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on Environmental Economics |
| By: | Vanessa OLTRA (GREThA); Maïder SAINT JEAN (GREThA) |
| Keywords: | Environmental innovations; technological regime; technological paradigm; environmental regulation; automotive industry; green chemistry |
| JEL: | Q55 O31 L62 L65 |
| Date: | 2007 |
| URL: | http://d.repec.org/n?u=RePEc:grt:wpegrt:2007-14&r=env |
| By: | Natacha Raffin (Centre d'Economie de la Sorbonne); Katheline Schubert (Centre d'Economie de la Sorbonne) |
| Abstract: | Simultaneity between commitment periods (2008-2012) of both International and European Emissions Trading schemes may generate distortions in terms of burden distribution among sectors. There will be two levels of trading (a country and an entity level), which both need to be consistent with one another, despite of their different designs. To reach international targets, European governments will adopt an additional policy. It consists in implementing a tax on emissions of non-covered sectors. The tax rates depend on the effort realized within the European market. We propose a modeling of this two-level environmental policy, focusing on the levels of tax rates in each case of linkage. We obtain empirical estimations of the efforts that could be demanded to non-covered sectors and of the price(s) of carbon. |
| Keywords: | Kyoto Protocol, EU-ETS, co-existence of domestic and international emissions trading systems, carbon price, environmental policy. |
| JEL: | Q53 Q58 Q28 |
| Date: | 2007–07 |
| URL: | http://d.repec.org/n?u=RePEc:mse:cesdoc:v07040&r=env |
| By: | Sonja Peterson; Gernot Klepper |
| Abstract: | The policy instruments for emissions reductions will be an integral part of a Post Kyoto Climate Regime. In this paper we compare a harmonized international carbon tax to a cap and trade system with different allocation rules for the emission caps. The caps are based either on the requirement for equal percentage reductions in all countries or the “contraction and convergence” proposal that leads to converging per capita emission rights. The quantitative analysis is based on simulations with the CGE model DART. The harmonized carbon tax tends to favor industrialized countries but is less favorable to developing countries. The welfare effects of a cap and trade system depend crucially on the allocation rule for emission rights. The “contraction and convergence” approach leads to welfare gains for countries like China, India and Subsaharan Africa whereas it imposes welfare losses upon industrialized countries which are larger than those under other cap and trade schemes or a tax scenario. Independent from the allocation rule that is used regions exporting fossil fuels experience strong welfare losses from the reduction in the demand for fossil fuels and the fall in prices that results from the imposition of the international climate policies. |
| Keywords: | Post Kyoto, emission targets, emission trading, taxes, distribution |
| JEL: | H22 H23 H87 D58 Q48 Q52 |
| Date: | 2007–09 |
| URL: | http://d.repec.org/n?u=RePEc:kie:kieliw:1380&r=env |
| By: | James Bushnell; Carla Peterman; Catherine Wolfram |
| Abstract: | This paper considers the efficiency of various types of environmental regulations when they are applied locally to pollutants whose damages extend outside the jurisdiction of the local regulator. We draw on examples from state- and city-level efforts to address climate change by enacting policies to reduce greenhouse gases. While previous work has noted the possibility for leakage, whereby the polluting sources move outside the jurisdiction of the regulation in order to escape it, we note an additional problem when policies are targeted downstream at consumers of goods whose production creates pollution. Specifically, we show how consumer-based policies can be circumvented by a simple reshuffling of who is buying from whom. We argue that the leakage and reshuffling problems are most pronounced with more flexible or market-based regulations. We conclude that localities may have the most effect on global pollutants when they enact efficiency standards or targeted subsidies. |
| JEL: | Q48 Q54 |
| Date: | 2007–10 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:13472&r=env |
| By: | Claudia Kemfert |
| Abstract: | The Kyoto Protocol is one first important step towards a global greenhouse gas emissions reduction strategy. In order to avoid irreversible climate changes and huge economic damage, not just some but all of the responsible nations should agree on a joint proposal to reduce emissions. Sharing the burden fairly would mean that those nations with high emissions per capita should reduce them more than countries with low emissions per capita. However, a fair burden sharing should also take into account early action and economic and social conditions. Most of the countries, especially those with high economic growth, fear large economic losses if emissions reduction targets are very high. Especially fast-growing nations such as China and India suspect negative consequences if climate policy takes a dominant role. The post-Kyoto negotiations can only be successful if flexibility of targets and instruments is considered. The next UN climate conference, at the end of 2007 in Bali, is an important starting point for a so-called "Bali Convention". This convention should take into account different emissions reduction options and flexible emissions reduction targets. Germany's Chancellor Merkel supports a world per capita emissions target; Europe should find soon a fair burden sharing between the EU member states and start negotiations with 30 % emissions reduction in order to make clear how serious EU is to reduce emissions. The APEC nations favour an energy intensity reduction target. The emissions intensity of a nation can be reduced if CO2-free technologies are widely applied. Nations with a large share of CO2 emissions resulting from high fossil-fuel usage or high methane emissions from energy production or agriculture usually favour flexible indexed targets. The "Bali Convention" should define such flexible targets to take into account national conditions and visions. It is most important that countries agree on binding targets, either concrete emissions reduction targets or indexed targets such as emissions intensity or per capita emissions. The key to success is flexibility of targets and instruments. |
| Date: | 2007 |
| URL: | http://d.repec.org/n?u=RePEc:diw:diwwpp:dp729&r=env |
| By: | Schulkin, J.Z.; Hobbs, B.F.; Pang, J. |
| Abstract: | A question in the design of carbon dioxide trading systems is how allowances are to be initially allocated: by auction, by giving away fixed amounts, or by allocating based on output, fuel, or other decisions. The latter system can bias investment, operations, and pricing decisions, and increase costs relative to other systems. A nonlinear complementarity model is used to investigate long-run equilibria that would result under alternative systems for power markets characterized by time varying demand and multiple generation technologies. Existence of equilibria is shown under mild conditions. Solutions show that allocating allowances to new capacity based on fuel use or generator type can distort generation mixes, invert the operating order of power plants, and inflate consumer costs. The distortions can be smaller for tighter CO2 restrictions, and are somewhat mitigated if there are also electricity capacity markets or minimum-run restrictions on coal plants. Key words: Emissions trading, allowance allocations, electricity, air pollution, auction, grandfathering, cost-effectiveness, greenhouse gases, climate change, global warming, carbon dioxide, generation investment. |
| JEL: | C61 L94 Q4 Q53 |
| Date: | 2007–09 |
| URL: | http://d.repec.org/n?u=RePEc:cam:camdae:0748&r=env |
| By: | James Roumasset (Department of Economics, University of Hawaii at Manoa); Kimberly Burnett (Department of Economics, University of Puget Sound); Hua Wang (World Bank) |
| Abstract: | A central pillar of the sustainability movement is the call to include environmental accounting in standard measures of economic performance. This increased transparency would, in principle, mitigate the temptation of economic managers and policy makers to increase growth in material consumption at the expense of the environment. Moreover, as Repetto (1989) and others have argued, deducting depreciation of produced capital from NNP but not deducting depreciation of natural capital is inconsistent and debases NNP as a possible indicator of welfare. Based on the evidence available, it appears that while GNNP is substantially less than NNP, these adjustments do not adversely compromise existing estimates of economic growth for China. |
| Keywords: | sustainable development, China, genuine saving, SOx, NOx, TSP, resource depletion, natural capital, Environmental Kuznets Curve, green net national product |
| JEL: | O13 Q01 Q2 Q3 Q4 Q5 |
| Date: | 2007–09–23 |
| URL: | http://d.repec.org/n?u=RePEc:hai:wpaper:200723&r=env |
| By: | Hans-Werner Sinn |
| Abstract: | Judged by the principle of intertemporal Pareto optimality, insecure property rights and the greenhouse effect both imply overly rapid extraction of fossil carbon resources. A gradual expansion of demand-reducing public policies -- such as increasing ad-valorem taxes on carbon consumption or increasing subsidies for replacement technologies -- may exacerbate the problem as it gives resource owners the incentive to avoid future price reductions by anticipating their sales. Useful policies instead involve sequestration, afforestation, stabilization of property rights and emissions trading. Among the public finance measures, constant unit carbon taxes and source taxes on capital income for resource owners stand out. |
| JEL: | H23 O13 Q32 Q54 |
| Date: | 2007–09 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:13454&r=env |
| By: | Högberg, Martina (Swedish Energy Agency) |
| Abstract: | To elicit the value that car consumers place upon environmental concerns when purchasing a car, a certain type of Discrete Choice Modelling called Choice Experiment was used. The Choice Experiment includes the four car attributes safety, carbon dioxide emissions, acceleration and annual cost. The survey was sent to a random sample of 1500 people in Sweden between 25 and 50 years of age in October 2006. The data collected was incorporated in a binomial logit model from which the coefficients of the utility function for cars were estimated. Both the estimated values of Willingness to Pay and the Marginal Rates of Substitution gave indications that the private goods safety and acceleration are higher valued than a genuine public bad such as carbon dioxide emissions. The result also showed that the design of the Choice Experiment can have impact on the values obtained. |
| Keywords: | Willingness to Pay; Discrete Choice Experiment; Environmental Valuation |
| JEL: | C42 Q50 |
| Date: | 2007–09–27 |
| URL: | http://d.repec.org/n?u=RePEc:hhs:vtiwps:2007_013&r=env |
| By: | Olivier Deschênes; Michael Greenstone |
| Abstract: | This paper produces the first large-scale estimates of the US health related welfare costs due to climate change. Using the presumably random year-to-year variation in temperature and two state of the art climate models, the analysis suggests that under a "business as usual" scenario, climate change will lead to an increase in the overall us annual mortality rate ranging from 0.5% to 1.7% by the end of the 21st century. These overall estimates are statistically indistinguishable from zero, although there is evidence of statistically significant increases in mortality rates for some subpopulations, particularly infants. As the canonical Becker-Grossman health production function model highlights, the full welfare impact will be reflected in health outcomes and increased consumption of goods that preserve individuals' health. Individuals' likely first compensatory response is increased us of air conditioning; the analysis indicates that climate change would increase US annual residential energy consumption by a statistically significant 15% to 30% ($15 to $35 billion in 2006 dollars) at the end of the century. It seems reasonable to assume that the mortality impacts would be larger without the increased energy consumption. Further, the estimated mortality and energy impacts likely overstate the long-run impacts on these outcomes, since individuals can engage in a wider set of adaptations in the longer run to mitigate costs. Overall, the analysis suggests that the health related welfare costs of higher temperatures due to climate change are likely to be quite modest in the US. |
| Date: | 2007–06 |
| URL: | http://d.repec.org/n?u=RePEc:mee:wpaper:0707&r=env |
| By: | Stefan Ambec; Paul Lanoie |
| Abstract: | The conventional wisdom about environmental protection is that it comes at an additional cost on firms imposed by the government, which may erode their global competitiveness. However, during the last decade, this paradigm has been challenged by a number of analysts. In particular, Porter (Porter, 1991; Porter and van der Linde, 1995) argues that pollution is often associated with a waste of resources (material, energy, etc.), and that more stringent environmental policies can stimulate innovations that may compensate for the costs of complying with these policies. This is known as the Porter hypothesis. In fact, there are many ways through which improving the environmental performance of a company can lead to a better economic or financial performance, and not necessarily to an increase in cost. To be systematic, it is important to look at both sides of the balance sheet. <p> First, a better environmental performance can lead to an increase in revenues through the following channels: i) a better access to certain markets; ii) the possibility to differentiate products and iii) the possibility to sell pollution-control technology. Second, a better environmental performance can lead to cost reductions in the following categories: iv) regulatory cost; v) cost of material, energy and services (this refers mainly to the Porter hypothesis); vi) cost of capital, and vii) cost of labour. <p> Although these different possibilities have been identified from a conceptual or theoretical point of view for some time (Reinhardt, 2000; Lankoski, 2000, 2006), to our knowledge, there was no systematic effort to provide empirical evidences supporting the existence of these opportunities and assessing their “magnitude”. This is the objective of this paper. For each of the seven possibilities identified above [i) through vii)], we present the mechanisms involved, a systematic view of the empirical evidence available, and a discussion of the gaps in the empirical literature. The objective of the paper is not to show that a reduction of pollution is always accompanied by a better financial performance, it is rather to argue that the expenses incurred to reduce pollution can sometime be partly or completely compensated by gains made elsewhere. Through a systematic examination of all the possibilities, we also want to identify the circumstances most likely to lead to a “win-win” situation, i.e., better environmental and financial performance. <P>La vision traditionnelle au sujet de la réglementation de l’environnement est qu'elle représente un coût additionnel pour des firmes, ce qui peut éroder leur compétitivité globale. Cependant, pendant la dernière décennie, ce paradigme a été remis en cause par un certain nombre d'analystes. En particulier, Porter (Porter, 1991, Porter et van der Linde, 1995) argue du fait que la pollution est souvent associée à un gaspillage des ressources (matériel, énergie, etc.), et que des politiques environnementales plus strictes peuvent stimuler les innovations, ce qui peut compenser les coûts entraînés par ces politiques. Ceci est connu comme l’hypothèse de Porter. En fait, il existe plusieurs raisons pour lesquelles l'amélioration de la performance environnementale d'une firme peut s’accompagner d’une meilleure performance économique ou financière, et pas nécessairement d’une augmentation de coût. Pour être systématique, il est important de regarder les deux côtés de l’état des produits et des charges. <p> Tout d’abord, une meilleure performance environnementale peut mener à une augmentation des revenus par les canaux suivants : i) un meilleur accès à certains marchés, ii) la possibilité de différencier des produits et iii) la possibilité de vendre la technologie de dépollution. En second lieu, une meilleure performance environnementale peut mener à des réductions de coûts dans les catégories suivantes : iv) coût réglementaire, v) coût en ressources, énergie et services (ceci se réfère principalement à l'hypothèse de Porter), vi) coût en capitaux, et vii) coût du travail. <p> Bien que ces différentes possibilités aient été identifiées d'un point de vue conceptuel ou théorique depuis un certain temps (Reinhardt, 2000 ; Lankoski, 2000, 2006), à notre connaissance, aucun effort systématique n’a été fait pour fournir des évidences empiriques soutenant l'existence de ces opportunités et évaluant leur importance. C'est l'objectif de cet article. Pour chacune des sept possibilités identifiées ci-dessus [de i) à vii)], nous présentons les mécanismes impliqués, une description des évidences empiriques disponibles, et une discussion des lacunes de la littérature empirique. L'objectif du texte n'est pas de prouver qu'une réduction de pollution est toujours accompagnée d'une meilleure performance financière, il est plutôt de montrer que les coûts encourus pour réduire la pollution peuvent parfois être compensés, en partie ou complètement, par des gains effectués ailleurs. Par un examen systématique de toutes possibilités, nous voulons également identifier les circonstances pouvant mener à une situation « gagnant-gagnant », c’est-à-dire, une meilleure performance environnementale et financière. |
| Keywords: | environmental performance, environmental regulation, environmental innovation, capital cost, Porter hypothesis., performance environnementale, réglementation environnementale, innovation environnementale, coût du capital, hypothèse de Porter. |
| Date: | 2007–09–01 |
| URL: | http://d.repec.org/n?u=RePEc:cir:cirwor:2007s-20&r=env |
| By: | Yael Meroz (University of Foggia); Andrea Morone (University of Bari); Piergiuseppe Morone (University of Foggia) |
| Abstract: | In this paper we aim - through an 'experimentally-adapted' Contingent Valuation survey - to look into the attributes of Ghanaians' willingness-to-pay for green products. This would help us addressing two main issues: first, from a theoretical point of view, we shall assess whether Ghanaians show a preference towards environmental goods - hence, countering the 'too poor to be green' argument. Secondly, from a methodological point of view, we shall try to see if the incentive compatible CV analysis provides a good measurement of subjects' willingness-to-pay for environmental premium. Our investigation provides an answer to both issues, showing how using an incentive compatible experiment produces, in the case of Ghana, reliable results and that Ghanaians consistently show that they are willing to pay an extra premium for green products. |
| Keywords: | contingent valuation, experiment, incentive-compatible, Ghana, organic products, willingness to pay. |
| JEL: | C9 Q5 |
| Date: | 2007–09–25 |
| URL: | http://d.repec.org/n?u=RePEc:jrp:jrpwrp:2007-071&r=env |
| By: | Ordás Criado, Carlos |
| Abstract: | Although panel data have been used intensively by a wealth of studies investigating the GDP-pollution relationship, the poolability assumption used to model these data is almost never addressed. This paper applies a strategy to test the poolability assumption with methods robust to functional misspecification. Nonparametric poolability tests are performed to check the temporal and spatial homogeneity of the panel and their results are compared with the conventional F-tests for a balanced panel of 48 Spanish provinces on four air pollutant emissions (CH4, CO, CO2 and NMVOC) over the 1990-2002 period. We show that temporal homogeneity may allow the pooling of the data and drive to well-defined nonparametric and parametric cross-sectional U-inverted shapes for all air pollutants. However, the presence of spatial heterogeneity makes this shape compatible with different timeseries patterns in every province - mainly increasing or decreasing depending on the pollutant. These results highlight the extreme sensitivity of the income-pollution relationship to region- or country-specific factors. |
| Keywords: | Environmental Kuznets Curve; Air pollutants; Non/Semiparametric estimations; Poolability tests |
| JEL: | C23 Q53 C14 O40 |
| Date: | 2007–08–31 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:5043&r=env |
| By: | Paul Lanoie; Jérémy Laurent-Lucchetti; Nick Johnstone; Stefan Ambec |
| Abstract: | Jaffe and Palmer (1997) present three distinct variants of the so-called Porter Hypothesis. The “weak” version of the hypothesis posits that environmental regulation will stimulate certain kinds of environmental innovations. The “narrow” version of the hypothesis asserts that flexible environmental policy regimes give firms greater incentive to innovate than prescriptive regulations, such as technology-based standards. Finally, the “strong” version posits that properly designed regulation may induce cost-saving innovation that more than compensates for the cost of compliance. In this paper, we test the significance of these different variants of the Porter Hypothesis using data on the four main elements of the hypothesised causality chain (environmental policy, research and development, environmental performance and commercial performance). The analysis is based upon a unique database which includes observations from approximately 4200 facilities in seven OECD countries. In general, we find strong support for the “weak” version, qualified support for the “narrow” version, and qualified support for the “strong” version as well. <P>Jaffe et Palmer (1997) présentent trois variantes distinctes de l’hypothèse de Porter. La version « faible » de l'hypothèse suppose que la réglementation environnementale stimulera l’apparition d’innovations dans le domaine de l’environnement. La version « étroite » de l'hypothèse affirme que les réglementations environnementales flexibles donnent aux firmes une plus grande incitation pour innover que les réglementations rigides, telles que les normes prescrivant une technologie pour une industrie donnée. Enfin, la version « forte » pose qu’une réglementation correctement conçue peut induire davantage de gains en termes d’innovation que de coûts pour se conformer à la règle. Dans cet article, nous examinons la portée de ces différentes variantes de l'hypothèse de Porter en utilisant des données sur les quatre principaux éléments de la chaîne présumée de causalité (politique environnementale, recherche et développement, performance environnementale et performance commerciale). L'analyse est fondée sur une base de données unique qui inclut des observations d'approximativement 4200 établissements dans sept pays de l’OCDE. Nos résultats supportent fortement la version « faible », mais de façon plus mitigée les versions « étroite » et « forte ». |
| Keywords: | Porter hypothesis, environmental policy, innovation, environmental performance, business performance., hypothèse de Porter, politique environnementale, innovation, performance environnementale, performance financière. |
| JEL: | L21 M14 Q52 Q55 Q58 |
| Date: | 2007–09–01 |
| URL: | http://d.repec.org/n?u=RePEc:cir:cirwor:2007s-19&r=env |
| By: | Breton, Albert; Scott, Anthony; Fraschini, Angela |
| Abstract: | The objective of the paper is to formulate a hypothesis that can help explain the different patterns of environmental governance in three countries: Canada and the United States (both federal states) and Italy (a decentralized unitary state). To that effect, we will make use of what is a robust theory of the assignment of powers in federal and decentralized unitary states on the role of competition as a driving force in shaping these assignments. The differing patterns of environmental governance we wish to explain are that most environmental policies are enacted and implemented by the national government in the United States, by provincial governments in Canada, and by both national and regional governments in Italy. |
| JEL: | H O57 Q5 |
| Date: | 2007–09 |
| URL: | http://d.repec.org/n?u=RePEc:uca:ucapdv:87&r=env |
| By: | Jennifer Lee |
| Date: | 2007–10–03 |
| URL: | http://d.repec.org/n?u=RePEc:wiw:wiwneu:neurusp110&r=env |
| By: | Romain H. Lacombe; John E. Parsons |
| Abstract: | This paper provides an overview of the current status of development of the Canadian oil sands industry, and considers possible paths of further development. We outline the key technology alternatives, critical resource inputs and environmental challenges and stgrategic options both at the company and government level. We develop a model to calculate the supply cost of bitumen and synthetic crude oil using the key technologies. Using the model we evaluate the sensitivity of the supply costs to the critical model inputs. |
| Date: | 2007–06 |
| URL: | http://d.repec.org/n?u=RePEc:mee:wpaper:0706&r=env |
| By: | Arguedas, Carmen (Departamento de Análisis Económico (Teoría e Historia Económica). Universidad Autónoma de Madrid.) |
| Abstract: | In this paper, we characterize optimal regulatory policies composed of pollution standards, probabilities of inspection and fines for non-compliance, in a context where both monitoring and sanctioning are socially costly, and penalties may include gravity and non-gravity components at the regulator's discretion. The optimal policy entails compliance with the standards as long as a quite intuitive condition is met. Non-compliant policies may include standards even below the pollution levels that minimize the sum of abatement costs and external damages. Interestingly, the appropriate structure of penalties under non-compliance is highly progressive, while the best possible shape of the fines under compliance is linear only if non-gravity sanctions are not allowed. |
| Keywords: | standards; monitoring; convex fines; non-compliance; non-gravity sanctions |
| JEL: | K32 K42 L51 Q28 |
| Date: | 2007–09 |
| URL: | http://d.repec.org/n?u=RePEc:uam:wpaper:200713&r=env |
| By: | Stephen Ansolabehere |
| Abstract: | The prospects of global warming and potential shortages of oil have brought energy back to the forefront of the list of national, indeed, global, problems that governments, corporations and society must address. In 2002, as part the MIT study on The Future of Nuclear Power, the first MIT Energy survey considered public attitudes toward nuclear power in light of other sources of electric power. That survey found that the two key drivers behind public preferences about energy sources are general environmental harm and cost of electricity. In February, 2007, I replicated the energy survey. What has changed over the last five years is a noticeable decline in the popularity of oil and a noticeable but quite modest increase in support for nuclear power. Oil has lost much of its luster. Americans now strongly wish to reduce the use of oil, and they view this energy source less favorably than any other source of power. Coal, seen as moderately priced but very harmful to the environment, also remains quite unpopular. Nuclear power, five years ago, was viewed similarly badly. It now seems to have gained support and is approaching natural gas in terms of favorability. |
| Date: | 2007–03 |
| URL: | http://d.repec.org/n?u=RePEc:mee:wpaper:0702&r=env |
| By: | Hans-Werner Sinn |
| Abstract: | This note generalizes the Solow-Stiglitz efficiency condition for natural resources to the problem of fossil fuel extraction with a greenhouse effect. The generalized optimality condition suggests that the greenhouse effect implies overextraction in the sense of leaving future generations a wrongly composed wealth portfolio with too few natural resources relative to man-made capital. This judgment is independent of society's ethical preferences concerning the well-being of future generations. |
| JEL: | O13 Q32 Q54 |
| Date: | 2007–09 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:13453&r=env |
| By: | Katherine C. Martin; Paul L. Joskow; A. Denny Ellerman |
| Abstract: | Due to variations in weather and atmospheric chemistry, the timing and location of nitrogen oxide (NOX) reductions determine their effectiveness in reducing ground-level ozone, which adversely impacts human health. Electric generating plants are the primary stationary sources of NOX in most regions of the United States. In the Eastern U.S. they are subject to a summertime NOX cap and trade program that is not well matched to the time and locational impacts of NOX on ozone formation. We hypothesize that the integration of weather and atmospheric chemistry forecasting, a cap and trade system in which the “exchange rates” for permits can be varied by time and location based on these forecasts, and its application to a competitive wholesale electricity market, can achieve ozone standards more efficiently. To demonstrate the potential for reductions in NOX emissions in the short run, we simulate the magnitude of NOX reductions that can be achieved at various locations and times as a consequence of redispatch of generating units in the “classic” PJM region taking supply-demand balance constraints and network congestion into account. We report simulations using both a zonal model and an optimal power flow model. We also estimate the relationship between the level NOX emission prices, competitive market responses to different levels of NOX prices, and the associated reductions in NOx emissions. The estimated maximum potential reductions, which occur at NOX prices of about $125,000/ton, are about 8 tons (20%) hourly in peak electricity demand hours and about 10 tons (50%) in average demand hours. We find that network constraints have little effect on the magnitude of the reductions in NOX emissions. |
| Date: | 2007–04 |
| URL: | http://d.repec.org/n?u=RePEc:mee:wpaper:0704&r=env |
| By: | Trommetter, M. |
| Abstract: | In this paper I discuss the fact that economists define optimal IP rights as a continuum of options in three dimensions: height, breadth and length. At the operational level we see the impossibility of multiplying rights indefinitely (due to prohibitive transaction costs), as well as the use of a limited number of IP tools which have led to the implementation of flexibilities. These flexibilities are designed to limit certain perverse effects of rights ill-adjusted to the characteristics of some economic sectors (agricultural biotechnologies, pharmacy, etc.). In this context, I analyse how these flexibilities are implemented in TRIPS and TRIPS+ agreements and I study the consequences for Developing Countries. |
| Keywords: | TRIPS;INTELLECTUAL PROPERTY RIGHTS;PATENT;AGRICULTURE;INNOVATION |
| JEL: | K11 O31 L65 |
| Date: | 2007 |
| URL: | http://d.repec.org/n?u=RePEc:gbl:wpaper:200708&r=env |
| By: | M.A. de Figueiredo; H.J. Herzog; P.L. Joskow; K.A. Oye; D.M. Reiner |
| Abstract: | This essay examines several legal, regulatory and organizational issues that need to be addressed to create an effective regulatory regime for carbon dioxide capture and storage (“CCS”). Legal, regulatory, and organizational issues will need to be resolved for the industrial organization of CO2 transportation and storage, storage safety and integrity issues, and liability. Although there are some gaps in the current regulatory system as applied to CCS, we find that many of the currently identifiable issues have been successfully resolved in other contexts. |
| Date: | 2007–04 |
| URL: | http://d.repec.org/n?u=RePEc:mee:wpaper:0703&r=env |
| By: | Jefferson Lorencini Gazoni; José Aroudo Mota; Iara Lúcia Gomes Brasileiro; Alexandre X. Ywata de Carvalho |
| Abstract: | This study elaborates a psychographics profile of the tourists visiting the Itaúnas State Park (Parque Estadual de Itaúnas), Espirito Santo, Brazil, and estimates the recreative use economic value for the Park, using a psychographics approach of the Travel Cost Method (TCM). It was observed that tourists in the same psychographics profile demand similar transformations, while there was a noticeable difference between tourists in different profiles. The alocentrics and near-alocentrics visitors demand a more natural environment, while the other profiles demand more transformations. The Itaúnas State Park receives close to 215 thousands visitors per year. The annual benefits generated to the universe of visitors was estimated in R$ 32.758.992,03 and the economic value of the Park recreative utility was R$ 116.010.963,30 per year. The results suggested the possibility to manage not only the overall number of visitors, but also the different demands for new facilities/improvements. Therefore, it may be possible to intervene conscientiously in the pace and types of local transformations by effective demand management. |
| Date: | 2006–11 |
| URL: | http://d.repec.org/n?u=RePEc:ipe:ipetds:1238&r=env |