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on Environmental Economics |
| By: | Kragt, Marit E. |
| Abstract: | Management of water resources needs to jointly consider the multiple, interdependent, uses of water. Decision support tools that aim to assist efficient integrated water resources management should integrate the environmental and socio-economic systems affected by changes in resource allocation. There exist, however, few models that assess the trade-offs between environmental and economic impacts of water management changes in an integrated framework. This paper presents a hydro-economic model that integrates hydrological and ecological systems with economic costs and nonmarket benefits in a Bayesian Network modelling framework. A suite of different modelling tools were used to assess the biophysical and economic impacts of catchment management scenarios, for a case study in Tasmania, Australia. The Bayesian Network provides a flexible modelling approach to incorporate different types of data and had the advantage of explicitly accounting for accumulated uncertainty in information. |
| Keywords: | Integrated Modelling, Uncertainty, Nonmarket Valuation, Choice Experiments, Integrated Water Resource Management, Hydrological Modelling, Hydro-ecological modelling, Environmental Economics and Policy, Land Economics/Use, C69, Q20, Q51, Q57, |
| Date: | 2013–07–19 |
| URL: | http://d.repec.org/n?u=RePEc:ags:uwauwp:153334&r=env |
| By: | Cheryll C. Launio (Socioeconomics Division, Philippine Rice Research Institute); Constancio A. Asis, Jr. (Socioeconomics Division, Philippine Rice Research Institute); Rowena G. Manalili (Socioeconomics Division, Philippine Rice Research Institute); Evelyn F. Javier (Socioeconomics Division, Philippine Rice Research Institute) |
| Abstract: | The negative effects of open-field rice straw burning on the environment and human health are well documented in local and international literature. Farmers have thus been encouraged to refrain from burning rice straw and adopt more environment- and human-friendly rice straw management practices. This research project aimed at assessing the environmental consequences of rice straw burning and other straw management practices in terms of greenhouse gas (GHG) emissions, and evaluating the cost-effectiveness and adoption of selected rice straw management alternatives. The study evaluated emissions of methane (CH4) and nitrous oxide (N2O) gases only since carbon dioxide (CO2) emissions from rice cultivation and associated practices are assumed to be reabsorbed during the next growing season. Given the average yield and total rice area of the country by season and ecosystem, and the current use of rice straw based on our survey of farmers, rice stubble and straw contribution to CH4 and N2O emissions in paddy fields is around 16 M tons carbon dioxide equivalent 1 (CO2-eq) in the base year. Incorporating stubble less than 30 days before crop establishment appears to be the largest contributor, accounting only for the current year. On a per hectare-basis and considering a time horizon of five years with associated assumptions on cost savings and secondary benefits, incorporating stubble more than 30 days before crop establishment, and incorporating composted rice straw in the field yielded the lowest cumulative CH4 and N2O emissions. The most cost-effective option for farmers is to incorporate stubble and straw in the soil more than 30 days before crop establishment. Rapid straw composting and incorporation of rice straw compost entails much higher additional cost but it also significantly mitigates GHG emission, hence it is the next most cost-effective option. Incorporating rice stubble and straw less than a month before crop establishment, on the other hand, appears to result in a net increase in ton CO2-eq given the assumed time horizon. Literature points to the potential of rice straw as raw material for power generation and bioethanol production and the corresponding reduction in GHG emissions, but this study has not evaluated the cost-effectiveness of these options, hence, this is recommended for further study. The estimated GHG emissions are generally indicative and the economic analysis must be interpreted in relative terms. Further study on water management and tillage options as mitigation options is recommended for a broader perspective useful for farmers, policy-makers and other rice stakeholders. A mix of socio-economic, farm, and awareness and attitude variables determine why farmers choose to burn, incorporate, or remove rice straw. Training on rice production for farmers, increasing the demand for rice straw for other uses, developing options for reducing the cost of collection and transportation of rice straw, and intensifying information campaigns and drives regarding environmental regulations and policies are recommended. |
| Keywords: | pollution, waste, Philippines |
| Date: | 2013–03 |
| URL: | http://d.repec.org/n?u=RePEc:eep:report:rr2013031&r=env |
| By: | Margaret M Calderon (College of Forestry and Natural Resources, University of The Philippines, Los Banos); Nathaniel T. Bantayan (College of Forestry and Natural Resources, University of The Philippines, Los Banos; College of Forestry and Natural Resources, University of The Philippines, Los Banos; College of Forestry and Natural Resources, University of The Philippines, Los Banos) |
| Abstract: | The project explored the potentials of a forestry carbon project for an indigenous cultural community in the Philippines. Specifically, it assessed the global potential of forestry carbon finance; reviewed the legal and policy environments of forestry carbon projects in the Philippines; and evaluated the feasibility of a forestry carbon project in an Ayta community. The literature indicates the great potential of forestry carbon projects in both the global and local markets. In the Philippines, two such projects have passed the voluntary carbon market standard, and there are efforts to develop projects under the National REDD+ Strategy. The Philippines is committed to addressing climate change, as evidenced by its signing the ratification of the United Nations Framework Convention on Climate Change and the Kyoto Protocol, and the enactment of Republic Act 9729, otherwise known as the Climate Change Act of 2009. The results of the feasibility analysis reveal that developing a forestry carbon project for the Magbukún Ayta of Kanawan, Morong, Bataan is technically and financially feasible. The projected carbon loss in the ancestral domain due to possible deforestation in the old growth forest is a lot higher than expanding second growth forests and brushlands, thus creating an excellent opportunity for the community to be engaged in a forestry carbon project. The net present value (NPV) and internal rate of return (IRR) at the most conservative conditions (i.e., high scenario, price of USD 5/ton CO2, and 20% discount rate) are PhP 170.271 million and 40 %, respectively, which show that the forestry carbon project is financially viable. The Magbukún Ayta have also expressed in a resolution that they are amenable to the possibility of being involved in a payment for ecosystem services (PES) project, specifically on the carbon sequestration potential of their forests, making the forestry carbon project socially acceptable. It is therefore recommended that the potential of developing a forestry carbon project for the Magbukún Ayta be pursued. |
| Keywords: | forest, Philippines |
| Date: | 2013–01 |
| URL: | http://d.repec.org/n?u=RePEc:eep:report:rr2013011&r=env |
| By: | Mao Xianqiang (Institute of Environmental Sciences, Beijing Normal University); Yang Shuqian (Institute of Environmental Sciences, Beijing Normal University); Liu Qin (Institute of Environmental Sciences, Beijing Normal University) |
| Abstract: | The transportation sector in China has joined the power generation and the steel and iron industries as a major CO2emission contributor. To determine which policy instrument(s) would be effective in reducing CO2emissions, various policy instruments which have been or are likely to be implemented in the near future in China are examined and compared in this study. These instruments include carbon tax, energy tax, fuel tax, clean energy vehicle subsidy, and a reduction on ticket prices. The CIMS model system is employed as the simulation vehicle to predict the emission dynamics of CO2and local air pollutants under business-as-usual and policy scenarios for the transportation sector of China from 2008 to 2050. The 2020 CO2 reduction target is also set according to the national carbon intensity reduction pledge of China. The policy instruments proposed in this research study can all help mitigate the CO2emission intensity of the Chinese transportation industry to different extents and bring about the co- benefits of local air pollutant reduction. Among these policy instruments,energy and fuel taxes, with the tax rates set, are the two most promising instruments for CO2emission intensity reduction to reach the 2020 carbon intensity reduction targets while subsidies are the least promising options. CO2tax could be an effective policy tool, but with the low tax rate considered in China, there is no way that the transportation sector would significantly contribute to achieving a desirable carbon intensity reduction. The CIMS model is applied to simulate and determine how CO2, energy, and fuel taxation can stimulate technology competition and substitution in the transportation sector of China and to ascertain how these taxes will influence energy consumption and pollutant emissions reduction. |
| Keywords: | pollution, CO2 emission, China |
| Date: | 2013–03 |
| URL: | http://d.repec.org/n?u=RePEc:eep:report:rr2013036&r=env |
| By: | Zanxin Wang (School of Development Studies, Yunnan University); Jin Wan (School of Development Studies, Yunnan University) |
| Abstract: | The excessive growth of water hyacinth is a common environmental problem in tropical regions. The use of water hyacinth to remove nutrients from bodies of water and to produce biogas is a technically feasible way of controlling water hyacinth, but its environmental and economic performance are not well understood. This study collected data from an experimental biogas plant to develop a lifecycle analysis and a cost benefit analysis for the control of water hyacinth in Dianchi Lake, a eutrophic lake in China. A comparison was made between the proposed project and the current approach at Dianchi Lake of disposing of water hyacinth via collection and landfill. The results revealed that the proposed project is economically feasible with a desirable energy gain. The results also showed that the project is not financially feasible but, compared to the current landfill practice, the government would be able to spend less on controlling water hyacinth if they implemented the proposed project. The removal of water hyacinth to produce biogas can also contribute to water quality improvement and GHG emission reduction; however, these values depend on the scale of processing undertaken by the biogas plant. Since both the current approach and the proposed project can remove nutrients from bodies of water, the additional value resulting from the proposed project of an improvement in water quality only becomes possible when the processing scale of the biogas plant is greater than the amount of water hyacinth disposed of by landfill. The proposed project can avoid methane emissions when the processing scale is greater than the amount of water hyacinth currently disposed of via landfill. The internalization of GHG emission reduction alone is not sufficient to make the project financially feasible and therefore other sources of compensation are needed in order to promote the production of biogas from water hyacinth. The proposed project could be a potential microeconomic option, which could respond to China’s macro water pollution control policies, renewable energy development, and energy saving and emissions reduction. However, institutional arrangements are required to coordinate these diverse policies when they are applied to the proposed project. |
| Keywords: | pollution, waste, China |
| Date: | 2013–02 |
| URL: | http://d.repec.org/n?u=RePEc:eep:report:rr2013025&r=env |
| By: | Nathaniel T. Bantayan (College of Forestry and Natural Resources, University of The Philippines, Los Banos); Margaret M Calderon (College of Forestry and Natural Resources, University of The Philippines, Los Banos); Flocencia B. Pulhin (College of Forestry and Natural Resources, University of The Philippines, Los Banos); Canesio D. Predo (University of the Philippines Los Banos, Philippines); Rose Ann C. Baruga (College of Forestry and Natural Resources, University of The Philippines, Los Banos) |
| Abstract: | This study was conducted to evaluate the current management regime of burning vis-à-vis burning with carbon offsets for the Chocolate Hills Natural Monument (CHNM) in Bohol, Philippines. The current scheme of burning to maintain the grass-covered (tree-less) and brown hills to sustain tourist arrivals is seen as environmentally unsound and inconsistent with existing environmental laws. The study estimated the carbon loss from burning and compared the carbon loss value with the tourism income of the Chocolate Hills under the status quo with the end view of evaluating a carbon offset project as an alternative management scheme. A comparison of the benefits and costs of the status quo and the proposed management regime was conducted. Based on these assessments, policy recommendations were drawn up for consideration by the CHNM management. Historically, the hills of CHNM were burned for the grazing of animals. This made the hills’ landscape visually appealing and consequently attractive to tourists. However, when it was declared as a protected area (PA), burning of the hills was discouraged. Tree species, mostly indigenous, were allowed to grow in the hills characteristic of natural regeneration. This resulted to the loss of the unique hill landscape preferred by tourists. Such situation created a divide between the tourism office and the Protected Area Management Board (PAMB). The tourism office, managed by the local government of Carmen, wanted to maintain the hills bare for tourism, while the PAMB of CHNM is mandated to ensure compliance to environmental laws such as the ban on burning. This study evaluated the establishment of a carbon offset project to make up for the carbon loss if a certain number of hills were burned to maintain their tourism value. The vegetation and biomass analysis and the carbon study showed that an estimated 153 ha of forest should be established to offset the carbon emission due to the clearing of such hills. This means that the carbon offset project will require the establishment of one hectare of forest for every two hills cleared. The cost of forestation could be supported by income from tourism in a form and manner that directly involve the community. The study found that the present value of tourism income was very much higher than the cost of carbon emission due to burning. The study recommends that the PAMB consider establishing a carbon offset project to make the current management practice carbon neutral. |
| Keywords: | forest, Philippines |
| Date: | 2013–02 |
| URL: | http://d.repec.org/n?u=RePEc:eep:report:rr2013024&r=env |
| By: | Nguyen Thi Y Ly (Faculty of Economics, University of Agriculture and Forestry (UAF), Vietnam) |
| Abstract: | This study aims to assess the performance and the short-term impacts of the payment for forest environmental services (PFES) policy in Lam Dong Province, Vietnam. After a two-year pilot implementation (2009-2010), the Vietnam government plans to establish a national legal PFES framework. The paper describes the PFES pilot policy and how this pilot project is being implemented. The study focuses on the economic and environmental impacts of the pilot PFES. Economic effectiveness is estimated in terms of household annual income contribution, improved access to financial resources, and employment improvement. The environmental impact is assessed by proxy variables such as time spent conducting forest protection and conservation, amount of illegal logging, forest removed or burned, and farmers’ and local authorities’ awareness of environmental improvement. By applying the propensity score matching and difference in difference methods, the research found that PFES has contributed to increasing annual household income by about VND 3.9 million/ household per year. It has also generated positive effects on forest environmental services as well as improved the awareness of local farmers and authorities of the value of forests and the need for their protection. However, some problems remain and are associated with the following: forest environmental services have not been fully defined; participation is not completely voluntary; payment relies on a top-down mechanism; and the sustainability of the system is not assured. |
| Keywords: | forest, Vietnam |
| Date: | 2013–02 |
| URL: | http://d.repec.org/n?u=RePEc:eep:report:rr2013023&r=env |
| By: | Wu Dan (Peking University); Xie Xuxuan (Peking University) |
| Abstract: | China is experiencing severe complex air pollution and huge greenhouse gas (GHG) emissions as a result of its booming economy over the last 30 years. In order to control air pollution, multiple pollutants should be targeted simultaneously. To cope with current international climate change problems, GHG emissions reduction should be considered alongside air pollution control. In the past 30 years conventional air pollution control strategy in China has focused on controlling one pollutant over a period of time, followed by controlling another pollutant in the next period. However, total emissions reduction of a single pollutant does not proportionally improve urban ambient air quality. In this study, single pollutant control strategy (SPC) is defined as an air pollution control strategy that sets pollutant reduction targets one by one. Multiple pollutant control (MPC) is defined as a strategy that sets multiple pollutant reduction targets at the same time. Under SPC polluters choose control technologies with less flexibility, which can lead to higher costs compared to MPC. In this study we show the difference between SPC and MPC, focusing on the coal-fired electricity sector. Our results show that end-of-pipe technology schemes for coal-fired power plants under MPC are more cost-effective than SPC. At plant level, compared to SPC, MPC sacrifices 7% of SO2 removal but provides a 6% and 9% increase in NOX and Hg removal respectively, and costs less than SPC. At sector level, MPC sacrifices 2 million tonnes of SO2 reduction per year but improves PM reduction by 1 million tonnes and increases Hg reduction by 34.5 tonnes per year. These reductions cost 8 billion CNY per year less than SPC. If coal washing were to be added to 20% of the sector’s installed capacity, based on MPC, then more than10 million tonnes of SO2, 56 million tonnes of PM and 55 tonnes of Hg could be further reduced every year, with a total cost of6 billion CNY a year less than SPC. If PM and Hg cause more damage per unit than SO2, then MPC reduces more damage for the same cost or for a reduced total cost. Substituting small units with advanced coal combustion technologies under MPC has the advantage of controlling multiple pollutant emissions as early as possible, especially taking CO2 emissions control into account. Suggestions are given to support China’s pollution control strategy transition. Turning from a SPC strategy to a MPC strategy, the key elements of a pollution control scheme for China’s coal-fired power sector should be: high priority should be given to coal washing; the installation of end-of-pipe technologies should be compared with advanced coal combustion plants for plants of a regular or small size (300MW); plants which have not installed wet FGD should consider other desulfurization facilities because desulfurization facilities with better removal effects for other pollutants (except SO2) are of use; and regulation should be strengthened to ensure the technical performance of installed equipment rather than just pursuing a high installation ratio. |
| Keywords: | pollution, China |
| Date: | 2013–02 |
| URL: | http://d.repec.org/n?u=RePEc:eep:report:rr2013022&r=env |
| By: | Claudia Schwirplies (University of Kassel); Andreas Ziegler (University of Kassel) |
| Abstract: | SThis paper empirically analyzes the determinants of individual tourism-related adaptation to climate change, i.e. the stated choice of alternative travel destina-tions due to increasing temperatures in the future. By examining the tourism sector, our study investigates an industry which was not extensively considered in economic analyses of climate change so far in spite of its worldwide huge eco-nomic relevance and strong sensitivity to global warming. Our empirical analysis on the basis of unique representative data from 5370 German tourists first re-veals a non-negligible extent of tourism-related adaptation to climate change in the amount of more than 22% of the respondents. Our micro-econometric analysis with binary probit models implies strong positive effects of a high awareness of climate change effects, increasing age as indicator for vulnerability of climate change, as well as a high adaptive capacity (measured by disposable financial resources) on this type of adaptation. The estimation results suggest no single significant effect of a high educational level or a high level of information on ad-aptation to climate change, but a positive interaction effect (which was, in con-trast to former studies, estimated according to Ai and Norton 2003 and Norton et al. 2004). Our empirical results underline several challenges for the tourism in-dustry and policy makers in order to transform the tourism infrastructure and to diversify holiday offers. They additionally reveal important focus groups of tour-ists such as (the increasing group of) elderly persons who are crucial for the de-velopment of successful future product strategies in the tourism sector. |
| Keywords: | Climate change, adaptation, tourism, micro-econometric analysis |
| JEL: | Q54 Q58 |
| Date: | 2013 |
| URL: | http://d.repec.org/n?u=RePEc:mar:magkse:20134&r=env |
| By: | Wenli Cheng; Dingsheng Zhang; CEMA, Central University of Finance and Economics |
| Abstract: | This paper presents three simple models to study how prices, politics and persuasion may each play a role in environmental policymaking. Our conclusions are twofold. First, in the absence of increasing returns, requiring the polluting industry to purchase pollution permits can internalize the negative externality of pollution, and the optimal price of pollution permits should increase with the disutility of pollution. Second, with increasing returns in the industry using clean technologies, it is welfare enhancing to complement the pollution permits policy with a tax-funded subsidy to the clean industry, or with a tax-funded public campaign to persuade consumers to move away from the pollution generating goods. |
| Keywords: | pollution permits, increasing returns; advertising |
| JEL: | D83 H23 |
| Date: | 2013–07 |
| URL: | http://d.repec.org/n?u=RePEc:mos:moswps:2013-26&r=env |
| By: | Smita Shingrup |
| Abstract: | Environmental sustainability is not simply a matter of compliance or risk management. People are concerned about the environment and marketers have to begun to modify their practices in an attempt to attract consumer’s new concern. Marketers are increasingly recognizing that the many competitive advantages and business opportunities to be gained from Eco Sustainability and Green Marketing. Key words: Ecolabels, Green Marketing |
| Date: | 2013–06 |
| URL: | http://d.repec.org/n?u=RePEc:vor:issues:2013-6-14&r=env |
| By: | Parul Chotalia |
| Abstract: | In 1997, Kyoto Protocol, a voluntary treaty was signed by 141 countries to reduce the emissions of Global House Gases by 5.2% below 1990 levels by 2012. Certified Emissions Reductions (CER) or Carbon credits are certificates issued certifying reduction in emissions. The developing countries have been exempted from any such restrictions. These certificates can be traded in the market and purchased by firms which find purchasing emission credits to offset its emissions lower in cost. Thus an opportunity has emerged for firms in developing countries like India, Brazil and China to boost their earnings by complying with norms. However not all projects are eligible for registration under the Clean Development Mechanism (CDM) under the Kyoto Protocol. As a result a large number of advisory firms have spawned. In addition an entire market has been developed around the same. The key participants apart from the project developers are, including not limited to, verification, certification and financing institutions. In India this opportunity has manifold implications affecting not only industry but also government, financial institutions and civil society at large. Most importantly this has opened up a new source of cash flow in project financing making unviable projects viable by exceeding the hurdle rate for investment returns. Industry will need to adapt to the changing opportunity that it brings along i.e. higher return on investments along with risks that are inherent in carbon credit project financing. In my opinion, it will be pragmatic on part of firms to consider this mode of cash flows in project financing. Further this provides a strategic role for the countries to benefit from the cash flows that can be invested in cleaner technologies for sustainable development. Key words: Carbon credits, Emission, Certified Emissions Reductions (CER), Clean Development Mechanism (CDM) |
| Date: | 2013–06 |
| URL: | http://d.repec.org/n?u=RePEc:vor:issues:2013-6-15&r=env |
| By: | Blanco Orozco, Napoleon Vicente; Zuniga Gonzalez, Carlos Alberto |
| Abstract: | This paper is part of the Doctoral Program in Natural Sciences for Development Thesis in Costa Rica |
| Keywords: | WinDASI program, Biomass, Bio Economy, Oil fuel, Energy, Environmental Economics and Policy, Productivity Analysis, Research and Development/Tech Change/Emerging Technologies, Resource /Energy Economics and Policy, L:23, L:65, Q:16, Q :43, Q :51, |
| Date: | 2013–07–24 |
| URL: | http://d.repec.org/n?u=RePEc:ags:naunwp:153854&r=env |
| By: | Antonietti,Roberto; Marzucchi,Alberto |
| Abstract: | In this paper we empirically investigate the relationship between investments in environmentally-oriented equipment and firms’ export performance. Drawing on Porter hypothesis and firm heterogeneity theory, we adopt a structural model where first we estimate the impact of green investment strategies on the level of productive efficiency (TFP), and second we assess whether induced productivity influences the extensive and intensive margin of exports. Relying on a rich firm-level dataset on Italian manufacturing, our results show that firms with higher productivity, induced among other factors by green investment involving environmental protection and reduction in the use of raw materials, have increased commitment to, and profits from, exports, especially towards countries adopting a more stringent environmental regulatory framework. Our evidence provides a ‘green investment-based’ explanation for the link between TFP-heterogeneity and trade. |
| Keywords: | Exports, Firm Heterogeneity, Green Investment Strategy, Total Factor Productivity |
| JEL: | Q55 Q56 F14 F18 |
| Date: | 2013–07–31 |
| URL: | http://d.repec.org/n?u=RePEc:ing:wpaper:201302&r=env |
| By: | Kragt, Marit E. |
| Abstract: | Results of choice experiment studies are widely claimed to provide valuable inputs into more efficient environmental policy development. The implicit price estimates for the attributes included in the choice experiment give policy makers an indication of the non-market values of environmental goods and services. There are, however, few standardised approaches to guide the choice of the environmental attributes. Although recent publications (Boyd and Krupnick, 2009; Johnston and Russell, 2011) stress the need to base the definition of non-market environmental attributes in ecological theory, choice experiment studies often give minimal evidence to support the choice of attributes. This paper reviews ten years’ worth of choice experiment studies in leading environmental economics journals. The aim of this study is to investigate on what basis the attributes and units used in the valuation studies were chosen, and how the survey development process is reported. The review shows that only very few published papers report the evidence sources on which the choice of attributes and their levels was based. The disjoint between evidence-based research method and the reporting of protocols in choice experiment valuation studies undermines the credibility of nonmarket value estimates to people outside the profession. There is a need for greater attention to transparent, evidence-based survey development to support more robust welfare estimates and withstand criticism. |
| Keywords: | Attribute selection, Choice experiments, Environmental attributes, Evidence-based methods, Environmental Economics and Policy, Research Methods/ Statistical Methods, C83, Q51, Q57, |
| Date: | 2013–07–19 |
| URL: | http://d.repec.org/n?u=RePEc:ags:uwauwp:153335&r=env |
| By: | Charles A. Holt (University of Virginia); William M. Shobe (University of Virginia) |
| Abstract: | We use a set of economic experiments to test the effects of two key features of California\'s new program for limiting greenhouse gas emissions. The cap & trade scheme included in the program includes two novel features, limits on allowance ownership (or \'holding limits\') and a tiered price containment reserve sale. These program features are linked by their potential to affect liquidity in the market for emission allowances. We examine the effects of these features on liquidity and on measures of market performance including efficiency, price discovery, and price variability. We find that tight holding limits have the effect of substantially lowering the number of banked allowances available for trade, hence lowering liquidity. This impairs the ability of traders to smooth prices over time resulting in lower efficiency, less effective price discovery, and higher variability in price. The price containment reserve, while increasing the supply of allowances available to traders, does not appear to mitigate the effects of tight holding limits on market outcomes. As a result, the imposition of holding limits in the allowance market may have the consequence of increasing the likelihood of the market manipulation that they were intended to prevent. |
| Keywords: | Emission markets; climate change; cap and trade |
| JEL: | Q54 Q58 H |
| Date: | 2013–07–30 |
| URL: | http://d.repec.org/n?u=RePEc:vac:wpaper:wp13-01&r=env |
| By: | Mariana Conte Grand; Vanesa D´Elia |
| Abstract: | With CAIT WRI data for those countries which submitted quantifiable CO2 emission caps under the Copenhagen Agreement, this note supports the existence of a long run relationship between CO2 emissions and GDP in 11 of the 26 countries in our sample over the period 1980-2008. However, the functional specification of that relationship is not homogenous among nations, being linear for 2 countries, log-log for 2 other cases, while the relationship follows a Box-Cox functional form for 7 nations. Elasticities of the emissions-income relationship also differ among counties. But in most cases (8 out of 11), the magnitude of the average elasticity is less than 1 (emissions increase less than GDP). |
| Keywords: | CO2 emissions, sustainable development, Box-Cox |
| JEL: | Q01 Q54 |
| Date: | 2013–07 |
| URL: | http://d.repec.org/n?u=RePEc:cem:doctra:513&r=env |
| By: | Bardsley, Nicholas; Buechs, Milena |
| Abstract: | We apply propensity score matching (PSM) to the estimation of household motor fuel purchase quantities, to tackle problems caused by infrequency of purchase. The results are compared to an alternative, regression-based, imputation strategy using the infrequency of purchase model (IPM). Using data from the UK’s National Travel Survey (NTS) we observe that estimated mean obtained from the PSM imputation is closer to the estimated mean from the consumption diary, than that obtained from fitted values from the IPM. The NTS also contains an interview question on household mileage which can be used to assess the results of imputation. We find that the order statistics of the imputed distribution are more plausible for the PSM estimates than those obtained using the IPM, judging by the sample distribution of household mileage. We argue that there are some applications for which the PSM method is likely to be superior, including estimates of distributional effects of policies. On the other hand, the IPM is more suitable for analysing conditional effects and associations of consumption with covariates. We illustrate our arguments using a simple microsimulation exercise on CO2 emissions reduction policies, an area where methods for coping with zero-inflated data seem currently to be under-used. |
| Keywords: | propensity score matching, purchase infrequency, climate policy |
| JEL: | C4 D12 Q58 |
| Date: | 2013 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:48727&r=env |
| By: | Flordeliza H. Bordey (Philippine Rice Research Institute, Maligaya, Philippines); Cheryll C. Launio (Socioeconomics Division, Philippine Rice Research Institute); Eduardo Jimmy P. Quilang (Philippine Rice Research Institute, Maligaya, Philippines); Charis Mae A. Tolentino (Philippine Rice Research Institute, Maligaya, Philippines); Nimfa B. Ogena (Philippine Rice Research Institute, Maligaya, Philippines) |
| Abstract: | This study tests the hypothesis that climate change, through its rice productivity impacts, induces out-migration in the Philippines. Results show that climate change effects such as increasing night time temperature and extreme rainfall pattern, by way of reduction in rice yield and farm revenues, significantly increases the number of Overseas Filipino Workers. Findings also show that overseas migration of female workers is more sensitive to climate and rice productivity changes compared to male overseas migration. However, unlike overseas migration, the reduction in yield and farm revenues act as a constraint to domestic migration. |
| Keywords: | climate change, rice yield, migration, Philippines |
| Date: | 2013–03 |
| URL: | http://d.repec.org/n?u=RePEc:eep:report:rr2013033&r=env |
| By: | Sbia, Rashid; Shahbaz, Muhammad; Hamdi, Helmi |
| Abstract: | This paper investigates the relationship between foreign direct investment, clean energy, trade openness, carbon emissions and economic growth in case of UAE covering the period of 1975Q1-2011Q4. We have tested the unit properties of variables in the presence of structural breaks. The ARDL bounds testing approach is applied to examine the cointegration by accommodating structural breaks stemming in the series. The VECM Granger causality approach is also applied to investigate the causal relationship between the variables. Our empirical findings confirm the existence of cointegration between the series. We find that foreign direct investment, trade openness and carbon emissions decline energy demand. Economic growth and clean energy has positive impact on energy consumption. |
| Keywords: | Clean Energy, FDI, Emissions, Trade, Income |
| JEL: | E1 |
| Date: | 2013–07–19 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:48675&r=env |
| By: | Nuva (Department of Resource and Environmental Economics (ESL), Bogor Agricultural University); Yusif (Department of Resource and Environmental Economics (ESL), Bogor Agricultural University); Nia Kurniawati H. (Department of Resource and Environmental Economics (ESL), Bogor Agricultural University); Hanna (Department of Resource and Environmental Economics (ESL), Bogor Agricultural University) |
| Abstract: | In terms of value, coffee which is mostly grown on smallholder farms, ranked fourth in the exports of food and agricultural commodities of Indonesia in 2008. Together with state-owned and private plantations, they add up to 969,082 ha of area harvested – the second largest in the world. Nevertheless, Indonesia ranked only seventh in the world in terms of yield per hectare. In addition, the coffee sector is facing many problems related to environment and its sustainability. Eco-labelling can be a solution to indirectly increase productivity and solve environmental problems brought about by coffee cultivation through better farming techniques imposed by eco-labelling organizations. This research studies the impact of eco-labelling implementation by Indonesia’s smallholder coffee farmers using financial analysis. Financial analysis was used to compare the profitability of eco-labelling and non-eco-labelling smallholder coffee farms. Descriptive statistical analysis was also used to present the stakeholders’ and farmers’ perceptions of eco-labels in the coffee sector. To get the primary data, survey and personal in-depth interviews were conducted. Findings show that eco-labelling in the coffee sector is profitable as evidenced by the results of cash flow analysis for both eco-labelled and non-eco-labelled Arabica and Robusta coffee farms. Nevertheless, problems still exist in the implementation of coffee certification i.e., limited support from government, quite difficult to implement due to low educational level of farmers and lack of awareness of advantages of eco-labels, the differences of certification scheme required by different coffee-importing countries, and financing problem for the certification fee. |
| Keywords: | pollution, Eco-labelling, Indonesia |
| Date: | 2013–03 |
| URL: | http://d.repec.org/n?u=RePEc:eep:report:rr2013032&r=env |
| By: | Martin, Elsa |
| Abstract: | Pesticides efficiency decreases with their global application by farmers. Within a strategic dynamic framework, this results in a classic intertemporal production externality. We analyze tax and subsidy schemes that can be used in order to internalize this externality. We show that they are able to restore socially optimal solution at a given period of time but that final time of pesticide use differs. With these schemes, farmers have a tendency to switch to alternative pest-control technology earlier than is optimal. A lump-sum transfer is shown to be necessary to obtain a switching time equal to the socially optimal one, for the subsidy case only. Furthermore, the socially optimal switching time can be later than the one obtained under a situation without control. |
| Keywords: | stock externality, pest resistance, technology change, Resource /Energy Economics and Policy, Q10, Q3, H23, C73, |
| Date: | 2013 |
| URL: | http://d.repec.org/n?u=RePEc:ags:aaea13:153739&r=env |
| By: | Asha Rai M.G. |
| Abstract: | The important factors for cultivation of health are: environment conducive for healthful living, balanced diet, adequate physical activity and rest as per individual needs. Further it requires promotive, preventive, therapeutic and welfare services, suitable occupation with job satisfaction and proper use of leisure and wholesome mental attitude to life. The present study elucidates an immediate need to create awareness about the environmental sanitation and personal hygiene through some integrated tribal-rural sanitation programme dealing with their personal hygiene, waste water disposal, solid waste management and domestic sanitati for exit of smoke in any of their houses. It is necessary that people should be made aware of harmful impact of smoke accumulation on health of an individual and should be persuaded for making such provision in their houses. Key words: health, hygiene, promotion of health and hygiene, health education |
| Date: | 2013–03 |
| URL: | http://d.repec.org/n?u=RePEc:vor:issues:2013-5-9&r=env |
| By: | Julien Chevallier (EconomiX - CNRS : UMR7166 - Université Paris X - Paris Ouest Nanterre La Défense) |
| Abstract: | This chapter assesses the extent to which economic activity and the carbon price are linked. Carbon price drivers can be mainly related to energy and institutional variables. However, the influence of the macroeconomic environment shall not be undermined. Various approaches exist in the literature, which favor financial market variables over macroeconomic variables. Following a review of the state of the EU ETS, the main channel of transmission between the variation of macroeconomic activity and the carbon price is recalled, by using the aggregated industrial production as a proxy. An original empirical application unfolds, by studying the carbon-macroeconomy relationship in the threshold VAR model during 2005-2013. Further research is called upon in nonlinear econometrics. |
| Keywords: | Carbon Price ; Economic Activity ; Industrial Production ; Nonlinear Time Series |
| Date: | 2013–07 |
| URL: | http://d.repec.org/n?u=RePEc:hal:journl:halshs-00846340&r=env |
| By: | Lokanath Suar |
| Abstract: | The impact of drought, floods, severe weather and other effects of climate change may worsen in the future, contributing to growing human migration as vulnerable people seek safer more stable living conditions. This expected migration of thousands of people can negatively affect human well-being and political status. The paper presents the effect and its management. Key words: natural disasters, forced migration, population growth |
| Date: | 2013–03 |
| URL: | http://d.repec.org/n?u=RePEc:vor:issues:2013-5-13&r=env |