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on Environmental Economics |
| By: | Bazzana, Davide; Rizzati, Massimiliano; Ciola, Emanuele; Turco, Enrico; Vergalli, Sergio |
| Abstract: | This paper explores the potential impacts of climate change and mitigation policies on the Euro Area, considering the uncertainty and heterogeneity in both climate and economic systems. Using the MATRIX model, a multi-sector and multi-agent macroeconomic model, we simulate various climate scenarios by employing different carbon cycle models, damage functions, and marginal abatement curves found in the literature. We find that heterogeneous climate damages amplify both the magnitude and the volatility of GDP losses associated with global warming. By the end of the century, we estimate that assuming homogeneous shocks may underestimate the effects of climate change on aggregate output by up to one-third. Moreover, we find that the speed and feasibility of a low-carbon transition crucially depend on (i) the stringency of emission reduction targets, which determine the level of a carbon tax, and (ii) the rate of technological progress, which influences the shape of the abatement cost curve. |
| Keywords: | Environmental Economics and Policy, Research Methods/ Statistical Methods, Resource /Energy Economics and Policy |
| Date: | 2023–05–11 |
| URL: | http://d.repec.org/n?u=RePEc:ags:feemwp:334607&r=env |
| By: | Xi Sun |
| Abstract: | Recycling of raw material can make a significant contribution to achieving climate neutrality by 2050. Carbon pricing can encourage material recycling by making it more competitive with waste incineration and primary material production. However, accounting for the interactions among different markets in a theoretical model, this paper finds that carbon pricing on material manufacturing alone does not necessarily promote material recovery, if the derived demand for material is elastic, the supply of primary materials inelastic, and the emission intensity for recycling relatively high. In contrast, extending the scope of this policy to the waste sector guarantees a positive effect of carbon pricing on material recovery, together with a strengthened effect on emission mitigation. Using a numerical simulation on plastic waste, this paper shows that implementing carbon pricing on both sources is able to save 37% of CO2e emissions, compared to a policy with a limited scope on production saving 10% less. It is important to consider the full range of impacts and interactions when designing climate policy to ensure that it effectively delivers the objectives for both climate mitigation and circular economy. |
| Keywords: | Carbon pricing, recycling, material production process emission, incineration, material efficiency |
| JEL: | D62 H23 Q53 |
| Date: | 2023 |
| URL: | http://d.repec.org/n?u=RePEc:diw:diwwpp:dp2034&r=env |
| By: | Liesebach, Mirko |
| Abstract: | The 7th meeting of the “Section Forest Genetics/Forest Tree Breeding” and the German Dendrology Society (DDG) took place in Ahrensburg/Schleswig-Holstein from September 12–14, 2022. The focus of the three-day lecture event was on "Contributions of Forest Plant Breeding and Forest Genetics to the Forest of Tomorrow". There was more than enough reason for the conference. Climate change is becoming more and more obvious. The effects of the excessively dry and warm years in large parts of Germany pose challenges for forest owners and managers. With the meeting we tried to answer some of the questions. At the conference, 51 presentations were given, which were assigned to 10 blocks: Methods, Resistance, Woody Plant Physiology I and II, uropean Beech, Breeding, Differentiation, Alternative Tree Species, Red Oak and Forest Reproductive Material. The conference ended with a half-day excursion to a 60-year-old stand of Monarch birch (Betula maximowicziana), a former provenance trial. At the object a lesser-known tree species of East Asia, knowledge and practical experience were exchanged. Another excursion point was a progeny test for use in short rotation set up by the Thünen Institute of Forest Genetics in strips. For the existing silvoarable agroforestry system (trees with arable crops), a concept for a silvopastoral system (trees with livestock) with chickens or calves was developed together with the Thünen Institute of Organic Farming. In preparation for grazing, half of the elevenyear- old woody strips were harvested during winter and used for energy production. The remaining growth as well as that from root shoots and sockers provide shade and shelter for the brother cocks. The meeting is held as part of the Charta für Holz 2.0, which aims among other things to increase the usable forest wood potential. The conference builds on the following priorities in the field of action Resource Forest and Wood of the Charta: • Sustainable wood supply: productivity and management, Cultivation of productive tree species, guarantee the supply of softwood, Forest tree breeding / forest genetics • Conservation through sustainable use: risk minimization (forest conservation, rotation length, forest conversion), adaptation of forests to climate change, crisis management In order to make the results of the event, which was well attended by 85 participants from Germany and Austria, accessible to a broad public, the content of selected presentations is published. The authors are responsible for the content of the ontributions. |
| Keywords: | Environmental Economics and Policy, Research and Development/Tech Change/Emerging Technologies, Risk and Uncertainty |
| Date: | 2023–05–03 |
| URL: | http://d.repec.org/n?u=RePEc:ags:jhimwo:334337&r=env |
| By: | Udichibarna Bose; Wildmer Daniel Gregori; Maria Martinez Cillero |
| Abstract: | This analysis explores the implications of technological shifts towards greener and sustainable innovations on acquisition propensity between firms with different technological capacities. Using a dataset of completed control acquisition deals over the period of 2009-2020 from 23 OECD countries, we find that innovative firms are more likely to acquire innovative target companies. We also find that green acquirors (i.e. firms with green patents) are more inclined to enter into acquisition deals with green firms, possibly due to their technological proximity and informational advantages which further enhances their post-acquisition green innovation performances. Our results also show an increase in green acquisitions after the Paris Agreement by non-green acquiror firms, and these are more pronounced for acquirors in climate policyrelevant sectors and countries with low environmental standards than their counterparts. However, green acquisitions after the Paris Agreement do not show any significant impact on their post-acquisition innovation performances, raising concerns related to greenwashing behaviour by investing firms. |
| JEL: | G34 O30 Q54 |
| Date: | 2023 |
| URL: | http://d.repec.org/n?u=RePEc:ptu:wpaper:w202305&r=env |
| By: | Daniel O. Beltran; Pinar Uysal |
| Abstract: | We review the "climate action plans" of Global Systemically Important Banks (GSIBs) and the progress they are making toward achieving them. G-SIBs have identified the drivers of climate risk and their transmission channels to credit and other risks. Additionally, some have started to measure and model these risks. While most GSIBs have committed to fully offsetting their emissions by mid-century, they are only beginning to measure financed emissions resulting from their loans and investments, which comprise the vast majority of their emissions. G-SIBs have also committed to increase green finance and have started to do so. All told, despite some progress by large global banks to address climate change considerations, much work lies ahead to properly measure and disclose climate-related risks, and to better align financing activities with their net-zero targets. |
| Keywords: | banks; climate finance; environmental reporting; climate change |
| JEL: | Q54 Q56 G21 |
| Date: | 2023–01 |
| URL: | http://d.repec.org/n?u=RePEc:fip:fedgif:1368&r=env |
| By: | Emanuele Campiglio (Department of Economics, University of Bologna; RFF-CMCC European Institute on Economics and the Environment (EIEE), Milan; LSE Grantham Research Institute on Climate Change and the Environment, London); Alessandro Spiganti (RFF-CMCC European Institute on Economics and the Environment (EIEE), Milan; Department of Economics, Ca’ Foscari University of Venice); Anthony Wiskich (Centre for Applied Macroeconomic Analysis, Australian National University, Canberra) |
| Abstract: | Access to finance is a major barrier to clean innovation. We incorporate heterogeneous and endogenous financing costs in a directed technical change model and identify optimal climate mitigation policies. The presence of a financing experience effect pushes the policymaker to strengthen policies in the short-term, both to shift innovation and production towards clean sectors and to reduce the financing cost differential across technologies, which further facilitates the transition. The optimal climate policy mix between carbon taxes and clean research subsidies depends on the drivers of the experience effect. In our benchmark scenario, where clean financing costs decline as cumulative clean output increases, we find an optimal carbon price premium of 47% in 2025, relative to a case with no financing costs. |
| Keywords: | carbon tax, directed technological change, endogenous growth, financing experience effect, innovation policy, low-carbon transition, optimal climate policy, sustainable finance |
| JEL: | H23 O31 O44 Q55 Q58 |
| Date: | 2023 |
| URL: | http://d.repec.org/n?u=RePEc:ven:wpaper:2023:07&r=env |
| By: | Dolphin, Geoffroy (Resources for the Future); Pollitt, Michael G. |
| Abstract: | Globally coordinated climate action has resulted in suboptimal GHG emission reductions and unilateral, second-best, climate policies have so far provided the bulk of these reductions. Using an open economy general equilibrium framework, we propose that the adoption of climate policy is partly determined by a process of policy diffusion whereby actions of foreign jurisdictions affect domestic conditions and policy decisions. We focus on diffusion mechanisms related to (i) access to improved foreign abatement technology and (ii) policy adoption by foreign jurisdictions. We apply our framework to the adoption of feed-in tariffs (FiT), renewable portfolio standards (RPS) and carbon pricing mechanisms. Overall, results highlight differences among policies. The evidence suggests that improved access to climate change mitigation technologies leads to earlier adoption of RPS and carbon taxes but not FiT or an emissions trading system (ETS). It also suggests that countries with common legacy institutions influence each other's adoption decisions in the case of FiT. |
| Date: | 2021–08–09 |
| URL: | http://d.repec.org/n?u=RePEc:rff:dpaper:dp-21-23&r=env |
| By: | Margaret Chitiga-Mabugu (Faculty of Economic and Management Sciences, University of Pretoria); Martin Henseler (EDEHN - Equipe d'Economie Le Havre Normandie - ULH - Université Le Havre Normandie - NU - Normandie Université); Helene Maisonnave (EDEHN - Equipe d'Economie Le Havre Normandie - ULH - Université Le Havre Normandie - NU - Normandie Université); Ramos Mabugu (Sol Plaatje University, School of Economic and Management Sciences) |
| Abstract: | This paper reviews literature on climate change impacts and adaptation in developing countries with a focus on women, their role in households, production and economic growth. Climate change impacts are a phenomenon channeled initially via the influence of changed climatic conditions on natural resources and their productivity. The consequences from these environmental shocks affect the whole economy and particularly vulnerable socioeconomic groups such as women. Implementing adaptation measures requires an understanding of the climate change impacts on women in households, production and economic growth. The review indicates that climate change impacts are complex and highly dependent on region and socioeconomic circumstances. Overall, women from developing countries are more vulnerable to climate change impacts than men and are, at the same time, less able to adapt to its effects, particularly in the agricultural sector. Further, the review suggests that since climate impacts affect growth, counteracting the effects of climate change on women has the potential to support growth. The compilation of findings from the reviewed studies assists by providing an overview on the current state of problems and the particular socioeconomic conditions at play. |
| Keywords: | developing countries, macroeconomics, agriculture, production, gender |
| Date: | 2023–04–13 |
| URL: | http://d.repec.org/n?u=RePEc:hal:journl:hal-04072199&r=env |
| By: | Julie Bayle Cordier (IÉSEG School Of Management [Puteaux]); Loïc Berger (CNRS - Centre National de la Recherche Scientifique, IÉSEG School Of Management [Puteaux], EIEE - European Institute on Economics and the Environment, CMCC - Centro Euro-Mediterraneo per i Cambiamenti Climatici [Bologna]); Rayan Elatmani (IÉSEG School Of Management [Puteaux]); Massimo Tavoni (POLIMI - Politecnico di Milano [Milan], EIEE - European Institute on Economics and the Environment, CMCC - Centro Euro-Mediterraneo per i Cambiamenti Climatici [Bologna]) |
| Abstract: | Mindfulness practices have the potential to induce the cognitive and behavioral changes needed to foster proenvironmental behavior and increase support toward sustainable and climate-oriented policies. However, the empirical evidence of the effectiveness of meditation on sustainable behavior is limited and mostly confined to correlational studies, often based on the same type of mindfulness interventions. In this paper, we report the results of an online experiment (n=1000) comparing the impact of three different short-term mindfulness interventions on various (self-reported and incentivized) measures of mindfulness state and sustainable behavior. While only one of our interventions is found to impact environmental attitude and climate policy support directly, we show that the three meditation practices indirectly foster sustainable behavior through preidentified mediators. These results are relevant for organizations and policymakers who seek to foster climate policy support and environmental attitudes in their stakeholders. |
| Keywords: | Mindfulness, climate policy support, Pro-environmental behavior, interventions, meditation |
| Date: | 2023–04–17 |
| URL: | http://d.repec.org/n?u=RePEc:hal:wpaper:hal-04071285&r=env |
| By: | Ewald, Jens; Sterner, Thomas (Resources for the Future); Sterner, Erik |
| Abstract: | Although carbon taxes are generally well accepted in the countries where they have been implemented to lower carbon emissions, there is still public resistance to raising them. We study attitudes toward carbon taxation and other environmental policy instruments in Sweden. We survey a national sample of the population as well as members of a large organization that protests against fuel taxes. Our results show that educational level, rural versus urban domicile, political orientation, and especially trust in government affect opinions on carbon taxes; household income does not appear to matter. Lack of trust in government and lack of belief in the Pigouvian mechanism are especially important motivations for protesters’ opposition. When asked about the use of carbon tax revenue, some respondents support revenue refunding (uniform or progressive), but more people support using it for climate mitigation investments. |
| Date: | 2021–07–12 |
| URL: | http://d.repec.org/n?u=RePEc:rff:dpaper:dp-21-18&r=env |
| By: | Francisco Estrada; Richard S.J. Tol (Department of Economics, University of Sussex, BN1 9SL Falmer, United Kingdom); Wouter Botzen |
| Keywords: | climate change; climate impacts; spatial variation; temporal variability; social cost of carbon |
| JEL: | Q54 |
| URL: | http://d.repec.org/n?u=RePEc:sus:susewp:0123&r=env |
| By: | Raimi, Daniel (Resources for the Future) |
| Abstract: | The US EPA estimates that abandoned oil and gas wells in the United States emit roughly 280, 000 metric tons of methane each year, though this estimate is uncertain. Per ton, methane’s global warming potential (GWP) is 34 times that of carbon dioxide (CO2) over a 100-year period and 86 times the impact over a 20-year period. Using the 100-year GWP, annual methane emissions from abandoned wells are roughly equivalent to the CO2 emissions emitted by all of the power plants in Massachusetts each year. Plugging abandoned wells presents an opportunity to provide jobs in the oil and gas industry while also reducing methane emissions.A 2020 analysis by Resources for the Future and Columbia University Center for Global Energy Policy estimated that a significant federal program to plug abandoned oil and gas wells could employ tens of thousands of workers, with as many as 120, 000 job years created to plug 500, 000 wells. The costs associated with reducing greenhouse gas emissions through a major well plugging program would also fall well within the range of other climate policy options—roughly $67 to $170 per ton of CO2-equivalent greenhouse gas reductions.Several policy proposals have sought to provide funding to plug these wells and reduce methane emissions while creating new jobs in the oil and gas industry. One such bill is the Energy Infrastructure Act, a new proposal from West Virginia Senator Joe Manchin that earmarks tens of billions of dollars in federal funds towards environment and energy-related initiatives, including $4.7 billion for plugging abandoned oil and gas wells. This issue brief, part of a three-part series on the Energy Infrastructure Act, details the methane emissions reductions associated with this potential spending. |
| Date: | 2021–07–14 |
| URL: | http://d.repec.org/n?u=RePEc:rff:dpaper:dp-21-06&r=env |
| By: | Gutiérrez-Meave, Raúl; Rosellón, Juan; Sarmiento, Luis |
| Abstract: | The analysis of local environmental policies is essential when evaluating the consistency of national public policies vis-Ã -vis the compliance of global agreements to reduce climate change. This study explores one of these policies; the 2021 Mexican reform to change electric power dispatch from a marginal-cost-based to a command and control physical system prioritizing power generation from the state power company. The new law forces the dispatch of the state company power facilities before private power producers. We use the GENeSYS-MOD techno-economic model to determine the reform’s effect on the power system’s generation mix, cost structure, and anthropogenic emissions. For this, we optimize the model under three distinct scenarios; a business-as-usual scenario with no changes to the merit order, a model with the new physical order dispatch, and an additional case where in addition to the shift to the physical dispatch, we reduce the price of fuel oil below natural gas prices to simulate the current behavior of the power company. It is relevant to note that we optimize the energy system without any assumption regarding renewable targets or climate goals because of political uncertainty and the need of pinpoint the effect of the merit order change while avoiding possible variations in the state-space arising from other constraints. Our results show that by 2050, the new dispatch rule increases the market power of the state company to 99% of total generation and decreases the share of renewable technologies in the generation mix from 72%to 51%. Additionally, cumulative power sector emissions increase by 563 Mega-tons of CO2, which with the current cost of carbon in the European Emissions Trading System translates to around 36 billion Euros. |
| Date: | 2021–07–16 |
| URL: | http://d.repec.org/n?u=RePEc:rff:dpaper:dp-21-19&r=env |
| By: | Leinauer, Christina; Körner, Marc-Fabian; Strüker, Jens |
| Abstract: | As the decarbonization of industry has become an increasing priority, so has the need for emissions data and the requirement for cross-sector emissions reporting. What challenges and opportunities does industry face? How can digital solutions help leverage the potential of climate-friendly products in emerging climate-neutral lead markets? Based on interviews with experts from various industries, our study with Fraunhofer-FIT "Towards net 0: Digital CO2 proofs for the sustainable transformation of the European economy" presents hurdles and digital solutions as well as conclusions for policy makers. The study comes to the conclusion that granular, secure CO2 proofs on the one hand offer a possibility to manage the increasing effort for the collection, processing and provision of CO2 information more efficiently and at the same time can accelerate and simplify the transition to climate-neutral production processes and products. |
| Date: | 2023 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:bayism:65a&r=env |
| By: | Jean-Christophe Bureau (UMR PSAE - Paris-Saclay Applied Economics - AgroParisTech - Université Paris-Saclay - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement); Anton Jesus |
| Abstract: | Increased productivity and sustainability of the agricultural sector are core policy objectives in OECD and non-OECD countries. This Guide provides an overview of the current state of the art in measuring sustainable productivity of the agricultural sector and analysing sources of growth in a reliable and comparable manner across countries in a way useful for policy makers. It draws on the contributions from members of the OECD Network on Agricultural Total Factor Productivity (TFP) and the Environment that brings together relevant experts from academia and national statistical agencies. Its insights will be key for designing policies necessary to meet the triple challenge of feeding a growing world population and providing incomes to food system actors whilst ensuring environmental sustainability. The Guide presents recommendations in two areas. First, on how to improve the traditional calculation of TFP based on market prices inputs and outputs, proposing harmonised methods on capital measurement, land pricing, output aggregation and quality adjustment. Second, on how to account for environmental outcomes, considering a reduction in pollution or emissions as a productivity gain, but the increased use of natural capital as a productivity loss. A main challenge is the estimation of "shadow prices" for nonmarket inputs and outputs. It is recommended to pursue several complementary avenues: investing in improving TFP methodologies and data; continuing investigating its expansion to include environmental outcomes; and mapping traditional TFP with other indicators of agri-environmental performance. |
| Keywords: | Agricultural productivity Economic growth Environmental sustainability O11, O13, O41, O47, Q1, Agricultural productivity, Economic growth, Environmental sustainability O11 |
| Date: | 2022–06–01 |
| URL: | http://d.repec.org/n?u=RePEc:hal:wpaper:hal-04025300&r=env |
| By: | Daniel Santabárbara (Banco de España); Marta Suárez-Varela (Banco de España) |
| Abstract: | Carbon pricing initiatives, designed to increase the relative prices of greenhouse gas-intensive goods and services, could not only push up CPI inflation but also affect its volatility. Existing empirical literature has only found that carbon pricing schemes are generally associated to a transitory effect on the level of inflation. This paper assesses empirically the effects of carbon pricing on inflation volatility for both carbon tax and cap-and-trade schemes (also known as emission trading systems). Our work finds strong evidence that cap-and-trade schemes are associated with larger volatility in CPI headline inflation, while no significant effect is found in the case of carbon taxes. This effect seems to feed only through the energy component, and does not seem to affect the volatility of core inflation. In addition, we find that under cap-and-trade schemes, both the increase in the underlying price of emissions and the expansion in the activities covered by these initiatives are associated with greater inflation volatility. These findings have important policy implications, given that inflation volatility could complicate the conduct of monetary policy. Since the ambition to mitigate climate change in the years to come is expected to be implemented through broader coverage of carbon pricing, central banks should monitor those developments closely. |
| Keywords: | carbon pricing, emission trading systems, carbon tax, inflation, inflation volatility |
| JEL: | E31 E32 E52 E58 Q48 Q58 |
| Date: | 2022–09 |
| URL: | http://d.repec.org/n?u=RePEc:bde:wpaper:2231&r=env |
| By: | Sofia Brito-Ramos (ESSEC Business School - Essec Business School); Maria Céu Cortez (School of Economics and Management - University of Minho [Braga]); Florinda Silva (School of Economics and Management - University of Minho [Braga]) |
| Abstract: | Several labels for sustainable investment funds sponsored by government and nonprofit organizations (GNPOs) have emerged in Europe. This paper examines the coherence of the signals sent by these sustainable labels versus those from the private sector. While some GNPO-labeled funds are perceived as bearing high Environmental, Social and Governance (ESG) risks, we find that labeled funds are more likely to be assessed as top ESG funds by private rating providers. Furthermore, equity funds with governmental and multiple labels are more likely to show better ESG ratings. Additionally, GNPO-labeled funds show greater alignment with article 9 of the Sustainable Finance Disclosure Regulation and tend to exhibit ESG terminology in their name, consistent with internal signals of sustainability coherence with GNPO labels. However, our research draws attention to the existence of sustainable signals that are not always coherent, jeopardizing their role as efficient tools for promoting sustainability. |
| Keywords: | asymmetric information government labelling nonprofit organizations SFDR socially responsible investments sustainable finance third-party certifications, asymmetric information, government, labelling, nonprofit organizations, SFDR, socially responsible investments, sustainable finance, third-party certifications |
| Date: | 2022–11–28 |
| URL: | http://d.repec.org/n?u=RePEc:hal:wpaper:hal-04064367&r=env |
| By: | Salaheddine Soummane; Aisha Al-Sarihi (King Abdullah Petroleum Studies and Research Center) |
| Abstract: | Climate policies are tightening in an effort to curb carbon dioxide emissions. As a result, global oil demand may peak and gradually decline, causing oil prices to fall. A structural fall in oil prices may have serious implications for Middle Eastern oil exporters. Many studies attempt to estimate the economic implications of climate change response measures for oil exporting countries. However, they have not reached a consensus regarding the magnitude of these implications. |
| Keywords: | Air conditioning, Applied general model, Article 6, Blockchain |
| Date: | 2023–03–21 |
| URL: | http://d.repec.org/n?u=RePEc:prc:dpaper:ks--2022-dp16&r=env |
| By: | Viral V. Acharya; Richard Berner; Robert Engle; Hyeyoon Jung; Johannes Stroebel; Xuran Zeng; Yihao Zhao |
| Abstract: | We explore the design of climate stress tests to assess and manage macroprudential risks from climate change in the financial sector. We review the climate stress scenarios currently employed by regulators, highlighting the need to (i) consider many transition risks as dynamic policy choices; (ii) better understand and incorporate feedback loops between climate change and the economy; and (iii) further explore “compound risk” scenarios in which climate risks co-occur with other risks. We discuss how the process of mapping climate stress scenarios into financial firm outcomes can incorporate existing evidence on the effects of various climate-related risks on credit and market outcomes. We argue that more research is required to (i) identify channels through which plausible scenarios can lead to meaningful short-run impact on credit risks, given typical bank loan maturities; (ii) incorporate bank-lending responses to climate risks; (iii) assess the adequacy of climate risk pricing in financial markets; and (iv) better understand and incorporate the process of expectations formation around the realizations of climate risks. Finally, we discuss the relative advantages and disadvantages of using market-based climate stress tests that can be conducted using publicly available data to complement existing stress testing frameworks. |
| Keywords: | climate risk; financial stability; systemic risk |
| JEL: | Q54 G1 G2 |
| Date: | 2023–04–01 |
| URL: | http://d.repec.org/n?u=RePEc:fip:fednsr:95943&r=env |
| By: | NISHITATENO Shuhei; Paul J. BURKE; ARIMURA Toshi H. |
| Abstract: | Vehicular emissions, being a major global health concern, have gathered worldwide attention and necessitated extensive research to gain deeper insights. The aim of this study was to estimate the effects of road traffic flow on the local ambient concentrations of nitrogen oxides (NOx), carbon monoxide (CO), non-methane hydrocarbons (NMHC), and fine particulate matter (PM2.5) in Japan. We constructed an hourly panel dataset of nationwide samples of air pollution monitoring stations from 2010–2015. By estimating a dynamic panel model with station-hour panel data, short-run pollution-road traffic elasticities of 0.04–0.05 for NOx, CO, and NMHC, and long-run elasticities of 0.09–0.17 were observed; however, no significant evidence was found for PM2.5. We used these estimates to understand the potential effects of reducing road traffic flow to meet the World Health Organization’s new air quality guidelines. |
| Date: | 2023–04 |
| URL: | http://d.repec.org/n?u=RePEc:eti:dpaper:23031&r=env |
| By: | John L. Voorheis; Jonathan M. Colmer; Kendall A. Houghton; Eva Lyubich; Mary Munro; Cameron Scalera; Jennifer R. Withrow |
| Abstract: | The natural environment is central to all aspects of life, but efforts to quantify its influence have been hindered by data availability and measurement constraints. To mitigate some of these challenges, we introduce a new prototype of a microdata infrastructure: the Census Environmental Impacts Frame (EIF). The EIF provides detailed individual-level information on demographics, economic characteristics, and address-level histories – linked to spatially and temporally resolved estimates of environmental conditions for each individual – for almost every resident in the United States over the past two decades. This linked microdata infrastructure provides a unique platform for advancing our understanding about the distribution of environmental amenities and hazards, when, how, and why exposures have evolved over time, and the consequences of environmental inequality and changing environmental conditions. We describe the construction of the EIF, explore issues of coverage and data quality, document patterns and trends in individual exposure to two correlated but distinct air pollutants as an application of the EIF, and discuss implications and opportunities for future research. |
| JEL: | Q53 Q54 |
| Date: | 2023–04 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:31189&r=env |
| By: | Adrien Nicolle (CentraleSupélec); Diego Cedreros (CentraleSupélec); Olivier MASSOL (IFPEN - IFP Energies nouvelles - IFPEN - IFP Energies nouvelles, IFP School, CentraleSupélec, City University London); Emma Jagu Schippers (IFPEN - IFP Energies nouvelles - IFPEN - IFP Energies nouvelles, IFP School, CentraleSupélec) |
| Abstract: | Carbon Capture and Storage (CCS) is regularly depicted as a crucial technology to reduce the social cost of achieving carbon neutrality. However, its deployment critically depends on the installation of CO2 infrastructures. As the regulatory procedures governing their provision are yet to be clarified, the purpose of this paper is to assess the social and environmental impacts of such regulations. We show how the engineering equations of a CO2 pipeline implicitly define a Cobb-Douglas production function. We then infer that the resulting cost function exhibits economies of scale and verifies the technological condition for a natural monopoly. As the possible exertion of market power is a concern, we evaluate the social distortion of the unregulated monopoly and the average-cost pricing solution, which we compare to the outcomes of the welfare-maximizing solution. While the deadweight loss obtained under average-cost pricing remains lower than 5% compared to the first-best solution, our findings indicate that allocative efficiency is an issue, with more than a quarter of the CO2 emissions not being transported. By providing the first analytically determined cost function of a CO2 pipeline, this analysis will usefully inform the emerging regulatory policy debates on CCS. |
| Keywords: | Carbon Capture and Storage (CCS), CO2 Pipelines, Cobb-Douglas, Regulation |
| Date: | 2023–04–01 |
| URL: | http://d.repec.org/n?u=RePEc:hal:wpaper:hal-04087681&r=env |
| By: | Linn, Joshua (Resources for the Future) |
| Abstract: | This paper analyzes welfare and distributional effects of nested US policies affecting plug-in vehicles: state-level zero-emission vehicle (ZEV) standards and national fuel economy and greenhouse gas (GHG) standards for passenger vehicles. I use a computational model of the passenger vehicle market that endogenizes manufacturer choices of prices, technology, fuel economy, and horsepower and incorporates the timing of regulatory decisions and pre-existing distortions caused by market power and consumer undervaluation of fuel economy. Ignoring the influence of the 2022 ZEV standards on fuel economy and GHG standards, ZEV standards would appear to impose high costs without reducing emissions. However, accounting for such influence reveals that ZEV standards reduced GHG emissions at modest costs. |
| Date: | 2023–03–21 |
| URL: | http://d.repec.org/n?u=RePEc:rff:dpaper:dp-23-05&r=env |
| By: | Sugandha Srivastav; Ryan Rafaty |
| Abstract: | Great socio-economic transitions see the demise of certain industries and the rise of others. The losers of the transition tend to deploy a variety of tactics to obstruct change. We develop a political-economy model of interest group competition and garner evidence of tactics deployed in the global climate movement. From this we deduce a set of strategies for how the climate movement competes against entrenched hydrocarbon interests. Five strategies for overcoming obstructionism emerge: (1) Appeasement, which involves compensating the losers; (2) Co-optation, which seeks to instigate change by working with incumbents; (3) Institutionalism, which involves changes to public institutions to support decarbonization; (4) Antagonism, which creates reputational or litigation costs to inaction; and (5) Countervailance, which makes low-carbon alternatives more competitive. We argue that each strategy addresses the problem of obstructionism through a different lens, reflecting a diversity of actors and theories of change within the climate movement. The choice of which strategy to pursue depends on the institutional context. |
| Date: | 2023–04 |
| URL: | http://d.repec.org/n?u=RePEc:arx:papers:2304.14960&r=env |
| By: | Aggarwal, Sakshi |
| Abstract: | The rise in global trade has led to improvements in the standard of living and lifted many out of poverty, but not all countries have been able to fully integrate into the world trading system due to lack of resources. Access to food supplies is critical for those with inadequate access to food for sustainable consumption. The evolving trade dynamics and climate change will result in winners and losers for the global food system, with some regions experiencing double exposure to economic and climate-related shocks and stressors. Trade openness can significantly reduce vulnerabilities and enhance food security, if necessary, infrastructure is in place. Although global trade can play a crucial role in ensuring that the global food system adapts to a changing climate, this potential will only be realized if trade is managed to maximize the benefits of broadened access to new markets and minimize the risks of increased exposure to international competition and market volatility. For regions like Africa, enhanced transportation networks, combined with greater national reserves of cash and enhanced social safety nets, could reduce the impact of double exposure on food security. |
| Keywords: | International trade, food security, climate change |
| JEL: | F18 O19 Q54 Q55 |
| Date: | 2023–04–25 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:117152&r=env |
| By: | Prateek Bansal; Rubal Dua (King Abdullah Petroleum Studies and Research Center) |
| Abstract: | China and India, the world’s two most populous developing economies, are also among the largest automotive markets and carbon emitters. To reduce carbon emissions from the passenger car sector, both countries have considered various policy levers that affect fuel price, car prices and fuel economy. This study estimates the responsiveness of new car buyers in China and India to such policy levers and drivers, including income. |
| Keywords: | Fleet fuel economy, Fleet GHG Emissions, Ride Hailing, Sustainable Mobility |
| Date: | 2022–11–22 |
| URL: | http://d.repec.org/n?u=RePEc:prc:dpaper:ks--2022-dp20&r=env |
| By: | Ebun Akinsete (ICRE8); Alice Guittard (ICRE8); Phoebe Koundouri; Lydia Papadaki |
| Abstract: | This paper captures an ongoing joint initiative which spans three EU-funded projects active within the Black Sea region, each utilising living labs to support the overall development of the Blue Economy in a sustainable manner. The Black Sea is a complex resource-rich socio-ecological ecosystem nestled within a dynamic geo-political space, thus providing both fundamental challenges and great opportunities within the Blue Economy sectors. Each of the projects adopts diverse yet complimentary focii in terms of stakeholder groups, geographic location, thematic focus and level of governance. The paper outlines the overarching methodology of Systems Innovation implemented by the initiative, before presenting each project and the activities undertaken therein. The paper concludes on the potential implications held by emerging findings, both methodological and thematic, on the sustainable development of the Blue Economy and related policy in the region. |
| Keywords: | Living Labs, Co-creation, Blue Economy, Black Sea, Systems Approaches |
| Date: | 2023–05–10 |
| URL: | http://d.repec.org/n?u=RePEc:aue:wpaper:2310&r=env |
| By: | Gabriela Demarchi (CEE-M - Centre d'Economie de l'Environnement - Montpellier - UM - Université de Montpellier - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement - Institut Agro - Montpellier SupAgro - Institut Agro - Institut national d'enseignement supérieur pour l'agriculture, l'alimentation et l'environnement); Subervie Julie (CEE-M - Centre d'Economie de l'Environnement - Montpellier - UM - Université de Montpellier - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement - Institut Agro - Montpellier SupAgro - Institut Agro - Institut national d'enseignement supérieur pour l'agriculture, l'alimentation et l'environnement); Fernando Palha Leite (CENIBRA - Celulose Nipo-Brasileira SA); Jean-Paul Laclau (UMR Eco&Sols - Ecologie fonctionnelle et biogéochimie des sols et des agro-écosystèmes - Cirad - Centre de Coopération Internationale en Recherche Agronomique pour le Développement - IRD - Institut de Recherche pour le Développement - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement - Institut Agro - Montpellier SupAgro - Institut Agro - Institut national d'enseignement supérieur pour l'agriculture, l'alimentation et l'environnement) |
| Abstract: | In a climate change context, changing temperature and precipitation patterns are expected to have strong impacts on Brazilian eucalypt plantations. Implementing adaptive water-efficient management practices is thus becoming necessary to maintain high levels of productivity while preserving the water resources. This paper investigates the ability of eucalypt farmers to modify their current silvicultural practices in order to adapt to drought in the near future. We ran a choice experiment in the state of Minas Gerais, among 80 eucalypt tree farmers, who were asked to choose from several management options associated with various financial supports. The results show that adaptation by reducing the length of the eucalypt rotation proves to be by far the preferred option, despite the associated costs. On the contrary, reducing density appears to be the least chosen option by the respondents, which may suggest that they underestimate the benefits of this strategy. We moreover find a clear and relevant segmentation of farmers' choice behavior, the general preference for reducing the length of the eucalypt rotation being driven by the most vulnerable farmers of the sample |
| Keywords: | Choice experiment, Climate change, Drought, Water resources, Adaptation, Eucalypt, Brazil |
| Date: | 2021–07 |
| URL: | http://d.repec.org/n?u=RePEc:hal:journl:hal-03215028&r=env |
| By: | Batabyal, Amitrajeet; Beladi, Hamid |
| Abstract: | We exploit the public good attributes of Ganges water pollution cleanup and theoretically analyze an aggregate economy of two cities---Kanpur and Varanasi---through which the Ganges flows. Our specific objective is to study whether water pollution cleanup in these two cities ought to be provided in a centralized or in a decentralized manner. We first determine the efficient cleanup amounts that maximize the aggregate surplus from making the Ganges cleaner in the two cities. Second, we compute the optimal amount of water pollution cleanup in the two cities in a decentralized regime in which spending on cleanup is financed by a uniform tax on the city residents. Third, we ascertain the optimal amount of water pollution cleanup in the two cities in a centralized regime subject to equal provision of cleanup and cost sharing. Fourth, we show that if the two cities have the same preference for pollution cleanup then centralization is preferable to decentralization as long as there is a spillover from pollution cleanup. Finally, we show that if the two cities have dissimilar preferences for pollution cleanup then centralization is preferable to decentralization as long as the spillover exceeds a certain threshold. |
| Keywords: | Ganges River, Pollution Cleanup, Spillover, Uncertainty, Water Pollution |
| JEL: | D81 Q53 Q56 |
| Date: | 2023–01–17 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:117226&r=env |
| By: | Cleary, Kathryne (Resources for the Future); Funke, Christoph (Resources for the Future); Witkin, Steven (Resources for the Future); Shawhan, Daniel (Resources for the Future) |
| Abstract: | The benefits of additional research, development, and demonstration (RD&D) for advanced energy technologies are likely to greatly exceed the costs. The additional funding authorized by the Energy Act of 2020 for the five technologies we consider would generate projected societal benefits averaging $30 billion in present value per technology during 2040–2060. All dollar values in this brief are in 2020 dollars.Twenty-six experts in advanced nuclear, advanced geothermal, energy storage, natural gas with carbon capture and sequestration (NG-CCS), and direct air capture (DAC) projected the effects of the additional RD&D funding on the future costs of the technologies. The experts expect the additional funding to reduce the costs of the technologies by 9–30 percent in 2035, compared with the case of no additional funding.Applying the expert projections, we find that average power sector benefits of the added RD&D spending are likely to exceed costs by about 7 times without additional federal policies like a national clean energy standard. Benefits outside the power sector are likely to also be significant and would increase these ratios.The estimated benefits of added RD&D funding are split mainly among lower electricity bills, health benefits, and climate benefits. Average annual electricity bill savings per household for each technology are about $14. |
| Date: | 2021–08–13 |
| URL: | http://d.repec.org/n?u=RePEc:rff:dpaper:dp-21-10&r=env |
| By: | Sugandha Srivastav; Tanmay Singh |
| Abstract: | Laws that govern land acquisition can lock in old paradigms. We study one such case, the Coal Bearing Areas Act of 1957 (CBAA) which provides minimal social and environmental safegaurds, and deviates in important ways from the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act 2013 (LARR). The lack of due diligence protocol in the CBAA confers an undue comparative advantage to coal development, which is inconsistent with India's stance to phase down coal use, reduce air pollution, and advance modern sources of energy. We argue that the premise under which the CBAA was historically justified is no longer valid due to a significant change in the local context. Namely, the environmental and social costs of coal energy are far more salient and the market has cleaner energy alternatives that are cost competitive. We recommend updating land acquisition laws to bring coal under the general purview of LARR or, at minimum, amending the CBAA to ensure adequate environmental and social safeguards are in place, both in letter and practice. |
| Date: | 2023–04 |
| URL: | http://d.repec.org/n?u=RePEc:arx:papers:2304.14941&r=env |
| By: | Kang, Munsu (KOREA INSTITUTE FOR INTERNATIONAL ECONOMIC POLICY (KIEP)) |
| Abstract: | The food security crisis in the Middle East has been exacerbated by several events, including COVID-19 and Russia's invasion of Ukraine, but the greater crisis is the decline in agricultural productivity caused by climate change and the rise of protectionist trade policies. This study examined the impact of drought on regional grain prices, specifically drought, which has the greatest impact on the Middle East region of Africa among weather changes. It was predicted by the IPCC (2019) that weather changes would affect agricultural production systems and that these changes would affect international grain markets and government trade policies. This study found that prices in the African Middle East maize and rice market increased as the drought intensified and the period lengthened, as predicted. Sorghum and millet, however, are relatively inelastic to climate change, so it can be assumed that they will receive attention as climate change intensifies. This study proposes areas for cooperation such as agricultural production, supporting the vulnerable, and crop reserve with the Middle East and Africa. |
| Keywords: | Climate change; Food security; Africa; Middle East |
| Date: | 2023–03–29 |
| URL: | http://d.repec.org/n?u=RePEc:ris:kiepwe:2023_011&r=env |
| By: | Taylor, Charles A.; Druckenmiller, Hannah (Resources for the Future) |
| Abstract: | In 2020 the EPA narrowed the definition of ‘Waters of the United States’, significantly limiting wetland protection under the Clean Water Act. Current policy debates center on the uncertainty around wetland benefits. We estimate the value of wetlands for flood mitigation across the US using detailed flood claims and land use data. We find the average hectare of wetland lost between 2001 and 2016 cost society $1, 840 annually, and over $8, 000 in developed areas. We document significant spatial heterogeneity in wetland benefits, with implications for flood insurance policy and the 50% of ‘isolated’ wetlands at risk of losing federal protection.Click "Download" above to read the full paper. |
| Date: | 2021–08–23 |
| URL: | http://d.repec.org/n?u=RePEc:rff:dpaper:dp-21-26&r=env |
| By: | Zakaria Kadiri (University Hassan II [Casablanca]); Ahmed Benmihoub (CREAD - Centre de recherches en économie appliquée au développement); Stefano Farolfi (UMR G-EAU - Gestion de l'Eau, Acteurs, Usages - Cirad - Centre de Coopération Internationale en Recherche Agronomique pour le Développement - BRGM - Bureau de Recherches Géologiques et Minières (BRGM) - IRD - Institut de Recherche pour le Développement - AgroParisTech - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement - Institut Agro Montpellier - Institut Agro - Institut national d'enseignement supérieur pour l'agriculture, l'alimentation et l'environnement, Cirad-ES - Département Environnements et Sociétés - Cirad - Centre de Coopération Internationale en Recherche Agronomique pour le Développement); Faten Khamassi (Institut National Agronomique de Tunis (TUNISIE)); Nicolas Faysse (UMR G-EAU - Gestion de l'Eau, Acteurs, Usages - Cirad - Centre de Coopération Internationale en Recherche Agronomique pour le Développement - BRGM - Bureau de Recherches Géologiques et Minières (BRGM) - IRD - Institut de Recherche pour le Développement - AgroParisTech - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement - Institut Agro Montpellier - Institut Agro - Institut national d'enseignement supérieur pour l'agriculture, l'alimentation et l'environnement, Cirad-ES - Département Environnements et Sociétés - Cirad - Centre de Coopération Internationale en Recherche Agronomique pour le Développement) |
| Date: | 2022–12–22 |
| URL: | http://d.repec.org/n?u=RePEc:hal:journl:cirad-03945495&r=env |
| By: | Walls, Margaret A. (Resources for the Future); Ferreira, Celso; Liao, Yanjun (Penny) (Resources for the Future); Pesek, Sophie (Resources for the Future) |
| Abstract: | Coastal regions are economically important but also susceptible to sea level rise and flooding. This study assesses the exposure of local economies to tidal flooding in the Chesapeake Bay region using geolocated businesses and employment data. Our results show that approximately 263, 500 jobs and $11.1 billion in wage income will be exposed to 100-year flooding by 2050, which is almost 50% higher compared to current conditions due to sea level rise. Several jurisdictions are exposure hotspots with a much higher number or share of jobs and wage income subject to flood risk. We also identify 44 census tracts that have both high flood exposure and high population vulnerability. Our results highlight the need for better coordination between state economic development and climate resilience policies to address the growing challenges of climate change in coastal regions. |
| Date: | 2023–05–04 |
| URL: | http://d.repec.org/n?u=RePEc:rff:dpaper:dp-23-12&r=env |
| By: | Hyeyoon Jung; João A. C. Santos; Lee Seltzer |
| Abstract: | We build on the estimated sectoral effects of climate transition policies from the general equilibrium models of Jorgenson et al. (2018), Goulder and Hafstead (2018), and NGFS (2022a) to investigate U.S. banks’ exposures to transition risks. Our results show that while banks’ exposures are meaningful, they are manageable. Exposures vary by model and policy scenario with the largest estimates coming from the NGFS (2022a) disorderly transition scenario, where the average bank exposure reaches 9 percent as of 2022. Banks’ exposures increase with the stringency of a carbon tax policy but tend to benefit from a corporate or capital tax cut redistribution policy relative to a lump sum dividend. Also, banks’ exposures increase, although not dramatically in stress scenarios. For example, according to Jorgenson et al. (2018), banks’ exposures range from 0.5—3.5 percent as of 2022. Assuming that loans to industries in the top two deciles most affected by the transition policy lose their entire value, banks’ exposures would increase to 12—14 percent. Finally, there is a downward trend in banks’ exposures to the riskiest industries, which appears to be at least in part due to banks gradually reducing funding to these industries. |
| Keywords: | climate risk; transition risk; climate; Network for Greening the Financial System (NGFS) scenarios |
| JEL: | G21 H23 Q54 |
| Date: | 2023–04–01 |
| URL: | http://d.repec.org/n?u=RePEc:fip:fednsr:95939&r=env |
| By: | Tobi Kossigan (Faculty of Economics, University of Lomé); Edgeweblime Kcodgoh |
| Abstract: | The main objective of this paper is to analyze the effect of land security on the adaptation strategies of agricultural households to climate change in Togo. By applying the multinomial logit model to data from the Harmonized Household Living Conditions Survey conducted by the National Institute of Statistics and Economic and Demographic Studies (INSEED) in 2018- 2019 in Togo, the results show that land tenure security positively and significantly affects the adaptation strategies of agricultural households in Togo. This result remains valid even if we apply ordinary least squares to the coping strategy index constructed from the principal component analysis. The study suggests policies to formally secure agricultural plots in Togo. |
| Abstract: | L'objectif principal de ce papier est d'analyser l'effet de la sécurité foncière sur les stratégies d'adaptation des ménages agricoles au changement climatique au Togo. En appliquant le modèle de logit multinomial aux données de l'enquête Harmonisée sur les Conditions de Vies des ménages réalisée par l'Institut National de la Statistique et des Études Économiques et Démographiques (INSEED) en 2018-2019 au Togo, les résultats montrent que la sécurité foncière affecte positivement et significativement les stratégies d'adaptation des ménages agricoles au Togo. Ce résultat reste valable même si nous appliquons les moindres carrés ordinaires à l'indice de stratégie d'adaptation construit à partir de l'analyse en composante principale. L'étude suggère des politiques visant la sécurisation formelle des parcelles agricoles au Togo |
| Keywords: | Climate change, land security, adaptation strategies, multinomial logit model, Togo, Changement climatique sécurité foncière stratégies d'adaptation modèle de logit multinomial Togo Climate change land security adaptation strategies multinomial logit model Togo, Changement climatique, sécurité foncière, stratégies d'adaptation, modèle de logit multinomial |
| Date: | 2022–10–27 |
| URL: | http://d.repec.org/n?u=RePEc:hal:journl:hal-04031537&r=env |
| By: | Campbell, Erin (Resources for the Future); Pizer, William (Resources for the Future) |
| Abstract: | Border carbon adjustments (BCAs) are national or possibly multicountry trade measures—typically taxes on imports (and sometimes rebates on exports)—intended to support ambitious national climate mitigation policies. They are meant to address part of the problem that ambitious mitigation policies in one jurisdiction can lead to increased emissions in jurisdictions with less ambitious policies (“leakage†). In particular, they address the portion of leakage associated with energy-intensive production moving from areas with more ambitious policies to those with weaker policies (“competitiveness†). BCAs are being discussed as part of broader carbon pricing policies, like the European Union’s Emissions Trading Scheme (EU ETS), which recently put forward a concrete BCA proposal; they have also been described and modeled alongside a domestic carbon tax. Much has been written about the design of a BCA in this world with what we might call “full†carbon pricing.Yet, nations’ climate mitigation policies may or may not include carbon pricing, and when they do, the carbon pricing is often not comprehensive. In the United States, for example, carbon pricing has been implemented at the state level (California, Washington State, and the northeastern states’ Regional Greenhouse Gas Initiative) but is currently a lower priority in national policy than incentives and regulatory standards. China has implemented an ETS that allocates free allowances based on performance benchmarks like a firm’s production level of electricity or (in the future) other industrial products. That is, the policy might regulate tons of CO2 per megawatt of electricity, per ton of steel produced, or per ton of cement. This is frequently referred to as a tradable performance standard (TPS; see Pizer and Zhang 2018). Even the EU ETS gives significant free allocation to energy-intensive, trade-exposed industries, thereby blunting some of the ETS effects. This raises the question of how a BCA might work with a “partial-price†or “nonprice†policy.In this paper, we talk about “partial†price policy as implementing an explicit carbon price that is paid on some, but not all of a firm’s actual emissions. Perhaps there is a free allocation tied, one way or another, to production of a given product. This might be explicit, through a tradable performance standard or output-based allocation, or implicit, through a free allocation that helps address competitiveness effects.We talk about a “nonprice†policy as regulating emissions through some type of non-tradable technical or performance-based standard; there is no observed price. Although it is possible to estimate an implicit price or marginal cost associated with the most recent (most expensive) ton of carbon dioxide reduced, it is not observed explicitly.In this short paper we outline basic principles of how such partial-price or nonprice policies might equivalently be applied to imports as a BCA. Full carbon-pricing policies (auctioned ETS credits or a carbon tax) typically put an equivalent price on the carbon content of imports, usually with an adjustment for any carbon pricing in the country of origin. In contrast, partial-price or nonprice policies exempt a portion of the carbon content of imported goods before applying any price. Moreover, the price paid on emissions above the exemption should be based on some notion of marginal cost if a market price or tax is not observed. That is, it should be based on the cost of the last ton abated domestically, not the average cost.Our lens on this issue is an economic notion of roughly equivalent treatment. That is, are exporters to a regulated market facing the same incentives and charges, on average, as a domestic producer? “On average†is a critical term. Unless there is a transparent, fully national climate policy that is easily replicated on imports, the existence of state- (or even local-) level regulation means different producers will likely face different incentives and costs. Even with national regulation under the Clean Air Act, states may have some discretion in their implementation. Or a national regulation may give some deference to the starting point of individual firms in the application of benchmarks. The choice of how to match a range of observed a range of domestic incentives and charges to BCA parameters has consequences that might motivate matching the high or low end of observed values instead of the average.We note at the outset that we are also ignoring issues of WTO compatibility. This has been discussed elsewhere at length for full-price policies (Hillman 2013; Howse 2021). Partial-price and especially nonprice policies raise even more issues as the treatment of imports, while attempting to mimic domestic policy incentives and costs, is not the same. There may be no explicit domestic charges even as BCAs are implemented as a charge. We leave this for future work.BCAs raise myriad other design questions, including treatment of exports, measurement of emissions, scope (e.g., are indirect emissions targeted?), types of imports covered, and use of revenue. There is also the question of BCAs’ fairness with respect to developing and emerging economies. We believe these questions apply regardless of whether there are full-, partial-, or non-price domestic policies and we do not attempt to tackle them here (see, e.g., Marcu, Mehling, and Cosbey 2020). Rather, our plan is, first, to review the costs imposed by full-, partial-, and nonprice policies and the application of BCAs in the context of full-price domestic policies. This frames our economic notion of trying to apply equivalent treatment to imports. We then discuss how BCAs could seek equivalent treatment with a partial-price or nonprice policy similar to the notion applied with full-price policies. Finally, we consider how domestic policies intersect with one other, and how BCAs might account for a trade partner’s similar or different policies.To continue reading, click "download" above. |
| Date: | 2021–07–29 |
| URL: | http://d.repec.org/n?u=RePEc:rff:dpaper:dp-21-21&r=env |
| By: | Risto Conte Keivabu (Max Planck Institute for Demographic Research, Rostock, Germany); Marco Cozzani; Joshua Wilde (Max Planck Institute for Demographic Research, Rostock, Germany) |
| Abstract: | In this paper, we combine administrative data for continental Spain from 2010 to 2018 with meteorological data to identify the effect of temperature on fertility. We demonstrate that warm (25-30°C) and hot days (>30°C) decrease total fertility rate (TFR) in Spain, and that the estimated decrease is higher than the effects estimated in previous literature for other countries. Moreover, we show that locations with a colder climate are more vulnerable to the impact of heat. Our results suggest that the global impact of climate change on population dynamics may be understated, especially without adaptation and mitigation measures, and that temperature increases may exacerbate the socio-economic consequences of low fertility such as population ageing. |
| JEL: | J1 Z0 |
| Date: | 2023 |
| URL: | http://d.repec.org/n?u=RePEc:dem:wpaper:wp-2023-021&r=env |
| By: | Gilles Dufrénot (AMSE - Aix-Marseille Sciences Economiques - EHESS - École des hautes études en sciences sociales - AMU - Aix Marseille Université - ECM - École Centrale de Marseille - CNRS - Centre National de la Recherche Scientifique, CEPII - Centre d'Etudes Prospectives et d'Informations Internationales - Centre d'analyse stratégique); William Ginn (LabCorp); Marc Pourroy (CRIEF - Centre de recherche sur l'intégration économique et financière - Université de Poitiers) |
| Abstract: | We investigate the role of ENSO climate patterns on global economic conditions. The estimated model is based on a rich and novel monthly dataset for 20 economies, capturing 80.2% of global output (based on 2021 IMF data) over the period 1999:01 to 2022:03. The empirical evidence from an estimated global vector autoregression with local projections (GFAVLP) model links an El Niño (EN) shock with higher output and inflation, corresponding with lower global economic policy uncertainty (GEPU). While a shock to the world oil and food price is inflationary, a food price shock leads to elevated GEPU, more so during a LN shock. A main finding is that an increase of the food price can be a source of global vulnerability. The findings indicate that the weather shock impact on global economic conditions is dependent on the climate state. Our result undermines existing studies connecting climate change and economic damage via statistical approach. |
| Keywords: | Weather, Oil and Food Prices, Global Macroeconometric Modeling, Economic Policy Uncertainty |
| Date: | 2023–04–02 |
| URL: | http://d.repec.org/n?u=RePEc:hal:wpaper:hal-04064759&r=env |
| By: | Gu, Grace Weishi; Hale, Galina |
| Date: | 2022–09–01 |
| URL: | http://d.repec.org/n?u=RePEc:cdl:ucscec:qt28q4z6j7&r=env |
| By: | Phoebe Koundouri; Anthony Cox; Arunima Malik; Ben Groom; Brian O'Callaghan; Cameron Hepburn; Catherine Kilelu; Christine Lins; Dale Squires; E. Somanathan; Heba Handoussa; Ian Bateman; Ismail Serageldin; Josep M. Anto; Ketan Patel; Kirsten Brosbol; Lamia Kamal-Chaoui; Luiz Augusto Galvao; Manfred Lenzen; Min Zhu; Rabia Ferroukhi; Richard Carson; Stefan Brunnhuber; Theodoros Zachariadis; Thomas Sterner; Gertrude (Trudi) Makhaya; Angelos Alamanos; Mark C. Freeman; Christian Hansmeyer; Conrad Landis; Tamara Paremoer; Angelos Plataniotis |
| Abstract: | The COVID-19 pandemic caused a global health crisis with severe social and economic effects, formulating a converging situation with the climate change, the biodiversity collapse, the subsequent war in Ukraine and the macroeconomic recession. This combination of challenges forms an unprecedented opportunity for addressing them systemically, achieving multiple co-benefits under the broader sustainability context: Alleviating poverty and hunger, inequality, and building resilient societies, based on inclusiveness and strong finance, is the topic of this paper. We explain the concept of this ''green'' recovery, the pathways to achieve it, the key areas-sectors for transformation, and outline the funding opportunities and necessary changes for its globally sustainable implementation. This paper reflects the work of global experts on the field, joined after the Lancet Commissioned Report on the Recovery from COVID-19, with a strong focus on science-based policy, global cooperation, and international finance. |
| Keywords: | Sustainability, Resilience, Green Recovery, Finance, Global Cooperation, COVID-19 |
| Date: | 2023–05–10 |
| URL: | http://d.repec.org/n?u=RePEc:aue:wpaper:2311&r=env |
| By: | Pul, Hippolyt; Meinzen-Dick, Ruth Suseela; Konde, Bernard B.; Zogho, Donatus; Kuuchille, Emmanuel V.; McCarthy, Nancy; Marivoet, Wim |
| Abstract: | The World Food Programme (WFP) supports communities to mitigate the impact of and build resilience to natural and human-made shocks and stressors that contribute to food insecurity and destabilize people’s livelihoods. WFP’s interventions, therefore, aim to equip communities with the knowledge, skills, and tools to avert or mitigate the impact of cyclical natural events such as droughts and floods through asset and capacity building in affected communities. In the Sahelian areas of Burkina Faso and Niger (as part of a broader regional program also covering Chad, Mali, and Mauritania), WFP promotes climate-resilient agricultural infrastructure and systems to help address issues of land degradation, deforestation, dwindling pasturelands, and depletion of water sources, which all trigger competition for productive resources and migration of people and livestock into better-resourced areas. The interventions also aim to address the impacts of violent conflict from within and outside communities in the Sahelian belt of the two countries, especially those related to extremist groups operating in the area. Though primarily designed to increase community assets for productive purposes, WFP’s support for the rehabilitation of lands, construction of water-harvesting and retention structures, reforestation and protection of farmlands and pastures, and soil fertility improvement interventions also aims to increase the availability of, reduce intergroup competition for, and ensure equitable access to these resources. In this way, WFP hopes to reduce conflicts over community resources. The use of participatory and collaborative processes for mobilizing and engaging communities should also contribute to increased dialogue within and between different communities and promote peaceful coexistence among the different groups. In particular, the requirement of collaborative approaches to development of communal assets is intended to create spaces of encounter and dialogue that could ease tensions, promote equity in the distribution and use of the created assets, and build relationships among various stakeholders and community groups to ensure that actions for resilience building have the support of government, development partners, and other decision-makers at several administrative levels. |
| Keywords: | BURKINA FASO; NIGER; WEST AFRICA; AFRICA SOUTH OF SAHARA; AFRICA; resilience; shocks; food insecurity; livelihoods; natural disasters; climate change adaptation; agricultural systems; conflict; migration; infrastructure; resources; WFP |
| Date: | 2023 |
| URL: | http://d.repec.org/n?u=RePEc:fpr:othbrf:136696&r=env |
| By: | Lylah Davies; Deger Saygin |
| Abstract: | Colombia has prioritised the use of renewable energy to expand and improve electricity services for its population in zones non-interconnected to the national grid. Recent policies and regulations have supported this ambition with successive measures to strengthen investment conditions for distributed renewable energy, like standalone solar photovoltaic (PV) solutions and hybrid solar PV mini-grids. Still, the distributed renewable energy market in non-interconnected zones is relatively immature, reflected by the high costs for connecting new users. New business and financing models will be critical to bringing down the cost of renewable energy technologies, accessing private equity and debt in larger volumes, and ultimately progressing towards replacing existing inefficient and polluting diesel generation systems. Building on international experiences, this paper discusses approaches to strengthening investment conditions, looking at support mechanisms and de-risking instruments used elsewhere, which can help bridge the financing gap in Colombia. |
| Keywords: | Blended Finance, Distributed Energy Sources, Energy Access, Finance and Investment, Renewable Energy, Rural Electrification |
| JEL: | G20 H32 H54 Q40 Q42 Q48 Q52 Q56 H71 |
| Date: | 2023–05–17 |
| URL: | http://d.repec.org/n?u=RePEc:oec:envaaa:213-en&r=env |
| By: | David OBURA; Sébastien TREYER |
| Abstract: | La biodiversité est un exemple classique de bien commun mondial. Face au changement climatique rapide, au déclin de la biodiversité, à la croissance démographique et aux enjeux de croissance économique, les pays d'Afrique subsaharienne sont confrontés à un défi existentiel pour leur sécurité et leur bien-être. Nous lions ici les approches « par les biens communs » à une approche nouvelle de la planification locale basée sur la notion de « terre partagée ». Cette démarche se concentre sur la santé et les services de la nature dont dépend notre existence. Elle combine les préoccupations de conservation avec les moyens de subsistance et avec les cultures et les institutions locales dans le but d’imaginer des solutions locales qui répondent aux besoins des populations tout en garantissant la préservation de la biodiversité et de ses services pour l'avenir. Bien menée, cette approche peut faciliter une participation équitable des acteurs locaux à des chaînes d'approvisionnement à plus grande échelle et transnationales, à partir de principes partagés d'équité d'accès et d’usage de la nature. Cette démarche peut ainsi aider les pays africains et leurs partenaires à réajuster leurs obligations respectives à l'échelle mondiale, au titre des objectifs de développement durable (à 2030) et du nouveau cadre mondial de la biodiversité (à 2050), tout en répondant aux besoins locaux et en préservant une certaine qualité de vie. |
| Keywords: | Afrique |
| JEL: | Q |
| Date: | 2023–05–16 |
| URL: | http://d.repec.org/n?u=RePEc:avg:wpaper:fr15500&r=env |
| By: | Shen, Chang; Linn, Joshua (Resources for the Future) |
| Abstract: | Growth of private vehicle ownership in low-income and emerging countries is a dominant factor in forecasts of global oil demand and greenhouse gas emissions. Countries such as China are expected to experience rapid income growth over the next few decades, but little causal evidence exists on its effect on car ownership in these countries. Using city-level data on new car sales and income from 2005 to 2017, and using export-led growth to isolate plausibly exogenous income variation, we estimate an elasticity of new car sales to income of about 2.5. This estimate indicates that recent projections of vehicle sales in China have understated actual sales by 36 percent and carbon dioxide emissions by 18 million metric tons in 2017. The results suggest that, to meet its climate objectives, China’s climate policies will need to be substantially more aggressive than previous forecasts indicate. |
| Date: | 2021–06–24 |
| URL: | http://d.repec.org/n?u=RePEc:rff:dpaper:dp-21-17&r=env |
| By: | Juan Benavides; Marthe E. Delgado-Rojas; Felipe Castro; Alejandra Fonseca; Sebastián Bernal |
| Abstract: | La infraestructura es una plataforma transversal a toda la economía, cuyos beneficios a los usuarios directos son una fracción pequena de los beneficios totales a la sociedad. El ARES Colombia 2022 se enfoca en analizar el rol de la infraestructura como habilitador del crecimiento económico y el desarrollo sostenible con un foco regional (Región Caribe, Pacífico y los Santanderes) y un foco sectorial (transición energética, transporte, agua y alcantarillado, residuos, TICS, agro/agroindustria y agroforestal). Como resultado del diagnóstico que se desarrolla en el resto del documento y de la identificación de oportunidades innovadoras, se seleccionaron las intervenciones transversales o nacionales tanto regulatorias como de política pública que pueden tener impactos altos y dentro del plazo del Plan Nacional de Desarrollo 2022-2026.****** Abstract: Infrastructure is a transversal platform for the entire economy, whose benefits to direct users are a small fraction of the total benefits to society. The ARES Colombia 2022 focuses on analyzing the role of infrastructure as an enabler of economic growth and sustainable development with a regional focus (Caribbean, Pacific and Santander Regions) and a sectoral focus (energy transition, transport, water and sewerage, waste , ICTs, agro/agroindustry, and agroforestry). As a result of the diagnosis that is developed in the rest of the document and the identification of innovative opportunities, cross-cutting or national interventions, both regulatory and public policy, that can have high impacts and within the term of the National Development Plan 2022-2026. |
| Keywords: | Desarrollo Económico, Análisis Sectorial, Recomendaciones de Política, Infraestructura, Transición Energética, Crecimiento Económico, Desarrollo Sostenible, Colombia, Economic Development, Sectorial Analysis, Policy Recommendations, Infrastructure, Energy Transition, Economic Growth, Sustainable Development, Cololmbia |
| JEL: | O13 O14 O18 |
| Date: | 2022–08–16 |
| URL: | http://d.repec.org/n?u=RePEc:col:000124:020739&r=env |
| By: | Demarcq François; Couturier Christian (SOLAGRO - Association); Etienne Elyne; Duru Michel (INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement); Morineau Jacques (CIVAM - Centres d’Initiatives pour Valoriser l’Agriculture et le Milieu rural); Boitias Mathilde; Jean-Christophe Bureau (UMR PSAE - Paris-Saclay Applied Economics - AgroParisTech - Université Paris-Saclay - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement) |
| Abstract: | Le besoin est essentiel de protéger les prairies permanentes, pour le stock important de carbone qu'elles abritent dans leurs sols et pour les services écosystémiques qu'elles rendent à l'agriculture et à la société. Le paradoxe est la nécessité de réduire les émissions de méthane dues aux ruminants (environ 9 % des émissions de gaz à effet de serre de la France) et notre consommation de protéines animales (pour suivre les recommandations de santé publique), ce qui passe par la réduction de la place de l'élevage dans notre production agricole. Face à l'urgence écologique et aux enjeux sanitaires, la transition agricole et alimentaire, donc de l'élevage, est nécessaire mais s'avère complexe. |
| Date: | 2022–03–03 |
| URL: | http://d.repec.org/n?u=RePEc:hal:wpaper:hal-04025298&r=env |
| By: | Josh Blonz; Brigitte Roth Tran; Erin E. Troland |
| Abstract: | The energy transition away from fossil fuels, despite its substantial overall climate benefits, presents significant transition risks for communities historically built around the fossil fuel industry. This paper uses the decline in the Appalachian coal industry between 2011 and 2018 to understand how individuals are harmed by a reduction in local fossil fuel extraction activity. We use individual-level credit data and exogenous variation in coal demand from the electricity sector to identify how the coal mining industry’s decline affected the finances of Appalachian households. We find that the decline in demand for coal caused broad-based negative impacts, decreasing credit scores and increasing credit utilization, delinquencies, amounts in third party collections, bankruptcy rates, and the number of individuals with subprime status. These effects were broad based and cannot be explained solely by individuals who lost coal mining jobs. Individuals with the lowest pre-period credit scores were more likely to end up in financial distress and experienced a greater deterioration in credit scores. Quantile regressions show that the drop in credit scores from the coal decline was most pronounced between the 30th and 50th percentiles of the credit score distribution. Our results provide evidence that people living in fossil fuel extraction regions are likely to experience declines in financial well-being from the energy transition even if they do not directly work in the affected industry. |
| JEL: | D14 G51 L71 Q52 Q54 R11 |
| Date: | 2023–03 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:31072&r=env |
| By: | Böhringer, Christoph; Fischer, Carolyn (Resources for the Future); Rivers, Nicholas |
| Abstract: | Carbon pricing policies worldwide are increasingly coupled with direct or indirect subsidies where emissions pricing revenues are rebated to the regulated entities, particularly for emission-intensive and trade-exposed firms. We analyze the incentives created by two novel forms of rebating that reward additional emission intensity reductions: one given in proportion to output (intensity-based output rebating, IBOR) and another that rebates a share of emissions payments made (intensity-based emissions rebating, IBER). We contrast them with more common approaches like output-based rebating (OBR), abatement-based rebating (ABR), or lump-sum rebating (LSR). Comparing revenue-neutral schemes, given the same emissions price, IBOR incentivizes the most intensity reductions, while ABR incentivizes the most output reductions, and OBR puts the least pressure on output (and emissions); IBER lies in between by implicitly subsidizing emissions while incentivizing intensity reductions. We supplement partial equilibrium theoretical analysis with numerical simulations to assess the performance of different mechanisms in a multisector general equilibrium model that accounts for economy-wide market interactions and accommodates the trade-off analysis between overall economic efficiency and sectoral performance indicators such as output or emission intensity. |
| Date: | 2022–01–05 |
| URL: | http://d.repec.org/n?u=RePEc:rff:dpaper:dp-21-37&r=env |
| By: | Andersson, Henrik; Ouvrard, Benjamin |
| Abstract: | Using a discrete choice experiment this study examines whether different types of priming may influence the respondents’ answers when choosing between different policies aimed at reducing the mortality risk due to ambient air pollution. We focus on two types of priming: (i) two versions of an oath where respondents commit to answer truthfully during the survey, and (ii) a priming scenario that combines information about the social cost of ambient air pollution and questions on the respondents’ experiences related to the topic. To test the robustness of the findings the same survey is implemented in two different countries, the United States (US) and the United Kingdom (UK). Results show that respondents behave as expected in the choice situations and the two estimates of the value of statistical life (VSL) obtained are in line with values recommended for policy purposes in both countries. Regarding the priming treatments, we find that the oath treatments have different effects in the US and in the UK, and that the priming scenario has an effect on those who have already been suffering from air pollution (US), or on those who are willing to change and undertake actions to protect the environment (UK). |
| Date: | 2023–05–12 |
| URL: | http://d.repec.org/n?u=RePEc:tse:wpaper:128095&r=env |
| By: | Linn, Joshua (Resources for the Future); Holt, Christopher |
| Abstract: | Nitrogen oxides (NOx) are a precursor to ground-level ozone, a pernicious pollutant that is harmful to human health and ecosystems. Despite decades of regulations and a precipitous decline in NOx emissions, episodic high-ozone events prevent many areas from attaining air quality standards. Theoretically, spatially or temporally differentiated emissions prices could be more cost effective at reducing such events than a uniform price. To test this prediction, with data from EPA and NOAA spanning 2001–2019, we use novel empirical strategies to estimate (1) the link between hourly emissions and high-ozone events and (2) hourly marginal abatement costs. These estimates form the basis for simulations that compare uniform and differentiated emissions pricing. Consistent with economic theory, differentiated pricing is substantially more cost effective at reducing high-ozone events, but this advantage depends on the accuracy of the estimated NOx–ozone relationship. |
| Date: | 2023–02–14 |
| URL: | http://d.repec.org/n?u=RePEc:rff:dpaper:dp-23-02&r=env |
| By: | Torsten Ehlers; Ulrike Elsenhuber; Kumar Jegarasasingam; Eric Jondeau |
| Abstract: | Environmental, Social, and Governance (ESG) scores are a key tool for asset managers in designing and implementing ESG investment strategies. They, however, amalgamate a broad range of fundamentally different factors, creating ambiguity for investors as to the underlying drivers of higher or lower ESG scores. We explore the feasibility and performance of more targeted investment strategies based on specific ESG categories, by deconstructing ESG scores into their granular components. First, we investigate the characteristics of the various categories underlying ESG scores. Not all types of ESG categories lend themselves to more focused strategies, which is related to both limits to ESG data disclosure and the fundamental challenge of translating qualitative characteristics into quantitative measures. Second, we consider an investment scheme based on the exclusion of firms with the lowest scores in a given category of interest. In most cases, this strategy allows investors to substantially improve the ESG category score, with a marginal impact on financial performance relative to a broad stock market benchmark. The exclusion results in regional and sectoral biases relative to the benchmark, which may be undesirable for some investors.We then implement a “best-in-class” strategy by excluding firms with the lowest category scores and reinvesting the proceeds in firms with the highest scores, maintaining the same regional and sectoral composition. This approach reduces the tracking error of the portfolio and slightly improves its risk-adjusted performance, while still yielding a large gain in the targeted ESG category score. |
| Keywords: | Sustainable investment; ESG ratings; ESG investing; Negative screening; Best-in-class screening; ESG score; ESG category; headline ESG; ESG data disclosure; Corporate social responsibility; Greenhouse gas emissions; Labor force; North America; Global; Europe |
| Date: | 2023–03–10 |
| URL: | http://d.repec.org/n?u=RePEc:imf:imfwpa:2023/057&r=env |
| By: | Peter Haan; Adrián Santonja; Aleksandar Zaklan |
| Abstract: | We evaluate German purchase subsidies for battery electric vehicles (BEVs) and plug-in hybrid electric vehicles (PHEVs) using data on new vehicle registrations in Germany during 2015-2022. We account for confounding time trends and interacting EU-level CO2 standards using neighboring countries as a control group. The program was cost-ineffective, as only 40% of BEV and 25% of PHEV registrations were subsidy-induced, and had strong distributional effects, with greater uptake in wealthier and greener counties. The implied abatement cost of 870 euro per ton of CO2 for BEVs and 2, 470 euro for PHEVs suggests that subsidies to PHEVs were especially cost-ineffective. |
| Keywords: | Decarbonizing road transport, electric mobility, purchase subsidies, policy effectiveness, distributional effects of climate policy |
| JEL: | Q54 Q58 H23 R48 |
| Date: | 2023 |
| URL: | http://d.repec.org/n?u=RePEc:diw:diwwpp:dp2032&r=env |
| By: | Zagorodny, Juan Pablo |
| Abstract: | En este documento se recogen los resultados de la evaluación de los posibles efectos del cambio en la política comercial del Ecuador respecto de los países miembros de la Alianza del Pacífico, principalmente México. Dado que el período del estudio coincide con el de la pandemia de enfermedad por coronavirus (COVID-19), también se evaluaron los efectos derivados de la misma. Entre las principales conclusiones se destaca que, tras la posible incorporación plena del Ecuador a la Alianza del Pacífico, el PIB del país mostraría un leve incremento (0, 09%). Entre los sectores más beneficiados estarían los de agricultura, ganadería y pesca; alimentos, bebidas y tabacos, y químico, con tasas de variación en sus exportaciones del 14%, el 61% y el 17%, respectivamente. Una posible adhesión del Ecuador a la Alianza del Pacífico también tendría consecuencias en el segmento de importaciones de manufacturas, ya que el país podría proveerse de insumos intermedios y bienes de capital necesarios para el proceso productivo. Dado un acuerdo amplio con los países miembros de la Alianza del Pacífico, el Ecuador podría ampliar su integración con Chile y México, profundizando, además, sus nexos comerciales y productivos con Colombia y el Perú. |
| Keywords: | VEHICULOS ELECTRICOS, BATERIAS ELECTRICAS, BATERIAS AL LITIO, ECONOMIA VERDE, RECICLAJE, TRATAMIENTO DE DESPERDICIOS, DIRECTRICES, DESARROLLO SOSTENIBLE, ELECTRIC VEHICLES, ELECTRIC BATTERIES, LITHIUM CELLS, GREEN ECONOMY, RECYCLING, WASTE TREATMENT, GUIDELINES, SUSTAINABLE DEVELOPMENT |
| Date: | 2023–04–26 |
| URL: | http://d.repec.org/n?u=RePEc:ecr:col039:48838&r=env |
| By: | Joshua Blonz; Brigitte Roth Tran; Erin Troland |
| Abstract: | The energy transition away from fossil fuels presents significant transition risks for communities historically built around the fossil fuel industry. This paper uses the decline in the Appalachian coal industry between 2011 and 2018 to understand how individuals are harmed by a reduction in local fossil fuel extraction activity. We use individual-level credit data and exogenous variation in coal demand from the electricity sector to identify how the coal mining industry’s decline affected the finances of Appalachian households. We find that the decline in demand for coal caused broad-based negative impacts, decreasing credit scores and increasing credit utilization, delinquencies, amounts in third party collections, bankruptcy rates, and the number of individuals with subprime status. These effects were broad based and cannot be explained solely by individuals who lost coal mining jobs. Individuals with the lowest pre-period credit scores were more likely to end up in financial distress and experienced a greater deterioration in credit scores. Quantile regressions show that the drop in credit scores from the coal decline was most pronounced between the 30th and 50th percentiles of the credit score distribution. Our results provide evidence that people living in fossil fuel extraction regions are likely to experience declines in financial well-being from the energy transition even if they do not directly work in the affected industry. |
| Keywords: | coal mining; household finance; energy transition; transition risks; climate policy |
| Date: | 2023–03–07 |
| URL: | http://d.repec.org/n?u=RePEc:fip:fedfwp:95885&r=env |
| By: | B. Kelsey Jack (University of California at Santa Barbara); Seema Jayachandran (Princeton University); Namrata Kala (MIT Sloan School of Management); Rohini Pande (Yale University) |
| Abstract: | Particulate matter significantly reduces life expectancy in India. We use a randomized controlled trial in the state of Punjab to evaluate the effectiveness of conditional cash transfers (also known as payments for ecosystem services, or PES) in reducing crop residue burning, which is a major contributor to the region’s poor air quality. Credit constraints and distrust may make farmers less likely to comply with standard PES contracts, which only pay the participant after verification of compliance. We randomize paying a portion of the money upfront and unconditionally. Despite receiving a lower reward for compliance, farmers offered partial upfront payment are 8-12 percentage points more likely to comply than are farmers offered the standard contract. Burning measures based on satellite imagery indicate that PES with upfront payments significantly reduced burning, while standard PES payments were inframarginal. We also show that PES with an upfront component is a cost-effective way to improve India’s air quality. |
| Keywords: | India, Life Expectancy, Payments for Ecosystem Services, PES |
| JEL: | O13 Q01 Q56 |
| Date: | 2023–03 |
| URL: | http://d.repec.org/n?u=RePEc:pri:cepsud:307&r=env |
| By: | Newell, Richard G. (Resources for the Future); Pizer, William (Resources for the Future); Prest, Brian C. (Resources for the Future) |
| Abstract: | We develop a discounting rule for estimating the social cost of carbon (SCC) given uncertain economic growth. Diminishing marginal utility of income implies a relationship between the discount rate term structure and economic growth uncertainty. In the classic Ramsey framework, this relationship is governed by parameters reflecting pure time preference and the elasticity of the marginal utility of consumption; yet disagreement remains about the values of these parameters. We calibrate these parameters to match empirical evidence on both the future interest rate term structure and economic growth uncertainty, while also maintaining consistency with discount rates used for shorter-term benefit-cost analysis. Such an integrated approach is crucial amidst growth uncertainty, where growth is also a key determinant of climate damages. This results in an empirically driven, stochastic discounting rule to be used in estimating the SCC that also accounts for the correlation between climate damage estimates and discount rates. |
| Date: | 2021–06–18 |
| URL: | http://d.repec.org/n?u=RePEc:rff:dpaper:dp-21-16&r=env |
| By: | Groom, Ben; Linsenmeier, Manuel; Roth, Sefi |
| Abstract: | Econometric analysis of the global impact of temperature fluctuations on Gross Domestic Product (GDP) suggests a generalised coupled-climate-economy relationship in which higher temperatures harm warm countries, benefit cooler ones and an "optimal" temperature exists in between1–3. However, aggregate temperature-GDP relationships reflect an average across different spatial scales and sectors of the economy, thereby masking any underlying heterogeneity. Ignoring such heterogeneity could misrepresent the overall costs or benefits of temperature change and provide misleading guidance for mitigation and adaptation policies. Focusing on Europe, we use administrative district level data on the growth rate of Gross-Value Added (GVA) and GDP to estimate the impact of temperature fluctuations on economic growth at the national level, the district level, and by industry. Unlike previous studies with a global focus, for Europe we find negative effects of warmer-than-average years on GVA and GDP in relatively cold districts (annual mean temperature -1 to 15 degrees Celsius). In warmer regions (15 to 25 degrees Celsius) warmer-than-average years tend to increase economic output. Warmer temperatures only benefit extremely cold (<-1C) districts and are only costly to extremely warm (>25C) districts. Across Europe this robust U-shaped temperature-GDP relationship implies a -0.22 (95% CI: [-0.19, -0.25]) percentage point reduction in economic growth, rather than a benefit of +0.18 ([0.15, 0.21]) percentage points implied by the inverted-U-shaped relationship from previous studies. Disaggregating by economic sector, the negative temperature effect in cold countries stems primarily from the production of goods (e.g. agriculture and construction) not services. Disaggregating by district, the marginal temperature effects are highly heterogeneous, even within countries. Overall, our results invert the narrative that warmer than average temperature will be economically advantageous to colder regions, point to regional vulnerabilities stemming from specialisation, and suggest local temperature optima not a global one. |
| Date: | 2023–04–26 |
| URL: | http://d.repec.org/n?u=RePEc:osf:socarx:tcnad&r=env |
| By: | Witkin, Steven (Resources for the Future); Shawhan, Daniel (Resources for the Future) |
| Abstract: | The power sector is the second-largest contributor of greenhouse (GHG) emissions in the United States, accounting for one-quarter of total emissions. Decarbonization of the power sector can play a leading role in cost-effective economy-wide emissions reductions given that deep emissions reductions are projected to cost more in other sectors. Resources for the Future, with support from the REBA Institute, analyzed decarbonization policy pathways for the power sector through RFF’s advanced power sector model, E4ST, to project the tradeoffs and impacts of key options, including:A national clean energy standard (CES)—both a Fast CES (100% target by 2035) and a Slow CES (100%target by 2050)Utility-led decarbonization—all investor-owned vertically integrated utilities fully decarbonizeA national transmission macrogridExpansion of competitive generation via expansion of organized wholesale electricity markets (OWMs)Expansion of supply choice to almost all commercial and industrial customers |
| Date: | 2021–07–29 |
| URL: | http://d.repec.org/n?u=RePEc:rff:dpaper:dp-21-09&r=env |
| By: | Camille Megy (CentraleSupélec, IFPEN - IFP Energies nouvelles - IFPEN - IFP Energies nouvelles, IFP School); Olivier Massol (IFPEN - IFP Energies nouvelles - IFPEN - IFP Energies nouvelles, IFP School, CentraleSupélec, City University London) |
| Abstract: | Power-to-gas (PtG), a technology that converts electricity into hydrogen, is expected to become a core component of future low-carbon energy systems. While its economics and performance as a sector coupling technique have been well studied in the context of perfectly competitive energy markets, the distortions caused by the presence of large strategic players with a multi-market presence have received little attention. In this paper, we examine them by specifying a partial equilibrium model that provides a stylized representation of the interactions among the natural gas, electricity, and hydrogen markets. Using that model, we compare several possible ownership organizations for PtG to investigate how imperfect competition affects its operations. Evidence gained from these market simulations show that the effects of PtG vary with the multi-market profile of its operator. Producers of fossil-based hydrogen tend to make little use of PtG, whereas renewable power producers use it more to increase the electricity prices. Although PtG operations are profitable and can be welfare-enhancing, the social gain is either very tiny or negative when PtG is strategically operated in conjunction with variable renewable generation. In that case, PtG also raises environmental concerns as it stimulates the use of polluting thermoelectric generation. |
| Keywords: | Power-to-Gas, Sector Coupling, Hydrogen, Renewable Energy Sources, Multi-Market Oligopoly, Mixed Complementarity Problem |
| Date: | 2023–02–01 |
| URL: | http://d.repec.org/n?u=RePEc:hal:wpaper:hal-04087442&r=env |
| By: | Zlata Sergeeva (King Abdullah Petroleum Studies and Research Center) |
| Abstract: | Long-term natural gas contracts are necessary market instruments that provide supply security for customers and demand security for producers. Nevertheless, the European Commission recently announced a plan to ban long-term contracts for unabated fossil gas after 2049. This study shows that this plan may destabilize the market due to the lack of supply security for customers and demand security for producers. |
| Keywords: | Carbon, Carbon capture and storage, CCS, Carbon neutrality |
| Date: | 2023–04–04 |
| URL: | http://d.repec.org/n?u=RePEc:prc:dpaper:ks--2022-dp15&r=env |
| By: | Fock, Heino; Dammann, Robin; Mielck, Finn; Lauerburg, Rebecca A. M.; López Ganzález, Alfonso; Nielsen, Pernille; Nowicki, Margarethe; Pauli, Matthias; Temming, Axel |
| Abstract: | Study design The CRANIMPACT project investigated the effects of beam trawl shrimp fisheries on 2 predominant fisheryrelevant habitat types in the sublittoral of the Wadden Sea National Parks of the northern German states. Two complementary approaches were used to investigate the short-term effects following an experimental fishing event and the chronic changes caused by sustained fishing pressure of varying intensity. In the experimental approach, the short-term, small-scale effects on endo- and epifauna after experimental fishing and their effect duration were investigated on a total of 4 study sites (A, B, B2 in the tidal flat system of the Sylt backshore tidal flat; C in the tidal flat system near Norderney). The experiments were conducted as before-after-control-impact studies (BACI) exclusively in habitat type fine and medium sands with ripple structure (a sufficiently large lanice field could not be sampled). The large-scale and chronic effects of fishing were determined along gradients of fishing intensity in the Wadden Sea of Lower Saxony, Schleswig-Holstein and Denmark. For this purpose, among other things, methods were developed to represent small-scale differences in fishing effort using satellite data in tidal flat systems. Gradient analysis (GA) was carried out on fine and medium sands with ripple structure as well as on fields with colonization of the tree tube worm Lanice conchilega for the endofauna alone. All surveys were conducted in the sublittoral. A total of 427 endofauna samples and 52 epifauna samples were examined from 2019, 2020, and 2021. Results Results from 28 stations were included in the gradient analysis (GA). As a reference area, 5 sites were located on tidal flats in the Danish Wadden Sea, where fishing has been prohibited since 1977. The community analysis of all stations in the GA revealed 2 main associations: A Bathyporeia spp. association on fine and medium sand and a Lanice conchilega association on substrates with increased silt content. In both associations, sub-associations could be identified that could be differentiated based on fishing intensity. Besides fishing intensity, only silt content in the sediment exerted a significant effect on faunal composition. The explicitly included natural disturbance was not significant. However, these two factors explained only just under 20 % of the total variability of the endofaunal community. Of this, 10.3% explanatory contribution came from the level of silt content and 8.9% from differences in fishing intensity. The high similarity of some stations from the no-fishing area with stations with low fishing intensity can be interpreted as the endofauna being resilient to low fishing intensity, which can be explained by adaptation to the existing, comparatively high natural disturbance in the Wadden Sea. In contrast, at stations with high fishing intensity, the total biomass of endofauna increased with increasing fishing intensity in both associations. The significant highest value of 39.5 g ash-free dry weight per m² was measured in the intensively fished Lanice conchilega sub-association at about 100 hours of fishing per year and km². The 'biological-traits' analysis showed that at these stations with high fishing intensity, community characteristics also changed and the abundance of small species < 1 cm body size decreased, while the abundance of larger predatory species increased. Disturbance in the Before-After-Control-Impact experiments (BACI) was established by 4-fold fishing with a commercial shrimper to ensure that the area of the experiment was affected by short-term but significant fishing disturbance. Significant spatiotemporal variability was detected for the endofauna through ANOSIM analysis. Significant differences were also found for individual variables or taxa between the experimentally fished and control plots. In the fewest cases, the differences were consistent across all experiments. In the sum of all considered taxa as well as total number and biomass of all analyzed animals in the respective experiments, no statistical clustering of significant results was found for the differences between disturbance and control after experimental fishing (p=0.23). Where significant negative abundance effects occurred, caused by changes in Bathyporeia spp. or spionids, among others, the modeled effect duration was in the range of 13-20 days and can thus be characterized as short-term. The epifauna was characterized by a few species with high continuity, i.e. species that appeared in almost every sample. In the BACI experiments, in contrast to the endofauna, no significant small-scale variability could be detected in the undisturbed samples. Reasons for this are, on the one hand, the high constancy of the species inventory, but on the other hand also a small number of samples resulting from the comparatively large space required for the hauls with the beam trawl. There was also no statistical clustering of significant test results for the difference between control and disturbance. Individual effects at the species level were detected for Crangon crangon and Asterias rubens. In experiment B2 off List, the so-called "scavenger effect", i.e. the immigration of epibenthic, scavenging species after the fishing disturbance, was additionally investigated. Such an overcompensation effect by food opportunists could not be proven. Conclusions The close-meshed sampling from the experiments showed that the habitat types studied are characterized by considerable small-scale variability in the predominant communities, which made the detection of fishing impacts difficult. Nevertheless, for individual parameters or species of both endo- and epifauna, significant influences by experimental fishing could be detected. In the overall picture, however, this was not reflected in a statistically significant accumulation of effects due to fishing disturbance. Where effects were measured at the species level, the modeled effect duration ranged from 13 to 20 days. In the summary meta-analysis of all experiments, fishing effects were confirmed for total abundance and biomass of endofauna at 4-fold impact level while being insignificant if scaled to a single haul, and for Crangon crangon among epifauna. Consistent with these experimental results, communities in gradient analysis (GA) were found to be resilient to low fishing intensities and changed at high fishing intensities. The former can be interpreted as an adaptation to the comparatively high natural disturbance in the Wadden Sea and by small-scale local exchange processes of drift fauna between disturbed and undisturbed areas, which overlaid possible effects of shrimp fishing. At higher fishing intensities, shifts in communities to so-called "high fishing effort subassociations" occurred in the gradient analysis. The transition to these communities was observed at fishing intensities of 19.7 to 23.2 hours per year per km2. From the gradient analysis, the overall fish-free effect on endofaunal composition can be reported as 8.9%. Against the background of the heterogeneous distribution of fishing intensity in tideway systems and the local exchange processes between disturbed and undisturbed areas, which are essential for recolonization times, it can be concluded that the benthic communities on fine and medium sand with ripple structure in unfished and lightly fished tideway areas are in a resilient state. To what extent the present communities are also a result of the long-term fishing exploitation of the North Sea cannot be answered with the research approaches from CRANIMPACT, as well as the question of the fishing impact on other, rare or especially sensitive habitats not considered in this study. The impact of fishing is always a result of the specific combination of fishing gear, habitat and species community and is not directly transferable to other combinations. |
| Keywords: | Environmental Economics and Policy, Resource /Energy Economics and Policy, Risk and Uncertainty |
| Date: | 2023–05–03 |
| URL: | http://d.repec.org/n?u=RePEc:ags:jhimwo:334336&r=env |
| By: | Leard, Benjamin (Resources for the Future); Linn, Joshua (Resources for the Future); Springel, Katalin |
| Abstract: | This paper presents welfare and distributional effects of US passenger vehicle fuel economy and greenhouse gas standards between 2012 and 2022. We build an equilibrium model that allows for endogenous markups, market shares, and nonprice attributes. The model includes fixed and variable costs of raising fuel economy, manufacturer substitution between fuel economy and performance, and heterogeneous consumer preferences and manufacturer costs. We estimate all demand and supply parameters from observed consumer and manufacturer choices. We find that the standards have increased social welfare and that consumer undervaluation of fuel cost savings accounts for most of the social benefits. Manufacturers achieve most fuel economy improvements by trading off horsepower rather than adjusting prices or adding fuel-saving technology. Due to this compliance strategy, the standards have been progressive because high-income households value horsepower much more than low-income households do. Consumer undervaluation of fuel cost savings also contributes to progressivity. |
| Date: | 2023–03–15 |
| URL: | http://d.repec.org/n?u=RePEc:rff:dpaper:dp-23-04&r=env |
| By: | Jérôme Ballet (BSE - Bordeaux Sciences Economiques - UB - Université de Bordeaux - CNRS - Centre National de la Recherche Scientifique); Damien Bazin (GREDEG - Groupe de Recherche en Droit, Economie et Gestion - UNS - Université Nice Sophia Antipolis (1965 - 2019) - COMUE UCA - COMUE Université Côte d'Azur (2015-2019) - CNRS - Centre National de la Recherche Scientifique - UCA - Université Côte d'Azur); Emmanuel Petit (BSE - Bordeaux Sciences Economiques - UB - Université de Bordeaux - CNRS - Centre National de la Recherche Scientifique) |
| Keywords: | Changement Climatique, Emotions, Economie Comportementale, Eco-Anxiété, Urgence Ecologique |
| Date: | 2023–03–21 |
| URL: | http://d.repec.org/n?u=RePEc:hal:journl:hal-04072446&r=env |
| By: | Li, Qingran; Pizer, William (Resources for the Future) |
| Abstract: | To determine the overall value of a policy to society, the US government calculates costs and benefits both now and over time. To compare costs and benefits that occur at different times, future impacts must be reduced in value, or discounted, since future costs and benefits are less significant than those same costs and benefits today. Higher discount rates mean that future effects are considered increasingly less significant; a low discount rate means that they are close to equally significant.For nearly 20 years, the Office of Management and Budget (OMB) has advised federal agencies to use two discount rates in policy analyses: 7 percent and 3 percent. The 7 percent rate captures the return paid by private capital, reflecting effects on investment and business, and the 3 percent rate the return received by consumers, with the difference due largely to taxes. When applied to government policies that have costs today but benefits extending far into the future, the two rates can have strikingly different outcomes. Recent estimates of social cost of carbon (SCC) The social cost of carbon refers to the monetized benefits (avoided climate damages) from reducing one ton of carbon dioxide. are six to nine times higher using 3 percent rather than 7 percent, and this discrepancy can have significant, cascading effects on the benefit-cost analysis of policies. The Obama administration adopted a range of SCC estimates centered on a 3 percent discount rate. Several years later, the EPA under the Trump administration adopted SCC estimates based on both 7 and 3 discount rates with equal emphasis.In contrast, economic theory suggests converting the dollar effects on investment and business to their consumption equivalents. That way, costs and benefits (measured entirely as effects on consumers) can be discounted at the consumption rate across the board. This idea has not caught on, however, because the “shadow price†to convert capital goods into consumption equivalents and the distribution of costs and benefits (across investment versus consumption) are not always certain.In this issue brief, we show that a shadow price is no more difficult to identify than discount rates of 7 or 3 percent. Nor is it difficult to establish bounds based on whether costs and benefits accrue to capital or consumption, valuing them differently and appropriately. This approach provides more consistency than the current use of alternative 3 and 7 percent discount rates, particularly for valuing benefits far into the future. |
| Date: | 2021–06–14 |
| URL: | http://d.repec.org/n?u=RePEc:rff:dpaper:dp-21-05&r=env |
| By: | Chakraborty, Lekha (National Institute of Public Finance and Policy); Jha, Ajay Narayan (National Institute of Public Finance and Policy); Yadav, Jitesh (National Institute of Public Finance and Policy); Kaur, Amandeep (National Institute of Public Finance and Policy) |
| Abstract: | Against the backdrop of fiscal rules - legally mandated fiscal responsibility and budget management (FRBM) Act - our paper explores the budgetary forecast errors of climate change related public spending in India. The fiscal rules stipulate that fiscal deficit to GDP ratio should be maintained at 3 per cent. However, in the post-covid fiscal strategy, a medium term fiscal consolidation path of 4.5 percent fiscal deficit-GDP is envisioned by 2025-26. Within this fiscal consolidation framework, we analysed the budget credibility of fiscal commitments for climate change in India. We analysed the fiscal behavioural variables in terms of bias, variation and randomness, and captured the systemic variations in budgetary forecast related to climate change for a period 2017-18 to 2020-21 across sectors. We identified the sectors where systematic components of forecasting errors are relatively higher than random components, where minimising errors through altering the fiscal behavioural models are done by revising the assumptions and by applying better forecasting methods. A State level decomposition of the public spending revealed that disaggregated fiscal space available for developmental spending constitute around 60 per cent of total. However, identifying the specifically targeted public spending related to climate change across all States and analysing its fiscal markmanship can further the subnational inferences. |
| Keywords: | Fiscal marksmanship ; budget forecast errors ; climate change ; state finances |
| JEL: | H30 H50 H70 Q58 |
| Date: | 2023–05 |
| URL: | http://d.repec.org/n?u=RePEc:npf:wpaper:23/396&r=env |
| By: | António Afonso; João Tovar Jalles; Ana Venâncio |
| Abstract: | We assess notably how do extreme events affect the public sector efficiency of decentralized governance. Hence, we empirically link the public sector efficiency scores, to tax revenue and spending decentralization. First, we compute government spending efficiency scores via data envelopment analysis. Second, relying on panel data and impulse response approaches, we estimate the effect of decentralization on public sector efficiency and how extreme natural disasters mediate this relationship. The sample covers 36 OECD countries between 2006 and 2019. Our results show that tax revenue decentralization decreases public sector efficiency, while spending decentralization and a regional authority index are positively related to public sector efficiency, both for local projections and panel analysis. For instance, efficiency rises by 10 percent following a spending decentralization shock (reaching over 20 percent after 4 years). Nevertheless, in cases of natural disasters, spending decentralization reduces public sector efficiency. Specifically, in the presence of most extreme natural disasters, the improvement in public sector efficiency after a spending decentralization shock is smaller than in their absence. Moreover, extreme natural disasters also deteriorate the negative effect of tax revenue decentralization on public sector efficiency. These results suggest that sub-national discretionary spending and tax revenue responses might be less fruitful when such extreme events occur. |
| Keywords: | public sector efficiency; data envelopment analysis; local projections; revenue decentralization; spending decentralization; natural disasters; OECD |
| JEL: | C14 C23 E62 H11 H50 |
| Date: | 2023–05 |
| URL: | http://d.repec.org/n?u=RePEc:ise:remwps:wp02712023&r=env |
| By: | Taiwo Adetiloye; Anjali Awasthi |
| Abstract: | The logistics of urban areas are becoming more sophisticated due to the fast city population growth. The stakeholders are faced with the challenges of the dynamic complexity of city logistics(CL) systems characterized by the uncertainty effect together with the freight vehicle emissions causing pollution. In this conceptual paper, we present a research methodology for the environmental sustainability of CL systems that can be attained by effective stakeholders' collaboration under non-chaotic situations and the presumption of the human levity tendency. We propose the mathematical axioms of the uncertainty effect while putting forward the notion of condition effectors, and how to assign hypothetical values to them. Finally, we employ a spider network and causal loop diagram to investigate the system's elements and their behavior over time. |
| Date: | 2023–04 |
| URL: | http://d.repec.org/n?u=RePEc:arx:papers:2304.13987&r=env |
| By: | Petri P. Karenlampi |
| Abstract: | Probability theory is applied for the effect of severe disturbances on the return rate on capital within multiannual stands growing crops. Two management regimes are discussed, rotations of even-aged plants on the one hand, and uneven-aged semi-stationary state on the other. The effect of any disturbance appears two-fold, contributing to both earnings and capitalization. Results are illustrated using data from a recently published study, regarding spruce (Picea abies) forests in Austria. The economic results differ from those of the paper where the data is presented, here indicating continuous-cover forestry is financially inferior to rotation forestry. Any severe disturbance may induce a regime shift from continuous-cover to even-aged forestry. If such a regime shift is not accepted, the disturbance losses reduce profits but do not affect capitalization, making continuous-cover forestry financially more sensitive to disturbances. Revenue from carbon rent favors the management regime with higher carbon stock. The methods introduced in this paper can be applied to any dataset, regardless of location and tree species. |
| Date: | 2023–05 |
| URL: | http://d.repec.org/n?u=RePEc:arx:papers:2305.00887&r=env |
| By: | Alberto Costantiello (LUM University Giuseppe Degennaro); Angelo Leogrande (LUM University Giuseppe Degennaro) |
| Abstract: | We estimate the value of Research and Development Expenditures as a percentage of GDP-RDE in the context of Environmental, Social and Governance-ESG model. We use the ESG World Bank database. We analyze data from193 countries in the period 2011-2020. We apply a set of econometric techniques i.e. Pooled Ordinary Least Squares-OLS, Panel Data with Random Effects, Panel Data with Fixed Effects, Weighted Least Squares-WLS. We found that the level of RDE is positively associated, among others, to "Nitrous Oxide Emissions" and "Scientific and Technical Journal Articles", and negatively associated, among others to "Heat Index 35", "Maximum 5-day Rainfall". Furthermore, we perform a cluster analysis with the application of the k-Means algorithm optimized with the Elbow Method. The results show the presence of four clusters. Finally, we confront eight different machine-learning algorithms to predict the future value of RDE. We find that Linear Regression is the best predictive algorithms. RDE is expected to growth on average of 0.07% for the analysed countries. |
| Keywords: | Analysis of Collective Decision-Making General Political Processes: Rent-Seeking Lobbying Elections Legislatures and Voting Behaviour Bureaucracy Administrative Processes in Public Organizations Corruption Positive Analysis of Policy Formulation Implementation JEL Classification: D7 D70 D72 D73 D78, Analysis of Collective Decision-Making, General, Political Processes: Rent-Seeking, Lobbying, Elections, Legislatures, and Voting Behaviour, Bureaucracy, Administrative Processes in Public Organizations, Corruption, Positive Analysis of Policy Formulation, Implementation JEL Classification: D7, D70, D72, D73, D78 |
| Date: | 2023–04–10 |
| URL: | http://d.repec.org/n?u=RePEc:hal:wpaper:hal-04064022&r=env |
| By: | Costantiello, Alberto; Leogrande, Angelo |
| Abstract: | In this article, we estimate the variable Ease of Doing Business-EDB in the context of Environmental, Social and Governance-ESG model. We use data from ESG World Bank dataset. We have used data from 193 countries in the period 2011-2020. The level of EDB is positively associated, among others, to “Individuals Using the Internet”, “Government Effectiveness”, “Cooling Degree Days”, and negatively associated to “Agriculture, Forestry, and Fishing, Value Added”, “Forest Area” and “Strength of Legal Rights Index”. Furthermore, we have applied a cluster analysis with the application of the k-Means algorithm optimized with the Elbow Method and we have found the presence of four clusters. Finally, we have proposed a confrontation among eight different machine-learning algorithms to predict the future value of EDB. We have found that Linear Regression is the best algorithm and that the level of EDB is expected to improve of 1.66% for the analysed countries. |
| Keywords: | Analysis of Collective Decision-Making, General, Political Processes: Rent-Seeking, Lobbying, Elections, Legislatures, and Voting Behaviour, Bureaucracy, Administrative Processes in Public Organizations, Corruption, Positive Analysis of Policy Formulation, Implementation |
| JEL: | D7 D70 D72 D73 D78 |
| Date: | 2023–04–17 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:117086&r=env |
| By: | Alberto Costantiello (LUM University Giuseppe Degennaro); Angelo Leogrande (LUM University Giuseppe Degennaro) |
| Abstract: | In this article, we estimate the variable Ease of Doing Business-EDB in the context of Environmental, Social and Governance-ESG model. We use data from ESG World Bank dataset. We have used data from 193 countries in the period 2011-2020. The level of EDB is positively associated, among others, to "Individuals Using the Internet", "Government Effectiveness", "Cooling Degree Days", and negatively associated to "Agriculture, Forestry, and Fishing, Value Added", "Forest Area" and "Strength of Legal Rights Index". Furthermore, we have applied a cluster analysis with the application of the k-Means algorithm optimized with the Elbow Method and we have found the presence of four clusters. Finally, we have proposed a confrontation among eight different machinelearning algorithms to predict the future value of EDB. We have found that Linear Regression is the best algorithm and that the level of EDB is expected to improve of 1.66% for the analysed countries. |
| Keywords: | Analysis of Collective Decision-Making General Political Processes: Rent-Seeking Lobbying Elections Legislatures and Voting Behaviour Bureaucracy Administrative Processes in Public Organizations Corruption Positive Analysis of Policy Formulation Implementation JEL Classification: D7 D70 D72 D73 D78, Analysis of Collective Decision-Making, General, Political Processes: Rent-Seeking, Lobbying, Elections, Legislatures, and Voting Behaviour, Bureaucracy, Administrative Processes in Public Organizations, Corruption, Positive Analysis of Policy Formulation, Implementation JEL Classification: D7, D70, D72, D73, D78 |
| Date: | 2023–04–17 |
| URL: | http://d.repec.org/n?u=RePEc:hal:wpaper:hal-04071651&r=env |
| By: | Leogrande, Angelo; Costantiello, Alberto |
| Abstract: | We analyze the question of GDP Growth-GDPG rate in the context of Environmental, Social and Governance-ESG framework. We use World Bank data for 193 countries in the period 2011-2020 using different econometric techniques i.e., Panel Data with Fixed Effects, Panel Data with Random Effects, Pooled Ordinary Least Squares-OLS. We found that GDPG rate is positively associated, among others, to “Government Effectiveness” and “Prevalence of Undernourishment” and negatively associated among others to “Unemployment” and “Research and Development Expenditure”. Furthermore, we have applied the k-Means algorithm optimized with the Elbow method and we found the presence of four clusters in the sense of GDPG rate. Finally, we confront eight machine learning algorithms to predict the value of GDPG rate and we found that the Polynomial Regression is the best predictor. The Polynomial Regression predicts an increase of GDPG rate equal to 2.88% on average for the analysed countries. |
| Keywords: | Analysis of Collective Decision-Making, General, Political Processes: Rent-Seeking, Lobbying, Elections, Legislatures, and Voting Behaviour, Bureaucracy, Administrative Processes in Public Organizations, Corruption, Positive Analysis of Policy Formulation, Implementation. |
| JEL: | D7 D70 D72 D73 D78 |
| Date: | 2023–05–01 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:117206&r=env |
| By: | Cantone, Giulio Giacomo; Tomaselli, Venera |
| Abstract: | This study checks the hypothesis that sustainable well-being is a determinant factor of fertility through the application of a multiversal method based on the assumptions of Vibration of Effects (VoE) model of multiversal sampling on the Italian Equitable and Sustain- able Well-being (BES) dataset. For 48 social indicators of well-being, adopting the Province as statistical unit, the estimate of linear effect has been systematically sampled 1, 024 times. This multiversal sampling allows to estimate the component of the hypothetical variability of the estimate of the effect size that depends on the theoretical choices of the analysis. This component is commonly underestimated, hidden, or ignored in regular multivariate analysis or classical bootstrapping. Results do not allow to claim that any of the 48 social indicators is a robust linear predictor of fertility. Indicators associated with high statistical significance are also at risk of misleading the causal relationship. Implications for policy-making and the future direction of the research on BES are discussed in the conclusive remarks. |
| Date: | 2023–05–10 |
| URL: | http://d.repec.org/n?u=RePEc:osf:metaar:z5msx&r=env |
| By: | Walls, Margaret A. (Resources for the Future); Gellman, Jacob; Wibbenmeyer, Matthew (Resources for the Future) |
| Abstract: | Wildfire activity is increasing in the western United States at a time when outdoor recreation is growing in popularity. Because peak outdoor recreation and wildfire seasons overlap, fires can disrupt recreation and expose people to poor air quality. We link daily data on campground use at 1, 069 public campgrounds across the western United States over a ten-year period to daily satellite data on wildfire and smoke. We use this data set to (1) tabulate the number of campers affected by wildfire and smoke at campgrounds across the western US, and (2) provide estimates of how campground use responds to wildfire and smoke impacts, including the first causal estimates of the impacts of wildfire smoke on recreation behavior. We find that, on average, more than 120, 000 campground visitor-days per year are close to an actively burning fire and nearly 400, 000 are impacted by adverse smoke conditions, defined as the presence of smoke combined with high ground-level air quality monitor readings. In some regions more than ten percent of camper-days occur when air quality is poor due to wildfire smoke. Combining the results with monthly national park visitation data at the 30 parks in our sample, we estimate that fire and smoke affect 400, 000 and 1 million visitor-days per year, respectively. Using fixed effects panel regressions at the campground level, we estimate declines in campground use in response to fire and smoke. The magnitude of the smoke effect is small, however, suggesting that smoke fails to deter most visitors to public lands. Back-of-the envelope welfare calculations suggest that most of the smoke-related welfare losses that campers experience are due to health impacts from trips taken rather than lost utility from cancelled trips.Click "Download" above to read the full paper. |
| Date: | 2021–08–02 |
| URL: | http://d.repec.org/n?u=RePEc:rff:dpaper:dp-21-22&r=env |
| By: | Angelo Leogrande (LUM University Giuseppe Degennaro); Alberto Costantiello (LUM University Giuseppe Degennaro) |
| Abstract: | In this article, we estimate the value of Government Expenditure on Education-GEE in the context of Environmental, Social and Governance-ESG dataset of the World Bank. We use data from 193 countries in the period 2011-2020. We use Panel Data with Fixed Effects, Panel Data with Random Effects, Pooled Ordinary Least Squares-OLS, and Weighted Least Squares-WLS. Our results show that the value of GEE is positively associated among others to "Case of Death, by communicable disease and maternal, prenatal and nutrition conditions", and "Unemployment", and negatively associated among others to "Hospital Beds" and "Government Effectiveness". Furthermore, we apply the k-Means algorithm optimized with the Elbow Method and we find the presence of four clusters. Finally, we confront eight machine learning algorithms for the prediction of the future value of GEE. We found that the Polynomial Regression is the best predictive algorithm. The Polynomial Regression predicts an increase in GEE of 7.09% on average for the analysed countries. |
| Keywords: | General, Political Processes: Rent-Seeking, Lobbying, Elections, Legislatures, and Voting Behaviour, Bureaucracy, Administrative Processes in Public Organizations, Corruption, Positive Analysis of Policy Formulation, Implementation JEL Classification: D7, D70, D72, D73, D78, Analysis of Collective Decision-Making General Political Processes: Rent-Seeking Lobbying Elections Legislatures and Voting Behaviour Bureaucracy Administrative Processes in Public Organizations Corruption Positive Analysis of Policy Formulation Implementation JEL Classification: D7 D70 D72 D73 D78, Analysis of Collective Decision-Making |
| Date: | 2023–05–04 |
| URL: | http://d.repec.org/n?u=RePEc:hal:wpaper:hal-04088789&r=env |
| By: | Karsten Neuhoff; Fernanda Ballesteros; Mats Kröger; Jörn C. Richstein |
| Abstract: | Renewable energy installations are rapidly gaining market share due to falling technology costs and supportive policies. Meanwhile, the energy price crisis resulting from the Russian-Ukrainian war has shifted the energy policy debate toward the question of how consumers can benefit more from the low and stable generation costs of renewable electricity. Here we suggest a Renewable Pool (“RE-Pool”) under which the government passes the conditions of Contracts-for-Difference on to consumers who thereby benefit from reliably low-cost electricity supply. We assess the effect on financing costs, scale, and system friendliness of wind investments, as well risk hedging for consumers’ volume risks and hedging incentives. |
| Keywords: | Contracts-for-Difference, renewable policy, electricity markets, financing, PPA |
| JEL: | D44 D47 G32 L94 |
| Date: | 2023 |
| URL: | http://d.repec.org/n?u=RePEc:diw:diwwpp:dp2035&r=env |
| By: | Michele Imbruno (Sapienza University of Rome and GEP, Nottingham); Alessia Lo Turco (Department of Economics and Social Sciences, Universita' Politecnica delle Marche (UNIVPM)); Daniela Maggioni (Department of Economics, Catholic University of the Sacred) |
| Abstract: | We inspect whether multinational supply chains bring energy efficiency gains to domestic firms active in a host country. Our theoretical model suggests that the presence of foreign firms in upstream manufacturing and energy industries expands the availability of high-quality inputs for downstream domestic firms, implying a reduction in their energy intensity. We test these theoretical predictions using data from Turkish manufacturing firms over the period 2010-2015. Our empirical analysis shows that domestic-owned firms in sectors that are more likely to buy manufacturing and energy inputs from foreign-owned suppliers tend to reduce their energy intensity, confirming environmental gains from FDI. When exploring the underlying mechanisms, we provide evidence that the presence of foreign firms in upstream sectors leads to an increase in the quality of available inputs which turns into improvements in downstream domestic firms' energy efficiency. |
| Keywords: | Energy Efficiency, FDI, MNEs, Turkey |
| JEL: | F23 D22 L20 |
| Date: | 2023–04 |
| URL: | http://d.repec.org/n?u=RePEc:anc:wpaper:477&r=env |
| By: | Neligan, Adriana; Lichtenthäler, Sarah; Schmitz, Edgar |
| Abstract: | Auf dem Weg zur Klimaneutralität sehen sowohl der europäische Green Deal als auch der aktuelle Koalitionsvertrag mit der geplanten "Nationalen Kreislaufwirtschaftsstrategie" eine Kreislaufwirtschaft als eine zentrale Maßnahme, bei der die gesamte Industrie mobilisiert wird. Über eine umweltgerechte Produktgestaltung (Ökodesign)sollen Unternehmen künftig stärker eine Kreislaufführung bei der Produktplanung/-entwicklung berücksichtigen. Die geplante EU-Ökodesign-Verordnung ist ein ehrgeiziges und richtungsweisendes Regelwerk, das die wesentlichen Weichen für eine Kreislaufwirtschaft stellt. Relevant werden zirkuläre Geschäftsmodelle, die strategisch auf die Ermöglichung, Schließung, Schaffung oder Verlängerung von Kreisläufen ausgerichtet sind. Eine aktuelle Unternehmensbefragung im IW-Zukunftspanel zeigt, welche Rolle kreislauforientierte Produkte und Dienstleistungen in der Industrie und unternehmensnahen Dienstleistungen spielen und welche Motivationen und Ansätze zugrunde liegen. |
| JEL: | D22 O33 Q01 Q53 Q55 |
| Date: | 2023 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:iwkrep:162023&r=env |
| By: | Valérie Charolles (IMT-BS - DEFI - Département Droit, Economie et Finances - TEM - Télécom Ecole de Management - IMT - Institut Mines-Télécom [Paris] - IMT-BS - Institut Mines-Télécom Business School - IMT - Institut Mines-Télécom [Paris], IIAC - Institut interdisciplinaire d'anthropologie du contemporain - EHESS - École des hautes études en sciences sociales - CNRS - Centre National de la Recherche Scientifique, LASCO - Laboratoire Sens et Compréhension du Monde Contemporain - Mines Saint-Étienne MSE - École des Mines de Saint-Étienne - IMT - Institut Mines-Télécom [Paris] - IMT - Institut Mines-Télécom [Paris] - IMT Atlantique - IMT Atlantique - IMT - Institut Mines-Télécom [Paris] - IMT-BS - Institut Mines-Télécom Business School - IMT - Institut Mines-Télécom [Paris]) |
| Abstract: | Parce que la quantification est omniprésente, il est crucial de comprendre les conventions qui fondent les différentes formes de comptabilité. Si les référentiels actuels méritent d'être revisités, il faut commencer par revoir les usages qui en sont faits. |
| Date: | 2022–02 |
| URL: | http://d.repec.org/n?u=RePEc:hal:journl:hal-03566632&r=env |
| By: | Tianqi Pang; Kehui Tan; Chenyou Fan |
| Abstract: | Carbon futures has recently emerged as a novel financial asset in the trading markets such as the European Union and China. Monitoring the trend of the carbon price has become critical for both national policy-making as well as industrial manufacturing planning. However, various geopolitical, social, and economic factors can impose substantial influence on the carbon price. Due to its volatility and non-linearity, predicting accurate carbon prices is generally a difficult task. In this study, we propose to improve carbon price forecasting with several novel practices. First, we collect various influencing factors, including commodity prices, export volumes such as oil and natural gas, and prosperity indices. Then we select the most significant factors and disclose their optimal grouping for explainability. Finally, we use the Sparse Quantile Group Lasso and Adaptive Sparse Quantile Group Lasso for robust price predictions. We demonstrate through extensive experimental studies that our proposed methods outperform existing ones. Also, our quantile predictions provide a complete profile of future prices at different levels, which better describes the distributions of the carbon market. |
| Date: | 2023–05 |
| URL: | http://d.repec.org/n?u=RePEc:arx:papers:2305.03224&r=env |
| By: | Celso-Arellano, Pedro; Gualajara, Victor; Coronado, Semei; Martinez, Jose N.; Venegas-Martínez, Francisco |
| Abstract: | The Global Fear Index (GFI) is a measure of fear/panic based on the number of people infected and deaths due to COVID-19. This paper aims to examine the interconnection or interdependencies between the GFI and a set of global indexes related to the financial and economic activities associated with natural resources, raw materials, agribusiness, energy, metals, and mining, such as: the S&P Global Resource Index, the S&P Global Agribusiness Equity Index, the S&P Global Metals and Mining Index, and the S&P Global 1200 Energy Index. To this end, we first apply several common tests: Wald exponential, Wald mean, Nyblom, and Quandt Likelihood Ratio. Subsequently, we apply Granger causality using a DCC-GARCH model. Data for the global indices are daily from 3 February 2020 to 29 October 2021. The empirical results obtained show that the volatility of the GFI Granger causes the volatility of the other global indices, except for the Global Resource Index. Moreover, by considering heteroskedasticity and idiosyncratic shocks, we show that the GFI can be used to predict the co-movement of the time series of all the global indices. Additionally, we quantify the causal interdependencies between the GFI and each of the S&P global indices using Shannon and Rényi transfer entropy flow, which is comparable to Granger causality, to confirm directionality more robustly The main conclusion of this research is that financial and economic activity related to natural resources, raw materials, agribusiness, energy, metals, and mining were affected by the fear/panic caused by COVID-19 cases and deaths. |
| Keywords: | Global indices, Co-movement, Granger causality, DCC-GARCH |
| JEL: | G19 |
| Date: | 2023–01–29 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:117138&r=env |
| By: | Claire Borsenberger (TSE-R - Toulouse School of Economics - UT Capitole - Université Toulouse Capitole - UT - Université de Toulouse - EHESS - École des hautes études en sciences sociales - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement); Helmuth Cremer (TSE-R - Toulouse School of Economics - UT Capitole - Université Toulouse Capitole - UT - Université de Toulouse - EHESS - École des hautes études en sciences sociales - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement); Denis Joram (TSE-R - Toulouse School of Economics - UT Capitole - Université Toulouse Capitole - UT - Université de Toulouse - EHESS - École des hautes études en sciences sociales - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement); Jean-Marie Lozachmeur (TSE-R - Toulouse School of Economics - UT Capitole - Université Toulouse Capitole - UT - Université de Toulouse - EHESS - École des hautes études en sciences sociales - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement); Estelle Malavolti (TSE-R - Toulouse School of Economics - UT Capitole - Université Toulouse Capitole - UT - Université de Toulouse - EHESS - École des hautes études en sciences sociales - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement) |
| Date: | 2023–05–04 |
| URL: | http://d.repec.org/n?u=RePEc:hal:wpaper:hal-04088352&r=env |
| By: | Mauro David Reyes Pontet (IIESS UNS/CONICET) |
| Abstract: | Las instituciones son definidas como las reglas que ordenan y regulan el comportamiento de una sociedad, de manera formal e informal. Por otro lado, la calidad (o fortaleza) de las instituciones es un aspecto difícil de definir y, por ende, difícil de valuar. A partir de los avances recientes en el análisis institucional, el marco de Buena Gobernanza definido por el Banco Mundial y el empleo de un método de ponderación afín, este trabajo presenta la construcción y valuación de un Índice de Calidad Institucional (ICI, en adelante), el cual se calcula para el período 2007-2016 en una muestra de 113 países. Luego, a través de la aplicación del método k-medias se conforman tres clústeres de países con fundamento en la relación de la calidad institucional y otras variables componentes del desarrollo económico y contaminación del medioambiente (ingreso, emisiones de CO2, educación, salud, inflación, entre otras). |
| Date: | 2023–05 |
| URL: | http://d.repec.org/n?u=RePEc:aoz:wpaper:238&r=env |
| By: | Steffen Jaap Bakker; E. Ruben van Beesten; Ingvild Synn{\o}ve Brynildsen; Anette Sandvig; Marit Siqveland; Asgeir Tomasgard |
| Abstract: | To achieve carbon emission targets worldwide, decarbonization of the freight transport sector will be an important factor. To this end, national governments must make plans that facilitate this transition. National freight transport models are a useful tool to assess what the effects of various policies and investments may be. The state of the art consists of very detailed, static models. While useful for short-term policy assessment, these models are less suitable for the long-term planning necessary to facilitate the transition to low-carbon transportation in the upcoming decades. In this paper, we fill this gap by developing a framework for strategic national freight transport modeling, which we call STraM, and which can be characterized as a multi-period stochastic network design model, based on a multimodal freight transport formulation. In STraM, we explicitly include several aspects that are lacking in state-of-the art national freight transport models: the dynamic nature of long-term planning, as well as new, low-carbon fuel technologies and long-term uncertainties in the development of these technologies. We illustrate our model using a case study of Norway and discuss the resulting insights. In particular, we demonstrate the relevance of modeling multiple time periods, the importance of including long-term uncertainty in technology development, and the efficacy of carbon pricing. |
| Date: | 2023–04 |
| URL: | http://d.repec.org/n?u=RePEc:arx:papers:2304.14001&r=env |
| By: | Chinh T. Mai (Graduate School of Economics and Management, Tohoku University); Akira Hibiki (Graduate School of Economics and Management, Tohoku University) |
| Abstract: | This paper contributes an in-depth study of the short- and long-term effects of floods on the cognitive development of school-aged children. Specifically, we exploit individual-level microdata from a longitudinal study of childhood poverty in Vietnam. Our analyses indicate that floods immediately imposed negative impacts on children’s cognitive skills, but these impacts would be mitigated in the long run. Changes in child schooling, time allocation between school and work, and household food consumption (child nutrition) appear to be potential channels behind these impacts. Girls, older children, firstborn children, and children belonging to ethnic minorities are more vulnerable to the adverse effects of flooding. Our results suggest that policies to alleviate the credit constraints of households in the above groups could mitigate the damage imposed by natural disasters on human capital accumulation. |
| Date: | 2023–04 |
| URL: | http://d.repec.org/n?u=RePEc:tky:fseres:2023cf1211&r=env |
| By: | Walls, Margaret A. (Resources for the Future); Wibbenmeyer, Matthew (Resources for the Future) |
| Abstract: | As large and damaging wildfires have increased in frequency in the western United States, the consequences of these events for local economies remain largely unknown. Studies of the effects of natural disasters on local economic growth have yielded mixed results, and few have examined wildfires—especially large and damaging wildfires. We investigate the local economic impacts of wildfires in the western United States using two empirical approaches, which rely on public county-level economic data and administrative-establishment-level data, respectively. Comparing findings with these two data sources allows us to investigate how local the local economic effects of wildfires are. We find no significant short- or long-run effects of major wildfires on county-level employment growth. However, when we analyze results closer to the actual fire locations, we find that job growth in the year of the fire declines by 1.3 percentage points, but rebounds after that with no significant long-run effect. When analyzed by industry, both approaches show a boost in employment growth in the construction sector, but the results for other sectors have some important differences. |
| Date: | 2023–03–08 |
| URL: | http://d.repec.org/n?u=RePEc:rff:dpaper:dp-23-03&r=env |
| By: | Héloïse Berkowitz (LEST - Laboratoire d'Economie et de Sociologie du Travail - AMU - Aix Marseille Université - CNRS - Centre National de la Recherche Scientifique, AMU - Aix Marseille Université); Antoine Souchaud (NEOMA - Neoma Business School, i3-CRG - Centre de recherche en gestion i3 - X - École polytechnique - IP Paris - Institut Polytechnique de Paris - I3 - Institut interdisciplinaire de l’innovation - CNRS - Centre National de la Recherche Scientifique) |
| Abstract: | Crowdlending is an investment tool that appeared in the early 2000s. This tool allows individuals and companies, via an online platform, to finance directly, in the form of remunerated loans and in a traceable way, projects which are presented to them and on which they can interact publicly. This tool therefore encourages the development of direct financing decided by a crowd of contributors who place their trust in project leaders via an extremely transparent, rapid and cheap online selection and subscription process. This chapter aims to analyze the potential of this new financing tool to induce the necessary transformation the financial system required in order to achieve the SDGs. Financing is indeed at the heart of Agenda 2030. It is also an issue that explicitly touches on two SDGs: SDG 8.3 (development of SMEs) and SDG 9.3 (access to financial services for all enterprises). Crowdfunding is indeed one of the answers identified by the August 2020 United Nations report "Citizen's Money: Harnessing digitalization to finance a sustainable future". It is now a question of truly developing this tool, which aims to put the human being and sustainable development at the heart of the lending relationship. |
| Date: | 2023 |
| URL: | http://d.repec.org/n?u=RePEc:hal:journl:hal-04072362&r=env |
| By: | Takeshi Kato |
| Abstract: | Methodologies for evaluating and selecting policies that contribute to the well-being of diverse populations need clarification. To bridge the gap between objective indicators and policies related to well-being, this study shifts from constitutive pluralism based on objective indicators to conceptual pluralism that emphasizes subjective context, develops from subject-object pluralism through individual-group pluralism to WE pluralism, and presents a new policy evaluation method that combines joint fact-finding based on policy plurality. First, to evaluate policies involving diverse stakeholders, I develop from individual subjectivity-objectivity to individual subjectivity and group intersubjectivity, and then move to a narrow-wide WE pluralism in the gradation of I-family-community-municipality-nation-world. Additionally, by referring to some functional forms of well-being, I formulate the dependence of well-being on narrow-wide WE. Finally, given that policies themselves have a plurality of social, ecological, and economic values, I define a set of policies for each of the narrow-wide WE and consider a mapping between the two to provide an evaluation basis. Furthermore, by combining well-being and joint fact-finding on the narrow-wide WE consensus, the policy evaluation method is formulated. The fact-value combined parameter system, combined policy-making approach, and combined impact evaluation are disclosed as examples of implementation. This paper contributes to the realization of a well-being society by bridging philosophical theory and policies based on WE pluralism and presenting a new method of policy evaluation based on subjective context and consensus building. |
| Date: | 2023–05 |
| URL: | http://d.repec.org/n?u=RePEc:arx:papers:2305.04500&r=env |
| By: | Akhmadiyeva, Zarema |
| Keywords: | Institutional and Behavioral Economics, Land Economics/Use |
| Date: | 2022 |
| URL: | http://d.repec.org/n?u=RePEc:ags:iamost:334356&r=env |
| By: | Pagani, Andrea N.; Gaviola, Saúl Ricardo |
| Abstract: | En términos generales se entiende por ciclo productivo al conjunto actividades, orientadas a la obtención de la materia prima o la extracción de un recurso natural, pasando por su manufactura o industrialización, hasta la comercialización, distribución y entrega del producto final. En la actividad pesquera, el ciclo productivo de cada especie, está incluido como una parte del concepto de pesquería. Según Bertolotti, et al., 2008 se entiende por pesquería a una serie de actividades que incluyen la utilización de embarcaciones, artes, equipos y métodos para la captura de una misma variedad de recursos pesqueros (marinos, continentales y de acuicultura); el manejo, preservación, almacenamiento de la captura y transporte de los desembarques; el procesamiento, la distribución y venta de los productos pesqueros para consumo. En definitiva, el conjunto de pesquerías constituye el sector económico pesquero interno de un país. Relacionado con estos conceptos, también Michael Porter (2010) describe las cadenas de valor, en términos genéricos, como todas las partes de un proceso y en términos empresariales como un modelo de análisis de las actividades internas que se realizan en las empresas y de las interrelaciones que existen entre ellas, de manera que es posible detectar cuáles son las que proporcionan valor de forma directa al cliente (actividades primarias) y cuáles son las que, sin proporcionar valor directamente (actividades de apoyo), ayudan a que las primarias se puedan realizar. |
| Keywords: | Ciclo de Producción; Pesquerías; Recursos Pesqueros; |
| Date: | 2021–05–19 |
| URL: | http://d.repec.org/n?u=RePEc:nmp:nuland:3874&r=env |
| By: | Andreea Minea-Pic |
| Abstract: | Climate change and natural disasters, the COVID-19 pandemic, and geopolitical shocks have increasingly disrupted school education around the world in recent years. Whether leading to school closures, school destructions or repeated interruptions in students’ learning experiences, these external shocks have translated into lost learning opportunities for students. In this context, education systems face heightened pressure to become ever more resilient, enhance the efficiency of public spending and address emerging learning gaps. This working paper highlights key education strategies for helping students catch up on lost learning opportunities and bridge learning gaps, based on a review of research and policy evidence from OECD and non-OECD countries. It examines a range of academic strategies to address learning gaps, including i) adapting instructional strategies and pedagogies to individual needs, ii) extending and adapting the time of instruction, and iii) providing curricular flexibility and enabling fluid learning pathways within the school system. It provides research evidence on the effectiveness of such strategies, together with examples of their large-scale implementation and cost-effectiveness considerations. While this paper presents programmes of general interest for all countries, a separate policy brief targets learning recovery strategies for students in Ukraine. |
| Date: | 2023–05–11 |
| URL: | http://d.repec.org/n?u=RePEc:oec:eduaab:292-en&r=env |
| By: | Edge, Brittani (University of Illinois Urbana-Champaign); Mieno, Taro; Bullock, David S. |
| Abstract: | This simulation study identifies the economic impact of treatment mixing on the estimated optimal nitrogen recommendations (EONR) from on-farm research and evaluates a data processing procedure to remove treatment mixing and improve the EONR. Treatment mixing is when the combine harvests from more than one treatment area at a time; this can be caused by a parallel shift in the ab-line, different application and harvest headings, or machinery with incompatible widths. Due to the concavity of the yield response curve to nitrogen, Jensen’s Inequality implies that treatment mixing will result in observations lying below the true yield response curve and may affect the resulting EONR. We simulate the effects of the three causes of treatment mixing, varying degrees of these causes, trial rates centered on different areas of the response curve, and different curvatures of the yield-response function on the estimated optimal nitrogen rates. We find that the impact of treatment mixing depends on all of these factors and their interactions. The trial rates have a large impact on the estimated yield response function because they shift the dataset along the yield response function. For example, if the rates are in a steep part of the response function, the estimated response function may overestimate the response to nitrogen. However, without knowledge of the true yield response function or EONR, a researcher cannot determine what trial rates are best for a given OFPE. In general, parallel shift or incompatible machinery have the largest impact on the estimation of optimal nitrogen, particularly a shift of half the combine width or a harvester that is smaller than the applicator. These scenarios result in average profit losses of as much as $37 per hectare. We find overestimation of the EONR is common with harvest misalignment, introducing environmental and economic impacts and reducing nitrogen use efficiency. These results highlight the importance of reducing treatment mixing in OFPE through communication with farmers, trial design, and improved data processing procedures. For example, when machinery is relatively small, designing trials that are twice the width of the combine ensures that each trial plot will have a pass of the combine without treatment mixing even if there is a parallel shift during harvesting. As OFPE are increasingly implemented, these are common problems researchers will be facing. This research shows that the implications of decisions around treatment mixing impact NUE and profitability of OFPE recommendations; thus, working on a common protocol around treatment mixing is important for the future of OFPE. |
| Date: | 2023–04–27 |
| URL: | http://d.repec.org/n?u=RePEc:osf:osfxxx:j5zg8&r=env |
| By: | Raymond Saner (Centre for Socio-Eco-Nomic Development - CSEND); Lichia Yiu (Centre for Socio-Eco-Nomic Development - CSEND); Shaun Roberts (Centre for Socio-Eco-Nomic Development - CSEND) |
| Abstract: | This study investigates the broader context of smallholder farmers' operations and provides insights into the options that smallholder farmers in poor developing countries have when engaging in agripreneurial undertakings for additional income generation. Such personal agency when effective could support them to alleviate poverty, reduce hunger, and attain sustainable livelihood. Yet in practice, such personal efforts are often wrought with uncertain outcomes. Therefore an enabling policy environment is necessary to ensure the success of this strategic intervention in lifting and supporting sustainable livelihoods of rural farmers struggling with the precarity of their life situation. |
| Date: | 2023–04–24 |
| URL: | http://d.repec.org/n?u=RePEc:hal:wpaper:hal-04084559&r=env |
| By: | Gaviola, Saúl Ricardo; Verón, E.; Prosdocimi, L.; De la Garza, J.; Martínez, P.; Navarro, G.; Pájaro, M.; Piedrabuena, C.; Rotta, Lautaro Daniel |
| Abstract: | En primer lugar se caracterizan los aspectos más relevantes de las dimensiones económica y social del sector pesquero argentino. Luego se realizó un análisis de la vulnerabilidad socioeconómica del sector pesquero argentino, sobre la base de las propuestas del IPCC (2014), Allison et al. (2009) y Blasiak et al. (2017). |
| Keywords: | Sector Pesquero; Vulnerabilidad; Características Socioeconómicas; Cambio Climático; Argentina; |
| Date: | 2022 |
| URL: | http://d.repec.org/n?u=RePEc:nmp:nuland:3876&r=env |
| By: | Gaviola, Saúl Ricardo |
| Abstract: | En este informe se identifican dos estrategias económicas diferenciadas adoptadas por los pescadores artesanales de los partidos de Pinamar y Villa Gesell. La primera se basa en la integración vertical de las actividades y consiste en pescar bajos volúmenes, para luego procesarlos y comercializarlos a través de restaurantes o mediante la venta de filetes a consumidores finales. La segunda estrategia consiste en la pesca de mayores volúmenes y su posterior venta, sin procesamiento alguno, a plantas de procesamiento o pescaderías. En el primer caso hay una mayor participación de los pescadores en el valor generado a lo largo de la cadena productiva, mientras que, en el segundo caso, la participación de los pescadores en el valor total generado es menor y esa pérdida intenta compensarse mediante la captura de mayores volúmenes. Se analizan ventajas y desventajas de cada una de las estrategias adoptadas por los pescadores para la maximización de sus beneficios. Se utilizaron datos de fuente primaria que se obtuvieron mediante cuatro entrevistas a pescadores e informantes clave de la actividad. |
| Keywords: | Pesca Artesanal; Cadena de Producción; Villa Gesell; Pinamar; |
| Date: | 2022–04–22 |
| URL: | http://d.repec.org/n?u=RePEc:nmp:nuland:3875&r=env |
| By: | Stephane Ouvrard; Pascal Barneto (IRGO - Institut de Recherche en Gestion des Organisations - UB - Université de Bordeaux - Institut d'Administration des Entreprises (IAE) - Bordeaux) |
| Keywords: | Union Européenne, Finance, Responsabilité Sociétale Des Entreprises (RSE), Comptabilité |
| Date: | 2022–12–14 |
| URL: | http://d.repec.org/n?u=RePEc:hal:journl:hal-04071999&r=env |
| By: | Yusuf Soner Başkaya; Bryan Hardy; Ṣebnem Kalemli-Özcan; Vivian Z. Yue |
| Abstract: | We quantify the sovereign-bank doom loop by using the 1999 Marmara earthquake as an exogenous shock leading to an increase in Turkey’s default risk. Our theoretical model illustrates that for banks with higher exposure to government securities, a higher sovereign default risk implies lower net worth and tightening financial constraint. Our empirical estimates confirm the model’s predictions, showing that the exogenous change in sovereign default risk tightens banks’ financial constraints significantly for banks that hold a higher amount of government securities. The resulting tighter bank financial constraints translate into lower credit provision, suggesting that there is a significant balance-sheet channel in transmitting a higher sovereign default risk toward real economic activity. |
| Keywords: | banking crisis; bank balance sheets; lending channel; public debt; credit supply |
| JEL: | E32 F15 F36 O16 |
| Date: | 2023–02–09 |
| URL: | http://d.repec.org/n?u=RePEc:fip:fedawp:95901&r=env |
| By: | Cunningham, Brandon; Lu, Chenxi; Toder, Eric; Williams III, Roberton C. (Resources for the Future) |
| Abstract: | This paper examines how the Tax Cuts and Jobs Act (TCJA) will affect the US energy sector. It combines qualitative analysis of a range of TCJA provisions with estimates from the Tax Policy Center’s Investment and Capital Model of how a narrower set of provisions will change marginal effective tax rates (METRs) for five major energy industries.Key Findings:The TCJA initially lowered effective tax rates for the energy sector substantially.However, long-run tax cuts are much smaller because of expiring provisions.By 2027, many energy sector firms (especially pass-through entities, such as master limited partnerships) will face higher effective tax rates than under pre-TCJA tax law.Cuts to corporate income tax rates substantially reduce METRs for corporations, with the largest decreases going to sectors with higher pre-TCJA effective tax rates, which means energy sector corporations on average benefit less (as a percentage of income) than corporations in other sectors of the economy.Within the energy sector, corporate income tax rate cuts provide a relatively large METR cut for petroleum and coal products and a much smaller cut for oil and gas extraction.Corporate tax rate cuts do not affect taxes for pass-through entities.Bonus depreciation for new investment cuts METRs more in the energy sector than in the rest of the economy.Oil and gas extraction gains relatively little from bonus depreciation, because it already benefits from existing provisions that accelerate investment deductions.Bonus depreciation phases down and then sunsets at the end of 2026.Limits on net interest deductions raise METRs for firms or sectors with relatively high debt loads. On average, this affects the energy sector more than other sectors of the economy. Renewable energy may be particularly affected by this provision, because it has a higher debt-to-equity ratio than other energy sectors (though we did not model that effect).Changes to the individual income tax also affect METRs. Cuts to individual income tax rates lower METRs for both corporations and pass-throughs. And the new 20 percent pass-through deduction substantially cuts taxes for qualified pass-throughs.Taken together, these two changes yield a relatively small METR reduction for corporations, which is largely similar across energy industries. They cut METRs more for pass-throughs, though that effect varies substantially across the energy sector, with relatively large cuts for petroleum and coal product pass-throughs but only a small increase for oil and gas extraction pass-throughs.Most individual income tax changes sunset at the end of 2025, including the individual rate cuts and pass-through deduction. But changes to inflation indexing (which slightly increase taxes) are permanent. Thus by 2026, changes to the individual income tax slightly raise METRs for all firms.The net effect of all the TCJA provisions modeled is lower METRs for the energy sector in the initial years after the TCJA took effect.But because the interest-deduction-limit change (which raises tax revenue) is permanent and more restrictive after 2021, whereas several of the taxcutting changes (bonus depreciation, individual rate cuts, and the passthrough deduction) are temporary, METRs rise over time.By 2027, many energy subsectors (including pass-throughs in all energy subsectors modeled and oil and gas extraction corporations) face higher METRs than they would have under pre-TCJA law.The base erosion and anti-abuse tax could reduce the value of the production and investment tax credits, but this effect seems unlikely to be substantial.Repeal of the domestic production deduction raises taxes for energy sector firms that previously qualified for this deduction, such as those in domestic oil and gas extraction and refining, as well as electric generation. But even for those firms, the loss of this deduction only partially offsets the benefit of the TCJA’s business tax cuts.New limits on net operating loss deductions substantially increase taxes for firms with highly variable income streams. This is potentially important for energy subsectors facing volatile prices, such as oil and gas.Repeal of the corporate alternative minimum tax provides a substantial benefit to industries that would otherwise have been subject to this tax. Mining and utilities have historically been disproportionately affected by this tax and thus are likely to benefit disproportionately from its repeal.The Joint Committee on Taxation (JCT 2017b) estimates that the TCJA cut revenues by $1.5 trillion over 2018–27 ($1.1 trillion when macroeconomic effects are included). All else equal, this will substantially increase federal borrowing.Higher federal borrowing will eventually lead to higher interest rates. This will raise the cost of borrowing for firms, and the energy sector is relatively capital- and debt-intensive.Increased borrowing will also likely lead to an appreciation of the dollar versus other currencies. This may have substantial effects on trade-exposed energy industries.Increased borrowing will create a greater need for future federal spending cuts or revenue increases, which could affect the energy sector.Figures 1a and 1b summarize the effects of the provisions we model. |
| Date: | 2021–08–11 |
| URL: | http://d.repec.org/n?u=RePEc:rff:dpaper:dp-21-24&r=env |
| By: | Sophie Michel; Séverine Saleilles; Bertrand Valiorgue (CleRMa - Clermont Recherche Management - ESC Clermont-Ferrand - École Supérieure de Commerce (ESC) - Clermont-Ferrand - UCA [2017-2020] - Université Clermont Auvergne [2017-2020]) |
| Abstract: | La période 2020-2022 a été marquée par le surgissement de multiples crises qui ont mis les systèmes alimentaires à rude épreuve. Nous pouvons en premier lieu évoquer le surgissement de la COVID 19, dont la rapidité de déploiement à l'échelle planétaire est la résultante d'une interconnexion des sociétés humaines à travers des niveaux de flux de population et de biens qui n'ont jamais été aussi importants. Ces flux et ces interconnexions sont notamment générés par un mode de développement urbain qui nécessite d'aller chercher et de transporter des ressources alimentaires bien au-delà des frontières nationales (Rastoin et Ghersi, 2010). Plus les sociétés humaines s'urbanisent, plus les systèmes alimentaires s'allongent et sont connectés les uns aux autres (Rastoin, 2022). La crise Covid 19 souligne aussi les empiètements sur le domaine du sauvage qui facilitent la circulation des virus entre les espèces sur une échelle géographique désormais globalisée (Rastoin, 2020). La guerre en Ukraine est également un évènement qui concerne et impacte directement les systèmes alimentaires. L'Ukraine est en effet une puissance agricole de premier plan dont les productions en blé et oléagineux sont indispensables pour nourrir des populations situées en Afrique ou au Moyen-Orient. La mainmise de la Russie sur les terres agricoles ainsi que sur toutes les infrastructures portuaires perturbe les équilibres alimentaires mondiaux. À travers la guerre en Ukraine, la Russie cherche à sécuriser ses approvisionnements mais également à peser politiquement et économiquement sur les équilibres alimentaires mondiaux car ses dirigeants anticipent une raréfaction des denrées alimentaires du fait de la nouvelle donne climatique qui s'installe (Valiorgue, 2023). La sécheresse historique de l'été 2022 constitue enfin une troisième crise qui a fortement mis à l'épreuve les systèmes alimentaires à l'échelle du globe. En dépit de ces crises historiques qui se cumulent et s'amplifient, force est de constater que nos systèmes alimentaires ont tenu bon car il n'y a pas eu de ruptures alimentaires majeures. Les systèmes alimentaires ont encaissé les chocs et sont parvenus à maintenir des états de fonctionnement et des niveaux de performance proches des conditions initiales. Ils ont fait preuve de résilience. Ces trois crises historiques ne viennent pas de nulle part et elles peuvent être plus généralement repositionnées dans le contexte général d'une grande transformation des équilibres géologiques du système Terre. Cette transformation, dont les humains sont directement à l'origine, est si importante que certains considèrent que nous sommes en train de passer d'une époque géologique à une autre. Nous sortons de l'Holocène pour entrer dans l'Anthropocène (Bonneuil et Fressoz, 2016) et ce passage a des impacts considérables sur les systèmes alimentaires (Valiorgue, 2020). En effet, ce grand basculement dans l'Anthropocène et les événements politiques qu'il engendre percutent directement et frontalement les systèmes alimentaires qui sont confrontés à des environnements - à la fois naturels et institutionnels - qui deviennent structurellement volatils, incertains, complexes et ambigus. C'est dans ce contexte inédit que le terme de résilience s'est imposé pour décrire un état supposé des systèmes alimentaires capables d'encaisser les multiples chocs et crises désormais inscrits dans le présent et le futur des sociétés humaines. Si l'emploi de ce terme semble aujourd'hui se généraliser, nous souhaitons revenir dans l'introduction de ce numéro spécial sur les ambiguïtés et certaines fragilités que la notion de résilience charrie. À la suite de Rastoin (2020) qui plaidait dans l'éditorial de Systèmes Alimentaires / Food Systems pour une « résilience pro-active », à l'encontre du sens étymologique de « sauter en arrière », nous souhaitons revenir sur la dimension construite, organisationnelle et partagée de la résilience. Par ailleurs, la qualité de résilient ne peut suffire à décrire ce qui semble devoir être les caractéristiques et les trajectoires des systèmes alimentaires de l'Anthropocène. Ces derniers devront également être durables, c'est-à-dire capables d'avoir des impacts positifs sur le système Terre afin de limiter les dégradations environnementales et de ne pas dépasser certaines limites planétaires dont le respect conditionne le maintien de l'espèce Homo Sapiens (Rockström et al., 2019). Les systèmes alimentaires devront enfin être apprenants, afin de renouveler les institutions et les stocks de connaissance face à des environnements (naturels et institutionnels) qui vont se transformer dans des proportions, des rythmes et des directions qui ne peuvent être connus à l'avance. Nous terminons l'introduction par une présentation des articles qui composent ce numéro spécial et qui enrichissent notre compréhension des dynamiques collectives en lien avec la résilience et les transitions des systèmes alimentaires dans le contexte Anthropocène. |
| Date: | 2023–03–16 |
| URL: | http://d.repec.org/n?u=RePEc:hal:journl:hal-04039615&r=env |