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on Energy Economics |
| By: | Ryan Rafaty (University of Oxford); Geoffroy Dolphin (EPRG, CJBS, University of Cambridge); Felix Pretis (University of Oxford and University of Victoria) |
| Keywords: | Carbon Pricing, CO2 Emissions, Decarbonization, Carbon Tax, Climate Change, Climate Policy |
| JEL: | Q43 Q48 Q54 Q58 H23 |
| Date: | 2020–11 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg2035&r= |
| By: | Paul Simshauser (Griffith Business School, Griffith University) |
| Keywords: | Electricity, Renewable Energy Zones, transmission investment, locational investment signals |
| JEL: | D25 D80 G32 L51 Q41 |
| Date: | 2021–03 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg2103&r= |
| By: | Ramit Debnath (EPRG, CJBS, University of Cambridge); Vibhor Mittal (NTPC School of Business, India); Abhinav Jindal (Indian Institute of Management Indore, India) |
| Keywords: | Power System, Flexibility, Coal economy, Social disruption, Energy Transition, Electricity Bill 2020 |
| JEL: | Q4 Q42 Q48 |
| Date: | 2020–11 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg2031&r= |
| By: | Qingyu Xu (Whiting School of Engineering, Johns Hopkins University, USA); Benjamin Hobbs (Whiting School of Engineering, Johns Hopkins University, USA) |
| Keywords: | Carbon policy, Border carbon adjustment, Electricity markets, Expansion planning, Market efficiency |
| JEL: | H23 L94 Q48 |
| Date: | 2020–11 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg2032&r= |
| By: | Jun Xu (Zhejiang University of Finance and Economics, China); Michael Pollitt (EPRG, CJBS, University of Cambridge); Bai-Chen Xie (College of Management and Economics, Tianjin University, China); Chun-Han Yang (University of Oxford) |
| Keywords: | No.9 Document, Energy Law, power market reform |
| JEL: | K32 |
| Date: | 2020–09 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg2028&r= |
| By: | Paul Simshauser (Griffith Business School, Griffith University) |
| Keywords: | Energy Affordability, Fuel Poverty, Policy Targeting, Targeting Efficiency, Customer Hardship Policy |
| JEL: | D25 D80 G32 L51 Q41 |
| Date: | 2021–03 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg2108&r= |
| By: | Richard Green (Imperial College Business School); Iain Staffell (Imperial College London) |
| Keywords: | Electricity Decarbonisation, Shapley Value, Carbon Pricing, Renewables |
| JEL: | L94 Q48 Q58 |
| Date: | 2021–03 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg2105&r= |
| By: | David Newbery (Faculty of Economics, University of Cambridge) |
| Keywords: | Variable renewable electricity, curtailment, interconnection, storage |
| JEL: | C63 Q42 Q54 |
| Date: | 2020–07 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg2020&r= |
| By: | Younghun Choi; Takuro Kobashi; Yoshiki Yamagata; Akito Murayama |
| Abstract: | Designing waterfront redevelopment generally focuses on attractiveness, leisure, and beauty, resulting in various types of building and block shapes with limited considerations on environmental aspects. However, increasing climate change impacts necessitate these buildings to be sustainable, resilient, and zero CO2 emissions. By producing five scenarios (plus existing buildings) with constant floor areas, we investigated how building and district form with building integrated photovoltaics (BIPV) affect energy consumption and production, self-sufficiency, CO2 emission, and energy costs in the context of waterfront redevelopment in Tokyo. From estimated hourly electricity demands of the buildings, techno-economic analyses are conducted for rooftop PV systems for 2018 and 2030 with declining costs of rooftop PV systems. We found that environmental building designs with rooftop PV system are increasingly economical in Tokyo with CO2 emission reduction of 2-9% that depends on rooftop sizes. Payback periods drop from 14 years in 2018 to 6 years in 2030. Toward net-zero CO2 emissions by 2050, immediate actions are necessary to install rooftop PVs on existing and new buildings with energy efficiency improvements by construction industry and building owners. To facilitate such actions, national and local governments need to adopt appropriate policies. |
| Date: | 2021–08 |
| URL: | http://d.repec.org/n?u=RePEc:arx:papers:2108.09029&r= |
| By: | Mahmood, Haider; Alkhateeb, Tarek Tawfik Yousef; Al-Qahtani, Maleeha Mohammed Zaaf; Allam, Zafrul Allam; Ahmad, Nawaz; Furqan, Maham |
| Abstract: | Economic growth is very basic need of any economy but its environmental effects should not be ignored. We investigate the environmental effects of economic growth and energy consumption of Saudi Arabia. The study uses data of a period 1968-2014 and cointegration test and corroborates a long- and short-run relationships. The results indicate that economic growth and energy consumption contributes in CO2 emissions in both long- and short-run. It means that increasing economic growth of the Kingdom has social cost on the economy in terms of pollution emissions. Based on findings, we recommend to use the alternative renewable sources of energy consumption to avoid the pollution effects of growth in Saudi Arabia. |
| Keywords: | Energy Consumption, Economic Growth, Pollution |
| JEL: | Q53 |
| Date: | 2019–11–09 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:109143&r= |
| By: | David Newbery (Faculty of Economics, University of Cambridge) |
| Keywords: | wind curtailment, market failures, corrective charges |
| JEL: | H23 L94 Q28 Q42 Q48 |
| Date: | 2020–12 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg2036&r= |
| By: | Michael Pollitt (EPRG, CJBS, University of Cambridge); Geoffroy Dolphin (Resources for The Future) |
| Keywords: | climate policy, emissions trading, EU, net zero |
| JEL: | Q52 Q54 Q58 |
| Date: | 2021–07 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg2119&r= |
| By: | Zeynep Clulow (EPRG, CJBS, University of Cambridge); Michele Ferguson (University of Queensland); Peta Ashworth (University of Queensland); David Reiner (EPRG, CJBS, University of Cambridge) |
| Keywords: | Political parties, public opinion, climate policy, energy policy |
| JEL: | D72 P18 Q42 Q48 |
| Date: | 2021–03 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg2106&r= |
| By: | Elizabeth Asiedu (Department of Economics, University of Kansas); Theophile T. Azomahou (African Economic Research Consortium); Neepa B. Gaekwa (State University of New York at Fredonia); Mahamady Ouedraogo (Universite Clermont-Auvergne, CNRS, CERDI) |
| Abstract: | We employ survey data for 108 developing countries over the period 2006-2017 and estimate an ordered probit model to determine the firm and country characteristics that affect the probability that a firm is energy poor - i.e., the firm will report that electricity is an obstacle to the firm's operations. We find that firms that experienced power outages and firms in the manufacturing industry are more likely to be energy poor. In contrast, majority-owned government firms and older firms are less likely to be energy poor. The gender of the firm owner and the size of the firm are not correlated with firm energy poverty. Among firms that experienced power outages, firm energy poverty increases with the frequency as well as the duration of outages. We also find that firms that operate in countries with weak institutions and in countries where residents have limited access to electricity are more likely to be energy poor. |
| Keywords: | Constraints, Electricity, Energy Poverty, Firms, Institution |
| JEL: | D22 O12 L20 |
| Date: | 2021–06 |
| URL: | http://d.repec.org/n?u=RePEc:kan:wpaper:202116&r= |
| By: | David Newbery (Faculty of Economics, University of Cambridge) |
| Keywords: | renewables support schemes, distortions, auctions, yardstick contracts |
| JEL: | D44 D62 D86 H23 H25 L94 Q28 Q42 Q48 |
| Date: | 2021–03 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg2107&r= |
| By: | Stephen Littlechild (University of Birmingham and CJBS) |
| Keywords: | customer satisfaction, retail energy market, Trustpilot |
| JEL: | L15 L51 L94 |
| Date: | 2020–09 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg2027&r= |
| By: | Wei Zhou (Department of Engineering, University of Cambridge); Alice Moncaster (Department of Engineering, University of Cambridge); David Reiner (EPRG, CJBS, University of Cambridge); Peter Guthrie (Department of Engineering, University of Cambridge) |
| Keywords: | building stock, System Dynamics, disaggregation, aging chain, energy retrofit |
| JEL: | C6 O18 Q4 |
| Date: | 2020–06 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg2018&r= |
| By: | Olivia Muza (University of Rwanda); Ramit Debnath (EPRG, CJBS, University of Cambridge) |
| Keywords: | Energy transition, Off-grid system, Sub-Saharan Africa, Social Shaping of Technology, Gender, Disruptive innovation |
| JEL: | D1 N37 P28 P46 Q4 |
| Date: | 2020–06 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg2017&r= |
| By: | Victor Ajayi (EPRG, CJBS, University of Cambridge); Geoffroy Dolphin (EPRG, CJBS, University of Cambridge); Karim Anaya (EPRG, CJBS, University of Cambridge); Michael Pollitt (EPRG, CJBS, University of Cambridge) |
| Keywords: | Total factor productivity, growth accounting, regulation, energy networks, climate policy |
| JEL: | D24 O47 H23 |
| Date: | 2020–07 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg2021&r= |
| By: | Goedemé, Tim; Zsuzsa Lévay, Petra; Vanhille, Josefine; Verbist, Gerlinde |
| Abstract: | Understanding demand-side drivers and distribution of greenhouse gas emissions is key to design fair and efficient climate mitigation policies. In this study, we quantify the relationship between the carbon footprint of consumption and socio-economic characteristics of Belgian households. We use a dataset that combines household-level consumption data with an environmentally extended input-output model which quantifies the greenhouse gas emissions embedded in the supply chain of goods and services that households consume. Similar to studies in other countries, we find that the emission intensity (emissions per euro of expenditures) of consumption by households at the lower part of the income distribution is higher than that of richer households. The main reason is that poorer households spend a higher share of their expenditures on emissions intensive products, especially on energy and housing. We also find that living standards and household size are the most important determinants of household consumption-related emissions. The expenditure-elasticity of household emissions is less than unity, i.e. emissions increase with expenditures, but in a less than proportionate way. However, the elasticity changes when emissions from different consumption domains are analyzed. It is lowest for energy and housing and highest for services. |
| Keywords: | household carbon footprints, Environmental Engel curves, consumption-based emission accounting, elasticity, emission distribution |
| Date: | 2020–04 |
| URL: | http://d.repec.org/n?u=RePEc:amz:wpaper:2020-09&r= |
| By: | Bowei Guo (Faculty of Economics, University of Cambridge); David Newbery (Faculty of Economics, University of Cambridge) |
| Keywords: | Electricity trading, Market coupling, auctions, price forecasting |
| JEL: | F14 F15 Q47 Q48 L94 |
| Date: | 2021–03 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg2102&r= |
| By: | Michael Pollitt (EPRG, CJBS, University of Cambridge) |
| Keywords: | power sector reform, social cost benefit analysis, state of the market |
| JEL: | L94 |
| Date: | 2021–04 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg2111&r= |
| By: | Jorge A. Bonilla; Claudia Aravena; Ricardo Morales-Betancourt |
| Abstract: | Addressing inequality is recognized a worldwide development objective. The literature has primarily focused on examining economic or social inequality, but rarely on environmental inequality. Since inequality is multidimensional, several facets may overlap imposing a disproportionate burden on vulnerable communities. This study investigates the magnitude of air-quality inequality in conjunction with economic and social inequalities in Bogota (Colombia). It explores where inequalities overlap and assesses alleviation measures by tackling air pollution. We develop a composite index to estimate performance in socioeconomic and air quality characteristics across the city and evaluate inequality with a variety of measures. Using an atmospheric-chemical transport model, we simulate the impact of three air pollution abatement policies: paving roads, industry fuel substitution, and diesel-vehicle renewal on fine particle concentrations, and compute their effect on inequality. Results show that allocation of air-quality across Bogota is highly unequal, exceeding economic or social inequality. Evidence indicates economic, social and air quality disparities intersect displaying southwest as the most vulnerable zone. Paving roads is the most progressive and cost-effective policy, reducing overall inequality between 19-84% with net benefits exceeding US$479 million. Our analysis also suggests that benefits of renewing diesel heavy- and light-duty vehicles do not compensate the costs. |
| Keywords: | inequality measures, air pollution, atmospheric chemical transport model, humanhealth, cost-benefit analysis. |
| JEL: | D63 Q52 Q56 |
| Date: | 2021–08–13 |
| URL: | http://d.repec.org/n?u=RePEc:col:000089:019465&r= |
| By: | Farmer, J. Doyne; Way, Rupert; Mealy, Penny |
| Abstract: | We evaluate the cost of four different scenarios for the global energy system from 2020 to 2070 using an empirically validated technology forecasting method based on an expansive historical dataset. A no-transition scenario that maintains the current energy mix provides a benchmark. Under a rapid transition scenario, solar photovoltaics and wind are quickly deployed using batteries for short-term storage. Hydrogen-based fuels are used for long-term storage and non-electrifiable applications. Energy prices become lower than historical averages after 2030 and considerably lower after 2050. This yields an expected net present saving at any sensible discount rate; at 4% for example, we predict savings of $5.6 trillion. In contrast, a slower transition is more expensive, while a nuclear scenario is substantially more expensive. |
| Date: | 2020–12 |
| URL: | http://d.repec.org/n?u=RePEc:amz:wpaper:2021-01&r= |
| By: | Grischa Perino (University of Hamburg, Germany); Robert Ritz (EPRG, CJBS, University of Cambridge); Arthur van Benthem (The Wharton School, University of Pennsylvania, USA) |
| Keywords: | overlapping policy, internal carbon leakage, waterbed ffect, cap-andtrade, carbon pricing, hybrid regulation |
| JEL: | H23 Q54 |
| Date: | 2020–11 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg2034&r= |
| By: | Bachelet, Marion (Mercator Research Institute on Global Commons and Climate Change (MCC)); Kalkuhl, Matthias (Mercator Research Institute on Global Commons and Climate Change (MCC)); Koch, Nicolas (Mercator Research Institute on Global Commons and Climate Change (MCC)) |
| Abstract: | The COVID-19 pandemic created the largest experiment in working from home. We study how persistent telework may change energy and transport consumption and costs in Germany to assess the distributional and environmental implications when working from home will stick. Based on data from the German Microcensus and available classifications of working-from-home feasibility for different occupations, we calculate the change in energy consumption and travel to work when 15% of employees work full time from home. Our findings suggest that telework translates into an annual increase in heating energy expenditure of 110 euros per worker and a decrease in transport expenditure of 840 euros per worker. All income groups would gain from telework but high-income workers gain twice as much as low-income workers. The value of time saving is between 1.3 and 6 times greater than the savings from reduced travel costs and almost 9 times higher for high-income workers than low-income workers. The direct effects on CO2 emissions due to reduced car commuting amount to 4.5 millions tons of CO2, representing around 3 percent of carbon emissions in the transport sector. |
| Keywords: | working from home, COVID-19, distributional effect, climate impact |
| JEL: | D13 J22 J61 Q40 R11 |
| Date: | 2021–08 |
| URL: | http://d.repec.org/n?u=RePEc:iza:izadps:dp14642&r= |
| By: | Chakraborty, Debapriya; Bunch, David S.; Xu, Bingzheng; Tal, Gil; Brownstone, David |
| Abstract: | Sales of plug-in electric vehicles (PEVs), which include battery electric vehicles (BEVs) and plug-in hybrid electric vehicles (PHEVs), have grown substantially in recent years. To encourage PEV adoption, policymakers have offered monetary incentives for new PEV purchases, invested in charging infrastructure, and provided use-based incentives like High-Occupancy Vehicle (HOV) lane access and parking benefits. But questions remain regarding where, for how long, and how much promotion and government support might be necessary to achieve the state’s targets. Existing research on technology diffusion indicates that exposure through neighbors, workplace peers, and other acquaintances can legitimize new technology for the mass market and accelerate its market penetration. Researchers from the University of California, Davis and Irvine examined the adoption of PEVs in California between 2014 and 2016, both spatially and temporally, to gain a better understanding of the technology diffusion process and the effect of technology exposure, while controlling for sociodemographic factors and the effect of PEV incentive programs on PEV adoption in the state. This policy brief summarizes the findings from that research and provides policy implications. View the NCST Project Webpage |
| Keywords: | Engineering, Social and Behavioral Sciences, Plug-in electric vehicles, Peer effects, Spatial analysis, Count model |
| Date: | 2021–08–01 |
| URL: | http://d.repec.org/n?u=RePEc:cdl:itsdav:qt5ch5k06r&r= |
| By: | Nicholas Ryan |
| Abstract: | Green energy is produced by relationship-specific assets that are vulnerable to hold-up if contracts are not strictly enforced. I study the role of counterparty risk in the procurement of green energy using data on the universe of solar procurement auctions in India. The Indian context allows clean estimates of how risk affects procurement, because solar power plants set up in the same states, by the same firms, are procured in auctions variously intermediated by either risky states themselves or the central government. I find that: (i) the counterparty risk of an average state increases solar energy prices by 10%; (ii) the intermediation of the central government eliminates this risk premium; (iii) higher prices due to risk reduce investment, because state demand for green energy is elastic. The results suggest that the risk of hold-up places developing countries at a disadvantage in the procurement of green energy. |
| JEL: | L14 O13 Q42 |
| Date: | 2021–08 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:29154&r= |
| By: | Mattauch, Linus; van den Bijgaart, Inge; Klenert, David; Sulikova, Simona |
| Abstract: | Transport has a large number of significant externalities including carbon emissions, air pollution, accidents, and congestion. Active travel such as cycling and walking can reduce these externalities. Moreover, public health research has identified additional social gains from active travel due to health benefits of increased physical exercise. In fact, on a per mile basis, these benefits dominate the external social costs from car use by two orders of magnitude. We introduce health benefits and active travel options into an optimal taxation model of transport externalities to study appropriate policy responses. We characterise the optimal second-best fuel tax analytically: when physical exercise is considered welfare-enhancing, the optimal fuel tax increases. Under central parameter assumptions it rises by 49% in the US and 36% in the UK. This is due to the low fuel price elasticity of active travel. We argue that fuel taxes should be implemented jointly with other policies aimed at increasing the uptake of active travel to reap its full health benefits. |
| Keywords: | Transport Externalities, Congestion, Active travel, Fuel, Health Behaviour, Optimal Taxation |
| JEL: | H23 I12 Q53 Q54 Q58 R41 R48 Z28 |
| Date: | 2020–10 |
| URL: | http://d.repec.org/n?u=RePEc:amz:wpaper:2020-22&r= |
| By: | Ramit Debnath (EPRG, CJBS, University of Cambridge); Sarah Darby (University of Oxford); Ronita Bardhan (Department of Architecture, University of Cambridge); Kamiar Mohaddes (EPRG, CJBS, University of Cambridge); Minna Sunikka-Blank (Department of Architecture, University of Cambridge) |
| Keywords: | energy policy, narratives, topic modelling, computational social science, text analysis, methodological framework |
| JEL: | Q40 Q48 R28 |
| Date: | 2020–07 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg2019&r= |
| By: | Xu, Wenli |
| Abstract: | This note documents a DSGE model of Climate Change. I extend the NK model with geophisical variables, such as greenhouse gas emissions, the carbon cycle, radiative forcing, and climate change. In this model, I specify five different climate policy regimes: no policy, cap, intensive, tax, and mandate. |
| Keywords: | DSGE, climate change, climate policy |
| JEL: | E6 Q5 |
| Date: | 2020–09–26 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:109234&r= |
| By: | Rekker, Saphira; Ives, Matthew; Wade, Belinda; Greig, Chris; Webb, Lachlan |
| Abstract: | To meet climate goals, it is necessary for companies to become Paris-compliant. Two recent initiatives, the Transition Pathway Initiative (TPI) and Assessing low-Carbon Transitions (ACT) initiative, have proposed methodologies to benchmark companies performances against science-based emission reduction levels. However, these initiatives have several limitations, including a shifting baseline, and a focus on carbon-intensities. Here, we propose a methodology that overcomes these limitations by ensuring each company strictly adheres to the Paris carbon budget. Applying our metrics to the ten highest emitting companies in the Australian electricity sector, we find that none are currently Paris-compliant, with every year of delayed action increasing their required rate of decarbonisation and hence the exposure of billions in assets to transition risk. We demonstrate that even using the more prescriptive ACT guidelines allows these companies to exceed their carbon budgets up to 235% by mid-century. Applying our proposed method ensures accurate tracking of progress, which is imperative for companies and stakeholders to align their decision-making with the Paris Agreement. |
| Date: | 2021–01 |
| URL: | http://d.repec.org/n?u=RePEc:amz:wpaper:2021-03&r= |
| By: | Jieyi Kang (Department of Land Economy, University of Cambridge); David Reiner (EPRG, CJBS, University of Cambridge) |
| Keywords: | Weather effects, residential electricity consumption, fixed-effects models, smart metering data |
| JEL: | C55 D12 R22 Q41 |
| Date: | 2021–05 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg2112&r= |
| By: | Ashish Kumar Sedai (Department of Economics, Colorado State University); Tooraj Jamasb (Copenhagen Business School); Rabindra Nepal (University of Wollongong); Ray Miller (Department of Economics, Colorado State University) |
| Keywords: | Electricity access, Electricity reliability, Instrumental variables, Marginalized groups, Welfare |
| JEL: | D12 D31 E12 I32 |
| Date: | 2021–01 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg2101&r= |
| By: | Michael Mehling (MIT Center for Energy and Environmental Policy Research); Robert Ritz (EPRG, CJBS, University of Cambridge) |
| Keywords: | Border carbon adjustment, carbon pricing, Green Deal, international law, international trade |
| JEL: | H23 K33 Q54 |
| Date: | 2020–09 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg2026&r= |
| By: | Robert Ritz (EPRG, CJBS, University of Cambridge) |
| Keywords: | Carbon leakage, carbon pricing, imperfect competition, international trade, second best |
| JEL: | H23 L11 Q54 |
| Date: | 2021–05 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg2116&r= |
| By: | Shr, Yau-Huo (Jimmy); Hsu, Wen; Su, Jia-Shen |
| Keywords: | Environmental Economics and Policy, Health Economics and Policy, Risk and Uncertainty |
| Date: | 2021–08 |
| URL: | http://d.repec.org/n?u=RePEc:ags:aaea21:312879&r= |
| By: | Jieyi Kang (Department of Land Economy, University of Cambridge); David Reiner (EPRG, CJBS, University of Cambridge) |
| Keywords: | Weather sensitivity, smart metering data, unsupervised learning, clusters, residential electricity, consumption patterns, Ireland |
| JEL: | C55 D12 R22 Q41 |
| Date: | 2021–05 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg2113&r= |
| By: | Stephen Littlechild (EPRG, CJBS, University of Cambridge); Lynne Kiesling (University of Colorado-Denver) |
| Keywords: | Hayek, Texas blackout, scarcity pricing, retail electricity competition |
| JEL: | L94 L51 K23 D47 D82 |
| Date: | 2021–06 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg2118&r= |
| By: | Mattauch, Linus; Zhao, Jiaxin |
| Abstract: | Carbon pricing is the efficient instrument to reduce emissions. However, the geographical and sectoral coverage of substantial carbon pricing is low, often due to concerns that pricing may increase economic inequality. Regulatory standards such as fuel economy standards are more popular. But do they have an equity advantage over carbon pricing? We develop two new formal models to identify economic situations, in which standards could be preferred over carbon pricing. First, we prove that an efficiency standard can be more equitable than carbon pricing when consumers exhibit a preference for high-carbon technology attributes. Evidence from the US vehicle market confirms this finding. Second, we show theoretically, and by means of a numerical application to the Chinese transport sector, that intensity standards are preferable when richer households consume more goods with higher carbon intensity. Our results hold when the revenue from carbon pricing is not very progressively redistributed. These insights can help advance decarbonisation when pricing remains unpopular. |
| Keywords: | Incidence, Distributional effects, Carbon pricing, Efficiency standards, Intensity standards |
| JEL: | H22 H23 Q52 Q54 |
| Date: | 2021–01 |
| URL: | http://d.repec.org/n?u=RePEc:amz:wpaper:2020-25&r= |
| By: | Ioannis Arampatzidis (Department of Economics, University of Duisburg-Essen, Germany); Theologos Dergiades (Department of International and European Studies, University of Macedonia, Greece); Robert. K. Kaufmann (Department of Earth and Environment, Boston University, USA); Theodore Panagiotidis (Department of Economics, University of Macedonia, Greece) |
| Abstract: | We extend the existing understanding of the relation between oil prices and stock markets in two ways: (1) by evaluating the effects of the oil market on the U.S. stock market, at an aggregate level and for all forty-nine U.S. industry specific portfolios, and (2) by scrutinizing the dynamic nature of this relation, by fitting a Structural Vector Autoregression (SVAR) specification for a large set of rolling samples with fixed size. Results indicate that the effect of oil prices on the U.S. stock market depends on the type and timing of the shock. An oil supply shock generally does not have a statistically measurable effect on stock market performance. Conversely, an aggregate demand shock has a positive effect on nearly all sectors while an oil-specific demand shock has a negative effect on stock returns for most industries. These results suggest that investors can shift the portfolios consistent with smaller effects of oil-related shocks and the costs of carbon taxes and/or tradeable permits may be smaller than commonly thought if stock prices represent the net present value of profits. |
| Keywords: | Stock markets, Oil shocks, Rolling SVAR, U.S. Industries, Carbon tax |
| JEL: | C10 G01 G02 |
| Date: | 2021–08 |
| URL: | http://d.repec.org/n?u=RePEc:rim:rimwps:21-19&r= |
| By: | Chi Kong Chyong (EPRG, CJBS, University of Cambridge); Carmen Li (EPRG, CJBS, University of Cambridge); David Reiner (EPRG, CJBS, University of Cambridge); Fabien Roques (Université Paris-Dauphine a) |
| Keywords: | electricity planning, transmission capacity, geographic and technological diversification, mean-variance portfolio theory (MPT) |
| JEL: | Q48 L98 G11 Q42 C60 |
| Date: | 2020–08 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg2022&r= |
| By: | Arezki, Rabah (African Development Bank and Harvard’s Kennedy School of Government); Djankov, Simeon (London School of Economics and Peterson Institute for International Economics); Nguyen, Ha (World Bank); Yotzov, Ivan (University of Warwick & CAGE) |
| Abstract: | Using a new dataset of 198 national elections across 48 democracies, this paper is the first to systematically examine the effects of oil price shocks on incumbents’ political fortunes in developed oil-importing countries. We find that oil price increases systematically lower the odds of reelection for incumbents and increase the likelihood of changes in the ideology of the incoming government. These shocks are found to operate through lowering consumption growth. |
| Keywords: | Elections, Incumbent, Oil Prices, Economic Shocks JEL Classification: D72; E21; P16; Q43 |
| Date: | 2021 |
| URL: | http://d.repec.org/n?u=RePEc:cge:wacage:572&r= |
| By: | Janjala Chirakijja; Seema Jayachandran; Pinchuan Ong |
| Abstract: | This paper examines how the price of home heating affects mortality in the US. Exposure to cold is one of the reasons that mortality peaks in winter, and a higher heating price increases exposure to cold by reducing heating use. In addition, a higher price raises energy bills, which could also affect health by decreasing other healthpromoting spending. Our empirical approach combines spatial variation in the energy source used for home heating and temporal variation in the national prices of natural gas and electricity. We find that a lower heating price reduces winter mortality, driven mostly by cardiovascular and respiratory causes. The effect is especially large in highpoverty communities. |
| Date: | 2021 |
| URL: | http://d.repec.org/n?u=RePEc:msh:ebswps:2021-9&r= |
| By: | David Anthoff; Francis Dennig; Johannes Emmerling |
| Abstract: | The consensus view amongst economists is that carbon prices, in order to be effcient, must be the same across the globe. But when there are inefficiencies in the allocation of capital so that consumers in different countries face different discount rates, we show that efficient carbon prices must be different across countries. This is a consequence of Hotelling’s familiar argument on the price of a non-renewable resource: it must grow at the rate of the next best use of marginal funds, which is equal to the country’s discount rate. If different countries discount at different rates, their carbon prices ought to grow at different rates as well. If they grow at different rates, they can’t be the same all of the time, as first-best carbon prices are. The computational climate policy literature has so far avoided this conclusion by altering time preferences in a country specific way through time-varying Negishi weights. We show that the use of such weights causes inefficient policy prescriptions and, furthermore, has the particularly undesirable consequence of incorrectly discounting future consumption more in countries with high growth rates. The existence of inefficiencies in the savings process - causing differences in discount rates - is well-known and should be acknowledged head on in climate policy analysis. Doing so results in global mitigation policy with carbon price paths for different countries growing (efficiently) at different rates. |
| Keywords: | carbon price, Hotelling rule, efficient climate policy, Negishi weights, integrated assessment models, discounting |
| Date: | 2021 |
| URL: | http://d.repec.org/n?u=RePEc:ces:ceswps:_9243&r= |
| By: | Jieyi Kang (Department of Land Economy, University of Cambridge); David Reiner (EPRG, CJBS, University of Cambridge) |
| Keywords: | Residential electricity, household consumption behaviour, China, machine learning |
| JEL: | C55 D12 R22 Q41 |
| Date: | 2021–05 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg2114&r= |
| By: | Ottmar Edenhofer; Kai Lessmann; Ibrahim Tahri |
| Abstract: | Climate policy needs to set incentives for actors who face imperfect, distorted markets and large uncertainties about the costs and benefits of abatement. Investors price uncertain assets according to their expected return and risk (carbon beta). We study carbon pricing and financial incentives in a consumption-based asset pricing model distorted by technology spillover and timeinconsistency. We find that both distortions reduce the equilibrium asset return and delay investment in abatement. However, their effect on the carbon beta and risk premium of abatement can be decreasing (when innovation spillovers are not anticipated) or increasing (when climate policy is not credible). Efficiency can be restored by carbon pricing and financial incentives, implemented in our model by a regulator and by a long-term investment fund. The regulator commands carbon pricing and the fund provides subsidies to reduce technology costs or to boost investment returns. The investment subsidy creates a financial incentive that complements the carbon price. In this way the investment fund can support climate policy when the actions of the regulator fall short. These instruments must also consider the investment risk and the sequence of their implementation. The investment fund can then pave the way for carbon pricing in later periods by preventing a capital misallocation that would be too expensive to correct. Thus the investment fund improves the feasibility of ambitious carbon pricing. |
| Keywords: | carbon budget, CCAPM, policy instruments, external effect |
| JEL: | Q54 D81 G12 |
| Date: | 2021 |
| URL: | http://d.repec.org/n?u=RePEc:ces:ceswps:_9269&r= |
| By: | Mathilde Fajardy (EPRG, CJBS, University of Cambridge); David Reiner (EPRG, CJBS, University of Cambridge) |
| Keywords: | heating, cooling, electrification, decarbonisation, peak load management, demand response |
| JEL: | L95 O13 Q41 Q42 |
| Date: | 2020–12 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:epgr2037&r= |
| By: | Lomonosov, Daniil |
| Abstract: | World oil prices in 2020 have undergone tangible shocks, which are associated primarily with two events - the collapse of the OPEC+ deal and the coronavirus pandemic. Based on the BVAR model of the oil market, the quantitative role of these events in the dynamics of oil prices was assessed, and the channels of their influence through structural shocks were identified. In the first half of 2020, at the time of the greatest decline, lack of consistency between oil producing countries, expectations of further growth in oil supply and uncertainty about a recovery in global demand played a dominant role, reducing oil prices by 86% at the peak of the decline. The direct contribution of the decline in the economic activity due to restrictive measures was more modest, reducing the price by 27.7% in April 2020. However, after reaching new agreements within the OPEC+ deal and some adaptation to the new conditions of a number of countries, the direction of the dynamics of oil prices changed. The main factor behind the rise in prices in the second half of the year, according to the model, is a noticeable decline in world oil production, which on average has increased the price of oil by 20.8% since May. |
| Keywords: | Oil prices; pandemic; OPEC+; global economic activity shock; oil supply shock; specific oil demand shock |
| JEL: | C32 E32 Q43 |
| Date: | 2021–07–11 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:109319&r= |
| By: | David Andrés-Cerezo (European University Institute); Natalia Fabra (Universidad Carlos III and CEPR) |
| Keywords: | Storage, electricity, market structure, investment, vertical relations |
| JEL: | L22 L94 |
| Date: | 2020–12 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg2038&r= |
| By: | Mattauch, Linus; Sommer, Stephan; Pahle, Michael |
| Abstract: | We conduct a discrete choice experiment with a sample of 6,000 German household heads to examine how fairness preferences influence the support for carbon taxes and revenue-recycling options. While it is well-known that carbon taxes are effective in reducing emissions and can be made progressive, they remain fairly unpopular with German citizens. Consequently, best practice to build public support for them remains a relevant question for which there is no consensus. We obtain two major results: First, while green spending is more popular in general, it is significantly more popular among those who are pro-environment and trust the government. Second, when restricted to options for direct revenue redistribution, Germans prefer lump-sum payments over directing payments to the poorest or the most affected. Importantly, choices over these options depend both on genuinely different conceptions of fairness and respondents' economic circumstances. Our findings have implications for building support for effective climate change mitigation policies with those who are not yet convinced. |
| Keywords: | carbon pricing, climate change mitigation, fairness, redistribution, environmental tax reform |
| JEL: | A13 H23 Q54 |
| Date: | 2020–10 |
| URL: | http://d.repec.org/n?u=RePEc:amz:wpaper:2020-23&r= |
| By: | Stephen Littlechild (University of Birmingham and CJBS) |
| Keywords: | online reviews, customer satisfaction, customer feedback, Trustpilot, retail energy market, supermarkets, banks, mobile phone providers |
| JEL: | L15 L84 L94 |
| Date: | 2020–09 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg2025&r= |
| By: | Ramit Debnath (EPRG, CJBS, University of Cambridge); Ronita Bardhan (Department of Architecture, University of Cambridge); Sarah Darby (University of Oxford); Kamiar Mohaddes (EPRG, CJBS, University of Cambridge); Minna Sunikka-Blank (Department of Architecture, University of Cambridge) |
| Keywords: | energy justce, poverty, computational social science, policy design, machine learning, textual analysis |
| JEL: | D63 I30 Q48 R20 |
| Date: | 2020–11 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg2030&r= |
| By: | Amélie Charles (Audencia Business School); Chew Lian Chua (University of Nottingham Ningbo [China]); Olivier Darné (LEMNA - Laboratoire d'économie et de management de Nantes Atlantique - IEMN-IAE Nantes - Institut d'Économie et de Management de Nantes - Institut d'Administration des Entreprises - Nantes - UN - Université de Nantes - IUML - FR 3473 Institut universitaire Mer et Littoral - UBS - Université de Bretagne Sud - UM - Le Mans Université - UA - Université d'Angers - CNRS - Centre National de la Recherche Scientifique - IFREMER - Institut Français de Recherche pour l'Exploitation de la Mer - UN - Université de Nantes - ECN - École Centrale de Nantes); Sandy Suardi (University of Wollongong) |
| Abstract: | This paper develops a structural factor vector autoregressive (SFVAR) model to study the effect of oil price shock on economic activity. The model allows both types of uncertainty (real economic activity and oil price) to directly affect oil prices and economic activity. More importantly, the factor variable, which is akin to the macroeconomic uncertainty measure of Henzel and Rengel (2017), captures the significant indirect spillover effects of both supplyrelated (oil prices) and demand-related (business cycle) shocks on oil prices and economic activity. By incorporating the indirect effect of this macroeconomic uncertainty, the response of economic activity to oil price shocks is amplified. In some countries the real effect is prolonged. Results for net oil exporting (importing) countries show that an oil price hike has an appreciably positive (negative) effect on economic activity. The factor dynamics of all countries, except for France, are highly correlated with each other, while they are all moderately correlated with some commonly used measures of macroeconomic uncertainty. |
| Keywords: | Factor model,Outliers,Impulse response,Real Uncertainty,Oil price uncertainty |
| Date: | 2021 |
| URL: | http://d.repec.org/n?u=RePEc:hal:journl:hal-03284089&r= |
| By: | Chakraborty, Debapriya; Bunch, David S.; Xu, Bingzheng; Brownstone, David; Tal, Gil |
| Abstract: | The market for plug-in electric vehicles (PEVs) that primarily include battery electric vehicles (BEVs) and plug-in hybrid vehicles (PHEVs) has been rapidly growing in California for the past few years. Given the targets for PEV penetration in the state, it is important to have a better understanding of the pattern of technology diffusion and the factors that are driving the process. Using spatial analysis and Poisson count models, the researchers identify the importance of a neighborhood effect (at home locations) and workplace effect (at commute destinations) in supporting the diffusion of PEV technology in California. In the case of new BEV sales, they found that exposure to one additional BEVor PHEV within a 1-mile radius of a block group centroid is associated with a 0.2%increase in BEV sales in the block group. Interestingly, for new PHEV sales,the neighborhood effect of BEV sales is negative, suggesting that enhanced exposure to this type of technology (which is differentiated in distinctive ways from PHEVs) may impact new PHEV sales through a substitution effect. Specifically, higher BEVconcentration in an area can have an overall negative effect on new PHEV sales. While the neighborhood effect at residential locations is important, the workplace effect also have a notably important effect on new PEV sales. Both effects work in combination with socioeconomic, demographic, policy, and built environment factors in encouraging PEV adoption. These results suggest that policymakers should consider targeted programs and investments that can boost the impact of neighborhood and peer effects on PEV sales View the NCST Project Webpage |
| Keywords: | Engineering, Social and Behavioral Sciences, Plug-in electric vehicles, Peer effects, Spatial analysis, Count model |
| Date: | 2021–08–01 |
| URL: | http://d.repec.org/n?u=RePEc:cdl:itsdav:qt7fs8295j&r= |
| By: | David Newbery (Faculty of Economics, University of Cambridge) |
| Keywords: | Transport policy, fuel taxes, road pricing, road investment |
| JEL: | D62 H23 R41 R48 |
| Date: | 2020–09 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg2024&r= |
| By: | Goodenberger, James; Munk, Robert; Senney, Garrett |
| Keywords: | Environmental Economics and Policy, Production Economics, Health Economics and Policy |
| Date: | 2021–08 |
| URL: | http://d.repec.org/n?u=RePEc:ags:aaea21:312728&r= |
| By: | Sharma, Bijay P.; Khanna, Madhu; Miao, Ruiqing |
| Keywords: | Resource/Energy Economics and Policy, Production Economics, Agricultural and Food Policy |
| Date: | 2021–08 |
| URL: | http://d.repec.org/n?u=RePEc:ags:aaea21:312745&r= |
| By: | Tiago Cavalcanti (University of Cambridge); Zeina Hasna (University of Cambridge); Cezar Santos (Banco de Portugal) |
| Keywords: | Climate change, carbon taxes, worker heterogeneity, labor reallocation |
| JEL: | E13 H23 J24 |
| Date: | 2021–03 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg2104&r= |
| By: | Thomas D. Jeitschko; Pallavi Pal |
| Abstract: | In recent years, a significant problem with the carbon credit market has been the higher than initially predicted price volatility. It is essential to study the market in a repeated-period dynamic setting to identify the factors enabling high fluctuations in prices. In this paper, we examine the dynamic auction design and propose a method to curb price volatility through a flexible supply cap. The equilibrium analysis shows that modifying the cap on per period supply can decrease price fluctuations. Currently, the government or the auctioneer sets a per-period limit on the supply, which reduces at a fixed rate over time. However, this paper suggests that a flexible cap on the per-period supply would be a better alternative. Specifically, we show that correlating the supply rate with expected future demand results in a more stable price. |
| Keywords: | dynamic mechanism design, auctions, emissions permits, environmental regulation, climate change |
| JEL: | D43 L11 L42 |
| Date: | 2021 |
| URL: | http://d.repec.org/n?u=RePEc:ces:ceswps:_9266&r= |
| By: | Chi Kong Chyong (EPRG, CJBS, University of Cambridge); David Reiner (EPRG, CJBS, University of Cambridge); Dhruvak Aggarwal (EPRG, University of Cambridge) |
| Keywords: | Gazprom, European Commission, Market Power, Natural Gas, Security of Supply, Competition, Long-term contracts, Swap deals |
| JEL: | L95 L42 D47 D42 C63 P28 |
| Date: | 2021–05 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg2115&r= |
| By: | Adrian Fernandez-Perez (AUT - Auckland University of Technology); Ana-Maria Fuertes (Sir John Cass Business School); Joelle Miffre (Audencia Business School) |
| Abstract: | This paper studies the energy futures risk premia that can be extracted through long-short portfolios that exploit heterogeneities across contracts as regards various characteristics or signals and integrations thereof. Investors can earn a sizeable premium of about 8% and 12% per annum by exploiting the energy futures contract risk associated with the hedgers' net positions and roll-yield characteristics, respectively, in line with predictions from the hedging pressure hypothesis and theory of storage. Simultaneously exploiting various signals towards style-integration with alternative weighting schemes further enhances the premium. In particular, the style-integrated portfolio that equally weights all signals stands out as the most effective. The findings are robust to transaction costs, data mining and sub-period analyses. |
| Keywords: | Integration,Long-short portfolios,Risk premium,Energy futures markets |
| Date: | 2021–10–01 |
| URL: | http://d.repec.org/n?u=RePEc:hal:journl:hal-03312959&r= |
| By: | Mark J. Holmes (Department of Economics, Waikato University, New Zealand); Jesús Otero (Facultad de Economía, Universidad del Rosario, Colombia); Theodore Panagiotidis (Department of Economics, University of Macedonia, Greece) |
| Abstract: | This paper investigates the extent of convergence club formation in retail gasoline prices. Our study provides new insights through the use of a large disaggregated panel database for Canada that comprises three types of gasoline grades, namely regular, medium and premium, for a sample of 44 cities over a period of almost two decades. The paper analyses gasoline price data that are inclusive or exclusive of taxes. The findings suggest that the retail gasoline markets are not integrated in terms of requiring multiple numbers of convergence clubs to explain relative price movements across cities. In addition to this, wholesale gasoline prices cities are probably less integrated than retail prices. Key drivers of retail price divergence across cities include distances between cities and the need to be explicit on distinguishing fuel quality. These findings are robust to the inclusion or exclusion of taxes in retail gasoline prices. |
| Keywords: | Convergence, clubs, gasoline prices |
| JEL: | C33 Q43 R10 |
| Date: | 2021–08 |
| URL: | http://d.repec.org/n?u=RePEc:rim:rimwps:21-18&r= |
| By: | Victor Ajayi (EPRG, CJBS, University of Cambridge); David Reiner (EPRG, CJBS, University of Cambridge) |
| Keywords: | Bio-based plastics, mixed logit, discrete choice experiment, willingness to pay, industrial decarbonisation, carbon capture |
| JEL: | D12 C25 Q51 |
| Date: | 2020–11 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg2033&r= |
| By: | Shinsuke Tanaka; Kensuke Teshima; Eric Verhoogen |
| Abstract: | This study examines the effect of a tightening of the U.S. air-quality standard for lead in 2009 on the relocation of battery recycling to Mexico and on infant health in Mexico. In the U.S., airborne lead dropped sharply near affected plants, most of which were battery-recycling plants. Exports of used batteries to Mexico rose markedly. In Mexico, production increased at battery-recycling plants, relative to comparable industries, and birth outcomes deteriorated within two miles of those plants, relative to areas slightly farther away. The case provides a salient example of a pollution-haven effect between a developed and a developing country. |
| JEL: | F18 I14 I15 O15 Q56 |
| Date: | 2021–08 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:29146&r= |
| By: | Charles Collet (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 - Université Paris-Saclay - CNRS - Centre National de la Recherche Scientifique); Pascal Gastineau (AME-SPLOTT - Systèmes Productifs, Logistique, Organisation des Transports et Travail - Université Gustave Eiffel); Benoit Chèze (IFPEN - IFP Energies nouvelles - IFPEN - IFP Energies nouvelles); Frederic Martinez (AME-DCM - Dynamiques des changements de mobilité - Université de Lyon - Université Gustave Eiffel); Pierre-Alexandre Mahieu (LEMNA - Laboratoire d'économie et de management de Nantes Atlantique - IUML - FR 3473 Institut universitaire Mer et Littoral - UM - Le Mans Université - UA - Université d'Angers - UN - Université de Nantes - ECN - École Centrale de Nantes - UBS - Université de Bretagne Sud - IFREMER - Institut Français de Recherche pour l'Exploitation de la Mer - CNRS - Centre National de la Recherche Scientifique - IEMN-IAE Nantes - Institut d'Économie et de Management de Nantes - Institut d'Administration des Entreprises - Nantes - UN - Université de Nantes) |
| Abstract: | The transportation sector constitutes one of the main contributors to CO2 emissions. Several incentive measures have been already proposed by economists to mitigate these emissions. But, as we all know, these tools have met with mixed success. This paper proposes the use of attribute valence framing, i.e. a description of the same object/characteristics positively or negatively, in order to reduce CO2 emissions. This so-called nudge is easier to implement than more traditional tools, such as taxation, and does not rely on the stringent assumption that individuals are fully rational. The findings from a discrete choice experiment focusing on long-distance travel choice are reported herein. Results indicate that a loss framing on CO2 emissions significantly increases the respondents' practice of pro-environmental behaviors. The framing effect is larger when applied to CO2 than to travel duration (+50% and +30% of the willingness to pay, respectively). In employing psychological constructs, it is shown that preferences are affected by individuals' psychological features (i.e. a preference for the future and environmental self-identity), and moreover that the magnitude of the framing effect depends on individuals' motivational strategies. |
| Keywords: | Framing effect,Discrete choice experiment,Pro-environmental behavior,Travelers' willingness to pay |
| Date: | 2021–08–18 |
| URL: | http://d.repec.org/n?u=RePEc:hal:wpaper:hal-03321706&r= |
| By: | Mekky, Maher F.; Collins, Alan R.; Brooke, William |
| Keywords: | Environmental Economics and Policy, Resource/Energy Economics and Policy, Community/Rural/Urban Development |
| Date: | 2021–08 |
| URL: | http://d.repec.org/n?u=RePEc:ags:aaea21:312701&r= |
| By: | Bosch, Darrell J.; Zhang, Wei; Hu, Chenyang |
| Keywords: | Resource/Energy Economics and Policy, Environmental Economics and Policy, Agricultural and Food Policy |
| Date: | 2021–08 |
| URL: | http://d.repec.org/n?u=RePEc:ags:aaea21:312697&r= |
| By: | Christos Genakos (CJBS, University of Cambridge); Felix Grey (Faculty of Economics and Energy Policy Research Group, University of Cambridge); Robert Ritz (EPRG, CJBS, University of Cambridge) |
| Keywords: | Pass-through, imperfect competition, regulation, carbon pricing, airlines, political economy |
| JEL: | D43 H23 L51 L93 |
| Date: | 2020–07 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg2023&r= |
| By: | Nitish Gupta; Ruchir Kaul; Satwik Gupta; Jay Shah |
| Abstract: | The results based on the nonparametric nearest neighbor matching suggest a statistically significant positive effect of the EU ETS on the economic performance of the regulated firms during Phase I of the EU ETS. A year-by-year analysis shows that the effect was only significant during the first year of Phase I. The EU ETS, therefore, had a particularly strong effect when it was introduced. It is important to note that the EU ETS does not homogeneously affect firms in the manufacturing sector. We found a significant positive impact of EU ETS on the economic performance of regulated firms in the paper industry. |
| Date: | 2021–08 |
| URL: | http://d.repec.org/n?u=RePEc:arx:papers:2108.07116&r= |
| By: | Funke, Franziska; Mattauch, Linus; Klenert, David; O'Callaghan, Brian |
| Abstract: | The nexus of COVID-19 and climate change has so far brought attention to short-term greenhouse gas (GHG) emissions reductions, public health responses and clean recovery stimulus packages. We take a more holistic approach, making five broad comparisons between the crises with five associated lessons for climate change mitigation policy. First, delay is costly. Second, policy design must overcome biases to human judgment. Third, inequality can be exacerbated without timely action. Fourth, global problems require multiple forms of international cooperation. Fifth, transparency of normative positions is needed to navigate value judgments at the science-policy interface. Learning from policy actions during the COVID-19 crisis could enhance efforts to reduce GHG emissions and prepare humanity for future crises. |
| Date: | 2020–06 |
| URL: | http://d.repec.org/n?u=RePEc:amz:wpaper:2020-16&r= |
| By: | Pär Holmberg (Research Institute of Industrial Economics (IFN), Stockholm); Thomas Tangerås (Research Institute of Industrial Economics (IFN), Stockholm) |
| Keywords: | Capacity mechanism, market design, reliability, resource efficiency |
| JEL: | D25 D47 Q40 Q48 |
| Date: | 2021–04 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg2109&r= |
| By: | Natalia Fabra (Universidad Carlos III de Madrid); Imelda (Universidad Carlos III de Madrid) |
| Keywords: | market power, forward contracts, arbitrage, renewables |
| JEL: | L13 L51 Q41 |
| Date: | 2021–05 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg2117&r= |
| By: | Srivastav, Sugandha; Rafaty, Ryan |
| Abstract: | The chasm between required and actual emissions abatement continues to grow in part because stringent climate laws and policies have repeatedly been blocked, repealed or weakened by obstructionist lobbies. Lobbying by the climate change countermovement dwarfs that by the climate movement. To make meaningful progress towards global emissions abatement, smart political strategies are needed. Drawing on evidence from current and past sociotechnical transitions and social movements, we propose a taxonomy of five strategic paradigms for overcoming obstructionism: antagonism ("name, shame, boycott and sue"), appeasement ("compensate the losers"), co-optation ("change from within"), institutionalism ("change the rules of the game") and countervailance ("support the alternative"). Each "world" of strategy addresses the problem of obstructionism through a different lens, reflecting a diversity of actors, tactics, and theories of change within the climate movement. We develop a heuristic model to explore how these strategies change a politician's incentives across different institutional contexts, both statically and dynamically. |
| Date: | 2021–03 |
| URL: | http://d.repec.org/n?u=RePEc:amz:wpaper:2021-07&r= |
| By: | Emmanuel Asane-Otoo (University of Oldenburg, Department of Economics); C. Dannemann (University of Oldenburg, Department of Economics) |
| Abstract: | Besides temporal and spatial aggregation issues in the analysis of asymmetric response of retail gasoline prices, previous studies have also largely ignored parameter heterogeneity across fuel stations. This paper addresses the aggregation issues and the parameter homogeneity assumption by examining the responsiveness of stations to input cost changes using daily station-specific retail and wholesale gasoline prices for 12,613 geographically diverse stations. Based on individual station analysis using asymmetric error correction models, we find that 48% of stations engage in competitive pricing while the remaining 52% exhibit the rockets and feathers pricing pattern. Our findings suggest that the rockets and feathers phenomenon is a feature of individual stations and local market characteristics are important determinants. We also show that pooled panel regression techniques obscure the actual pricing pattern observed from station-level time series analysis. |
| Keywords: | Asymmetric Pricing, Input Cost, Price Transparency, Aggregation |
| Date: | 2021–08 |
| URL: | http://d.repec.org/n?u=RePEc:old:dpaper:436&r= |
| By: | Robert Ritz (EPRG, CJBS, University of Cambridge) |
| Keywords: | Balanced scorecard, corporate climate action, corporate strategy, ESG, executive compensation, management incentives |
| JEL: | L21 M12 Q54 |
| Date: | 2020–10 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg2029&r= |
| By: | Nitish Gupta; Jay Shah; Satwik Gupta; Ruchir Kaul |
| Abstract: | In this paper, we estimate the causal impact (i.e. Average Treatment Effect, ATT) of the EU ETS on GHG emissions and firm competitiveness (primarily measured by employment, turnover, and exports levels) by combining a difference-in-differences approach with semi-parametric matching techniques and estimators an to investigate the effect of the EU ETS on the economic performance of these German manufacturing firms using a Stochastic Production Frontier model. |
| Date: | 2021–08 |
| URL: | http://d.repec.org/n?u=RePEc:arx:papers:2108.07163&r= |
| By: | McCullough, Michael P.; Hamilton, Lynn L.; Walters, Cory G. |
| Keywords: | Environmental Economics and Policy, Agricultural and Food Policy, Agribusiness |
| Date: | 2021–08 |
| URL: | http://d.repec.org/n?u=RePEc:ags:aaea21:312800&r= |
| By: | Kruse, Mirko; Sünner, Isabel |
| Abstract: | Die Bedeutung des Themas Kreislaufwirtschaft ist zuletzt spürbar gestiegen. Ursache hierfür sind unter anderem neue Regulierungen der EU, die auf diese Weise ihre Abhängigkeit von Ressourcenimporten reduzieren und die eigenen Nachhaltigkeitsziele erfüllen will. Besonders städtische Räume wie Hamburg haben besonderes Potenzial, von einer Kreislaufwirtschaft zu profitieren. Die vorliegende Analyse fasst zusammen, welche Akteure sich heute in Hamburg bereits mit dem Thema beschäftigen, wo Kreislaufwirtschaftsthemen bereits verankert sind und welche Verbesserungspotenziale sich ergeben. Dabei wird auch auf die Ergebnisse eines regionalen StakeholderWorkshops vom März 2020 zurückgegriffen. |
| Keywords: | Kreislaufwirtschaft,Circular Economy,Hamburg,Nachhaltigkeit,CO2-Emissionen |
| JEL: | O13 Q01 Q28 R1 R11 R58 |
| Date: | 2021 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:hwwipp:n132&r= |
| By: | Drieschova, Alena |
| Abstract: | The paper analyses the role of social media in shifting the climate change discourse in the North Atlantic region. Changes in the media environment have removed traditional gatekeepers of information dissemination and empowered new kinds of actors to reach large audiences. Yet, the techniques and the particular messaging through which these audiences can be reached has had to change as well. Messages spread widely on social media if they get shared, liked, retweeted frequently. They need to provoke a reaction in their audience, that leads the audience to actively respond to the messages, be it only with a mouse click. Within the climate change field two new kinds of actors have the potential to seize upon this new opportunity structure: climate sceptics and pro-climate activist social movements. Through a qualitative social media analysis, this paper compares the specific messaging strategies these two communities have deployed. It finds that the climate strike movement, notably led by Greta Thunberg, could effectively seize the opportunities social media provide to reach large audiences. By contrast, climate sceptics have been significantly less successful. Counter-intuitively, the paper finds that digitization can not only empower tech-savvy individuals, but also specific, comparatively low tech, and hitherto marginalized individuals. Notably, young women, if they can draw on their vulnerability, aesthetics, and emotional messaging, can acquire high attention scores when advocating for political change. |
| Keywords: | Climate change,social media,Fridays for Future,climate strike,Greta Thunberg,climate skepticism,social movements,populism,discourse,aesthetics,images |
| Date: | 2021 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:khkgcr:29&r= |
| By: | Bogensperger, Alexander; Zeiselmair, Andreas; Hinterstocker, Michael; Dossow, Patrick; Hilpert, Johannes; Wimmer, Maximilian; von Gneisenau, Carsten; Klausmann, Nikolas; Strüker, Jens; Urbach, Nils; Schellinger, Benjamin; Sedlmeir, Johannes; Völter, Fabiane |
| Abstract: | Die Blockchain-Technologie erfuhr die Spitze ihres ersten großen Hypes im Jahr 2017. Bei der Blockchain-Technologie handelt es sich um ein dezentrales elektronisches Register für digitale Transaktionen. Zu den Eigenschaften der Technologie zählen u. a. eine hohe Manipulationsresistenz, welche Vertrauen in digitale Daten erzeugen kann, sowie die Möglichkeit, Prozesse und Transaktionen, ohne Intermediär abzuwickeln. Diese besonderen Eigenschaften ermöglichen die Entstehung eines "Internets der Werte". Während Kryptowährungen den bekanntesten Anwendungsfall darstellen (oft auch "digitale Währungen" oder "Krypto-Token" genannt), sind seit der Einführung der Technologie im Jahr 2008 viele weitere Anwendungsfälle diskutiert worden. Dabei bietet sich die Technologie nicht als Universallösung für jegliche Problemstellungen an. Das nachfolgende Diskussionspapier soll aufzeigen, in welchen Branchen sich die Technologie bereits etabliert hat, welche allgemeinen Missverständnisse die Technologie umgeben und wo ihre energiewirtschaftlichen Einsatzmöglichkeiten liegen. Zudem soll aufgezeigt werden, welche technologieunabhängigen Hürden den Einsatz der Technologie erschweren. |
| Keywords: | Blockchain,Energie,Smart Meter,Regulatorik,ZKP |
| Date: | 2021 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:bayism:68&r= |
| By: | Chakraborty, Lekha (National Institute of Public Finance and Policy) |
| Abstract: | India was the first to integrate climate change criteria in the inter- governmental fiscal transfers This analysis suggests that climate change criterion in the intergovernmental fiscal transfer mechanism in India is a significant step to incentivise the conservation of forests. However, the macropolicy channel of this link is through the public expenditure priorities related to climate change commitments by the state governments, to make a "just transition" towards a sustainable climate-resilent economy. |
| Date: | 2021–08 |
| URL: | http://d.repec.org/n?u=RePEc:npf:wpaper:21/341&r= |