake rate and the high social benefits generated by the four agri-environmental agricultural practices sheds light on the need to design agri-environmental policy programmes specifically targeted to periurban areas, where the costs of compliance with AEMs are high and the social benefits of their adoption are large. |
| Keywords: | Environmental Economics and Policy |
| Date: | 2018–06–07 |
| URL: | http://d.repec.org/n?u=RePEc:ags:feemss:273366&r=env |
| By: | Mohamed Boly (CERDI - Centre d'Études et de Recherches sur le Développement International - Clermont Auvergne - UCA - Université Clermont Auvergne - CNRS - Centre National de la Recherche Scientifique); Jean-Louis Combes (CERDI - Centre d'Études et de Recherches sur le Développement International - UdA - Université d'Auvergne - Clermont-Ferrand I - CNRS - Centre National de la Recherche Scientifique); Pascale Combes Motel (CERDI - Centre d'Études et de Recherches sur le Développement International - UdA - Université d'Auvergne - Clermont-Ferrand I - CNRS - Centre National de la Recherche Scientifique) |
| Abstract: | ln this paper we empirically explore how elections impact environmental degradation using a sample of 77 democratic countries over the period 1990-2014. Three key results emerge. First, election years are characterized by an increase in CO2 emissions, even though the effect seems to diminish over the recent years. Second, this effect is present only in established democracies, where fiscal manipulation by incumbents is done through the composition of spending rather than the level. Third, better access to information and the adoption of strict environmental policies reduce the size of this trade-off between pork-barrel spending and the public good, namely environment quality. |
| Keywords: | CO2 emissions, Elections, Environmental policy |
| Date: | 2018–07–27 |
| URL: | http://d.repec.org/n?u=RePEc:hal:wpaper:halshs-01845067&r=env |
| By: | Guilherme DePaula |
| Abstract: | Abstract: The economic impact of global warming varies across firms because of differences in climate, technology, and adaptive capacity. Aggregate estimates of the average effect of warming are thus insufficient to model climate change vulnerability in developing countries. In this study, I measure the distributional effect of climate change in Brazilian agriculture by estimating the quantile and interquantile regressions of land value on climate, using agricultural census data for 490,000 commercial farms. The effect of a 1°C rise in average temperature on land values ranges from -5% for the most productive farmers located in the colder South region to -34% for the least productive farmers located in the warmer North region. The impact is most severe in the extreme 0.01 quantile of the land value distribution. The productivity inequality between farms in the extremes of the distribution of land values may double with marginal warming. |
| Date: | 2018–07 |
| URL: | http://d.repec.org/n?u=RePEc:ias:cpaper:18-wp583&r=env |
| By: | Wainger, L.; Loomis, J.; Johnston, R.; Hansen, L.; Carlisle, D.; Lawrence, D.; Gollehon, N.; Duriancik, L.; Schwartz, G.; Ribaudo, M.; Gala, C. |
| Abstract: | Chapter 2 of "The Valuation of Ecosystem Services from Farms and Forests: Informing a systematic approach to quantifying benefits of conservation programs" |
| Keywords: | Agricultural and Food Policy, Environmental Economics and Policy, Land Economics/Use, Public Economics |
| Date: | 2017–03–22 |
| URL: | http://d.repec.org/n?u=RePEc:ags:cfarer:260679&r=env |
| By: | Olsthoorn, Mark; Schleich, Joachim; Faure, Corinne |
| Abstract: | Diffusion of low-energy houses is an important part of energy and climate policy in the European Union (EU) and in individual EU countries. Key barriers to the adoption of low-energy houses include additional construction costs and uncertainty surrounding actual energy and cost savings. In this paper, we econometrically analyze determinants of low-energy house adoption, including time and risk preferences. We rely on original data from a large survey conducted among households in eight EU countries. To our knowledge, this is the first empirical study of low-energy building adoption to rely on a demographically representative sample. Our set of covariates includes parameters of time and risk preferences that were elicited via state-of-the-art incen-tivized multiple price list experiments and via self-assessment scales. We find mixed results for the effects of time discounting on low-energy house adoption. Risk preferences do appear to matter: as risk proneness increases, so does the adoption of zero net or energy plus building (but not passive houses). Consistent with the low-cost hypothesis about environmental attitude and action, we find no results for environmental attitudes and social norms. |
| Keywords: | passive houses,low-energy houses,adoption,buildings,risk,patience |
| Date: | 2018 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:fisisi:s162018&r=env |
| By: | Fabien Candau (CATT - Centre d'Analyse Théorique et de Traitement des données économiques - UPPA - Université de Pau et des Pays de l'Adour); Elisa Dienesch |
| Abstract: | In this paper, we propose a new perspective to analyze the impact of institutions, environmental standards, and globalization on relocations of polluting firms in countries with lax environmental regulation (called pollution havens). Via a simple theoretical extension from the Economic Geography literature, we characterize the main features of pollution havens: a good market access to high-income countries and corruption opportunities. Using structural and reduced-form estimations, we analyse these determinants by exploiting a unique database on the number of European affiliates located abroad. A 1% increase in access to the European market from a pollution haven fosters relocation there by 0.1%. We also fifind that corruption in these countries lowers environmental standards, which strongly attract polluting fifirms: a 1% increase in this indirect effect of corruption fuels relocation by 0.28%. We test the economic significance of these empirical fifindings via simulations. The protection of the European market (e.g., a carbon tax on imports) to stop relocations to pollution havens must be high (a decrease of the European market for Morocco and Tunisia equivalent to 13%) not to say prohibitive (31% for China). |
| Keywords: | Trade, Europe,Multinational firms, Environmental regulation, Corruption, Market access |
| Date: | 2016–10 |
| URL: | http://d.repec.org/n?u=RePEc:hal:wpaper:hal-01847939&r=env |
| By: | Contreras-Pacheco, Orlando E.; Barbosa, Alejandra E. |
| Abstract: | Impact investment is defined as the transaction of financing companies, organizations and funds that in addition to natural intention of generating outstanding financial results also produce a positive environmental and/or social impact. This paper highlights the opportunity for academic development of the issue concerning the impact investing, with the aim of preparing the process of construction of a theoretical framework based on the development of a conceptual framework and the description of three case studies, where comes up on how funds established impact on developed nations have begun to deploy their actions in production systems of Latin American countries and generate long-term value through the support of projects and enterprises based on different criteria from those traditionally applied by conventional investors. The contributions obtained in the study of the conditions required by these funds to place confidence in ideas that are intended to be sustainable and the types of business that have the capacity of investing investors, such as social entrepreneurship, Eco-innovations and business oriented to the base of the social pyramid of regions and countries. |
| Keywords: | Impact Investments, Sustainability, Developing Countries, Social Entrepeneurship, Social Impact. |
| JEL: | O31 O54 |
| Date: | 2016–12 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:88139&r=env |
| By: | Marin, Giovanni; Vona, Francesco |
| Abstract: | This paper evaluates the historical influence of energy prices on a series of measures of environmental and economic performance for a panel of French manufacturing establishments over the period 1997-2010. The focus on energy prices is motivated by the fact that changes in environmental and energy policies have been dominated by substantial reductions in discounts for large consumers, making the evaluation of each policy in isolation exceedingly difficult. To identify price effects, we construct a shift-share instrument that captures only the exogenous variation in establishment-specific energy prices. Our results highlight a trade-off between environmental and economic goals: although a 10 percent increase in energy prices brings about a 6 percent reduction in energy consumption and an 11 percent reduction in CO2 emissions, such an increase also has a modestly negative impact on employment (-2.6 percent) and very small impact on wages and productivity. The negative employment effects are mostly concentrated in energy-intensive and trade-exposed sectors. Simulating the effect of a carbon tax, we show that job losses for the most exposed sectors can be quite large. However, these effects are upper bounds and we show that they are significantly mitigated in multi-establishment firms by labor reallocation across establishments. |
| Keywords: | Resource /Energy Economics and Policy |
| Date: | 2017–12–21 |
| URL: | http://d.repec.org/n?u=RePEc:ags:feemes:266284&r=env |
| By: | Iovanna, R.; Ando, A; Swinton, S.; Kagan, J.; Hellerstein, D.; Mushet, D.; Otto, C. |
| Abstract: | Chapter 1 of "The valuation of ecosystem services from farms and forests: informing a systematic approach to quantifying benefits of conservation programs." |
| Date: | 2017–03–22 |
| URL: | http://d.repec.org/n?u=RePEc:ags:cfarer:260678&r=env |
| By: | Goddard, Ellen; Muringai, Violet; Robinson, Amber |
| Abstract: | In this study, the objective is to identify consumers’ willingness to consume different foods and the factors that could drive their food preferences. One hundred non-academic staff and students at the University of Alberta in Edmonton, Canada participated in the study. Data were collected using focus group discussions, a survey questionnaire and a contingent valuation exercise. In the focus groups, participants discussed their preferences for traits in livestock and their products, their interest in natural foods and their perceptions regarding naturalness of food in relation to the different types of farming and technologies. In the survey questionnaire, participants were asked about their food consumption habits, perceptions, attitudes and preferences for different foods and technologies, generalized trust in people and trust in groups or institutions responsible for food in Canada among other issues. In the contingent valuation exercise, participants chose the price they were willing to pay for pork with different information about carnosine and omega-3 fatty acids. We find that there is heterogeneity in terms of consumers’ perceptions, attitudes and behaviour regarding natural foods. In summary, the cost of food, concerns about human and environmental impacts and trustworthiness of information on labels are some of the factors that influence participants’ decisions to buy pork labeled as coming from disease resilient or feed efficient pigs or pigs that are higher in a human or animal health component. Although some people accept genetic modification, other participants were concerned about its use in improving disease resilience, feed efficiency and human or animal health component in pigs. Although there are some variations in the results, generalized trust in people, food technology neophobia and concerns about product leanness, country of origin of the product, nutrition content, use of hormones and antibiotics in livestock production and environmental foot print of livestock production are associated with attitudes, perceptions and behaviour regarding natural foods. Participants are willing to pay more for pork chops with more information about carnosine and omega-3 fatty acids as compared to pork chops with less information. In comparison to carnosine, participants are willing to pay more for pork chops with information about omega-3 fatty acids. Generalized trust in people, trust in advocacy groups, natural product interest, frequency of purchasing products with a health claim and knowledge of sodium content in pork that have a health claim are associated with willingness to pay for enhanced carnosine and omega-3 fatty acids in pork. |
| Keywords: | Food Consumption/Nutrition/Food Safety |
| Date: | 2017–09–29 |
| URL: | http://d.repec.org/n?u=RePEc:ags:ualbpr:264421&r=env |
| By: | Shuai Chen; Paulina Oliva; Peng Zhang |
| Abstract: | A large body of literature estimates the effect of air pollution on health. However, most of these studies have focused on physical health, while the effect on mental health is limited. Using the China Family Panel Studies (CFPS) covering 12,615 urban residents during 2014 – 2015, we find significantly positive effect of air pollution – instrumented by thermal inversions – on mental illness. Specifically, a one-standard-deviation (18.04 μg/m3) increase in average PM2.5 concentrations in the past month increases the probability of having a score that is associated with severe mental illness by 6.67 percentage points, or 0.33 standard deviations. Based on average health expenditures associated with mental illness and rates of treatment among those with symptoms, we calculate that these effects induce a total annual cost of USD 22.88 billion in health expenditures only. This cost is on a similar scale to pollution costs stemming from mortality, labor productivity, and dementia. |
| JEL: | I15 I18 O53 Q51 Q53 |
| Date: | 2018–06 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:24686&r=env |
| By: | Thamo, Tas |
| Keywords: | Agricultural and Food Policy, Production Economics, Resource /Energy Economics and Policy, Risk and Uncertainty |
| Date: | 2017 |
| URL: | http://d.repec.org/n?u=RePEc:ags:uwared:253608&r=env |
| By: | Sun, Baojing |
| Abstract: | The focus in this study is on estimating the underlying weather index for pricing financial derivatives to hedge weather risks in crop production. Different index estimation methods for growing degree days (GDDs) are compared. In particular, daily average temperatures for deriving GDDs are simulated using an econometric model and a stochastic process that uses three methods to estimate the mean-reversion parameter. Finally, the historical approach based on a five-year moving average of GDDs is compared with the econometric and stochastic models. Results indicate that econometric model provides the best fit, followed by the the historical average method and then the stochastic process with a high mean reversion parameter. Premiums from the econometric model with sine function and historical average approaches are closer to those based on realized weather values compared with the stochastic approach. Therefore, the econometric model with sine function and the historical average approach provide better pricing estimates than other methods. |
| Keywords: | Agricultural and Food Policy |
| Date: | 2017–09–09 |
| URL: | http://d.repec.org/n?u=RePEc:ags:uvicwp:263197&r=env |
| By: | Sun, Baojing |
| Abstract: | The focus in this study is on estimating the underlying weather index for pricing financial derivatives to hedge weather risks in crop production. Different index estimation methods for growing degree days (GDDs) are compared. In particular, daily average temperatures for deriving GDDs are simulated using an econometric model and a stochastic process that uses three methods to estimate the mean-reversion parameter. Finally, the historical approach based on a five-year moving average of GDDs is compared with the econometric and stochastic models. Results indicate that econometric model provides the best fit, followed by the the historical average method and then the stochastic process with a high mean reversion parameter. Premiums from the econometric model with sine function and historical average approaches are closer to those based on realized weather values compared with the stochastic approach. Therefore, the econometric model with sine function and the historical average approach provide better pricing estimates than other methods. |
| Keywords: | Agricultural Finance, Crop Production/Industries |
| Date: | 2017–05–10 |
| URL: | http://d.repec.org/n?u=RePEc:ags:uvicwp:257083&r=env |
| By: | Sánchez, Luis |
| Abstract: | Le changement climatique est l’un des plus grands défis du vingtet-unième siècle en raison de ses causes et conséquences mondiales et de l’ampleur des efforts coordonnés qui seront nécessaires pour limiter ses impacts négatifs, s’adapter aux nouvelles conditions climatiques et atténuer les émissions de gaz à effet de serre. Cette publication a pour objectif principal de fournir une présentation graphique concise des hypothèses de base et des données statistiques relatives à l’économie du changement climatique en Amérique latine et dans les Caraïbes. La présentation d’un éventail de faits stylisés prétend servir d’outil pour améliorer la conception, l’instrumentation et l’évaluation des politiques publiques du vingt et unième siècle axées sur la transformation du mode de développement actuel et la transition vers un modèle plus durable. En plus de l’avantpropos ci-dessus et de la présente introduction, cette étude explorera neuf thèses sur le changement climatique en Amérique latine et dans les Caraïbes, ainsi que sept des défis qui en découlent. |
| Keywords: | CAMBIO CLIMATICO, ASPECTOS ECONOMICOS, AGENDA 2030 PARA EL DESARROLLO SOSTENIBLE, OBJETIVOS DE DESARROLLO SOSTENIBLE, DESARROLLO ECONOMICO, MODELOS DE DESARROLLO, CONSUMO, AGRICULTURA, RECURSOS ENERGETICOS, INFRAESTRUCTURA FISICA, ZONAS URBANAS, RECURSOS HIDRICOS, BOSQUES, DIVERSIDAD BIOLOGICA, COSTAS, INDICADORES AMBIENTALES, GAS DE EFECTO INVERNADERO, INDICADORES ECONOMICOS, INDICADORES DEL DESARROLLO, ASPECTOS SOCIALES, CLIMATE CHANGE, ECONOMIC ASPECTS, 2030 AGENDA FOR SUSTAINABLE DEVELOPMENT, SUSTAINABLE DEVELOPMENT GOALS, SOCIAL ASPECTS, ECONOMIC DEVELOPMENT, DEVELOPMENT MODELS, CONSUMPTION, AGRICULTURE, ENERGY RESOURCES, PHYSICAL INFRASTRUCTURE, URBAN AREAS, WATER RESOURCES, FORESTS, BIOLOGICAL DIVERSITY, COASTS, ENVIRONMENTAL INDICATORS, GREENHOUSE GASES, ECONOMIC INDICATORS, DEVELOPMENT INDICATORS |
| Date: | 2018–07–25 |
| URL: | http://d.repec.org/n?u=RePEc:ecr:col022:43785&r=env |
| By: | Jie He (Département d'économique, École de gestion, Université de Sherbrooke); Bing Zhang (Nanjing University) |
| Abstract: | Previous psychological and economic studies have observed systematic biases in people’s predictions of their future utilities. In this paper, using repeated contingent valuation (CV) surveys conducted with a very high frequency (every two weeks, in total 29 waves) in Nanjing, China during July 2014 to June 2015, we tested whether people’s expected future utility for better air quality is overly influenced by the air quality at the moment of valuation. As air quality, in general, is subject to high day-to-day variability, its negative impact on people’s utility (health, happiness etc.), according to rational logic, should be essentially stationary in the long-run and dependent on the yearly average air quality. Following this logic, based on the classical random utility model, we should not expect the daily air quality to be a determining factor in a rational person’s valuation decision. Our results show, however, that people’s willingness to pay (WTP) is significantly and positively affected by the level of PM2.5 concentration, one of the key air pollution indicators that has been well understood for several years and is widely available on different media platforms for almost all large cities in China. We explored a range of rational explanations but found that our results were more consistent with the effects of psychological mechanisms, in particular, projection bias. |
| Keywords: | Psychological effects, projection bias, contingent valuation, air quality, China |
| Date: | 2018–08 |
| URL: | http://d.repec.org/n?u=RePEc:shr:wpaper:18-03&r=env |
| By: | Carattini, Stefano; Carvalho, Maria; Fankhauser, Samuel |
| Abstract: | Carbon taxes represent a cost-effective way to steer the economy towards a greener future. In the real world, their application has however been limited. In this paper, we address one of the main obstacles to carbon taxes: public opposition. We identify drivers of and barriers to public support, and, under the form of stylized facts, provide general lessons on the acceptability of carbon taxes. We derive our lessons from a growing literature, as well as from a combination of policy “failures” and “successes”. Based on our stylized facts, we formulate a set of suggestions concerning the design of carbon taxes. We consider the use of trial periods, tax escalators, environmental earmarking, lump-sum transfers, tax rebates, and advanced communication strategies, among others. This paper aims to contribute to the policy debate, ideally leading to more success stories, and less policy failures. |
| Keywords: | carbon taxes; carbon pricing; acceptability; public support; revenue recycling |
| JEL: | J1 |
| Date: | 2018–06–06 |
| URL: | http://d.repec.org/n?u=RePEc:ehl:lserod:88137&r=env |
| By: | Uris Baldos; Thomas Hertel; Frances Moore |
| Abstract: | This paper explores the interplay between the biophysical and economic geographies of climate change impacts on agriculture. It does so by bridging the extensive literature on climate impacts on yields and physical productivity in global crop production, with the literature on the economic geography of climate change impacts. Unlike previous work in this area, instead of using a specific crop model or set of models, we instead employ a statistical meta-analysis which encompasses all studies available to the IPCC-AR5 report. This comprehensive approach to the assessment of the biophysical impacts of climate change has the added advantage of permitting us to isolate specific elements of the biophysical geography of climate impacts, such as the role of initial temperature, and differential patterns of warming across the globe. We combine these climate impact estimates with the GTAP model of global trade in order to estimate the national welfare changes which are decomposed into three components: the direct (biophysical impact) contribution to welfare, the terms of trade effect, and the allocative efficiency effect. We find that the terms of trade interact in a significant way with the biophysical geography of climate impacts. Specifically, when we remove the biophysical geography, the terms of trade impacts are greatly diminished. And when we allow the biophysical impacts to vary across the empirically-estimated uncertainty range, taken from the meta-analysis, we find that the welfare consequences are highly asymmetric, with much larger losses at the low end of the yield distribution than gains at the high end. Furthermore, by drawing on the estimated statistical distribution of trade elasticities, we are also able to explore the interplay between economic and biophysical uncertainties. Here, we find that regional welfare is most sensitive to extremely adverse yield outcomes in the presence of uncertainty in trade elasticities. |
| JEL: | Q17 Q54 |
| Date: | 2018–06 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:24779&r=env |
| By: | Gabriel E. Lade (Center for Agricultural and Rural Development (CARD)) |
| Abstract: | My testimony focuses on the purpose and operation of Renewable Identification Numbers, better known as RINs, as the compliance mechanism for meeting the Renewable Fuel Standard (RFS) mandates. In particular, my remarks emphasize RINs' accounting and economic role under the RFS, as well as summarize the empirical evidence on RIN price determinants and their impact on downstream fuel prices. I also address the potential effects of certain proposed changes to the RFS on RIN prices, and their implications for future biofuel use in the United States. |
| Date: | 2018–07 |
| URL: | http://d.repec.org/n?u=RePEc:ias:cpaper:18-pb24&r=env |
| By: | Nigar Hashimzade (Durham University and CESifo); Gareth Myles (University of Adelaide, Institute for Fiscal Studies, and CESifo) |
| Abstract: | Corporations make significant direct contributions to environmental improvement and also indirect contributions, through expenditure on process and product innovation. Environmental protection is a public good and so may be under-supplied in a competitive environment. European law requires competition authorities to consider public interest arguments. The public interest defence for allowing a cartel to operate is based on the argument that the additional profitability induces cartel members to make greater environmental contributions that more than offset the welfare loss due to non-competitive pricing. We explore profit-seeking motivations for the corporate environmental expenditures, leaving aside corporate social responsibility concerns. Two motives are considered: environmental improvement leading to reduced production costs, and publicized environmental expenditures boosting brand image. Allowing the operational firms to form a cartel and raise prices above Nash equilibrium levels always reduces environmental quality and consumer welfare. As a consequence, we find no support for the public interest defence. |
| Date: | 2018–06 |
| URL: | http://d.repec.org/n?u=RePEc:adl:wpaper:2018-07&r=env |
| By: | Clement A. Tisdell |
| Abstract: | Outlines factors contributing to the disappearance of the koala in Australia and the declaration of it as being vulnerable to extinction in Queensland, New South Wales and the Australian Capital Territory. Treating sick and injured koalas is identified as an inefficient strategy for their conservation. Also, in many cases efforts by NGOs and others to save koalas in their neighbourhoods are likely to be ineffective. Reasons (including ethical and moral ones) for the adoption of these types of strategies are outlined. The question is also raised of the extent to which parochialism in the conservation of species is justified. To what extent is the conservation of species justified at a local scale when their existence is secure on a broader geographical scale? |
| Keywords: | Environmental Economics and Policy |
| Date: | 2017–11–13 |
| URL: | http://d.repec.org/n?u=RePEc:ags:uqseee:264874&r=env |
| By: | Panle Jia Barwick; Shanjun Li; Deyu Rao; Nahim Bin Zahur |
| Abstract: | Developing and fast-growing economies have some of the worse air pollution in the world, but there is a lack of systematic evidence on the health especially morbidity impact of air pollution in these countries. Based on the universe of credit and debit card transactions in China from 2013 to 2015, this paper provides to our knowledge the first analysis of the morbidity cost of PM2.5 for the entire population of a developing country. To address potential endogeneity in pollution exposure, we construct an instrumental variable by modeling the spatial spillovers of PM2.5 due to long-range transport. We propose a flexible distributed-lag model that incorporates the IV approach to capture the dynamic response to past pollution exposure. Our analysis shows that PM2.5 has a significant impact on healthcare spending in both the short and medium terms that survives an array of robustness checks. The annual reduction in national healthcare spending from complying with the World Health Organization’s annual standard of 10 mg/m3 would amount to $42 billion, or nearly 7% of China’s total healthcare spending in 2015. In contrast to the common perception that the morbidity impact is modest relative to the mortality impact, our estimated morbidity cost of air pollution is about two-thirds of the mortality cost from the recent literature. |
| JEL: | I15 Q51 Q53 |
| Date: | 2018–06 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:24688&r=env |
| By: | Norton, Daniel; Hynes, Stephen |
| Abstract: | This paper uses a combination of the contingent valuation method (CVM) and value transfer (VT) to estimate the non-market benefit values associated with the achievement of good (marine) environmental status (GES) as specified in the EU Marine Strategy Framework Directive (MSFD) for Atlantic member states. The increased use of geographic information systems in VT means that many VT exercises now include spatial elements such as distance decay and population density. This paper explores the impact of distance decay on welfare estimates as well as the impact of the modifiable area unit problem when population density is included as an explanatory variable. These issues can have a large effect on a VT estimate. In this study the overall value for achieving GES for Atlantic member states varied between €2.37 billion and €3.64 billion. It was found that the different distance decay specifications changed values between -3% and 82% with a mean absolute difference of 25% and by adjusting the spatial scale in an effort to overcome the MAUP changed aggregate values between 13% and 25% with a mean of 17%. |
| Keywords: | Environmental Economics and Policy |
| Date: | 2017–12–01 |
| URL: | http://d.repec.org/n?u=RePEc:ags:semrui:266406&r=env |
| By: | Pfrommer, Tobias |
| Abstract: | Solar Geoengineering (SG) is a set of potential technologies to counteract climate change. While SG can only imperfectly compensate for temperature changes at the regional level, studies assessing regional SG impacts indicated so far that regional temperature disparities from SG may not be as severe as previously thought. A shortcoming of that literature is its assumption that regions’ temperature preferences correspond to some historic baseline climate. I extend the main framework for examining regional SG impacts by allowing for regions to have temperature preferences diverging from the baseline climate, showing that the impact of these diverging preferences can be split into two components. The first component changes the optimal SG level, but does not affect regional disagreement over SG. The second component leaves the optimal SG level unaffected, but changes regional disagreement over SG. I identify three aspects of SG performance in the presence of diverging preferences. A numerical implementation of the extended model shows that the presence of diverging preferences may change SG performance in either direction and that the direction generally depends on which of the three aspects of SG performance is considered. |
| Date: | 2018–08–10 |
| URL: | http://d.repec.org/n?u=RePEc:awi:wpaper:0654&r=env |
| By: | Aliza Fleischer; Daniel Felsenstein; Michal Lichter |
| Abstract: | The value of most ecosystem services invariably slips through national accounts. Even when these values are estimated, they are allocated without any particular spatial referencing. Little is known about the spatial and distributional effects arising from changes in ecosystem service provision. This paper estimates spatial equity in ecosystem services provision using a dedicated data disaggregation algorithm that allocates 'synthetic' socioeconomic attributes to households and with accurate geo-referencing. A GIS-based automated procedure is operationalized for three different ecosystem in Israel. A nonlinear function relates household location to each ecosystem: beaches, urban parks and national parks. Benefit measures are derived by modeling household consumer surplus as a function of socio-economic attributes and distance from the ecosystem. These aggregate measures are spatially disaggregated to households. Results show that restraining access to beaches causes a greater reduction in welfare than restraining access to a park. Progressively, high income households lose relatively more in welfare terms than low income households from such action. This outcome is reversed when distributional outcomes are measured in terms of housing price classes. Policy implications of these findings relate to implications for housing policies that attempt to use new development to generate social heterogeneity in locations proximate to ecosystem services. |
| Keywords: | Agribusiness, Agricultural Finance |
| Date: | 2017–11–12 |
| URL: | http://d.repec.org/n?u=RePEc:ags:huaedp:264872&r=env |
| By: | David Martimort (PSE - Paris School of Economics, PJSE - Paris Jourdan Sciences Economiques - UP1 - Université Panthéon-Sorbonne - ENS Paris - École normale supérieure - Paris - INRA - Institut National de la Recherche Agronomique - EHESS - École des hautes études en sciences sociales - ENPC - École des Ponts ParisTech - CNRS - Centre National de la Recherche Scientifique); Jérôme Pouyet (PSE - Paris School of Economics, PJSE - Paris Jourdan Sciences Economiques - UP1 - Université Panthéon-Sorbonne - ENS Paris - École normale supérieure - Paris - INRA - Institut National de la Recherche Agronomique - EHESS - École des hautes études en sciences sociales - ENPC - École des Ponts ParisTech - CNRS - Centre National de la Recherche Scientifique); Francesco Ricci (ART-Dev - Acteurs, Ressources et Territoires dans le Développement - CIRAD - Centre de Coopération Internationale en Recherche Agronomique pour le Développement - UPVD - Université de Perpignan Via Domitia - UM3 - Université Paul-Valéry - Montpellier 3 - UM - Université de Montpellier - CNRS - Centre National de la Recherche Scientifique) |
| Abstract: | We characterize the optimal extraction path when a concessionaire has private information on the initial stock of resource. Under asymmetric information, a `virtual Hotelling rule' describes how the resource price evolves over time and how extraction costs are compounded with information costs along an optimal extraction path. In sharp contrast with the case of complete information, elds which are heterogeneous in terms of their initial stocks follow di erent extraction paths. Some resource might be left unexploited in the long-run as a way to foster incentives. The optimal contract may sometimes be implemented through royalties and license fees. With a market of concessionaires, asymmetric information leads to a `virtual Her ndahl principle' and to a new form of heterogeneity across active concessionaires. Under asymmetric information, the market price converges faster to its long-run limit, exhibiting more stability. |
| Keywords: | Optimal,Contract,Non-Renewable resource, Delegated Management, Asymmetric Information |
| Date: | 2017–01 |
| URL: | http://d.repec.org/n?u=RePEc:hal:wpaper:halshs-01431170&r=env |
| By: | Imelda; Matthias Fripp; Michael J. Roberts |
| Abstract: | On a levelized-cost basis, solar and wind power generation are now competitive with fossil fuels. But supply of these renewable resources is variable and intermittent, unlike traditional power plants. As a result, the cost of using flat retail pricing instead of dynamic, marginal-cost pricing—long advocated by economists—will grow. We evaluate the potential gains from dynamic pricing in high-renewable systems using a novel model of power supply and demand in Hawai’i. The model breaks new ground in integrating investment in generation and storage capacity with chronological operation of the system, including an account of reserves, a demand system with different interhour elasticities for different uses, and substitution between power and other goods and services. The model is open source and fully adaptable to other settings. Consistent with earlier studies, we find that dynamic pricing provides little social benefit in fossil-fuel-dominated power systems, only 2.6 to 4.6 percent of baseline annual expenditure. But dynamic pricing leads to a much greater social benefit of 8.5 to 23.4 percent in a 100 percent renewable power system with otherwise similar assumptions. High renewable systems, including 100 percent renewable, are remarkably affordable. The welfare maximizing (unconstrained) generation portfolio under the utility’s projected 2045 technology and pessimistic interhour demand flexibility uses 79 percent renewable energy, without even accounting for pollution externalities. If overall demand for electricity is more elastic than our baseline (0.1), renewable energy is even cheaper and variable pricing can improve welfare by as much as 47 percent of baseline expenditure. |
| JEL: | Q41 Q42 Q53 |
| Date: | 2018–06 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:24712&r=env |
| By: | Zawojska, Ewa; Bartczak, Anna; Czajkowski, Mikotaj |
| Abstract: | Stated preference literature suggests that to be incentivised to reveal preferences truthfully in a survey, respondents need to believe that a response in favour of a policy project of providing a public good increases chances of actual provision of the good (policy consequentiality) and that the cost of conducing the policy project stated in a survey will be actually collected upon the policy implementation (payment consequentiality). We investigate the effects of the two aspects of consequentiality beliefs on stated preferences in a field survey concerning renewable energy development in Poland. Using a hybrid choice model to capture unobservable beliefs in consequentiality, we find that latent beliefs in policy consequentiality and in payment consequentiality affect stated preferences differently: respondents believing in policy consequentiality prefer the project implementation to the status quo more than those believing in payment consequentiality; respondents believing in payment consequentiality state significantly lower willingness to pay for the project than those believing in policy consequentiality. Respondents with no clear opinion on the degree of the survey’s consequentiality reveal substantially different preferences; they are much less interested in seeing the proposed project implemented. We also find that respondents’ risk attitudes do not impinge neither on their self-reported perceptions over the survey’s consequentiality nor on their preferences. |
| Keywords: | Institutional and Behavioral Economics, Resource /Energy Economics and Policy, Risk and Uncertainty |
| Date: | 2017–06–21 |
| URL: | http://d.repec.org/n?u=RePEc:ags:caes17:258602&r=env |
| By: | Daniele Crotti; Elena Maggi |
| Abstract: | In recent years several European municipalities have paired market-based measures with urban distribution centres (UDC) in order to reduce CO2 emissions and make more sustainable urban freight ‡ows. However, UDCs may add reloading costs and extra delivery times which have relevant impact on both urban supply chains and the competition among traditional and UDC-based logistics service providers in terms of service quality and freight rates. By using a duopolistic Hotelling framework, we show that market-based measures and subsidies might be substitutes to enhance the demand for UDC-based providers but public funding can be reduced by improving the quality of UDC services. These results can enlarge the scope for investments in UDC value-adding services in order to decrease private crowding-out effects in the long run. |
| Keywords: | Community/Rural/Urban Development |
| Date: | 2017–04–12 |
| URL: | http://d.repec.org/n?u=RePEc:ags:feemss:256057&r=env |
| By: | Mather, David; Aung, Nilar; Cho, Ame; Naing, Zaw Min; Boughton, Duncan; Belton, Ben; Htoo, Kyan; Payongayong, Ellen |
| Abstract: | EXECUTIVE SUMMARY This report is one of a series of studies funded by USAID Burma and the Livelihoods and Food Security Fund (LIFT) to understand the current situation and identify potential ways to improve agriculture and the rural economy in different agro-ecological zones of Myanmar. It focuses on Myanmar’s Central Dry Zone, home to approximately 10 million people. The results are based on information from almost 950 crop-producing households on area planted, quantities harvested and sold, and total crop production costs for the 13 predominant crops in the Dry Zone, based on a reference period of the past 12 months prior to the survey interview. The survey also collected parcel-level data on the household’s main parcel that was planted to at least one of four main crops of interest, namely paddy, groundnut, sesame and green gram. The parcel-level data includes information by season on seeds and other inputs applied to each crop, use of family and hired labor, use of mechanization and/or draft animal power, irrigation costs, and harvested quantities. Key findings are summarized below. |
| Keywords: | Agricultural and Food Policy, Farm Management, Food Security and Poverty, International Development |
| Date: | 2018–07–02 |
| URL: | http://d.repec.org/n?u=RePEc:ags:miffrp:275680&r=env |
| By: | Janda, Karel; Kristoufek, Ladislav; Zilberman, David |
| Abstract: | This paper provides an overview of the environmental, economical, and policy considerations related to biofuels. While the biofuel production and consumption exhibited significant increase over the first decade of the new millennium, this and further increases in biofuel production are driven primarily by government policies. Currently available first generation biofuels are with a few exceptions not economically viable in the absence of fiscal incentives or high oil prices. Also the environmental impacts of biofuels as an alternative to fossil fuels are quite ambiguous. The review of the most recent economic models dealing with biofuels and their economic impacts provides a distinction between structural and reduced form models. The review of reduced models is structured toward the time series analysis approach to the dependencies between prices of feedstock, biofuels, and fossil fuels. |
| Keywords: | Political Economy, Research and Development/Tech Change/Emerging Technologies, Resource /Energy Economics and Policy |
| URL: | http://d.repec.org/n?u=RePEc:ags:ucbecw:120415&r=env |
| By: | Hynes, S.; Ghermandi, A.; Norton, D.; Williams, H. |
| Abstract: | Marine and coastal ecosystems provide a wide variety of recreational opportunities that are highly valued by society. For the purposes of conducting a meta-analysis we build an extensive global dataset of marine recreational ecosystem service values from the literature. Using this database we developed a number of meta-regression specifications with the objective of evaluating the study specific effects of location, ecosystem, valuation methodology and statistical estimation methods on the reported value estimates. Furthermore, the paper investigates if cultural differences between studies are an important determinant that should be considered in international (metaanalytical) value transfer. This was achieved by including a number of cultural parameters from previous societal studies and surveys into our meta-regression models. We found that accounting for differences in cultural dimensions across recreation valuation studies had a significant influence on value estimates. While a multi-level modelling approach that controls for study effects, proved to be a better fit than a standard one level specification, we found that the absolute in-sample transfer errors associated with the standard OLS model were slightly less on average based on the differences between the actual and predicted values in our meta-database. |
| Keywords: | Environmental Economics and Policy, Research Methods/ Statistical Methods |
| Date: | 2017–12–01 |
| URL: | http://d.repec.org/n?u=RePEc:ags:semrui:266404&r=env |
| By: | Gandenberger, Carsten |
| Abstract: | This paper contributes to the discussion about the globalization of corporate R&D by analyzing R&D strategies of environmental technology companies. Data is generated from a survey among German applicants for environmental technology patents. The survey elucidates motives and functions of foreign R&D as well as factors influencing the strategic choice between domestic and foreign R&D. The results strongly support the validity of the efficiency seeking motive for for-eign R&D. Similarly, there is weak evidence for the resource seeking motive when controlling for specific host countries. In contrast, the market seeking motive had no significant influence on the intention to conduct foreign R&D in the future. Company size seems to be positively associated with investment in foreign R&D, whereas R&D intensity is not. |
| Keywords: | Foreign R&D,Environmental Technology,Globalization of Technology |
| Date: | 2018 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:fisisi:s142018&r=env |
| By: | Carson Reeling; Richard D. Horan; Cloé Garnache |
| Abstract: | High transaction costs and thin participation plague water quality trading and prevent markets from delivering expected efficiency gains. Point sources generate a single pollutant, while nonpoint sources generate multiple, complementary pollutants. We develop a dynamic search model of point-nonpoint trading that includes transactions costs. These costs affect participation decisions and generate strategic complementarities with multiple large or small market participation levels equilibria. Integrated markets—with trading across pollutants—lead to lower transactions costs for both sources and a larger basin of attraction around the full-participation equilibrium, and thus may improve pollution trading efficiency relative to distinct markets. |
| Keywords: | credit stacking, multi-pollutant trading, participation, strategic complementarities, transactions costs |
| JEL: | Q53 Q58 |
| Date: | 2018 |
| URL: | http://d.repec.org/n?u=RePEc:ces:ceswps:_7152&r=env |
| By: | Golub, Alexander (Голуб, Александр) (Russian Presidential Academy of National Economy and Public Administration) |
| Abstract: | The work analyzes the role of rental incomes in the Russian economy demonstrates the cointegration of GDP growth and oil prices in the previous 15 years. On the example of a comparative assessment of low-carbon and carbon-intensive technologies, the methodology for evaluating investment projects based on the application of the real options method is illustrated. |
| Date: | 2018–07 |
| URL: | http://d.repec.org/n?u=RePEc:rnp:wpaper:071802&r=env |
| By: | Aramendis, Rafael H.; Rodríguez, Adrián G.; Krieger Merico, Luiz F. |
| Abstract: | La bioeconomía promueve nuevas formas de organización de las cadenas de valor asociadas a la biodiversidad (biocadenas) y la generación de flujos de economía circular. Busca reducir la dependencia de los recursos fósiles y fomenta la producción y utilización intensiva del conocimiento que se tiene de los recursos, procesos y principios biológicos. Se trata de un motor fundamental para redefinir las relaciones entre el sector agropecuario, la biomasa y la industria. Un gran impulso ambiental es producto de la reorientación coordinada de políticas, inversiones, regulaciones, régimen de impuestos y otros hacia el crecimiento económico, la generación de empleos y el desarrollo de cadenas productivas sumados a la disminución de la huella ambiental. En este documento se identifican factores institucionales, regulaciones y barreras de acceso al mercado que limitan el flujo de inversiones y la coordinación de políticas que contribuirían a un gran impulse ambiental en América Latina y el Caribe mediante el desarrollo de la bioeconomía. |
| Keywords: | AGENDA 2030 PARA EL DESARROLLO SOSTENIBLE, ECONOMIA AMBIENTAL, DESARROLLO SOSTENIBLE, DIVERSIDAD BIOLOGICA, DESARROLLO ECONOMICO, DESARROLLO DE EMPRESAS, PROTECCION AMBIENTAL, DESARROLLO INDUSTRIAL, 2030 AGENDA FOR SUSTAINABLE DEVELOPMENT, ENVIRONMENTAL ECONOMICS, SUSTAINABLE DEVELOPMENT, BIOLOGICAL DIVERSITY, ECONOMIC DEVELOPMENT, ENTERPRISE DEVELOPMENT, ENVIRONMENTAL PROTECTION, INDUSTRIAL DEVELOPMENT |
| Date: | 2018–07–30 |
| URL: | http://d.repec.org/n?u=RePEc:ecr:col022:43825&r=env |
| By: | Rawa Nahhas (School of Liberal Arts and Sciences, Canadian University Dubai, U.A.E. Author-2-Name: Author-2-Workplace-Name: Author-3-Name: Author-3-Workplace-Name: Author-4-Name: Author-4-Workplace-Name: Author-5-Name: Author-5-Workplace-Name: Author-6-Name: Author-6-Workplace-Name: Author-7-Name: Author-7-Workplace-Name: Author-8-Name: Author-8-Workplace-Name:) |
| Abstract: | "Objective – This paper pursues an approach of archaeological meditations into human achievement and its fruits; meditations in search of the possibility and the means of conditioning innovations in a manner that can harness these innovations to make "sustainable development" a reality that goes beyond mere "utopian dreams." The process seems like a feast for the thinking and inquiry: what do we do about the experienced paradox of the times: the abundant wealth of the scientific technological experience with its ever-evolving revolutions of innovation on one hand, and a plethora of deeply-rooted ever-increasing problems manifested in the issues of sustained development that challenge present creativity while pursuing the dream. Methodology/Technique – In this research, previous studies reviewed extensively. Findings – In conclusion, we intended our approach to be a feast for thinking based on the Aristotelian concept of ""the will to live together,"" in order to foster mature and responsible thinking methodologies. This can be possible when the philosophical mind comprehensively and radically tackles existing and future realities, in light of the present situation while contending with irresponsible practices, to achieve a transition from mental deficiency to maturity as a first step towards a productive system for human activity in general. Novelty – The study justifies that we intended our approach to be a feast for thinking based on the Aristotelian concept of ""the will to live together,"" to foster mature and responsible thinking methodologies." |
| Keywords: | Question is Power; Sustainable Development; Utopia; Socrates Dialogue; Innovation. |
| JEL: | B51 Z13 |
| Date: | 2017–07–12 |
| URL: | http://d.repec.org/n?u=RePEc:gtr:gatrjs:gjbssr493&r=env |
| By: | Caritas Woro Murdiati (Faculty of Law, Universitas Atma Jaya, Indonesia. Author-2-Name: Author-2-Workplace-Name: Author-3-Name: Author-3-Workplace-Name: Author-4-Name: Author-4-Workplace-Name: Author-5-Name: Author-5-Workplace-Name: Author-6-Name: Author-6-Workplace-Name: Author-7-Name: Author-7-Workplace-Name: Author-8-Name: Author-8-Workplace-Name:) |
| Abstract: | "Objective – This article analyses the co-existence of customary forest knowledge and management with contemporary forest policies, management, and the prevailing legal/regulatory framework. In addition, this article explores the extent to which customary forest knowledge and management have endured over time. Methodology/Technique – This research uses a conceptual approach based on perspective and doctrines from laws studies. Findings – Kajang's customary community has and implements moral principles as customary knowledge in forest resource management, such as respect towards nature, cosmic solidarity and the concern of nature; a simple way of living and life in harmony with nature. The several principles are supposed to be valuable basic for finding out the new ethical attitudes oriented to forest sustainability. The principles and the customary knowledge can be the strong basic for forest law development in Indonesia because it grows within the community. Novelty – The research embodied in this article examines how customary forest knowledge can inform the development of contemporary forest policies, management, and laws/regulations." |
| Keywords: | Customary Communities; Customary Knowledge and Contemporary Forestry. |
| JEL: | I21 Q23 |
| Date: | 2017–08–07 |
| URL: | http://d.repec.org/n?u=RePEc:gtr:gatrjs:gjbssr483&r=env |
| By: | Asara, Viviana |
| Abstract: | The "movements of the squares" involved first and foremost an awakening or re-discovering of the radical imagination both in the square encampments, and in later projects created with the movements' decentralizations. The new alternative projects born after the square have materialized the movements' radical imaginaries in urban environments, extending and deepening concerns of broad political change over everyday life. Based on ethnographic work on the Indignados' movement in the city of Barcelona, this paper delves more particularly into three Indignant urban projects. It untangles three common and interlinked radical imaginaries both embodied and actualized in participants' social practices, and further orienting their future visions: commons, autonomy and ecologism. Scrutinizing their meaning, it also sheds light on connected issues such new ways of interfacing with local state authorities and redefining the boundaries between the public and the common. It shows that the ecologism imaginary cannot be properly grasped if disconnected from the other two imaginaries, and argues that a transformative eco-politics can only be claimed as such if it is able to articulate such an integrated vision typical of "socio-environmental movements". |
| Keywords: | Indignados, imaginary, movement of the squares, commons, autonomy, environment |
| Date: | 2018 |
| URL: | http://d.repec.org/n?u=RePEc:wiw:wus009:6431&r=env |
| By: | MAAIF; EPRC |
| Abstract: | The Uganda National Fertiliser Policy (NFP) brings together all the related fragmented regulations into a single and comprehensive policy framework on fertiliser. In the past, Government served as the central agency responsible for fertiliser importation and delivery to designated points in the country, until the liberalisation policy was adopted in 1990. During this period and thereafter, there have been policy and regulatory frameworks to control agricultural chemicals. Currently, the law in place is the Agricultural Chemical (Control) Act, 2006, which controls and regulates the manufacture, storage, distribution and trade in, use, importation and exportation of agricultural chemicals. However, this Act is broad and hence the need for a specific policy to guide stakeholders in increasing availability and sustainable use of fertilisers. |
| Keywords: | Agribusiness, Agricultural and Food Policy, Agricultural Finance, Productivity Analysis, Research and Development/Tech Change/Emerging Technologies |
| Date: | 2016–08–30 |
| URL: | http://d.repec.org/n?u=RePEc:ags:eprcop:257813&r=env |
| By: | Peter, Jakob (Energiewirtschaftliches Institut an der Universitaet zu Koeln (EWI)); Wagner, Johannes (Energiewirtschaftliches Institut an der Universitaet zu Koeln (EWI)) |
| Abstract: | Electricity markets are increasingly influenced by variable renewable energy such as wind and solar power with a pronounced weather-induced variability and imperfect predictability. As a result, the evaluation of the capacity value of variable renewable energy, i.e. its contribution to security of supply, gains importance. This paper develops a new methodology to endogenously determine the capacity value in large-scale investment and dispatch models for electricity markets. The framework allows to account for balancing effects due to the spatial distribution of generation capacities and interconnectors. The practical applicability of the methodology is shown with an application for wind power in Europe. We find that wind power can substantially contribute to security of supply in a decarbonized European electricity system in 2050, with regional capacity values ranging from 1 - 40%. Analyses, which do not account for the temporal and spatial heterogeneity of the contribution of wind power to security of supply therefore lead to inefficient levels of dispatchable back-up capacity. Applying a fixed wind power capacity value of 5% results in an overestimation of firm capacity requirements in Europe by 66GW in 2050. This translates to additional firm capacity provision costs of 3.8 bn EUR per year in 2050, which represents an increase of 7%. |
| Keywords: | Reliability of supply; Capacity adequacy; Multi-regional power system; Wind power; Power system modeling |
| JEL: | C61 C63 L50 Q42 Q48 |
| Date: | 2018–08–06 |
| URL: | http://d.repec.org/n?u=RePEc:ris:ewikln:2018_002&r=env |
| By: | Louise Twining-Ward; Wendy Li; Hasita Bhammar; Elisson Wright |
| Keywords: | Environment - Ecosystems and Natural Habitats Environment - Environmental Protection Environment - Tourism and Ecotourism Environment - Wildlife Resources Industry - Accommodation & Tourism Industry |
| Date: | 2018–02 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:29417&r=env |
| By: | Orli Bobek; Adiv Gal; David Saltz; Uzi Motro |
| Abstract: | Capsule: Microclimatic conditions in the nest of the Lesser Kestrel (Falco naumanni), particularly the percentage of time of extremely low humidity, affect breeding success. Aim: (1) To study the effect of within-nest temperature and humidity on nest productivity, and the correlation between nest productivity and the order of dates on which nests were occupied by the parents. (2) To compare microclimatic conditions in the nest, breeding success and order of occupation between nests under tile roofs and artificial nest boxes. Methods: Three different Lesser Kestrel colonies in Israel – one rural, one urban and one in an open country habitat. Data loggers, that measure temperature and humidity, were put in 39 nests for the entire breeding period. The number of fledglings was recorded for each nest, as well as the date of occupation. Results: (1) Full microclimatic data from 35 nests suggest that percentage of time of extremely low humidity is the major predictor of nest productivity. (2) The urban colony had the lowest breeding success of the three colonies. (3) Sites of more successful nests were occupied earlier. (4) No significant difference in mean productivity between nests in roofs and nest boxes, but nests in roofs were occupied earlier. Conclusion: Nest microclimate affects nesting success in addition to colony location. |
| Date: | 2018–07 |
| URL: | http://d.repec.org/n?u=RePEc:huj:dispap:dp721&r=env |
| By: | Zawojska, Ewa; Czajkowski, Mikotaj |
| Abstract: | We investigate the prevailing view in the stated preference literature that the data collection mode does not significantly affect the value estimates. Based on data from Computer-Assisted Web Interviews and Computer-Assisted Personal Interviews aimed at assessing the social benefits for Poland from meeting the nutrient load reduction targets defined in the HELCOM’s Baltic Sea Action Plan (2007), we find that the value estimates obtained from the two modes differ significantly. This evidences the existence of a “pure” mode effect as we control for socio-demographic differences between the web-interviewed and personally-interviewed samples by weighting the observations. The relative difference in the derived values between the two modes is used to update the estimates of the economic values of reducing nutrient loadings to the Baltic Sea provided by Ahtiainen et al. (2014) for every Baltic Sea country. In addition to controlling for the mode effect (as different, web and personal, modes were used in different countries), we examine 18 alternative model specifications to find the distribution that captures best the payment-card willingness-to-pay responses. Overall, our study illustrates the extent of the impact that the choice of a data collection mode can have on valuation results. |
| Keywords: | Environmental Economics and Policy, Institutional and Behavioral Economics, Research Methods/ Statistical Methods |
| Date: | 2017–06–21 |
| URL: | http://d.repec.org/n?u=RePEc:ags:caes17:258604&r=env |
| By: | World Bank |
| Keywords: | Water Resources - Water and Human Health Water Supply and Sanitation - Sanitation and Sewerage Water Supply and Sanitation - Town Water Supply and Sanitation Water Supply and Sanitation - Water Supply and Sanitation Economics Water Supply and Sanitation - Water Utility Services to the Poor |
| Date: | 2018–02 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:29401&r=env |
| By: | Baum, Chad M.; Weigelt, Robert |
| Abstract: | Although interest in sustainable food has increased substantially in recent years, the actual demand for such products has typically proceeded quite unevenly across consumers. Making sense of the variable pace of behavioral change requires that we explore the foundations of sustainable consumer behavior, especially the importance attached to particular attributes and the types of tradeoffs that exist. For this reason, this study utilizes a discrete choice experiment (DCE) that integrates the type of retail format to establish the potential for interaction effects with attributes. Stated-preference methods like DCEs have proven useful to explain how and why individuals’ willingness to pay (WTP) for qualities such as organic, fair trade, and locality can differ. However, by mostly focusing on product qualities alone, the importance of the retail formats where products are actually purchased – and their potential impact on the valuation of attributes – is left unexplored. Framing this DCE in relation to sustainable tomato consumption, we can conclude that the type of retail format is a significant determinant of purchasing behavior, both on its own and in its interaction with the other qualities. |
| Keywords: | Agricultural and Food Policy, Consumer/Household Economics, Environmental Economics and Policy, Food Consumption/Nutrition/Food Safety, Marketing, Research Methods/ Statistical Methods |
| Date: | 2017–03–16 |
| URL: | http://d.repec.org/n?u=RePEc:ags:ubfred:262055&r=env |
| By: | Richard Pomfret (University of Adelaide) |
| Abstract: | What is required for a poor country to turn a valuable resource endowment into a driver of development? The resource curse literature highlighted the importance of institutions and the nature of the resource, neither of which is a useful policy guide. A more recent literature views resource exploitation as a series of hurdles that must be negotiated: ensuring production, dividing revenues, and using the added public finance. The Kyrgyz Republic’s Kumtor gold mine is a useful case study in that the country cleared the first hurdle but over almost a quarter century was embroiled in negotiating the second hurdle. The paper assesses the extent to which such problems are inevitable for a small poor country, and the consequences of an extended conflictual process. |
| Keywords: | Resource curse, minerals, Kyrgyzstan |
| JEL: | Q32 O53 L72 N55 |
| Date: | 2018–05 |
| URL: | http://d.repec.org/n?u=RePEc:ost:wpaper:372&r=env |
| By: | Marc Cottignies (Agence de l'Environnement et de la Maîtrise de l'Energie - ADEME - Agence de l'Environnement et de la Maîtrise de l'Energie - ADEME); François Mirabel (MRE - Montpellier Recherche en Economie - UM - Université de Montpellier); Pierre Taillant (Agence de l'Environnement et de la Maîtrise de l'Energie - ADEME - Agence de l'Environnement et de la Maîtrise de l'Energie - ADEME) |
| Abstract: | Dans un article du numéro 503 de la Revue Transport (mai-juin 2017), Maurice Bernadet et Yves Crozet reviennent sur le décret 2017-639 publié le 28 avril 2017 au Journal Officiel. Les deux auteurs commentent l'article 6 du décret susmentionné qui permet aux transporteurs de plus de 50 salariés d'utiliser jusqu'au 1er juillet 2019 (au lieu du 1er juillet 2016), des valeurs dite de « niveau 1 » pour l'affichage des émissions de GES. Les deux auteurs pointent notamment la faible pertinence voire les «anomalies» que l'utilisation de ces valeurs peut entrainer. Dans notre article, nous discutons les arguments et les propositions faites par les auteurs et revenons, au-delà de la question de l'utilisation des valeurs de niveau 1, sur le véritable enjeu du dispositif info-GES : permettre un affichage des émissions de GES précis, fiable et crédible capable d'orienter les choix des acteurs pour les prestations de transport. |
| Date: | 2017 |
| URL: | http://d.repec.org/n?u=RePEc:hal:journl:hal-01830080&r=env |
| By: | Svizzero, Serge; Tisdell, Clem |
| Abstract: | After a long period of prosperity, the Únĕtice (2300-1600 B.C.) – a Central European Early Bronze Age culture – collapsed in few decades without obvious reason. Since Únĕtice was the first bronze metalworkers of Central Europe, we examine whether the reduced availability of bronze could have triggered the social collapse. We claim that it could have been so since such reduction could have implied changed trade routes, socio-economic turmoil and severe disruption of the social stratification. We provide a detailed analysis of two reasons related to shortages of inputs used to produce bronze which could explain the demise of bronze production. The first is about tin ores which could have been exhausted or become extremely scarce since only alluvial deposits of tin were used by followers of the Únĕtice culture. The second is about wood since the production of bronze requires huge quantities of wood and charcoal used as fuel, leading to deforestation. Both reasons are complementary, and combined with the reduced productivity of agriculture implied by the anthropogenic pressure on ecosystems, all three may have led to a bronze crisis, and the demise of the Únĕtice culture. |
| Keywords: | Environmental Economics and Policy, Land Economics/Use |
| Date: | 2017–08–23 |
| URL: | http://d.repec.org/n?u=RePEc:ags:uqseee:262289&r=env |
| By: | Fernández-Amador, Octavio; Francois, Joseph; Oberdabernig, Doris; Tomberger, Patrick |
| Abstract: | ABSTRACT: We estimate the income-elasticity of methane emissions per capita derived from production, final production, and consumption in a global sample of countries for 1997–2011. We find relative decoupling between emissions and income, and evidence for a piecewise-linear relationship. The relation between economic growth and emissions improves as countries reach high levels of income, although the magnitude of the improvement is small. This points to very minor methane-efficiency gains from economic development. |
| Date: | 2018–08–13 |
| URL: | http://d.repec.org/n?u=RePEc:wti:papers:1172&r=env |
| By: | Stefan Schmelzer (Institute for Advanced Studies, Vienna; Institute for Ecological Economics, WU - Vienna University of Economics and Business); Michael Miess (Institute for Advanced Studies, Vienna; Institute for Ecological Economics, WU - Vienna University of Economics and Business; Complexity Science Hub Vienna); Vedunka Kopecna (Institute of Economic Studies, Faculty of Social Sciences, Charles University in Prague, Smetanovo nabrezi 6, 111 01 Prague 1, Czech Republic); Milan Scasny (Institute of Economic Studies, Faculty of Social Sciences, Charles University in Prague, Smetanovo nabrezi 6, 111 01 Prague 1, Czech Republic) |
| Abstract: | We present a novel methodology to quantify the social costs and benefits (net social costs) of electric vehicles as an endogenous, demand-driven abatement technology in a general equilibrium framework. This new costing approach relates general equilibrium effects resulting from an increased market penetration of electric vehicles to the external environmental and health effects of the corresponding change in emissions. To this end, we develop a hybrid model combining a computable general equilibrium (CGE) with a discrete choice (DC) model that is capable of depicting an endogenous demand-driven uptake of alternative fuel vehicles. The discrete choice model of the consumer purchase decision between conventional, hybrid, plug-in hybrid, and electric vehicles is directly integrated into the CGE model. This hybrid CGE-DC model features a detailed accounting of vehicle fleet development, including yearly numbers of vehicle purchases and cohort depreciation. It depicts nine households differentiated by the degree of urbanization and education, accounts for detailed consumer preferences for the purchase of a passenger vehicle and mode choice decisions. The hybrid CGE-DC model is additionally hard-linked to a bottom-up module for elektricity production by several technologies to provide input for an established impact pathway analysis to quantify the external costs relating to the changed composition of the vehicle fleet and technologies to generate electricity. We apply this methodology to Austria as an empirical example, considering current measures and trends for the uptake of electric vehicles into the vehicle fleet. In particular, we quantify the net social costs of additional measures to foster the introduction of electromobility that are part of the current policy discussion in Austria, and thus provide a blueprint for further application in different national contexts. |
| Keywords: | hybrid CGE model; discrete choice; electric vehicles; environmental benefits |
| JEL: | C68 D12 D58 H22 H23 Q43 Q52 R42 |
| Date: | 2018–08 |
| URL: | http://d.repec.org/n?u=RePEc:fau:wpaper:wp2018_16&r=env |