nep-env New Economics Papers
on Environmental Economics
Issue of 2008‒06‒07
eight papers chosen by
Francisco S.Ramos
Federal University of Pernambuco

  1. Reducing Deforestation and Trading Emissions: Economic Implications for the post-Kyoto Carbon Market By Anger, Niels; Sathaye, Jayant A.
  2. Rules for the Global Environment By Horst Siebert
  3. Rapid Economic Growth & Industrialization in India, China & Brazil: At What Cost? By KRISHNA CHAITANYA V.
  4. Impacts of the Hutan Kamasyarakatan Social Forestry Program in the Sumberjaya watershed, West Lampung District of Sumatra, Indonesia: By Pender, John; Suyanto; Kerr, John; Kato, Edward
  5. Climate Variability and Health: Sweden 1751-2004 By Krüger, Niclas A
  6. A dynamic model of renewable resource harvesting with Bertrand competition By Beard, Rodney
  7. Localized Innovation, Localized Diffusion and the Environment: An Analysis of CO2 Emission Reductions by Passenger Cars, 2000-2007 By Bart Los; Bart Verspagen
  8. Plant genetic resources for agriculture, plant breeding, and biotechnology: Experiences from Cameroon, Kenya, the Philippines, and Venezuela By Falck-Zepeda, José; Zambrano, Patricia; Cohen, Joel I.; Borges, Orangel; Guimarães, Elcio P.; Hautea, Desiree; Kengue, Joseph; Songa, Josephine

  1. By: Anger, Niels; Sathaye, Jayant A.
    Abstract: This paper quantitatively assesses the economic implications of crediting carbon abatement from reduced deforestation for the emissions market in 2020 by linking a numerical equilibrium model of the global carbon market with a dynamic partial equilibrium model of the forestry sector. We find that integrating avoided deforestation in international emissions trading considerably decreases the costs of post-Kyoto climate policy – even when accounting for conventional abatement options of developing countries under the CDM. At the same time, tropical rainforest regions receive substantial net revenues from exporting carbon-offset credits to the industrialized world. Moreover, reduced deforestation can increase environmental effectiveness by enabling industrialized countries to tighten their carbon constraints without increasing mitigation costs. Regarding uncertainties of this future carbon abatement option, we find both forestry transaction costs and deforestation baselines to play an important role for the post-Kyoto carbon market.
    Keywords: Climate Change, Kyoto Protocol, Emissions Trading, Deforestation
    JEL: C60 D61 Q23 Q58
    Date: 2008
    URL: http://d.repec.org/n?u=RePEc:zbw:zewdip:7225&r=env
  2. By: Horst Siebert
    Abstract: The paper looks at the global environment as a public good and as a sink for CO2-emissions. It discusses problems to be solved in institutional arrangements to protect global environmental media and looks at criteria for allocating the costs of emission reduction and emission rights. It analyzes institutional mechanisms that stabilize CO2-agreements and reviews the Kyoto Protocol, the perspectives for its successor and EU emission trading. The paper also reviews arrangements for biodiversity and existing multilateral arrangements.
    Keywords: Public good, Global warming, Emission reduction, Emission rights, Institutional Mechanisms, Kyoto Protocol, Post-Bali negotiations, EU emission trading, fauna and flora, existing multilateral arrangements
    JEL: D62 F02 H41 Q20 Q54
    Date: 2008–05
    URL: http://d.repec.org/n?u=RePEc:kie:kieliw:1422&r=env
  3. By: KRISHNA CHAITANYA V.
    Abstract: The purpose of this paper is to examine whether the decline in environmental quality in India, China and Brazil is due to release of toxic gases which is an effect of high energy consumption? If so, the increase in energy consumption is due to rapid economic growth led by industrialization? Also examined is what effect does excessive economic growth rates have on energy consumption levels in these countries.
    Keywords: CO2 Emission, Energy Consumption, Economic Growth & Industrialization
    JEL: O13 O14 Q40 Q41 Q43
    Date: 2007–11–01
    URL: http://d.repec.org/n?u=RePEc:wdi:papers:2007-897&r=env
  4. By: Pender, John; Suyanto; Kerr, John; Kato, Edward
    Abstract: "This paper investigates the impacts of a social forestry program in Indonesia, Hutan Kamasyarakatan (HKm), based on analysis of a survey of 640 HKm and comparable non-HKm plots in the Sumberjaya watershed of southern Sumatra, and of the households operating those plots. The HKm program provides groups of farmers with secure-tenure permits to continue farming on state Protection Forest land and in exchange for protecting remaining natural forestland, planting multistrata agroforests, and using recommended soil and water conservation (SWC) measures on their coffee plantations. Using farmers' perceptions, econometric techniques, and propensity score matching, we investigated the impacts of the HKm program on perceived land tenure security, land purchase prices, farmers' investments in tree planting and SWC measures, and plot-level profits. A significant fraction of HKm group members are not aware of the program or fully aware of its requirements. Although farmers who are aware of the program perceive its strong effects on tenure security and land values, we found insignificant impacts on the actual purchase prices of plots. Nevertheless, our survey revealed that the HKm program has contributed to increased planting of timber and multipurpose trees. We did not find significant impacts on investments in SWC measures or on soil fertility management practices. HKm has had mixed impacts on profits, with timber trees reducing profitability because timber harvesting is not allowed and multipurpose nontimber trees contributing to increased profits. The policy implications of these findings are also discussed in the paper." from Author's Abstract
    Keywords: Rewards for environmental services, Land tenure contracts, Social forestry, Impact assessment, Land management,
    Date: 2008
    URL: http://d.repec.org/n?u=RePEc:fpr:ifprid:769&r=env
  5. By: Krüger, Niclas A (Department of Business, Economics, Statistics and Informatics)
    Abstract: Several studies have examined the link between climate and health, mainly focusing on the short term impacts of extreme temperatures. This paper analyzes instead the long term relation between climate variability and health using Swedish temperature and mortality data for the period 1751-2004 using different time scales. We find that periods with higher temperature are associated with lower mortality. The results indicate that long term climate variations in annual mean temperatures and not short term variations explain the connection between temperature and mortality. Considering annual extreme temperatures, we find that extreme low winter temperatures are correlated with higher short term mortality. We identify the impact of the 11-year solar cycle on crop yields as a possible explanation for our findings. The results have besides their economic-historical merits implications for modern day policy for developing countries, especially since the correlation with solar activity implies predictability.
    Keywords: Mortality; Wavelet; Climate
    JEL: I18 N53 N54 Q54
    Date: 2008–05–30
    URL: http://d.repec.org/n?u=RePEc:hhs:oruesi:2008_004&r=env
  6. By: Beard, Rodney
    Abstract: In this paper a dierential game model of renewable resource ex- ploitation is considered in which rms compete in exploiting a com- mon resource in a Bertrand price-setting game. The model character- izes a situation in which rms extract a common renewable resource which after harvesting may be considered a dierentiated product. Firms then choose prices rather than harvest quantities. Quantities extracted are determined by consumer demand. Optimal price and harvest policies are determined in a linear state dierential game for whichr open-loop and feedback strategies are known to be equuiva- lent. Furthermore, the case of search costs and capacity constraints is analysed and the role they play in determining the dynamics of the resource stock is considered. The results are compared to those of Cournot competition which has been analysed extensively in the literature. Previous studies of dierential games applied to renewable resource harvesting have concentrated on quantity competition (see for example [12]) and the case of price competition has been largely ignored. the exceptions to this have been in the more empirical litera- ture where evidence for price competition versus quantity competition for renewable resources such as sheries is mounting [1]. Consequently the results presented here are not only new, but possibly of greater empirical relevance than existing results on quantity competition.
    Keywords: linear-state differential game; Bertrand competition; renewable resources; fisheries
    JEL: L13 C02 C61 Q22 D43 Q20 C72
    Date: 2008–05–29
    URL: http://d.repec.org/n?u=RePEc:pra:mprapa:8916&r=env
  7. By: Bart Los (Faculty of Economics and Business, University of Groningen); Bart Verspagen (Centre for Technology, Innovation and Culture, University of Oslo)
    Abstract: We investigate technological change with regard to CO2 emissions by passenger cars, using a Free Disposal Hull methodology to estimate technological frontiers. We have a sample of cars available in the UK market in the period 2000 – 2007. Our results show that the rates of technological change (frontier movement) and diffusion (distance to frontier at the car brand level) differ substantial between segments of the car market. We conclude that successful policies should be aimed at diffusion of best-practice technology, and take account of the different potential for further progress between different segments of the market (e.g., diesel and gasoline engines, and small vs. large engines).
    Date: 2008–05
    URL: http://d.repec.org/n?u=RePEc:tik:inowpp:20080527&r=env
  8. By: Falck-Zepeda, José; Zambrano, Patricia; Cohen, Joel I.; Borges, Orangel; Guimarães, Elcio P.; Hautea, Desiree; Kengue, Joseph; Songa, Josephine
    Abstract: "Local farming communities throughout the world face binding productivity constraints, diverse nutritional needs, environmental concerns, and significant economic and financial pressures. Developing countries address these challenges in different ways, including public and private sector investments in plant breeding and other modern tools for genetic crop improvement. In order to measure the impact of any technology and prioritize investments, we must assess the relevant resources, human capacity, clusters, networks and linkages, as well as the institutions performing technological research and development, and the rate of farmer adoption. However, such measures have not been recently assessed, in part due to the lack of complete standardized information on public plant breeding and biotechnology research in developing countries. To tackle this void, the Food and Agricultural Organization of the United Nations (FAO), in consultation with the International Food Policy Institute (IFPRI) and other organizations, designed a plant breeding and biotechnology capacity survey for implementation by FAO consultants in 100 developing countries. IFPRI, in collaboration with FAO and national experts contracted by FAO to complete in-country surveys, identified and analyzed plant breeding and biotechnology programs in four developing countries: Cameroon, Kenya, the Philippines, and Venezuela. Here, we use an innovation systems framework to examine the investments in human and financial resources and the distribution of resources among the different programs, as well as the capacity and policy development for agricultural research in the four selected countries. Based on our findings, we present recommendations to help sustain and increase the efficiency of publicly- and privately-funded plant breeding programs, while maximizing the use of genetic resources and developing opportunities for GM crop production. Policy makers, private sector breeders, and other stakeholders can use this information to prioritize investments, consider product advancement, and assess the relative magnitude of the potential risks and benefits of their investments." from Author's Abstract
    Keywords: plant breeding, biotechnology, public research, Funding, Innovation systems, Capacity building, Biosafety,
    Date: 2008
    URL: http://d.repec.org/n?u=RePEc:fpr:ifprid:762&r=env

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