nep-cna New Economics Papers
on China
Issue of 2008‒01‒19
two papers chosen by
Zheng Fang
Ohio State University

  1. Understanding the determinants of consumersf willingness to pay for eco-labeled products: An empirical analysis of the China Environmental Label By Junyi Shen
  2. Can China continue feeding itself ? the impact of climate change on agriculture By Zhang, Lijuan; Rozelle, Scott; Huang, Jikun; Dinar, Ariel; Mendelsohn, Robert; Wang, Jinxia

  1. By: Junyi Shen (OSIPP,Osaka University)
    Abstract: This study applies data from a web-based survey conducted in mainland China to examine the determinants of consumersf willingness to pay (WTP) for seven different product categories awarded with China Environmental Label and compare the mean WTP estimates among these categories. The Interval Regression method is used for estimation. The results indicate that Chinese consumers who regard environmental conservation as being more important than life convenience, who believe purchasing the eco-labeled products is good for the environment, and who have the experience in purchasing eco-labeled products are willing to pay more for those products with environmental label or eco-label. In addition, socio-demographic characteristics such as gender, age, education and household income are found to be important factors to affect Chinese consumersf WTP amounts. Finally, the results of pair-wise comparison among the mean WTP estimates of various eco-labeled products indicate that most of them are different, which implies that the degrees of Chinese consumersf willingness to pay extra money for China Environmental Label are different based on the types of products.
    Keywords: China Environmental Label, Eco-labeled products, Interval regression, Payment card, Willingness to pay
    JEL: D12 Q28 Q51
    Date: 2008–01
    URL: http://d.repec.org/n?u=RePEc:osp:wpaper:08e001&r=cna
  2. By: Zhang, Lijuan; Rozelle, Scott; Huang, Jikun; Dinar, Ariel; Mendelsohn, Robert; Wang, Jinxia
    Abstract: Several studies addressing the supply and demand for food in China suggest that the nation can largely meet its needs in the coming decades. However, these studies do not consider the effects of climate change. This paper examines whether near future expected changes in climate are likely to alter this picture. The authors analyze the effect of temperature and precipitation on net crop revenues using a cross section consisting of both rainfed and irrigated farms. Based on survey data from 8,405 households across 28 provinces, the results of th e Ricardian analysis demonstrate that global warming is likely to be harmful to China but the impacts are likely to be very different in each region. The mid latitude region of China may benefit from warming but the southern and northern regions are likely to be damaged by warming. More precipitation is beneficial to Chinese farmers except in the wet southeast. Irrigated and rainfed farmers have similar responses to precipitation but not to temperature. Warmer temperatures may benefit irrigated farms but they are likely to harm rainfed farms. Finally, seasonal effects vary and are offsetting. Although we were able to measure the direct effect of precipitation and temperature, we could not capture the effects of change in water flow which will be very important in China. Can China continue feeding itself if climate changes? Based on the empirical results, the likely gains realized by some farmers will nearly offset the losses that will occur to other farmers in China. If future climate scenarios lead to significant reductions in water, there may be large damages not addressed in this study.
    Keywords: Climate Change,Crops & Crop Management Systems,Global Environment Facility,Common Property Resource Development,Rural Development Knowledge & Information Systems
    Date: 2008–01–01
    URL: http://d.repec.org/n?u=RePEc:wbk:wbrwps:4470&r=cna

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