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on Environmental Economics |
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Issue of 2019‒10‒28
forty-one papers chosen by Francisco S. Ramos Universidade Federal de Pernambuco |
| By: | Simplice A. Asongu (Yaoundé/Cameroon); Chimere O. Iheonu (University of Nigeria, Nsukka, Nigeria); Kingsley O. Odo (University of Nigeria, Nsukka, Nigeria) |
| Abstract: | This paper complements existing literature by assessing the conditional relationship between renewable energy and environmental quality in a sample of 40 African countries for the period 2002 to 2017. The empirical evidence is based on fixed effects regressions and quantile fixed effects regressions. The findings from both estimation techniques show that renewable energy consistently decreases carbon dioxide (CO2) emissions. Moreover, the negative effect is a decreasing function of CO2 emissions or the negative effect of renewable energy on CO2 emissions decreases with increasing levels of CO2 emissions. In other words, countries with higher levels of CO2 emissions consistently experience a less negative effect compared to their counterparts with lower levels of CO2 emissions. Policy implications are discussed. |
| Keywords: | Panel econometrics; Renewable energy; Carbon emissions; Africa |
| JEL: | Q32 Q40 O55 |
| Date: | 2019–01 |
| URL: | http://d.repec.org/n?u=RePEc:exs:wpaper:19/074&r=all |
| By: | Simplice A. Asongu (Yaoundé/Cameroon); Chimere O. Iheonu (University of Nigeria, Nsukka, Nigeria); Kingsley O. Odo (University of Nigeria, Nsukka, Nigeria) |
| Abstract: | This paper complements existing literature by assessing the conditional relationship between renewable energy and environmental quality in a sample of 40 African countries for the period 2002 to 2017. The empirical evidence is based on fixed effects regressions and quantile fixed effects regressions. The findings from both estimation techniques show that renewable energy consistently decreases carbon dioxide (CO2) emissions. Moreover, the negative effect is a decreasing function of CO2 emissions or the negative effect of renewable energy on CO2 emissions decreases with increasing levels of CO2 emissions. In other words, countries with higher levels of CO2 emissions consistently experience a less negative effect compared to their counterparts with lower levels of CO2 emissions. Policy implications are discussed. |
| Keywords: | Panel econometrics; Renewable energy; Carbon emissions; Africa |
| JEL: | Q32 Q40 O55 |
| Date: | 2019–01 |
| URL: | http://d.repec.org/n?u=RePEc:agd:wpaper:19/074&r=all |
| By: | M. Bockarjova; W.J.W. Botzen; Mark J. Koetse |
| Abstract: | There is an increased interest in applying nature-based solutions for addressing various urban challenges, such as those related to air pollution, climate change, and (mental) health. It is clear that nature can bring various benefits to city inhabitants, but the economic value of nature is not always well recognized. In this study we present a meta-analysis of a rapidly expanding literature that applied stated preference valuation methods to value green and blue urban nature in a variety of contexts. We estimate value transfer functions based on primary studies that elicited nature values from in total more than 41,000 respondents worldwide. We obtain insights into the main determinants of values of urban nature, in terms of study and methodological characteristics, types of nature, and ecosystem services. Main findings are that the per hectare value of nature is negatively related to the size of the nature area, and positively related to income and population density. Parks are the most highly valued types of urban nature, and aesthetics and cultural heritage services are the most highly valued ecosystem services it provides. Moreover, certain methodological choices in eliciting nature values appear to affect the final valuation results, such as the payment vehicle in stated preference surveys, and to some degree the valuation method. We present and illustrate the use of benefit transfer functions, which can be used for estimating the value of specific nature types and ecosystem services in a variety of urban settings. |
| Keywords: | benefit transfer, stated preferences, ecosystem services, meta-analysis, naturebased solution, urban nature |
| Date: | 2018 |
| URL: | http://d.repec.org/n?u=RePEc:use:tkiwps:1808&r=all |
| By: | Monica de Bolle (Peterson Institute for International Economics) |
| Abstract: | The fires in Brazil’s Amazon rainforest in the summer of 2019 represent a government policy failure over many years, especially recently, as Brazilian public agencies that are supposed to curb man-made fires have been deliberately weakened. In keeping with his far-right nationalist campaign promises, President Jair Bolsonaro’s government has intentionally backed away from efforts to combat climate change and preserve the environment, which has emboldened farmers, loggers, and other players to engage in predatory activities in the rainforest. De Bolle calculates that if the current rate of deforestation is maintained over the next few years, the Amazon would be dangerously close to the estimated “tipping point†as soon as 2021, beyond which the rainforest can no longer generate enough rain to sustain itself. The tragic fires have demonstrated that protecting the Amazon rainforest is a global cause. The international attention provides an opportunity for the governments of Brazil and the United States to stop denying climate change and cooperate on strategies to preserve the rainforest and develop ways to sustainably use its natural resources. The international community should revive and expand the Amazon Fund to invest in ways to reduce deforestation through the possible use of payments for environmental services. Brazil should adopt and enforce regulations on land use in the Amazon region while cracking down on illegal uses, such as logging and mining, and should restore conditional rural credit policies to fight deforestation. |
| Date: | 2019–10 |
| URL: | http://d.repec.org/n?u=RePEc:iie:pbrief:pb19-15&r=all |
| By: | Li Chen; Jiti Gao; Farshid Vahid |
| Abstract: | We propose a common features approach and establish that global temperatures and greenhouse gases share a common trend without conditioning on the exact nature of their trends. We also find deterministic cycles in global temperature series with a period of 72 years whose amplitude is non-negligible compared to the warming effect caused by anthropogenic greenhouse gas emissions. We also explore the direction of causation in the co-trending relationship by establishing an error correction mechanism, which shows that greenhouse gas emissions do not respond to the equilibrium errors whereas the global temperature responds to equilibrium errors so as to maintain the co-trending relationship. Finally, we forecast future temperatures conditional on representative concentration pathways (RCP) of greenhouse gases considered by the intergovernmental panel on climate change (IPCC). Our forecasts show that the cyclical component could play a significant role in the next 30 years in such a way that would make the politics of effective emission control policy making more challenging. |
| Keywords: | climate change, cycle, endogeneity, trending behaviour. |
| JEL: | C22 C53 Q54 |
| Date: | 2019 |
| URL: | http://d.repec.org/n?u=RePEc:msh:ebswps:2019-23&r=all |
| By: | Marion Davin (CEE-M - Centre d'Economie de l'Environnement - Montpellier - FRE2010 - INRA - Institut National de la Recherche Agronomique - UM - Université de Montpellier - CNRS - Centre National de la Recherche Scientifique - Montpellier SupAgro - Institut national d’études supérieures agronomiques de Montpellier); Mouez Fodha (CES - Centre d'économie de la Sorbonne - UP1 - Université Panthéon-Sorbonne - CNRS - Centre National de la Recherche Scientifique, PSE - Paris School of Economics); Thomas Seegmuller (AMSE - Aix-Marseille Sciences Economiques - EHESS - École des hautes études en sciences sociales - AMU - Aix Marseille Université - ECM - Ecole Centrale de Marseille - CNRS - Centre National de la Recherche Scientifique) |
| Abstract: | This article analyzes the impacts of debt relief on production and pollution. We develop a two-country overlapping generations model with environmental externalities, public debts and perfect mobility of assets. Pollutant emissions arise from production, but agents may invest in pollution mitigation. Could debt relief be an efficient tool to encourage less developed countries to engage in the fight against climate change? We consider a decrease of the debt of the poor country balanced by an increase of the richer country's debt. We show that debt relief makes it possible to engage poor countries in the process of pollution abatement. Capital, environmental quality and welfare can increase in both countries. This result relies on the environmental sensitivity and the discount factor in the poor country relative to the rich one: the greater they are the more beneficial the debt relief is. |
| Keywords: | Capital market integration,Pollution,Abatement,Overlapping generations,Public debt |
| Date: | 2019–10 |
| URL: | http://d.repec.org/n?u=RePEc:hal:wpceem:halshs-02303265&r=all |
| By: | Marion Davin (CEE-M - Centre d'Economie de l'Environnement - Montpellier - FRE2010 - INRA - Institut National de la Recherche Agronomique - UM - Université de Montpellier - CNRS - Centre National de la Recherche Scientifique - Montpellier SupAgro - Institut national d’études supérieures agronomiques de Montpellier); Mouez Fodha (PSE - Paris School of Economics); Thomas Seegmuller (AMSE - Aix-Marseille Sciences Economiques - EHESS - École des hautes études en sciences sociales - AMU - Aix Marseille Université - ECM - Ecole Centrale de Marseille - CNRS - Centre National de la Recherche Scientifique) |
| Abstract: | This article analyzes the impacts of debt relief on production and pollution. We develop a two-country overlapping generations model with environmental externalities, public debts and perfect mobility of assets. Pollutant emissions arise from production, but agents may invest in pollution mitigation. Could debt relief be an efficient tool to encourage less developed countries to engage in the fight against climate change? We consider a decrease of the debt of the poor country balanced by an increase of the richer country's debt. We show that debt relief makes it possible to engage poor countries in the process of pollution abatement. Capital, environmental quality and welfare can increase in both countries. This result relies on the environmental sensitivity and the discount factor in the poor country relative to the rich one: the greater they are the more beneficial the debt relief is. |
| Keywords: | Capital market integra- tion,Pollution,Abatement,Overlapping generations,Public debt,Capital market integration |
| Date: | 2019 |
| URL: | http://d.repec.org/n?u=RePEc:hal:wpaper:halshs-02305967&r=all |
| By: | Jared C.Carbone (Division of Economics and Business, Colorado School of Mines); Sul-Ki Lee (Korean Institute for Industrial Economics and Trade); Yuzhou Shen (Division of Economics and Business, Colorado School of Mines) |
| Abstract: | We estimate household demand for climate amenities in the United States with two main objectives in mind: (i) to estimate model parameters with the demographic detail needed to inform climate-induced migration responses in regional population projections for use in climate impact analysis; (ii) to study the robustness of estimates from the existing literature. With respect to the former goal, we find important differences in job-related migration motives by age group and in the overall propensity to migrate among households with children. With respect to the latter aim, our framework shares a common, discrete-choice framework with other, recent attempts to recover climate preferences, allowing us to explore the consequences of a number of key assumptions in a systematic manner. Consistent with the existing literature, we find relatively robust estimates of the impact of the frequency of extreme heat days on household location decisions. The impacts of other, common measures of climate, including the frequency of extreme cold days, average summer and winter temperatures, annual precipitation, humidity and frequency of sunshine, are not identified with precision. |
| Keywords: | climate amenities, discrete choice, robustness testing |
| JEL: | Q51 Q54 R23 |
| Date: | 2019–10 |
| URL: | http://d.repec.org/n?u=RePEc:mns:wpaper:wp201904&r=all |
| By: | Sean J. Ericson (Department of Economics, University of Colorado - Boulder); Daniel T. Kaffine (Department of Economics, University of Colorado - Boulder); Peter Maniloff (Division of Economics and Business, Colorado School of Mines) |
| Abstract: | Spatial setback rules are a common form of oil and gas regulation worldwide - they require minimum distances between oil and gas operations and homes and other sensitive locations. While setbacks can reduce exposure to potential harms associated with oil and gas production, they can also cause substantial quantities of oil and gas resources to be unavailable for extraction. Using both theoretical modeling and spatial analysis with GIS tools on publicly available data, we determine oil and gas resource loss under different setback distances, focusing on Colorado counties as a case study. We show that increasing setbacks results in small resource loss for setbacks up to 1500 feet, but resource loss quickly increases with longer setbacks. Approximately $5 billion in annual resource revenues would be lost in Colorado under 2500-foot setbacks, a distance recently proposed in Colorado Proposition 112 and California AB 345. |
| Keywords: | oil and gas, setbacks, fracking, local air pollution |
| JEL: | Q48 Q53 Q58 |
| Date: | 2019–10 |
| URL: | http://d.repec.org/n?u=RePEc:mns:wpaper:wp201906&r=all |
| By: | Garg, Teevrat (University of California, San Diego) |
| Abstract: | This paper documents the effect of primary forest cover loss on increased incidence of malaria. The evidence is consistent with an ecological response. I show that land use change, anti-malarial programs or migration cannot explain the effect of primary forest cover loss on increased malarial incidence. Falsification tests reveal that the effect is specific to malaria, with forest cover having no discernible effect on other diseases with a disease ecology different from that of malaria. Back-of-the-envelope calculations indicate that the morbidity-related malaria-reducing local benefits of primary forests are at least $1-$2 per hectare. |
| Keywords: | deforestation, malaria |
| JEL: | Q53 O13 Q56 Q57 Q20 |
| Date: | 2019–10 |
| URL: | http://d.repec.org/n?u=RePEc:iza:izadps:dp12683&r=all |
| By: | Matthew E. Kahn; Kamiar Mohaddes; Ryan N. C. Ng; M. Hashem Pesaran; Mehdi Raissi; Jui-Chung Yang |
| Abstract: | We study the long-term impact of climate change on economic activity across countries, using a stochastic growth model where labor productivity is affected by country-specific climate variables—defined as deviations of temperature and precipitation from their historical norms. Using a panel data set of 174 countries over the years 1960 to 2014, we find that per-capita real output growth is adversely affected by persistent changes in the temperature above or below its historical norm, but we do not obtain any statistically significant effects for changes in precipitation. Our counterfactual analysis suggests that a persistent increase in average global temperature by 0.04°C per year, in the absence of mitigation policies, reduces world real GDP per capita by more than 7 percent by 2100. On the other hand, abiding by the Paris Agreement, thereby limiting the temperature increase to 0.01°C per annum, reduces the loss substantially to about 1 percent. These effects vary significantly across countries depending on the pace of temperature increases and variability of climate conditions. We also provide supplementary evidence using data on a sample of 48 U.S. states between 1963 and 2016, and show that climate change has a long-lasting adverse impact on real output in various states and economic sectors, and on labor productivity and employment. |
| Date: | 2019–10–11 |
| URL: | http://d.repec.org/n?u=RePEc:imf:imfwpa:19/215&r=all |
| By: | Raouf Boucekkine (Aix-Marseille University (IMéRA and AMSE), CNRS, EHESS and Ecole Centrale de Marseille.); Giorgio Fabbri (Univ. Grenoble Alpes, CNRS, INRA, Grenoble INP, GAEL); Salvatore Federico (Universita degli Studi di Siena, Dipartimento di Economia Politica e Statistica, Siena, Italy); Fausto Gozzi (Dipartimento di Economia e Finanza, LUISS Guido Carli, Rome, Italy) |
| Abstract: | We construct a spatiotemporal frame for the study of optimal growth under transboundary pollution. Space is continuous and polluting emissions originate in the intensity of use of the production input. Pollution flows across locations following a diffusion process. The objective functional of the economy is to set the optimal production policy over time and space to maximize welfare from consumption, taking into account a negative local pollution externality and the diffusive nature of pollution. Our framework allows for space and time dependent preferences and productivity, and does not restrict diffusion speed to be spaceindependent. This provides a comprehensive setting to analyze pollution diffusion with a close account of geographic heterogeneity. The involved optimization problem is infinite-dimensional. We propose an alternative method for an analytical characterization of the optimal paths and the asymptotic spatial distributions. The method builds on a deep economic concept of pollution spatiotemporal welfare effect, which makes it definitely useful for economic analysis. |
| Keywords: | Optimal growth, spatiotemporal modelling, transboundary pollution, infinite dimensional optimal control |
| JEL: | Q53 R11 C61 R12 O41 |
| Date: | 2019–10–04 |
| URL: | http://d.repec.org/n?u=RePEc:ctl:louvir:2019016&r=all |
| By: | Celani John Nyide (Durban University of Technology) |
| Abstract: | The successful management of environmental impacts and environmental costs depends on the implementation of the appropriate Environmental Management Accounting practices (EMAPs). EMAPs provides a pragmatic response to the widely reported criticisms of conventional management accounting practices. This paper reports on the EMAPs evident from the hotel sector in South African, used in order to optimise of environmental costs. Purposive sampling was used to select the hotel group that met the discriminatory criterion. Considering that this study was exploratory in nature, in-depth interviews were conducted with 10 respondents. The study found that the implementation EMAPs is limited in the South African hotel sector. This is due to the fact that the implementation of these practices is voluntary at this stage and there is no awareness by the hotels of the existing framework that they can use. Moreover, there is negligible pressure from the government for the hotels to see a need to reduce their environmental costs. Environmental Cost Accounting and Material Flow Cost Accounting are prominently used by the investigated hotels for the optimisation of environmental costs. The development and implementation of new technologies that complement EMAPs were found to be a challenge because of the shortage of skilled personnel and massive investments. |
| Keywords: | Environmental Management Accounting Practices, Environmental Costs, Hotel Sector, Optimisation, South Africa |
| JEL: | Q51 Q56 G30 |
| Date: | 2019–10 |
| URL: | http://d.repec.org/n?u=RePEc:sek:ibmpro:8612065&r=all |
| By: | Vladimir Grachev (Lomonosov Moscow State University); Natalia Kurysheva (Burnasyan Federal Medical Biophysical Center, Moscow) |
| Abstract: | The paper discusses the issue of the impact of various energy technologies on public health since the matter is pressing due to the emergence of new ways to harness energy such as waste incineration. The study shows that coal energy, waste incineration, and transport emissions are major hazards to public health. The study reveals nuclear energy is the most environmentally efficient and has the least adverse impact on public health. The paper demonstrates that the use of waste to generate energy is extremely dangerous for public health and can cause emission of polychlorinated dibenzodioxins, which poses a serious hazard. The paper postulates it is uncertain whether waste incineration is beneficial in terms of energy, but it is dangerous for sure. According to the paper, the use of conventional motor fuels is also hazardous due to benzopyrene emissions. Therefore, it is better to use the energy harnessed at nuclear or gas power plants to fir motor vehicles. |
| Keywords: | public health, natural gas, polychlorinated dibenzodioxins, nuclear, municipal solid waste, air pollution, benzopyrene |
| JEL: | Q42 Q53 I00 |
| Date: | 2019–10 |
| URL: | http://d.repec.org/n?u=RePEc:sek:iacpro:9412329&r=all |
| By: | Raouf Boucekkine (AMSE - Aix-Marseille Sciences Economiques - EHESS - École des hautes études en sciences sociales - AMU - Aix Marseille Université - ECM - Ecole Centrale de Marseille - CNRS - Centre National de la Recherche Scientifique); Giorgio Fabbri (GAEL - Laboratoire d'Economie Appliquée de Grenoble - Grenoble INP - Institut polytechnique de Grenoble - Grenoble Institute of Technology - INRA - Institut National de la Recherche Agronomique - CNRS - Centre National de la Recherche Scientifique - UGA - Université Grenoble Alpes); Salvatore Federico (DEPS - Dipartimento di Economia Politica e Statistica - UNISI - Università degli Studi di Siena); Fausto Gozzi (LUISS - Libera Università Internazionale degli Studi Sociali Guido Carli [Roma]) |
| Abstract: | We construct a spatiotemporal frame for the study of optimal growth under transboundary pollution. Space is continuous and polluting emissions originate in the intensity of use of the production input. Pollution flows across locations following a diffusion process. The objective functional of the economy is to set the optimal production policy over time and space to maximize welfare from consumption, taking into account a negative local pollution externality and the diffusive nature of pollution. Our framework allows for space and time dependent preferences and productivity, and does not restrict diffusion speed to be space-independent. This provides a comprehensive setting to analyze pollution diffusion with a close account of geographic heterogeneity. The involved optimization problem is infinite-dimensional. We propose an alternative method for an analytical characterization of the optimal paths and the asymptotic spatial distributions. The method builds on a deep economic concept of pollution spatiotemporal welfare effect, which makes it definitely useful for economic analysis. |
| Keywords: | optimal growth,spatiotemporal modelling,transboundary pollution,infinite dimensional optimal control |
| Date: | 2019–10–04 |
| URL: | http://d.repec.org/n?u=RePEc:hal:wpaper:hal-02314035&r=all |
| By: | David Martin; Sidney Swearingen (Department of Economics, Davidson College) |
| Abstract: | We examined if trees’ cooling services in Asheville are distributed equitably because previous studies have shown inequitable relationships exist between demographic factors and both tree canopies and the cooling services of trees. The results were too weak for policy recommendations because the natural science study design did not work well with the social science design, so here we focus on improving the natural and social science study designs for equity analyses of trees’ ecosystem services. First, the 1,000-point tree survey did not cover the Census Block Groups well, so we dropped areas of the city from our analysis. Our results kept changing as we reduced our sample size, so those omissions could be important. Second, using heat maps to measure the cooling effects of trees would require a design to summarize those effects across a Block Group and its residents. Third, impervious surfaces, daytime versus nighttime, water bodies, and elevation need to be meshed into the social science design. We conclude that only by carefully integrating natural and social science aspects in the study design can equity issues be assessed and good policy recommendations developed. |
| Keywords: | Ecosystem Services, Tree Canopy, Environmental Justice |
| JEL: | Q57 |
| Date: | 2019–09 |
| URL: | http://d.repec.org/n?u=RePEc:dav:wpaper:19-01&r=all |
| By: | Jared C.Carbone (Division of Economics and Business, Colorado School of Mines); Yuzhou Shen (Division of Economics and Business, Colorado School of Mines) |
| Abstract: | The vast majority of existing attempts to measure the benefits and costs of air-quality regulations model assume no interaction between the behavioral responses that determine the market-based costs of these policies and the targeted environmental benefits themselves. Nevertheless, general equilibrium theory suggests a number of channels through which important interdependencies might arise, including health impacts on labor supply and the demand for medical care, complementarities between air quality and demand for leisure activities, and interactions between multiple services derived from a common, impacted ecosystem. We develop a unified theoretical framework to assess the nascent literature focused on incorporating air-quality impacts into general equilibrium models. Our primary focus on quantitative studies employing computable general equilibrium (CGE) models. We conclude by identifying priorities for future research in this field. |
| Keywords: | air quality, non-market values, computable general equilibrium |
| JEL: | D58 Q51 Q52 |
| Date: | 2019–07 |
| URL: | http://d.repec.org/n?u=RePEc:mns:wpaper:wp201905&r=all |
| By: | Noubissi Domguia, Edmond; POUMIE, Boker |
| Abstract: | Using Ordinary Least Squares, the Generalized Method of Moments and Estimate fixed-effect panel threshold model, this paper analyses the effect of environment on happiness in a panel of 30 African countries over the period 2006-2014. We find that environment quality affects happiness. The linear model shows that actually the degradation of environment increase happiness. However, the Estimate fixed-effect panel threshold model concludes that the relation between happiness and Greenhouse Gas are not a linear but quadratic. The estimation of quadratic equation revealed that this relationship takes the form of an inverted U. These results mean that in the long run environment negatively affects the happiness of people in Africa. Thus, the effect of environmental quality on happiness in Africa depends on the level of Greenhouse Gas emissions and the level of income per capita. |
| Keywords: | National happiness, Environment quality, Africa |
| JEL: | I31 O15 |
| Date: | 2019–10–16 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:96580&r=all |
| By: | Louis-Gaëtan Giraudet (CIRED - Centre International de Recherche sur l'Environnement et le Développement - CIRAD - Centre de Coopération Internationale en Recherche Agronomique pour le Développement - EHESS - École des hautes études en sciences sociales - AgroParisTech - ENPC - École des Ponts ParisTech - CNRS - Centre National de la Recherche Scientifique, ENPC - École des Ponts ParisTech); Antoine Missemer (CIRED - Centre International de Recherche sur l'Environnement et le Développement - CIRAD - Centre de Coopération Internationale en Recherche Agronomique pour le Développement - EHESS - École des hautes études en sciences sociales - AgroParisTech - ENPC - École des Ponts ParisTech - CNRS - Centre National de la Recherche Scientifique, CNRS - Centre National de la Recherche Scientifique) |
| Abstract: | Energy efficiency can be considered as a central pillar of global warming mitigation, with important co-benefits, including productivity gains, resource conservation or national security. It is also a subject of controversy between engineers and economists, who have divergent conceptions of the notion of optimality that delineates energy efficiency potentials. Modern surveys hardly go back beyond the 1970s and do not fully explore the reasons and conditions for the persistent differences between economists' and engineers' views. This paper provides such a historical account, investigating the positioning of economic analysis in contrast to the technical expertise on key energy efficiency topics – the rebound effect, the energy efficiency gap, and green nudges, from the 19th century to the present day. It highlights the permanence and evolution in the relationship that economists have had with technical expertise. An extension of the current conceptual framework is finally provided to connect our historical findings with avenues for future research. |
| Keywords: | engineering,nudge,history of economic thought,energy efficiency,market barriers and failures |
| Date: | 2019 |
| URL: | http://d.repec.org/n?u=RePEc:hal:ciredw:halshs-02301636&r=all |
| By: | Jiyoon Kim; Ajin Lee; Maya Rossin-Slater |
| Abstract: | We use temperature variation within narrowly-defined geographic and demographic cells to show that prenatal exposure to extreme heat increases the risk of maternal hospitalization during pregnancy, and that this effect is larger for black than for white mothers. At childbirth, heat-exposed mothers are more likely to have hypertension and have longer hospital stays. For infants, fetal exposure to extreme heat leads to a higher likelihood of dehydration at birth and hospital readmission in the first year of life. Our results provide new estimates of the health costs of climate change and identify environmental drivers of the black-white maternal health gap. |
| JEL: | H51 I14 I18 Q50 |
| Date: | 2019–10 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:26384&r=all |
| By: | Kim, Jiyoon (Elon University); Lee, Ajin (Michigan State University); Rossin-Slater, Maya (Stanford University) |
| Abstract: | We use temperature variation within narrowly-defined geographic and demographic cells to show that prenatal exposure to extreme heat increases the risk of maternal hospitalization during pregnancy, and that this effect is larger for black than for white mothers. At childbirth, heat-exposed mothers are more likely to have hypertension and have longer hospital stays. For infants, fetal exposure to extreme heat leads to a higher likelihood of dehydration at birth and hospital readmission in the first year of life. Our results provide new estimates of the health costs of climate change and identify environmental drivers of the black-white maternal health gap. |
| Keywords: | extreme heat, maternal health, infant health |
| JEL: | I14 I18 Q54 |
| Date: | 2019–10 |
| URL: | http://d.repec.org/n?u=RePEc:iza:izadps:dp12685&r=all |
| By: | Dominique Bianco (UB - Université de Bourgogne); Evens Salies (OFCE - Observatoire Français des Conjonctures économiques - Institut d'Études Politiques [IEP] - Paris - Fondation Nationale des Sciences Politiques [FNSP]) |
| Abstract: | Few endogenous growth models have focused attention on the strong Porter hypothesis that stricter environmental policies induce innovations, the benefits of which exceed the costs. A key assumption underlying this hypothesis is that policy strictness pushes firms to overcome some obstacles to profit maximization. This paper incorporates pollution and taxation in the model of Aghion and Griffith (2005) of growth which includes satisficing managers and non-drastic innovation. Our theoretical results predict the strong Porter hypothesis. However, assuming drastic innovation in the model, we predict the weak Porter hypothesis. We also consider several extensions, such as a simultaneous competition policy or a command and control policy. |
| Keywords: | Endogeneous growth model |
| Date: | 2017–11 |
| URL: | http://d.repec.org/n?u=RePEc:hal:journl:hal-02314755&r=all |
| By: | Karen Clay; Nicholas Z. Muller |
| Abstract: | After declining by 24.2% from 2009 to 2016, annual average fine particulate matter (PM2.5) in the United States in counties with monitors increased by 5.5% between 2016 and 2018. Increases occurred in multiple census regions and in counties that were in and out of attainment with National Ambient Air Quality Standards (NAAQS). We explore channels through which the increase may have occurred including increases in economic activity, increases in wildfires, and decreases in Clean Air Act enforcement actions. The health implications of this increase in PM2.5 between 2016 and 2018 are significant. The increase was associated with 9,700 additional premature deaths in 2018. At conventional valuations, these deaths represent damages of $89 billion. |
| JEL: | I10 Q51 Q52 Q53 Q54 |
| Date: | 2019–10 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:26381&r=all |
| By: | José A Peres-Cajías (Universitat de Barcelona) |
| Abstract: | This paper offers a general assessment of the economic activity in Bolivian regions thanks to an estimation, for the first time, of regional GDPs in Bolivia from 1950 onwards. The new quantitative evidence shows the economic upsurge and consolidation of new regions beyond the traditional economic zones, which were located to the west of the country since colonial times. This process is in stark contrast with most Latin American experiences, where economic activity has tended to be concentrated continuously in the same regions since the mid-19th century. This changing pattern is firstly explained by the availability of natural resources endowments. However, given the landlocked nature of the country, the vibrant set of ecological regions and the consequent relevance of transports costs, it is argued that natural resources may act as potent engines of regional economic growth only when a minimum network of public infrastructure is available. |
| Keywords: | Natural Resources, Regional convergence, Regional inequality, Landlockness, Bolivia |
| JEL: | N16 N56 N96 R12 |
| Date: | 2019–10 |
| URL: | http://d.repec.org/n?u=RePEc:hes:wpaper:0169&r=all |
| By: | Sriket, Hongsilp; Suen, Richard M. H. |
| Abstract: | This paper re-examines the possibility of endogenous long-term economic growth in neoclassical models with non-renewable resources. Instead of using a Cobb-Douglas production function as in most existing studies, we consider a general form in which physical capital is functionally separable from labour and natural resources. It is shown that if the elasticity of substitution between labour and resources is identical to one, then long-term economic growth is endogenous. But if this elasticity is not equal to one, as suggested by empirical studies, then long-term economic growth is entirely driven by an exogenous technological factor. |
| Keywords: | Non-Renewable Resources; Endogenous Growth; Elasticity of Substitution. |
| JEL: | O13 O41 Q32 |
| Date: | 2019–09–27 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:96544&r=all |
| By: | Stefan Bach; Niklas Isaak; Claudia Kemfert; Nicole Wägner |
| Abstract: | Am 20. September hat die Bundesregierung ein Klimapaket beschlossen, mit dem die Klimaziele 2030 in den Sektoren Verkehr und Gebäude erreicht werden sollen. Doch bereits jetzt ist absehbar, dass der vorgeschlagene CO2-Preispfad und der anschließende Emissionshandel mit festgelegter Preisobergrenze als alleinige Instrumente nicht ausreichen. Insbesondere im Verkehrssektor werden die Maßnahmen die Emissionen nicht annähernd genügend mindern, zeigen die Berechnungen des DIW Berlin zur Lenkungswirkung. Trotz Senkung der EEG-Umlage und erhöhter Entfernungspauschale werden die öffentlichen Haushalte durch die CO2-Bepreisung per Saldo bis zu zwölf Milliarden Euro im Jahr mehr einnehmen. Die privaten Haushalte mit niedrigen Einkommen werden dabei deutlich stärker belastet als die mit hohen Einkommen. |
| Date: | 2019 |
| URL: | http://d.repec.org/n?u=RePEc:diw:diwakt:24de&r=all |
| By: | Vondra, Marek; Touš, Michal; Teng, Sin Yong |
| Abstract: | Biogas production is one of the most promising pathways toward fully utilizing green energy within a circular economy. The anaerobic digestion process is the industry standard technology for biogas production due to its lowered energy consumption and its reliance on microbiology. Even in such an environmental-friendly process, liquid digestate is still produced from the remains of digested bio-feedstock and will require treatment. With unsuitable treatment procedure for liquid digestate, the mass of bio-feedstock can potentially escape the circular supply chain within the economy. This paper recommends the implementation of evaporator systems to provide a sustainable liquid digestate treating mechanism within the economy. Studied evaporator systems are represented by vacuum evaporation in combination with ammonia scrubber, stripping and reverse osmosis. Nevertheless, complex multi-dimensional decisions should be made by stakeholders before implementing such systems. Our work utilizes a novel techno-economics model to study the techno-economics robustness in implementing recent state-of-art vacuum evaporation systems with exploitation of waste heat from combined heat and power (CHP) units in biogas plants (BGP). To take into the account the stochasticity of the real world and robustness of the analysis, we used the Monte-Carlo simulation technique to generate more than 20,000 of different possibilities for the implementation of the evaporation system. Favourable decision pathways are then selected using a novel methodology which utilizes the artificial neural network and a hyper-optimized decision tree classifier. Two pathways that give the highest probability of providing a fast payback period are identified. Descriptive statistics are also used to analyse the distributions of decision parameters that lead to success in implementing the evaporator system. The results highlighted that integration of evaporation system are favourable when transport costs and incentives for CHP units are large and while feed-in tariffs for electricity production and specific investment costs are low. The result of this work is expected to pave the way for BGP stakeholders and decision makers in implementing liquid digestate treating technologies within the currently existing infrastructure. |
| Keywords: | Anaerobic Digestion; Machine Learning; Vacuum Evaporation; Liquid Digestate; Biogas Plant; Energy Consumption; Nutrient Recovery; Circular economy; Ammonium sulphate solution |
| JEL: | C0 C1 C6 C8 E0 E2 E3 E6 L1 L6 L9 |
| Date: | 2019–09–20 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:95770&r=all |
| By: | Alessandro Cantelmo; Giovanni Melina; Chris Papageorgiou |
| Abstract: | Using a dynamic stochastic general equilibrium model, we study the channels through which natural disaster shocks affect macroeconomic outcomes and welfare in disaster-prone countries. We solve the model using Taylor projection, a solution method that is shown to deal effectively with high-impact weather shocks calibrated in accordance to empirical evidence. We find large and persistent effects of weather shocks that significantly impact the income convergence path of disaster-prone countries. Relative to non-disaster-prone countries, on average, these shocks cause a welfare loss equivalent to a permanent fall in consumption of 1.6 percent. Welfare gains to countries that self-finance investments in resilient public infrastructure are found to be negligible, and international aid has to be sizable to achieve significant welfare gains. In addition, it is more cost-effective for donors to contribute to the financing of resilience before the realization of disasters, rather than disbursing aid after their realization. |
| Date: | 2019–10–11 |
| URL: | http://d.repec.org/n?u=RePEc:imf:imfwpa:19/217&r=all |
| By: | Gurgul, Henryk; Lach, Łukasz |
| Abstract: | Performance assessment in the presence of undesirable outputs, such as pollutant emissions, is usually modelled within the framework of data envelopment analysis (DEA). In this paper we propose a new approach to measuring eco-efficiency in generalized input-output (gIO) models which may be used as a supplementary method to traditional DEA. Unlike DEA this approach takes into account detailed data on intersectoral flows in supply- and demand-driven gIO models. We focus on cases of traditional and sector-size-adjusted measures of interindustry linkages in gIO models and in each case we suggest respective indices of eco-efficiency and prove their usefulness in policymaking. In order to illustrate possible applications of the new approach we conduct an empirical analysis aimed at identifying the eco-efficient sectors based on the 1995 and 2009 national input-output tables and environmental accounts for Poland which are provided by the World Input Output Data (WIOD) database. |
| Keywords: | generalized input-output models, intersectoral linkages, eco-efficiency, nonlinear optimization |
| JEL: | C5 O1 Q3 |
| Date: | 2019–01–01 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:96604&r=all |
| By: | Jackman, Mahalia; Lorde, Troy; Naitram, Simon; Greenaway, Tori |
| Abstract: | This paper argues that length of stay is a reflection of the distance between the origin and destination country. Past interpretations of distance premised on spatial aspects. This study extends the dimensional space of distance to include socio-psychological dimensions, climate distance and economic distance. Our empirical analysis utilizes airport data covering over 350,000 pleasure tourists to Barbados from 144 countries. The results suggest that the length of stay of pleasure tourists to Barbados increases with geographic distance, cultural distance and climatic distance, but is inversely related to economic distance. We find no evidence that long-distance relationships (captured by transnational and diasporic relationships) affect tourist length of stay. Implications of these findings are provided. |
| Keywords: | Length of stay, Distance, Tourism demand, Cultural distance, Climate distance, Linder's hypothesis |
| JEL: | C13 C23 C51 L83 |
| Date: | 2019–09–06 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:96613&r=all |
| By: | Dam, My; Ha-Huy, Thai; Le Van, Cuong; Nguyen, Thi Tuyet Mai |
| Abstract: | This article considers a two-sector economy with externalities. In particular,the analysis involves an industrial sector whose production activities have negative effects on the regeneration of a natural resource in the other sector. Without the usual convexity or the super-modularity structure, we prove that the economy evolves to increase the \textit{net gain of stock}, and establish the conditions ensuring the convergence of the economy in the long run. |
| Keywords: | Ramsey model, two-sector model, renewable resources, pollution |
| JEL: | C0 C02 Q2 |
| Date: | 2019–08–21 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:96672&r=all |
| By: | Wilhelmsson, Mats (Department of Real Estate and Construction Management, Royal Institute of Technology) |
| Abstract: | The impact on energy performance certificates on housing prices has been investigated extensively in recent years. However, the results from these investigations are mixed. We add to the literature by more specifically controlling for potential biases by employing a combination of alternative approaches to estimate the causal relationship between house prices and energy performance certificates. We use a traditional hedonic modeling approach, but we are additionally using propensity score methods to be able to compare treated houses with a control group. We also investigate the impact of outliers, spatial dependency, and parameter heterogeneity of our estimates. Moreover, we use quantile regression technique to test the hypothesis that the capitalization effect varies across the price distribution. Our results indicate there is an upward bias if we are not controlling for outlier and selection bias. Regardless of the propensity score method approach, the results are lower than a model (around 3 percent capitalization compared to 6 percent). However, our results do not support that the impact of energy performance certificates varies in the price distribution. Consequently, the certificates are not differently capitalized in the high-end housing price segment. Finally, our results do not support the hypothesis that the energy performance certificate should be more capitalized into house prices in the northern and colder parts of Sweden than in the south of Sweden. |
| Keywords: | energy performance certificates; climate; hedonic price equation; selection bias; propensity score method |
| JEL: | Q40 Q50 R30 R38 |
| Date: | 2019–10–18 |
| URL: | http://d.repec.org/n?u=RePEc:hhs:kthrec:2019_003&r=all |
| By: | Stefano Quarta; Skerdilajda Zanaj |
| Abstract: | In this paper, we analyze a vertically differentiated mixed duopoly in medical care services. Pollution is the source of illness. The government has a dual role. It decides how much to invest to reduce the pollution level and it may participate in the health market running a public hospital. We find that the presence of the public provider increases the average quality of the service in the market and it reduces the rate of mortality. Furthermore, when the public hospital offers services with the highest quality, then this has positive spillovers on the quality offered by the private provider. Despite these positive welfare improving features, the mixed duopoly in medical care goes along with the highest level of pollution. In the presence of an increasing concern about the relationship between pollution and health, understanding the role of public intervention appears crucial. |
| Keywords: | Pollution, health, public provider, mixed duopoly. |
| JEL: | L13 H42 H44 I11 |
| Date: | 2019–11–14 |
| URL: | http://d.repec.org/n?u=RePEc:eei:rpaper:eeri_rp_2019_14&r=all |
| By: | Murielle Djiguemde (CEE-M - Centre d'Economie de l'Environnement - Montpellier - FRE2010 - INRA - Institut National de la Recherche Agronomique - UM - Université de Montpellier - CNRS - Centre National de la Recherche Scientifique - Montpellier SupAgro - Institut national d’études supérieures agronomiques de Montpellier); Dimitri Dubois (CEE-M - Centre d'Economie de l'Environnement - Montpellier - FRE2010 - INRA - Institut National de la Recherche Agronomique - UM - Université de Montpellier - CNRS - Centre National de la Recherche Scientifique - Montpellier SupAgro - Institut national d’études supérieures agronomiques de Montpellier); Alexandre Sauquet (CEE-M - Centre d'Economie de l'Environnement - Montpellier - FRE2010 - INRA - Institut National de la Recherche Agronomique - UM - Université de Montpellier - CNRS - Centre National de la Recherche Scientifique - Montpellier SupAgro - Institut national d’études supérieures agronomiques de Montpellier); Mabel Tidball (CEE-M - Centre d'Economie de l'Environnement - Montpellier - FRE2010 - INRA - Institut National de la Recherche Agronomique - UM - Université de Montpellier - CNRS - Centre National de la Recherche Scientifique - Montpellier SupAgro - Institut national d’études supérieures agronomiques de Montpellier) |
| Abstract: | Economists have been attempting to take on the optimal management of groundwater for many decades, initially through static models, and since the 1970's through a dynamic framework. Since then, several attempts have been made to test dynamic models through laboratory experiments. Yet formulating and testing these models raises several challenges that we attempt to tackle in this study by testing a very simple dynamic groundwater extraction model in a laboratory experiment. We propose a full characterization of the theoretical solutions, taking into account economic constraints. In the experiment we mimic continuous time by allowing subjects to make their extraction decisions whenever they wish, with an actualization and updating the data (resource and payoffs) every second. The infinite horizon is simulated through the computation of payoffs, as if time were endless. To get around the weaknesses of the widely used Mean Squared Deviation (MSD) statistic and classify individual behavior as myopic, feedback or optimal, we combine the MSD with Ordinary Least Squares (OLS) regressions and time series treatments. Results show that a significant percentage of agents are able to adopt an optimal extraction path, that few agents should be considered truly myopic, and that using the MSD alone to classify agents would be misleading for about half of the study participants. |
| Keywords: | Experimental Economics,Renewable Resources,Continuous Time,Dynamic Optimization,Differential Games,Applied Econometrics. |
| Date: | 2019 |
| URL: | http://d.repec.org/n?u=RePEc:hal:wpceem:hal-02316729&r=all |
| By: | Emilio Castillo (Division of Economics and Business, Colorado School of Mines); Roderick Eggert (Division of Economics and Business, Colorado School of Mines) |
| Abstract: | Mineral depletion is a perennial concern in natural resources management. Despite a multiplicity of perspectives, most analyses fall largely into one of two groups. Studies in the first group take the fixed quantity of any material in the earth as the starting point for analysis, focus primarily on physical stocks and flows of mineral resources, and assess when society will run out of a resource or when production and use will peak (the fixed-stock viewpoint). Studies in the second group start by noting the heterogeneous nature of mineral resources and our incomplete knowledge of the quantity and quality of minerals in the earth, focus on the dynamic nature of mineral availability, and assess the ability of society to adjust to mineral depletion at existing mines though mineral exploration and mine development, technological innovation, and substitution (the opportunity-cost viewpoint). This paper seeks to reconcile these diverging perspectives by developing a modified cumulative availability curve (CAC) - which combines physical stocks and flows (from the fixed-stock perspective) with geologic stock uncertainty, different demand scenarios and extraction costs (from the opportunity-cost perspective). When applied to copper resources, the modified CAC suggests that copper demand is likely to be satisfied until about 2075 from known deposits. Thereafter, the ability of mineral explorers to discover previously undiscovered deposits, as well as efforts at substitution and improving recycling and re-use of copper, will importantly influence whether copper demand is satisfied. |
| Keywords: | peak minerals, mineral depletion, cumulative availability curve, copper |
| JEL: | Q3 |
| Date: | 2019–09 |
| URL: | http://d.repec.org/n?u=RePEc:mns:wpaper:wp201902&r=all |
| By: | Katarína ?ulková (Technical University of Ko?ice); Mária Jano?ková (Technical University of Ko?ice); Adriana Csikósová (Technical University of Ko?ice) |
| Abstract: | Tourism records considerably massive development as a single sector and its development can be contribution only in case it is in accord with the living environment and social acceptance. The goal of the contribution is to search sustainable development in area of tourism in the frame of Visegrad group visitors in Slovakia in comparing with whole world prediction development. The searching is made by external environment of tourism system, regarding present legislation about tourism support. The evaluation and comparing is done by the index of country attractiveness from the view of satisfied demands of visitors and their country origin. The main results show attractiveness of the Slovakia is considered as attractive country from the view of satisfied demands. By this way, there is confirmed space for visitation increasing as well as improving Slovakia perception as target country for tourism. |
| Keywords: | Country attractiveness; Development prediction; Sustainability; Tourism; Visegrad group |
| JEL: | F15 O52 |
| Date: | 2019–10 |
| URL: | http://d.repec.org/n?u=RePEc:sek:ibmpro:8612326&r=all |
| By: | Shahbaz, Muhammad; Ahmed, Khalid; Tiwari, Aviral Kumar; Jiao, Zhilun |
| Abstract: | This paper employs an augmented production function to examine resource curse hypothesis by incorporating oil prices as an additional determinant of economic growth. In doing so, the bounds testing approach to cointegration is applied in the presence of structural breaks in the series. The directional of causal association between the variables is examined by applying the VECM Granger causality approach. The empirical results show the existence of long run relationship between the variables. Moreover, natural resource abundance is negatively linked with economic growth confirms the validation of resource curse hypothesis. The nonlinear relationship between natural resource abundance and economic growth is inverted U-shaped. Oil prices add in economic growth. Capitalization increases economic growth. Labor boosts economic growth. The causality analysis reveals the unidirectional causal relationship running from natural resource abundance to economic growth. The feedback effect exists between oil prices and economic growth. Capitalization causes economic growth and in return, economic growth causes capitalization in Granger sense. |
| Keywords: | Natural Resources, Economic Growth, Oil Prices, USA |
| JEL: | E0 |
| Date: | 2019–10–06 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:96633&r=all |
| By: | Kirchem, Dana; Lynch, Muireann Á; Casey, Eoin; Bertsch, Valentin |
| Date: | 2019 |
| URL: | http://d.repec.org/n?u=RePEc:esr:wpaper:wp637&r=all |
| By: | Kanrawee Busayanon (Faculty of Education, Ramkhamhaeng University); Kittisak Laksana (Faculty of Education, Ramkhamhaeng University); Alongkorn Ausawasowan (Faculty of Education, Ramkhamhaeng University); Yasa Mahamarn (Faculty of Education, Ramkhamhaeng University) |
| Abstract: | This study aims to investigate the extent to which problem-based instruction can enhance pre-service Social Studies teachers? academic achievement and environmental problem-solving skills. A single group design experiment was conducted with 36 pre-service Social Studies teachers selected using the simple random sampling method. The research instruments employed in the study were: 1) five problem-based lesson plans, 2) a subjective test, and 3) a rubric to assess environmental problem-solving skills. Data obtained from a pre-test and a post-test were analyzed via a paired sample t-test. The findings reveal that after participating in the study, the pre-service Social Studies teachers? overall academic achievement and environmental problem-solving skills scores improved significantly, at a significance level of .05 with a large effect size of 2.843 and 6.500 respectively. |
| Keywords: | Academic achievement, environmental problem-solving skills, pre-service teacher, problem-based instruction |
| JEL: | I29 |
| Date: | 2019–10 |
| URL: | http://d.repec.org/n?u=RePEc:sek:iacpro:9412081&r=all |
| By: | Abdelaaziz Ait Ali, Badr Mandri , Ghazi Tayeb, Olalekan Samuel, Mma Amara Ekeruche, Adedeji Adeniran |
| Abstract: | This study was carried out within the framework of the Global Economic Governance Africa (GEGAfrica) funded by the UK Department for International Development. |
| Date: | 2019–02 |
| URL: | http://d.repec.org/n?u=RePEc:ocp:ppaper:pn1902&r=all |
| By: | Kin-Sun Andy Lai (Technological and Higher Education Institute of Hong Kong) |
| Abstract: | Despite the renowned economic prosperity of Hong Kong, there are many underprivileged families who are currently residing in sub-divided units (SDUs) due to the shortage of public housing and skyrocketing rent in the city. Over 200,000 Hong Kong people have lived in such substandard dwellings which offer an average of 5.8m2 floor area per person. For the 3-person and 4-person households, the average area per person drops to 3.7m2 and 3m2 respectively (Census and Statistic of Hong Kong, 2016). Low-income households have to compromise on their quality of life for affordable housing, and suffer from lack of living space and facilities (Leung & Yiu, 2019). Given that those aged below 15 accounts for 17.9% of residents in SDUs (Census and Statistics of Hong Kong, 2016), this disadvantaged segment is crying for quick, innovative yet sustainable solutions to the social problem (Rittel & Webber, 1973) faced by them every day. Identifying the vile living conditions of sub-divided units? tenants, this research calls for creative solutions through bottom-up involvement of people in the community and institutional network. The research examines the relationship between environment and sustainable development through a Co-Design approach. The research entails a case study of six real-life Co-Designed furniture project for selected sub-divided unit families and a series of post-production survey and questionnaire. The qualitative research enlightens the social sustainability of how Co-Design can assist children and early teenage in improving their built environment, and more importantly, at the same time, how to catalyze changes in people?s perceptions and assumptions of their living space, and evoking social sustainable behavioral changes among the participants. |
| Keywords: | Sustainable Development, Co Design, Qualitative Research |
| Date: | 2019–10 |
| URL: | http://d.repec.org/n?u=RePEc:sek:iacpro:9411684&r=all |