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on Energy Economics |
| By: | Damien Dussaux; Francesco Vona (Observatoire français des conjonctures économiques); Antoine Dechezleprêtre |
| Abstract: | Concerns about carbon offshoring, namely the relocation of dirty tasks abroad, undermine the efficiency of domestic carbon mitigation policies and might prevent governments from adopting more ambitious climate policies. This paper is the first to analyse the extent and determinants of carbon offshoring at the firm level. We combine information on carbon emissions, imports, imported emissions and environmental policy stringency based on a unique dataset of 5,000 French manufacturing firms observed from 1997 to 2014. We estimate the impact of imported emissions on firm’s domestic emissions and emission intensity using a shift-share instrumental variable strategy. We do not find compelling evidence of an impact of carbon offshoring on total emissions, but show that emission efficiency improves in companies offshoring emissions abroad, suggesting that offshored emissions are compensated by an increase in production scale. The effect is economically meaningful with a 10% increase in carbon offshoring causing a 4% decline in emission intensity. However, this effect is twice as small as that of domestic energy prices and, importantly, does not appear to be driven by a pollution haven motive. |
| Keywords: | Carbon offshoring; CO2 emissions; Emissions intensity; Import competition; Energy prices |
| JEL: | F18 F14 Q56 |
| Date: | 2020 |
| URL: | http://d.repec.org/n?u=RePEc:spo:wpmain:info:hdl:2441/7j6trda2ip9uja53ghj5qo32rg&r=all |
| By: | Brändle, Gregor (Energiewirtschaftliches Institut an der Universitaet zu Koeln (EWI)); Schönfisch, Max (Energiewirtschaftliches Institut an der Universitaet zu Koeln (EWI)); Schulte, Simon (Energiewirtschaftliches Institut an der Universitaet zu Koeln (EWI)) |
| Abstract: | As part of the decarbonisation of the global economy, low-carbon hydrogen is expected to play a central role in future energy systems. This article presents a comprehensive approach for estimating the development of global production and supply costs of low-carbon hydrogen from renewable energy sources (RES) and natural gas until 2050. For hydrogen from RES, globally distributed wind and solar photovoltaics (PV) potentials are taken as inputs for low or high temperature electrolysers. A linear optimisation model minimises hydrogen production costs by determining optimal capacity ratios for each RES and electrolyser combination, based on hourly RES electricity generation profiles. For low-carbon hydrogen from natural gas, natural gas reforming with carbon capture and storage (CCS) and pyrolysis are considered. In addition to production costs, this analysis assesses the costs associated with the transportation of hydrogen by ship or pipeline. The combination of production and transportation costs yields a ranking of cost-optimal supply sources for individual countries. Estimation results suggest that natural gas reforming with CCS will be the most cost-efficient low-carbon hydrogen production pathway in the medium term (2020-2030). Production of hydrogen from RES could become competitive in the long run (2030-2050) if capital costs decrease significantly. Optimal long-term hydrogen supply routes depend on regional characteristics, such as RES conditions and gas prices. Imports are cost-effective where domestic production potential is small and/or cost-intensive. Additionally, good import conditions exist for countries which are connected to prospective low-cost exporters via existing natural gas pipelines that can be retrofitted to transport hydrogen. Due to high costs for seaborne transport, hydrogen trade will most likely be concentrated regionally, and markets with different provision schemes could emerge. The results are highly sensitive to capital cost assumptions and natural gas prices. |
| Keywords: | Low-Carbon Hydrogen; Hydrogen Production; Hydrogen Transportation; Levelised Cost |
| JEL: | Q40 Q42 Q49 |
| Date: | 2020–11–11 |
| URL: | http://d.repec.org/n?u=RePEc:ris:ewikln:2020_004&r=all |
| By: | Muehlegger, Erich PhD; Rapson, David PhD |
| Abstract: | California has adopted aggressive vehicle electrification goals as a means of reducing urban air pollution, carbon emissions, and overall petroleum consumption. The state has several programs to encourage electric vehicle adoption, including the Enhanced Fleet Modernization Program, which was initially piloted in two California air districts and recently expanded to other regions. The program offers subsidies to low- and middle-income residents to scrap their old higher-polluting vehicle and purchase lower-polluting hybrid, plug-in hybrid, and battery electric vehicles, with more generous incentives for residents in disadvantaged zip codes. The extent to which this and other incentive programs help to achieve environmental policy goals depends on the emissions reduced by electric vehicles, and the emissions of the vehicle that would have been purchased had the consumer not chosen an electric vehicle. A household that purchases an electric vehicle will generate a larger environmental benefit if it would have otherwise purchased a gas guzzler rather than a gas sipper. The choice of replacement vehicle also has important implications for projecting future fuel tax revenues. If EVs replace gas sippers, fuel tax revenues will decline more slowly. If they replace gas guzzlers, fuel tax revenues will decline more quickly. To answer these questions, researchers at UC Davis compared the average fuel economy of vehicles purchased in disadvantaged zip codes inside and outside of air districts participating in the Enhanced Fleet Modernization Program, before and after the program began. This quasiexperimental design gives a reasonable estimate of what would have happened without the subsidy. |
| Keywords: | Social and Behavioral Sciences |
| Date: | 2020–11–01 |
| URL: | http://d.repec.org/n?u=RePEc:cdl:itsdav:qt1hr93046&r=all |
| By: | Çam, Eren (Energiewirtschaftliches Institut an der Universitaet zu Koeln (EWI)) |
| Abstract: | As the share of intermittent renewable electricity generation increases, the remaining fleet of conventional power plants will have to operate with higher flexibility. One of the methods to increase power plant flexibility is to integrate a thermal energy storage (TES) into the water-steam cycle of the plant. TES can provide flexibility and achieve profits by engaging in energy arbitrage on the spot markets and by providing additional power on the control power markets. This paper considers a reference coal-fired power plant with an integrated TES system for the year 2019 in Germany. Optimal dispatch for profit maximisation with TES is simulated on the hourly day-ahead and quarter-hourly continuous intraday markets as well as on the markets for primary (PRL) and secondary (SRL) control power. Analysing the effects of TES round-trip efficiency and storage capacity on dispatch and the profits, I find that smaller TES systems with up to one hour of storage capacity can achieve substantial profits on the PRL market while also realising profits from energy arbitrage on the continuous intraday market. Higher TES round-trip efficiencies can help TES achieve significant profits also on the day-ahead market. The analysis shows that a storage capacity of 2–3 hours is enough to realise most of the energy arbitrage potential, while larger storage capacities can greatly increase TES profits on the SRL market. Small TES systems are found to increase the full load hours of the plant marginally. However, the increase becomes significant with larger storage capacities and can lead to higher CO 2 emissions for the individual plant. |
| Keywords: | Coal-fired power plant; flexibility; thermal energy storage; energy arbitrage |
| JEL: | Q40 Q49 |
| Date: | 2020–11–12 |
| URL: | http://d.repec.org/n?u=RePEc:ris:ewikln:2020_005&r=all |
| By: | Hugh Saddler (Crawford School of Public Policy, Australian National University) |
| Abstract: | This paper uses the most recent update of Australian Energy Statistics to examine two separate though related questions. First, how is Australia’s National Energy Productivity Plan, launched in 2015, progressing? It finds that primary energy productivity has increased, but the increase is almost entirely attributable to the shift from fossil fuel to renewable generation of electricity, meaning that final energy productivity has been almost static. However, factorisation analysis shows that lack of progress in final energy productivity is mostly caused by recent rapid growth in the very energy intensive production for export of large volumes of LNG. Modest but non-negligible energy productivity improvements have been achieved in most other sectors of the economy. The second question is whether, as the government proposes, increased supply and consumption of gas will boost employment and revive the economy. The paper concludes that it will not, because almost all employment is found and almost all GDP is created in sectors of the economy which use relatively very little gas. Three sectors of manufacturing use about two thirds of total commercial gas consumption in Australia (excluding electricity generation and the LNG industry), but employ less than 2 per cent of the workforce and contribute about 3 per cent of GDP. In fact, most of this two thirds is used at just fourteen large industrial sites spread across Australia. |
| Date: | 2020–11 |
| URL: | http://d.repec.org/n?u=RePEc:een:ccepwp:2008&r=all |
| By: | Paul Malliet (Observatoire français des conjonctures économiques); Frédéric Reynés (Observatoire français des conjonctures économiques); Gissela Landa (Observatoire français des conjonctures économiques); Meriem Hamdi‑cherif; Aurélien Saussay (Observatoire français des conjonctures économiques) |
| Abstract: | In response to the COVID-19 health crisis, the French government has imposed drastic lockdown measures for a period of 55 days. This paper provides a quantitative assessment of the economic and environmental impacts of these measures in the short and long term. We use a Computable General Equilibrium model designed to assess environmental and energy policies impacts at the macroeconomic and sectoral levels. We find that the lockdown has led to a significant decrease in economic output of 5% of GDP, but a positive environmental impact with a 6.6% reduction in CO2 emissions in 2020. Both decreases are temporary: economic and environmental indicators return to their baseline trajectory after a few years. CO2 emissions even end up significantly higher after the COVID-19 crisis when we account for persistently low oil prices. We then investigate whether implementing carbon pricing can still yield positive macroeconomic dividends in the post-COVID recovery. We find that implementing ambitious carbon pricing speeds up economic recovery while significantly reducing CO2 emissions. By maintaining high fossil fuel prices, carbon taxation reduces the imports of fossil energy and stimulates energy efficiency investments while the full redistribution of tax proceeds does not hamper the recovery. |
| Keywords: | Carbon tax; CO2 emissions; Macroeconomic modeling; Neo-Keynesian CGE model; Post-COVID economy |
| JEL: | E12 E17 E27 E37 E47 D57 D58 |
| Date: | 2020 |
| URL: | http://d.repec.org/n?u=RePEc:spo:wpmain:info:hdl:2441/6neh4df2kq9orrjiscv6839f6n&r=all |
| By: | Schmidt, Lukas (Energiewirtschaftliches Institut an der Universitaet zu Koeln (EWI)); Zinke, Jonas (Energiewirtschaftliches Institut an der Universitaet zu Koeln (EWI)) |
| Abstract: | This paper evaluates investment incentives for wind power under uniform and nodal pricing. An electricity system model is developed, which allows for investments into wind power while considering transmission grid constraints in detail. Targeting equally high wind capacities under nodal and uniform pricing until 2030, locations of new wind power plants shift towards sites with lower wind yield under nodal prices. The wind energy fed into the grid, though, is higher under nodal pricing since curtailment is cut to a third. Grid-optimal wind locations require higher subsidy payments but decrease yearly variable supply costs by 1.5% in 2030. However, distributional effects are an obstacle to implementing nodal pricing, where about 75% of German demand faces electricity costs increase of about 5%. For mitigating distorted investment signals of uniform pricing, implementing investment restrictions within grid expansion areas prove to be more promising than a latitude-dependent generator-component in the grid tariff design. |
| Keywords: | Nodal Pricing; Market Design; Energy System Modeling; Renewable Energies; Market Values |
| JEL: | C61 D47 Q42 Q48 |
| Date: | 2020–11–13 |
| URL: | http://d.repec.org/n?u=RePEc:ris:ewikln:2020_006&r=all |
| By: | Harvey, John; Saboori, Arash; Miller, Marshall; Kim, Changmo; Jaller, Miguel; Lea, Jon; Kendall, Alissa; Saboori, Ashkan |
| Abstract: | Medium- and heavy-duty trucks on California’s roads are shifting from conventional gasoline and diesel propulsion systems to alternative fuel (natural gas, electric, and fuel cell) propulsion technologies, spurred by the state’s greenhouse gas (GHG) reduction goals. While these alternative fuel trucks produce fewer emissions, they are also currently heavier than their conventional counterparts. Heavier loads can cause more damage to pavements and bridges, triggering concerns that clean truck technologies could actually increase GHG emissions by necessitating either construction of stronger pavements or more maintenance to keep pavements functional. California Assembly Bill 2061 (2018) allows a 2,000-pound gross vehicle weight limit increase for near-zero-emission vehicles and zero-emission vehicles to enable these trucks to carry the same loads as their conventional counterparts. The law also asked the UC Institute of Transportation Studies to evaluate the new law’s implications for GHG emissions and transportation infrastructure damage. To conduct this analysis, researchers at UC Davis considered three adoption scenarios of alternative fuel trucks in two timeframes, 2030 and 2050 (Figure 1). Based on these scenarios, the researchers used life cycle assessment and life cycle cost analysis to evaluate how heavier trucks might affect pavement and bridge deterioration, GHG emissions, and state and local government pavement costs. The study did not evaluate the safety implications of increasing allowable gross vehicle weights. |
| Keywords: | Engineering |
| Date: | 2020–11–01 |
| URL: | http://d.repec.org/n?u=RePEc:cdl:itsdav:qt2p76t1g4&r=all |
| By: | Rickels, Wilfried; Merk, Christine; Reith, Fabian; Keller, David P.; Oschlies, Andreas |
| Abstract: | Intentionally removing carbon from the atmosphere with negative emission technologies (NETs) will be important to achieve net-zero emissions by mid-century and to limit global warming to 2 °C or even 1.5 °C (IPCC 2018). Model scenarios that consider NETs as part of mitigation pathways are still largely restricted to afforestation and bioenergy with carbon capture and storage (BECCS), while the '[f]easibility and sustainability of [NETs] use could be enhanced by a portfolio of options deployed at substantial, but lesser scales, rather than a single option at very large scale' (IPCC 2018, p 19). Here, we show the results from an anonymous expert survey, including 32 Earth-System-Model (ESM) experts and 18 Integrated-Assessment-Model (IAM) experts, about the role of NETs in future climate policies and about how well the various technologies are represented in current models. We find that they strongly support the view that technology portfolios are required to achieve negative emissions, however, the responses show that the number and range of NETs that can be assessed in IAMs is small and that IAMs and ESMs are rather applied to analyze technologies separately than in combination. IAM experts in particular consider BECCS as part of a future NETs portfolio; but at the same time, all experts judge the constraints BECCS would face regarding future overall feasibility and more particularly regarding resource competition to be the highest. Regarding the assessment of constraints the ESM experts are much more skeptical than the IAM experts; they also think that the BECCS carbon removal pathways are less sufficiently represented in ESMs compared to what the IAM experts thinks about the representation in their models. Despite the perceived need for NETs portfolios, the range of NETs which can be assessed in IAMs is rather small and ocean NETs have, so far, mostly been overlooked by the IAM experts. |
| Date: | 2019 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:ifwkie:225999&r=all |
| By: | Schmidt, Lukas (Energiewirtschaftliches Institut an der Universitaet zu Koeln (EWI)) |
| Abstract: | The latest reform of European Union Emission Trading System (EU ETS) enables overlapping policies, such as national coal phase-outs, to affect total emissions. For evaluating overlapping policies, this paper applies a detailed partial equilibrium model of the EU ETS. Under perfect foresight, overlapping policies decrease total emissions if implemented early on. Though, endogenous cancellation within the EU ETS mitigates the waterbed effect hardly by more than 50%. In contrast, overlapping policies mostly do not affect total emissions significantly or even increase them via the new green paradox effect if implemented late and firms anticipate their long-term impact. If overlapping policies focus on low-cost abatement options, they become more effective in mitigating the waterbed effect, with an effectiveness of up to 60%. The effectiveness of overlapping policies decreases if firms are myopic. Myopia also increases the danger of the new green paradox effect for early implemented overlapping policies. However, the absolute increase in total emissions via the new green paradox remains below a third of today's yearly emissions if overlapping policies permanently reduce allowance demand by 10%. |
| Keywords: | Intertemporal Emission Trading; Overlapping Policies; EU ETS; New Green Paradox; Marginal Abatement Costs; Myopia |
| JEL: | C61 H23 Q48 Q58 |
| Date: | 2020–11–13 |
| URL: | http://d.repec.org/n?u=RePEc:ris:ewikln:2020_007&r=all |
| By: | Werthschulte, Madeline |
| Abstract: | When consuming goods provided by public utilities, such as telecommunication, water, gas or electricity, the predominant payment scheme is pay-later billing. This paper identifies one potential consequence of pay-later schemes, present-biased overconsumption of the respective good, and tests the effectiveness of pay-as-you-go schemes in reducing consumption. Specifically, I run a lab experiment which mimics an energy consumption choice and randomizes the timing of when consumption costs are paid: Either immediately ('pay-as-you-go') or one-week after consumption ('pay-later'). Results show that pay-as-you-go billing significantly decreases consumption, and in particular wasteful consumption. As the design controls for contaminating effects, these results can be solely attributed to present-biased discounting under the pay-later scheme. These results imply that pay-as-you-go schemes will be welfare improving both from agent's own perspective and from a social perspective if externalities are involved. In contrast, classic price-based polices will need correctives to account for present bias arising under pay-later schemes. |
| Keywords: | payment schemes,present bias,discounting,lab experiment,energy |
| JEL: | C91 D15 D91 Q49 |
| Date: | 2020 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:cawmdp:121&r=all |
| By: | KAPSARC, King Abdullah Petroleum Studies and Research Center (King Abdullah Petroleum Studies and Research Center) |
| Abstract: | Despite the common interests, markets, and economic policies among Gulf Cooperation Council (GCC) countries, their energy cooperation has been modest. GCC countries hold 20% of the world’s gas reserves. The Dolphin gas pipeline, connecting Qatar to the United Arab Emirates (UAE) and Oman, is currently the only GCC cross-border pipeline. |
| Keywords: | Natural Gas, Gulf Cooperation Council, Infrastrucuture development |
| Date: | 2020–11–16 |
| URL: | http://d.repec.org/n?u=RePEc:prc:wbrief:ks--2020-wb09&r=all |
| By: | Löhr, Meike (Carl von Ossietzky University); Mattes, Jannika (Carl von Ossietzky University) |
| Abstract: | Energy transition processes are currently entering into a new phase which is characterised by the maturation of renewable energy technologies and the challenges of system integration and regulatory changes, in particular the introduction of tender schemes for onshore wind energy. In the German wind energy sector, these policy changes are resulting in a drop in build-out during a phase in which acceleration instead of stagnation would be expected. Furthermore, insolvencies, dismissals and relocations are taking place among major wind actors and are increasing uncertainty within the sector. This paper analyses how actors in the wind sector are reacting to the introduction of the tender scheme and how their strategic activities are affecting the transition process. To this end, we analyse four strategies: relocation, cooperation, business field diversification and exit. Specifically, we analyse the reactions of project developers, turbine manufacturers, energy utilities and banks. We show that the strategies chosen by crucial wind energy actors may actually be slowing down the transition process rather than accelerating it. We argue that adopting an actor strategy perspective enables new insights for sustainability transition research while at the same time highlighting implications for public policy and strategic management. |
| Keywords: | energy transition; sustainability transitions; actor strategies; acceleration; onshore wind; transition phase |
| JEL: | O23 O33 Q01 |
| Date: | 2020–11–16 |
| URL: | http://d.repec.org/n?u=RePEc:hhs:lucirc:2020_012&r=all |
| By: | Swati Singh (Madras School of Economics, Chennai, India); Naveen Srinivasan (Professor, Madras School of Economics, Chennai, India) |
| Abstract: | It is not to be doubted that the oil price shocks adversely impact the economy. Enough literature is present in support of this fact but, at the same time, it is equivalently important to determine the changing nature of this relationship. This paper studies the changing behavior of this relation from 1948-2018 and shows that the oil prices are no more as effective in explaining the changes in the output of the economy as it had been before the 1970s. Our results also show the extent to which oil intensity has reduced in effecting the output of the US economy along with explaining the short term and long term impacts of oil shocks. Through variance decomposition analysis, the paper explains the reason for this decline in oil importance in recent time. Various factors like changing technology and political and strategic implications are found to be a few of the many reasons behind this change. |
| Keywords: | Macroeconomic Fluctuations; Oil shocks; Energy and the Macroeconomy; ARDL Model; VAR; Granger causality test;Error Variance Decomposition |
| JEL: | E32 C22 C32 Q43 |
| URL: | http://d.repec.org/n?u=RePEc:mad:wpaper:2020-197&r=all |
| By: | Domenico Buccella; Luciano Fanti; Luca Gori |
| Abstract: | Is it profitable to include an environmental ("green") incentive in a managerial contract when a dirty technology causes pollution externality, and the government levies an emissions tax? This research considers a non-cooperative Cournot duopoly game in which owners choose whether to delegate output and the abatement choices to their managers to address the above question. When the societal (or public) evaluation of the environmental damage is sufficiently low, two symmetric equilibria emerge (both firms are either "green" or "polluting"); when the public environmental concern becomes larger, the "green" delegation is the unique Nash equilibrium, which is Pareto inefficient (resp. efficient) for intermediate (resp. high) values of the government’s weight towards the environment. Differently, in a managerial duopoly where owners delegate only sales or sales and abatement, sales delegation arises in equilibrium; however, firms face a Prisoner’s Dilemma because "green" delegation yields higher profits. |
| Keywords: | Green managerial delegation, Abatement, Emissions tax, Cournot duopoly |
| JEL: | H23 L1 M5 Q58 |
| Date: | 2020–10–01 |
| URL: | http://d.repec.org/n?u=RePEc:pie:dsedps:2020/262&r=all |
| By: | Chakraborty, Debapriya; Bunch, David S.; Lee, Jae Hyun; Tal, Gil |
| Abstract: | Government agencies, utilities, automakers, and charging network companies are increasingly investing in charging infrastructure to encourage the adoption of plug-in electric vehicles (PEVs), which include both battery electric vehicles (BEVs) and plug-in hybrid electric vehicles (PHEVs). Public infrastructure is particularly important for those without access to home charging and for vehicles with driving range limitations. However, it is difficult to quantify the optimal number and location of public chargers needed for a growing number of PEVs. Finding the answer will depend on a mix of behavioral and economic factors that drive charging demand. Much is at stake. Too little infrastructure could cause congestion at the chargers and inhibit the adoption and use of PEVs, while developing more infrastructure than is needed would create unnecessary costs. For example, Level 2 public chargers can cost up to 15 times more than Level 2 at-home chargers. Researchers at UC Davis analyzed the choice of charging infrastructure of more than 3,000 PEV commuters who had access to home, work, and public locations to understand the importance of various factors driving demand for charging infrastructure at the three locations. Key factors include the cost of charging, driver characteristics, accessibility of charging infrastructure, and vehicle characteristics. |
| Keywords: | Engineering |
| Date: | 2020–11–01 |
| URL: | http://d.repec.org/n?u=RePEc:cdl:itsdav:qt7xq3s2br&r=all |
| By: | Marco Quatrosi (University of Ferrara; SEEDS, Italy) |
| Keywords: | emissions, energy consumption, CO2, energy mix, energy transition, emission factors, time series |
| JEL: | Q43 Q53 Q58 |
| Date: | 2020–11 |
| URL: | http://d.repec.org/n?u=RePEc:srt:wpaper:1520&r=all |
| By: | Ishak, Phoebe W. |
| Abstract: | We study the spatial distribution of the effect of oil and gas revenues on Brazilian municipalities, using variations in the international prices of oil and gas to establish causality. Oil and gas revenues increase economic activity, measured by night-time light emissions, in oil-producing municipalities but impose negative spill-overs on neighbouring municipalities. Spill-overs dominate beyond 150 km from oil activities and compensate direct effects in micro-regions. In oil municipalities, oil and gas revenues increase royalties, population, local real prices, crime, and real wages, essentially in manufacturing and services. Spillovers are negative on wages and prices and positive on royalties and crime. |
| Keywords: | Natural resources curse,oil,spill-over effects,Night-time lights,Brazil |
| JEL: | O11 O13 Q32 |
| Date: | 2020 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:vfsc20:224612&r=all |
| By: | Edmond Berisha (Feliciano School of Business, Montclair State University, Montclair, NJ 07043, USA); Carolyn Chisadza (Department of Economics, University of Pretoria, Private Bag X20, Hateld 0028, South Africa); Matthew Clance (Department of Economics, University of Pretoria, Private Bag X20, Hateld 0028, South Africa); Rangan Gupta (Department of Economics, University of Pretoria, Private Bag X20, Hateld 0028, South Africa) |
| Abstract: | There has been little research examining income distributional consequences from resource abundance and dependency. Using panel evidence from the United States, we find contrasting non-monotonic outcomes from oil abundance in comparison to oil dependency. Oil abundance mitigates inequality within U.S. states. However, the diminishing impact on inequality tends to lessen with higher levels of oil production. The opposite holds true for oil dependency. The findings suggest that income inequality within U.S. states is more vulnerable to oil dependency. |
| Keywords: | oil resources, income inequality, United States |
| JEL: | D63 O13 O51 |
| Date: | 2020–11 |
| URL: | http://d.repec.org/n?u=RePEc:pre:wpaper:2020103&r=all |
| By: | Aldieri, Luigi (University of Salerno); Grafström, Jonas (The Ratio Institute); Paolo Vinci, Concetto (University of Salerno) |
| Abstract: | The empirical evidence concerning the job-creation impact of wind power technology through knowledge spillovers is yet poor. Our objective is to contribute to the literature and bridge this gap. Specifically, our analysis explores to what extent investments in innovation activities of one firm affect the neighbouring firms’ generation of knowledge spillovers in the same sector (intra-industry) or to different sectors (inter-industry) and how this complex knowledge diffusion process impacts the employment dynamics. The econometric analysis relies on a sector-based panel dataset for the USA, Europe, and Japan between 2002 and 2017. The empirical findings suggest that there were negative employment spillovers from the same technology sector (Marshallian externalities) while the spillovers from more diversified activity (Jacobian externalities) have a positive impact on job-creation. The findings have relevant policy implications for governments who are developing an industrial strategy for wind power technology. |
| Keywords: | Employment; knowledge spillovers; patents; renewable energy; wind power |
| JEL: | J21 O33 Q20 Q40 Q42 |
| Date: | 2020–11–11 |
| URL: | http://d.repec.org/n?u=RePEc:hhs:ratioi:0340&r=all |
| By: | Nicolas Taconet (CIRED, ENPC) |
| Abstract: | Studies of the Social Cost of Carbon assume climate change is a stock externality for which damages stem from warming level. However, economic and natural systems are also sensitive to the rate at which warming occurs. In this paper, I study the optimal carbon tax when such a feature is accounted for. Damages caused by warming rates do not aect optimal long-term warming, but they delay the use of the same carbon budget. They also make carbon price less sensitive to discounting assumptions. Numerically, when controlling for the welfare loss from climate change, the more damages stem from warming rates rather than warming levels, the higher the initial carbon price. This suggests that mitigation strategies that overlook this issue might lead to too rapidly increasing temperature pathways. |
| Keywords: | Climate change, Social Cost of Carbon, Carbon price, , |
| JEL: | Q54 H23 |
| Date: | 2020–11 |
| URL: | http://d.repec.org/n?u=RePEc:fae:wpaper:2020.22&r=all |
| By: | Anne-Lorene Vernay (GEM - Grenoble Ecole de Management); Carine Sebi (GEM - Grenoble Ecole de Management) |
| Abstract: | Energy communities—groups of citizens, social entrepreneurs and public authorities who jointly invest in producing, selling and managing enewable energy are expected to play a prominent role in the energy transition. Energy communities are fragile individually and they need to pool resources and coordinate their actions to become robust collectively. This paper adopts an ecosystem perspective and aims to identify characteristics that an energy community ecosystem should exhibit to help energy communities emerge, grow and eventually fully realise their potential to transform the energy sector. It compares energy communities in two countries, France and the Netherlands, where energy community ecosystems have attained uneven levels of maturity. We argue that an energy community ecosystem can fully realize its potential if: 1) it revolves around keystone actors that can foster diversity; 2) it is structured around local capacity builders that can act as catalysers; and 3) it develops both competing and symbiotic relations with incumbent energy actors. |
| Keywords: | Energy communities,Ecosystem,Renewable energy |
| Date: | 2020 |
| URL: | http://d.repec.org/n?u=RePEc:hal:gemptp:hal-02987790&r=all |
| By: | Sowmya Dhanaraj (Assistant Professor, Madras School of Economics, Chennai, India); Vidya Mahambare (Great Lakes Institute of Management); Poonam Munjal (National Council of Applied Economic Research) |
| Abstract: | This paper draws implications for the energy and education policies in developing countries based on the insights derived from studying the determinants of household refrigerator ownership in India. In our study the failure of the government policies to ensure reliable public services such as uninterrupted power supply and improving female education levels turn out to be the key stumbling blocks to raising household welfare in India. While a threshold level of household income is necessary for a purchase of a consumer durable, it is not a sufficient condition. Our results for the determinants of refrigerator ownership in India suggest that, even when households have sufficient purchasing power, the duration of a complementary good (electricity for >17 h per day) is critical for the ownership, all else held constant. Also, females in households tend to derive greater utility from the refrigerator usage due to its impact on lowering household burden of work and easing women’s entry into the labour market. Our results confirm the hypothesis that when women bargaining power is proxied by the level of education, households with a female with higher level of education have higher probability of refrigerator ownership |
| Keywords: | Economic development: urban, rural, Household behaviour, Family structure, Econometric modelling, ownership analysis |
| JEL: | O18 D12 J12 C50 D71 |
| URL: | http://d.repec.org/n?u=RePEc:mad:wpaper:2020-199&r=all |
| By: | Kalaitzi, Athanasia; Chamberlain, Trevor W. |
| Abstract: | This study investigates the relationships between exports and economic growth in the United Arab Emirates. Understanding these relationships is important for purposes of establishing appropriate growth and develop- ment policies and strategies. The study uses an augmented Cobb–Douglas production function to examine the causality between non-oil exports, re-exports and economic growth over the period 1981–2012. To investigate the existence of a long-run relationship between the variables, the study performs the Johansen cointegration test, while the direction of the short-run causality is examined by applying the Granger causality test in a vector error correction model framework. A modified Wald test in an augmented vector autoregressive model is ap- plied in order to find the direction of the long-run causality. This research provides evidence in support of an indirect short-run uni-directional causality from economic growth to re-exports, through physical capital accu- mulation and imports. As for long-run causality, the results show that a bi-directional causality exists between re-exports and economic growth in the UAE. |
| Keywords: | diversification; Re-exports; Economic growth; Causality; UAE |
| JEL: | L81 R14 J01 |
| Date: | 2019–11–16 |
| URL: | http://d.repec.org/n?u=RePEc:ehl:lserod:103827&r=all |
| By: | Simplice A. Asongu (Yaounde, Cameroon); Nicholas M. Odhiambo (Pretoria, South Africa) |
| Abstract: | The study investigates linkages between financial development, income inequality and renewable energy consumption from 39 countries in Sub-Saharan Africa. The empirical evidence is based on data for the period 2004-2014, Generalized Method of Moments (GMM) and Quantile Regressions (QR). The GMM results show that financial development unconditionally promotes renewable energy consumption while income inequality counteracts the underlying positive effect. The QR results reveal that the GMM findings only withstand empirical validity in bottom quantiles of the renewable energy consumption distribution. In order to increase room for policy implications for the promotion of renewable energy consumption, critical masses of income inequality that should not be exceeded are computed for bottom quantiles of the renewable energy consumption distribution while income inequality thresholds that should be exceeded are computed for top quantiles of the renewable energy consumption distribution. The study reconciles two strands of the literature. Theoretical, practical and policy implications are discussed. |
| Keywords: | Renewable energy; Inequality; Finance; Sub-Saharan Africa; Sustainable development |
| JEL: | H10 Q20 Q30 O11 O55 |
| Date: | 2020–01 |
| URL: | http://d.repec.org/n?u=RePEc:agd:wpaper:20/084&r=all |
| By: | Ziqiao Chen; Giovanni Marin; David Popp (Maxwell School of Citizenship and Public Affairs); Francesco Vona (Observatoire français des conjonctures économiques) |
| Abstract: | As nations struggle to restart their economy after COVID-19 lockdowns, calls to include green investments in a pandemic-related stimulus are growing. Yet little research provides evidence of the effectiveness of a green stimulus. We begin by summarizing recent research on the effectiveness of the green portion of the 2009 American Recovery and Reinvestment Act on employment growth. Green investments are most effective in communities whose workers have the appropriate “green” skills. We then provide new evidence on the skills requirements of both green and brown occupations, as well as from occupations at risk of job losses due to COVID-19, to illustrate which workers are most likely to benefit from a pandemic-related green stimulus. We find similarities between some energy sector workers and green jobs, but a poor match between green jobs and occupations at risk due to COVID-19. Finally, we provide suggestive evidence on the potential for job training programs to help ease the transition to a green economy. |
| Keywords: | Green subsides; Green stimulus; American Recovery and Reinvestment Act; Heterogeneous effect; Distributional impacts |
| JEL: | E24 E62 H54 H72 Q58 |
| Date: | 2020 |
| URL: | http://d.repec.org/n?u=RePEc:spo:wpmain:info:hdl:2441/6n4g2a16an9rtamie2eh2rpkkm&r=all |
| By: | Goenka, Aditya; Liu, Lin; Nguyen, Manh-Hung |
| Abstract: | Preliminary evidence indicates that pollution increases severity and likelihood of Covid-19 infections as is the for many other infectious diseases. This paper models the interaction of pollution and preventive actions on transmission of infectious diseases in a neoclassical growth framework where households do not take into account how their actions affects disease transmission and production activity results in pollution which increases likelihood of infections. Household can take private actions for abatement of pollution as for controlling disease transmission. Disease dynamics follow SIS dynamics. We study the difference in health and economic outcomes between the decentralized economy, where households do not internalize the externalities, and the socially optimal outcomes, and characterize the taxes and subsidies that will decentralize the socially optimal outcomes. Thus, we examine the question whether there are sufficient incentives to reduce pollution, both at the private and public levels, once its effects on disease transmission is taken into account. |
| Keywords: | Covid-19, pollution, environmental policy, infectious disease, Green Recovery,; dynamic Pigovian taxes. |
| Date: | 2020–11–16 |
| URL: | http://d.repec.org/n?u=RePEc:tse:wpaper:124929&r=all |
| By: | Brown, David P. (University of Alberta, Department of Economics); Sappington, David E.M. (University of Florida) |
| Abstract: | Load-following forward contracts (LFFCs) require a commodity supplier to deliver a specified fraction of the realized demand for the commodity at a fixed price. We show that in contrast to more standard forward contracts, LFFCs can promote higher commodity prices and reduced levels of consumer surplus and welfare. LFFCs are particularly likely to do so in the presence of limited demand uncertainty. |
| Keywords: | load-following forward contracts; swap contracts; electricity sector |
| JEL: | L51 L94 Q28 Q40 |
| Date: | 2020–11–12 |
| URL: | http://d.repec.org/n?u=RePEc:ris:albaec:2020_014&r=all |
| By: | Brucal, Arlan; Roberts, Michael |
| Abstract: | We build novel welfare-based price indices for major household appliances that leverage changes in same-model prices and how consumers substitute between exiting, continuing and new models. We then evaluate how minimum energy efficiency requirements and changing criteria for Energy Star™ labels affected these indices in the U.S. between 2001 and 2011, a period of time when some appliances experienced standard changes while others did not. We find that prices declined while quality and consumer welfare increased, especially when standards become more stringent. We also find that much of the price index decline can be attributed to standards-induced innovation, or cannibalism, not to inter-manufacturer competition. Our results also add to a growing body of evidence that the Consumer Price Index exaggerates inflation due to inadequate account of quality and substitution to new goods. |
| Keywords: | energy efficiency; standards; imperfect competition; price indices; ES/R009708/1 |
| JEL: | D12 H23 L68 Q48 |
| Date: | 2019–07–01 |
| URL: | http://d.repec.org/n?u=RePEc:ehl:lserod:100772&r=all |
| By: | Karine Constant (ERUDITE - Equipe de Recherche sur l’Utilisation des Données Individuelles en lien avec la Théorie Economique - UPEC UP12 - Université Paris-Est Créteil Val-de-Marne - Paris 12 - UNIV GUSTAVE EIFFEL - Université Gustave Eiffel); Marion Davin (CEE-M - Centre d'Economie de l'Environnement - Montpellier - FRE2010 - UM - Université de Montpellier - CNRS - Centre National de la Recherche Scientifique - Montpellier SupAgro - Institut national d’études supérieures agronomiques de Montpellier - Institut Agro - Institut national d'enseignement supérieur pour l'agriculture, l'alimentation et l'environnement - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement) |
| Abstract: | This article examines how pollution and its health effects during childhood can affect the dynamics of inequalities among households. In a model in which children's health is endogenously determined by pollution and the health investments of parents, we show that the economy may exhibit inequality in the long run and be stuck in an inequality trap with steadily increasing disparities, because of pollution. We investigate if an environmental policy, consisting in taxing the polluting production to fund pollution abatement, can address this issue. We find that it can decrease inequality in the long run and enable to escape from the trap if the emission intensity is not too high and if initial disparities are not too wide. Otherwise, we reveal that a policy mix with an additional subsidy to health expenditure may be a better option, at least if parental investment on children's health is sufficiently efficient. |
| Keywords: | Pollution,Health,Human capital,Childhood,Overlapping generations,Inequality. |
| Date: | 2020–11–05 |
| URL: | http://d.repec.org/n?u=RePEc:hal:wpceem:hal-02990775&r=all |
| By: | Domenico Buccella; Luciano Fanti; Luca Gori |
| Abstract: | This research analyses the firms’ strategic choice of adopting an abatement technology in an environment with pollution externalities when the government levies an emission tax (to incentivise firms undertaking emission-reducing actions). A set of different Nash equilibria – ranging from dirty to green production – arises in both quantity-setting (Cournot) and price-setting (Bertrand) duopolies depending on the societal awareness towards environmental quality and the relative importance of technological progress in abatement adopted by firms. A synthesis of the main results is the following: if the awareness of the society towards a clean environment is relatively low (resp. high) and the index measuring the relative cost of abatement is relatively high (resp. low), the strategic interaction between two independent, competing and selfish (profit maximising) firms playing the abatement game leads to not to abate [NA] (resp. to abate [A]) as the Pareto efficient outcome: no conflict exists between self-interest and mutual benefit to do not undertake (resp. to undertake) emission-reducing actions. Multiple Nash equilibria or a "green" prisoner’s dilemma may also emerge in pure strategies. When the choice of adopting a green technology is a deadlock (anti-prisoner’s dilemma), the society is better off as social welfare under A is always larger than under NA because pollution and environmental damage are higher in the latter scenario. These findings suggest that living in a sustainable environment challenges and the improvement of public education systems to achieve an eco-responsible attitude and the development of clean technologies through ad hoc R&D. |
| Keywords: | Green production, Abatement, Emissions tax, Cournot and Bertrand duopolies |
| JEL: | H23 L1 M5 Q58 |
| Date: | 2020–10–01 |
| URL: | http://d.repec.org/n?u=RePEc:pie:dsedps:2020/261&r=all |
| By: | - |
| Abstract: | En este documento se propone un conjunto de acciones regionales para asegurar el abastecimiento energético de los países del SICA en calidad, cantidad y diversidad de fuentes, la provisión de servicios modernos de energía asequibles para toda la población y el uso racional y eficiente de la energía en las cadenas productivas para garantizar el desarrollo sostenible, considerando la equidad social, el crecimiento económico, la compatibilidad con el ambiente y la gobernabilidad. |
| Keywords: | RECURSOS ENERGETICOS, MEDIO AMBIENTE, OBJETIVOS DE DESARROLLO SOSTENIBLE, POLITICA ENERGETICA, ENERGIA SOSTENIBLE, SEGURIDAD ENERGETICA, CONSUMO DE ENERGIA, FUENTES DE ENERGIA RENOVABLES, RENDIMIENTO ENERGETICO, DESARROLLO ECONOMICO, DESARROLLO SOSTENIBLE, COOPERACION REGIONAL, ESTADISTICAS DE ENERGIA, ENERGY RESOURCES, ENVIRONMENT, SUSTAINABLE DEVELOPMENT GOALS, ENERGY POLICY, SUSTAINABLE ENERGY, ENERGY SECURITY, ENERGY CONSUMPTION, RENEWABLE ENERGY SOURCES, ENERGY EFFICIENCY, ECONOMIC DEVELOPMENT, SUSTAINABLE DEVELOPMENT, REGIONAL COOPERATION, ENERGY STATISTICS |
| Date: | 2020–11–16 |
| URL: | http://d.repec.org/n?u=RePEc:ecr:col094:46374&r=all |
| By: | Schwartz, Daniel |
| Keywords: | Public Economics |
| Date: | 2020–10–22 |
| URL: | http://d.repec.org/n?u=RePEc:ags:cantrf:306090&r=all |
| By: | Malik, Afia |
| Abstract: | The study has identified poor institutional quality and industrialization behind high energy intensity in Pakistan while income per capita and associated urbanization playing a significant role in reducing energy intensity. For Pakistan being a country in transition, industrialization is expected to rise in future along with its adverse impact on energy intensity. However, economic policies that boost income would help in reducing energy intensity; provided income effect is large enough and sustainable to offset the negative impact of industrialization. Similarly, good governance practices and better quality of institutions can play an effective role in increasing the efficiency in the use of energy thus reducing overall energy intensity |
| Keywords: | Energy Intensity, Income per capita, Industry, Urbanization, Institutional Quality |
| JEL: | E02 O11 Q43 |
| Date: | 2019 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:103456&r=all |
| By: | Whelan, Mary S. |
| Keywords: | Public Economics |
| Date: | 2020–10–22 |
| URL: | http://d.repec.org/n?u=RePEc:ags:cantrf:305850&r=all |
| By: | Okunoye, Ismaila; Hammed, Sabuur |
| Abstract: | The study employed structural vector auto regressive model in a disaggregated analysis to measure the relative response of monetary and fiscal policy variables to the structural Oil price shocks in a small open and oil-dependent economy and identify sequence of appropriate policy response. Data utilized cover annual time series from 1981 to 2019. The study considers SVAR model with better and efficient tool to combine both short run and long run restrictions. Some empirical striking findings are discernible from our analyses. First, we establish that significant variation in monetary policy rate, exchange rate and money supply are explained by oil price shock. Second, we found that oil price shock have a significant impact on inflation rate, oil revenue and government expenditure. Lastly, we found that government expenditure has less innovations (less error term), compared to oil revenue and interest rate, and this indicates the direct policy of the government and not under the influence of monetary policy in Nigeria. Moreso, the result found more importantly, large reaction of inflation rate comes from oil price shock than the independent monetary policy rate and oil price shock caused large variation and reaction in monetary policy variable than fiscal policy variables. It is recommended there should be complementarity of fiscal policy and monetary policy carefully and appropriately, in order to avoid distortion in monetary policies implementation of the CBN in stabilizing the economy; government expenditure should be tailored to internal generated revenue, not oil-generating revenue; and government deposit in the financial sector is reduced as well as strengthen of treasury single account (TSA)policy to track government generated revenue may be a right policy for Nigeria financial sector. |
| Keywords: | fiscal policy, monetary policy, structural VAR |
| JEL: | E6 E63 |
| Date: | 2020–07–27 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:104145&r=all |
| By: | Graham Bradley (Griffith University); Zakaria Babutsidze (Observatoire français des conjonctures économiques); Andreas Chai; Joseph Reser |
| Abstract: | As the actions of individuals contribute substantially to climate change, identifying factors that underpin environmentally-relevant behaviors represents an important step towards modifying behavior and mitigating climate change impacts. This paper introduces a sequential model in which antecedent psychological and sociodemographic variables predict climate change risk perceptions, which lead to enhanced levels of response efficacy and psychological adaptation in relation to climate change, and ultimately to environmentally-relevant behaviors. The model is tested and refined using data from large national surveys of Australian and French residents. As hypothesized, in both samples, risk perception (indirectly), response efficacy (both indirectly and directly), and psychological adaptation (directly) predicted behavior. However, these effects were stronger in the Australian than in the French sample, and other unexpectedly strong direct effects were also observed. In particular, subscribing to a “green” self-identity directly predicted all endogenous variables, especially in the French sample. The study provides valuable insights into the processes underlying environmentally-relevant behaviors, while serving as a reminder that effects on behavior may be nation-specific. Strategies are recommended for promoting pro-environmental behavior through the enhancement of a green identity, response efficacy, and psychological adaptation. |
| Keywords: | Climate change; Pro-environmental behavior; Risk perception; Response efficacy; Psychological adaptation; Green self-identity |
| Date: | 2020–04 |
| URL: | http://d.repec.org/n?u=RePEc:spo:wpmain:info:hdl:2441/61ih2qtadc8g1894enmudd2f09&r=all |
| By: | Fruin, Jerry; Halbach, Dan |
| Keywords: | Public Economics |
| Date: | 2020–10–22 |
| URL: | http://d.repec.org/n?u=RePEc:ags:cantrf:306080&r=all |
| By: | Firth, Don |
| Keywords: | Public Economics |
| Date: | 2020–10–22 |
| URL: | http://d.repec.org/n?u=RePEc:ags:cantrf:305848&r=all |
| By: | Laurent Ott; Mehdi Farsi; Sylvain weber |
| Abstract: | This paper investigates public opinion on the Swiss CO2 levy and its 2020 revision by using a discrete choice experiment answered by a sample of 586 respondents living in Switzerland. The experiment is designed to elicit citizen preferences among various taxation attributes and is followed by a referendum voting experiment on various CO2 levy proposals. Based on latent class modeling approaches, we find that the population is composed by two distinct but relatively preference profiles: Environmentalists and Neutrals. Respondents belonging to the first group tend to favor higher carbon tax rates and a redistribution of proceeds benefiting low-income individuals, whereas those in the second group prefer lower rates and a uniform redistribution of proceeds across all taxpayers. Findings from the voting experiment point to a general support among the Environmentalists, but an uncertain approval from the Neutral group. |
| Keywords: | Carbon tax, preference heterogeneity, public opinion, latent class, discrete choice experiment. |
| JEL: | C25 D72 D78 H23 Q48 Q54 |
| Date: | 2020–11 |
| URL: | http://d.repec.org/n?u=RePEc:irn:wpaper:20-11&r=all |
| By: | Foros, Øystein (Dept. of Business and Management Science, Norwegian School of Economics); Nguyen-Ones, Mai (Dept. of Business and Management Science, Norwegian School of Economics) |
| Abstract: | Firms may want to coordinate industry-wide price jumps that are predictable for rivals, however, unpredictable for consumers. We show how such coordination is carried out in Norwegian gasoline retailing. Overnight, the market leader initiated an equilibrium transition from regular to non-regular price jumps. Prior announcements of a non-transaction price variable, recommended prices, are used to coordinate the timing and the level of industry-wide price jumps. |
| Keywords: | Price coordination; consumer obfuscation; prior announcements |
| JEL: | D22 D43 L11 L13 |
| Date: | 2020–11–18 |
| URL: | http://d.repec.org/n?u=RePEc:hhs:nhhfms:2020_014&r=all |
| By: | David Popp (Maxwell School of Citizenship and Public Affairs); Francesco Vona (Observatoire français des conjonctures économiques); Giovanni Marin (Università degli Studi di Urbino Carlo Bo); Ziqiao Chen |
| Abstract: | We evaluate the employment effect of the green part of the largest fiscal stimulus in recent history, the American Recovery and Reinvestment Act (ARRA). Each $1 million of green ARRA created 15 new jobs that emerged especially in the post-ARRA period (2013-2017). We find little evidence of significant short-run employment gains. Green ARRA creates more jobs in commuting zones with a greater prevalence of pre-existing green skills. Nearly half of the jobs created by green ARRA investments were in construction or waste management. Nearly all new jobs created are manual labor positions. Nonetheless, manual labor wages did not increase. |
| Keywords: | Employment effect; Green subsides; American Recovery Act; Heterogeneous effect; Distributional impacts |
| JEL: | E24 E62 H54 H72 Q58 |
| Date: | 2020 |
| URL: | http://d.repec.org/n?u=RePEc:spo:wpmain:info:hdl:2441/7ii74oepuk9mc8fhilvvhfmbgp&r=all |
| By: | Anders Dugstad; Kristine Grimsrud (Statistics Norway); Gorm Kipperberg; Henrik Lindhjem; Ståle Navrud |
| Abstract: | Sensitivity to scope in nonmarket valuation refers to the property that people are willing to pay more for a higher quality or quantity of a nonmarket public good. Establishing significant scope sensitivity has been an important check of validity and a point of contention for decades in stated preference (SP) research, primarily on contingent valuation. Recently, researchers have begun to differentiate between statistical and economic significance. This paper contributes to this line of research by studying the significance of scope effects in discrete choice experiments (DCE) using the scope elasticity of willingness-to-pay (WTP) concept. We first formalize the scope elasticity concept in a DCE context and relate it to economic significance. Next, we review a selection of DCE studies from different fields and derive their implied scope elasticity estimates. We observe that scope tests as validity checks are uncommon in the DCE literature. Most studies assume unitary elastic scope sensitivities by employing linear functional forms, and when more flexible specifications are employed, the tendency is towards inelastic scope sensitivity. Then, we apply the scope elasticity concept to primary DCE data on people’s preference for expanding the production of renewable energy in Norway. We find that all scope elasticity estimates are statistically significant and vary between 0.18 and 0.46, depending on attribute analyzed, model specification, geographic subsample, and unit of measurement chosen for a key attribute. While there is no strict, universally applicable benchmark for determining the economic significance of scope impacts, we deem these estimates to be of an adequate and plausible order of magnitude. Implications of the results for future DCE research are provided. |
| Keywords: | Discrete choice experiments; scope sensitivity; willingness-to-pay; scope elasticity; economic significance |
| JEL: | D01 Q51 Q57 |
| Date: | 2020–11 |
| URL: | http://d.repec.org/n?u=RePEc:ssb:dispap:942&r=all |
| By: | Rockey, Craig F. |
| Keywords: | Public Economics |
| Date: | 2020–10–22 |
| URL: | http://d.repec.org/n?u=RePEc:ags:ctrf17:305873&r=all |
| By: | Eife, Thomas |
| Abstract: | The shale revolution is gradually transforming the industrial structure of the United States. This paper quantifies these changes in a model in which industries are linked by productivity linkages. In this framework, productivity gains in one industry may spill over to other industries. For 2015 (the most recent data available), we find that the shale revolution raised US relative wages by around 0.84 percent, whereas Mexican and Canadian wages declined by 1.12 and 1.43 percent, respectively. Judging by countries’ ability to sell goods to the US, China is the main beneficiary of the shale revolution with increased US exports of more than $14 billion (7 percent) in 2015. At the same time, the US automobile industry lost sales of more than $65 billion (almost 10 percent) because of the shale revolution. |
| Keywords: | structural change; shale revolution; industry linkages; Ricardian trade; oil and gas production; Strukturwandel |
| Date: | 2020–11–13 |
| URL: | http://d.repec.org/n?u=RePEc:awi:wpaper:0694&r=all |
| By: | Waters II, W.G. |
| Keywords: | Public Economics |
| Date: | 2020–10–22 |
| URL: | http://d.repec.org/n?u=RePEc:ags:cantrf:305846&r=all |
| By: | Bronzini, Michael S.; Altouney, Edward G. |
| Keywords: | Public Economics |
| Date: | 2020–10–22 |
| URL: | http://d.repec.org/n?u=RePEc:ags:cantrf:305957&r=all |