nep-env New Economics Papers
on Environmental Economics
Issue of 2014‒10‒03
thirty-two papers chosen by
Francisco S. Ramos
Universidade Federal de Pernambuco

  1. Assessing the effectiveness of global air-pollution treaties on CO2 emissions By Aurelie Slechten; Vincenzo Verardi
  2. Structural Disparities in Carbon Dioxide Consumption and Trade in the World Economy By Stefan Ederer; Stefan Weingärtner
  3. Self-enforcing international environmental agreements and trade: taxes versus caps By Thomas Eichner; Rüdiger Pethig
  4. On the Timing of Climate Agreements By Robert C. Schmidt; Roland Strausz; Melanie;
  5. Measuring the impact of multiple air-pollution agreements on global CO2 emissions By Aurelie Slechten; Vincenzo Verardi
  6. From foot-draggers to strategic counter-partners : the dynamics of U.S. and Chinese policies for tackling climate change By Cheng, Fang-Ting
  7. The dynamics of deforestation and reforestation in a developing economy By Julien Wolfersberger; Gregory S. Amacher; Philippe Delacote; Arnaud Dragicevic
  8. The dynamics of technology diffusion and the impacts of climate policy instruments in the decarbonisation of the global electricity sector By Jean-Francois Mercure; Hector Pollitt; Unnada Chewpreecha; Pablo Salas; Aideen M. Foley; Philip B. Holden; Neil R. Edwards
  9. Belize: effects of climate change on agriculture By Reino Unido. Department for International Development
  10. Assessing the awareness of climate change as a factor of adaptation in the agricultural sector By Dono, Gabriele; Cortignani, Raffaele; Giraldo, Luca; Doro, Luca; Roggero, Pier Paolo
  11. CSR in an Asymmetric Duopoly with Environmental Externalities By L. Lambertini; A. Palestini; A. Tampieri
  12. Distinguishing dimensions of pro-environmental behaviour By Lynn, Peter
  13. Les apports de la gouvernance adaptative pour analyser les enjeux d’une mise en Å“uvre effective de la Trame Verte et Bleue. L’exemple du PNR des Volcans d’Auvergne By Valérie Angeon; Armelle Caron; Cécile Birard; Patrick Cayre; Philippe Chambon; Arnaud Larade; Ludovic Méasson; Claire Planchat
  14. Strategic incentives for a policy mix in the international car market By Wim BENOOT; Stef PROOST
  15. Air pollution in Urban Beijing: The role of Government-controlled information By Timothy Swanson; Chiara Ravetti; Yana Popp Jin; Mu Quan; Zhang Shiqiu
  16. Alternative subsidy scenarios for different agricultural practices: A sustainability assessment using fuzzy multi-criteria analysis By Ragona, Maddalena; Albertazzi, Sergio; Nicolli, Francesco; Mazzanti, Massimiliano; Montini, Anna; Vitali, Giuliano; Canavari, Maurizio
  17. Financing Energy Efficiency Measures for Residential Building Stock : Scaling Up Energy Efficiency in Buildings in the Western Balkans By Bernd Kalkum
  18. Modelling land use, deforestation, and policy analysis: A hybrid optimization-ABM heterogeneous agent model with application to the Bolivian Amazon By Lykke Andersen; Ugur Bilge; Ben Groom; David Gutierrez; Evan Killick; Juan Carlos Ledezma; Charles Palmer; Diana Weinhold
  19. Environmental Concern and Behavior: Do Personal Attributes Matter? By Natalia Melgar; Irene Mussio; Maximo Rossi
  20. Evaluating agri-environmental schemes. The case of Tuscany By Campus, Daniela
  21. Water Valuation Research - Annotated Bibliography By Christopher Shultz; Randall W. Jackson
  22. Robust viable management of a harvested ecosystem model By Esther Regnier; Michel De Lara
  23. Environmental R&D in the Presence of an Eco-Industry By Alain-Désiré Nimubona; Hassan Benchekroun
  24. Agricultural production, dietary diversity, and climate variability By Dillon, Andrew; McGee, Kevin; Oseni, Gbemisola
  25. Promoting Agricultural Growth in Rwanda : Recent Performance, Challenges and Opportunities By World Bank
  26. Assessing ecological sensitivities of marine assets to oil spill by means of expert knowledge By Carey, J.M.; Knapp, S.; Irving, P.
  27. Ecological-economic modelling of interactions between wild and commercial bees and pesticide use By Kleczkowski, Adam; Ellis, Ciaran; Goulson, Dave; de Vries, Frans P.; Hanley, Nick
  28. Exploring the provision of ecosystem services through rural landscape management: a development of conceptual framework By Rovai, Massimo; Bartolini, Fabio; Brunori, Gianluca; Fastelli, Laura
  29. An addendum to: A Meta-Analysis of Hypothethical Bias in Stated Preference Valuation By Stefani, Gianluca; Scarpa, Riccardo; Lombardi, Ginevra Virginia
  30. ¿Quiénes fuman en Uruguay? By Elba Esteves; Máximo Rossi; Edgardo Sandoya; Patricia Triunfo
  31. Tajikistan - Autonomous Adaptation to Climate Change : Economic Opportunities and Institutional Constraints for Farming Households By World Bank
  32. An Empirical Analysis of Determinants of Multi-Dimensional Urban Sprawl By Joseph DeSalvo; Qing Su

  1. By: Aurelie Slechten; Vincenzo Verardi
    Abstract: This paper considers the effect of international air-pollution agreements ratified since 1970 on carbon dioxide emissions (CO2), the main cause of anthropogenic climate change. The analysis is based on a panel dataset of 150 countries over the period 1970-2008. While the literature generally focuses on one particular agreement, we analyze the effect of the accumulation of agreements using a two-way (country, year) fixed effects regression model. We find that the relationship between the number of ratifications and CO2 emissions is statistically significant and linearly decreasing.
    Date: 2014
  2. By: Stefan Ederer (WIFO); Stefan Weingärtner (WIFO)
    Abstract: Social scientists have long argued that developed countries are more and more responsible for climate change because they externalise pollution to less developed countries. This paper offers a way to quantify climate responsibility by calculating carbon footprints and carbon balances between regions by means of an input-output analysis. We find that regions in the center of the world economy are increasingly consuming CO2 which was emitted in the periphery. Developed countries exhibit a large emission balance deficit with the less developed economies. Furthermore, we decompose carbon footprint developments between 1995 and 2007 into three effects: technical progress, shifts in the global value chain and increasing final demand. Our results show that the effect of technical progress is overcompensated by the effect of increased consumption and value chain shifts. Footprint growth in the center is strongly linked to additional pollution and technical development in the periphery. These findings challenge the prevailing view of the potential of modernisation and globalisation with regard to climate change.
    Keywords: Climate responsibility, carbon leakage, carbon footprint, environmental world-system theory, input-output analysis
    Date: 2014–09–10
  3. By: Thomas Eichner; Rüdiger Pethig
    Abstract: This paper studies within a multi-country model with international trade the stability of international environmental agreements (IEAs) when countries regulate carbon emissions either by taxes or caps. Regardless of whether coalitions play Nash or are Stackelberg leaders the principal message is that the choice of caps or taxes matters. International trade and tax regulation are necessary conditions for the existence of the encompassing self-enforcing IEA, and that the latter is attained the more likely, the less severe the climate damage. Hence, cap regulation is inferior to tax regulation insofar as in case of the former there exist no large and effective self-enforcing IEAs, in particular not the encompassing self-enforcing IEA. Further results are that for the formation of encompassing self-enforcing IEAs it does not matter whether climate coalitions play Nash or are Stackelberg leaders or whether fossil fuel is modeled as a consumer good or an intermediate good.
    Keywords: cap, tax, international trade, self-enforcing environmental agreements, Nash, Stackelberg
    JEL: C72 F02 Q50 Q58
    Date: 2014
  4. By: Robert C. Schmidt; Roland Strausz; Melanie;
    Abstract: A central issue in climate policy is the question whether long-term targets for green- house gas emissions should be adopted. This paper analyzes strategic effects related to the timing of such commitments. Using a two-country model, we identify a redistributive effect that undermines long-term cooperation when countries are asymmetric and side payments are unavailable. The effect enables countries to shift rents strategically via their R&D efforts under delayed cooperation. In contrast, a complementarity effect stabi- lizes long-term cooperation, because early commitments in abatement induce countries to invest more in low-carbon technologies, and create additional knowledge spillovers. Con- trasting both effects, we endogenize the timing of climate agreements.
    Keywords: climate treaty, abatement, long-term cooperation, spillover, strategic delay
    JEL: D62 F53 H23 Q55
    Date: 2014–09
  5. By: Aurelie Slechten; Vincenzo Verardi
    Abstract: Many countries are part of multiple international air-pollution agreements that interact with each other given that a single source of emissions is typically composed of several pollutants. This paper studies the effect on carbon dioxide emissions of the various agreements that follow the Long-Range Transboundary Air-Pollution (LRTAP) Convention and that are related to acid rain problems. The analysis is based on a panel dataset of 150 countries over the period 1970 - 2008. We show that ratifying each additional treaty has a significant and negative impact on the level of CO2 emissions, even if they are not specifically targeted toward carbon emissions. Our findings can be explained by (1) the more local nature of pollutants covered (2) the relative ease to implement LRTAP treaties. To deal with an eventual reverse causality problem, we instrument the decision to ratify treaties by the status of the death penalty in each country.
    Date: 2014
  6. By: Cheng, Fang-Ting
    Abstract: As can been seen from the U.S.'s non-ratification of the Kyoto Protocol, together with the negotiations toward the post-Kyoto Protocol framework, the U.S. and China have been quarrelling over their responsibilities and have contradicted one another over the introduction of compulsory domestic greenhouse gases emission reduction targets. Therefore, for a long time, it has been argued that the controversy between the two countries has hindered the process of forging an international agreement to deal with climate change. On the other hand, Sino-U.S. bilateral cooperation on climate change has significantly increased in recent years in summit talks and their Strategic & Economic Dialogue (S&ED), especially after the 15th Conference of Parties (COP) of the United Nations Framework Convention on Climate Change (UNFCCC) in Copenhagen, one of whose aims was to facilitate positive negotiations for the post-Kyoto Protocol agreement. Analyzing this in the light of recent developments, we find that the U.S. and China have tended to address climate change and related issues from a pluralistic viewpoint and approach, by regarding the achievement of bilateral cooperation and global agreements as their common strategic objective.
    Keywords: China, United States, Climatic change, Foreign relations, Environmental problems, Climate change, Mitigation, Adaptation, Copenhagen Accord, Cancun Agreement, UNFCCC, Sino-U.S. relationship, U.S.-China Strategic & Economic Dialogue (S&ED)
    JEL: K32 O13 O19
    Date: 2014–09
  7. By: Julien Wolfersberger; Gregory S. Amacher; Philippe Delacote; Arnaud Dragicevic
    Abstract: Forest transition theory is often used to describe the long term evolution of forest cover in a country as it develops, yet previous theoretical work has considered only net forest cover change when describing deforestation. However, little work exists describing the dynamics involved in forest cover change, particularly the relationship between reductions in primary native forests commonly associated with deforestation and concomitant reforestation and establishment of secondary forest plantations,. We examine this distinction and formulate a new forest transition hypothesis. Our approach recognizes that primary and secondary forests are imperfect substitutes in terms of ecosystem services, but also in the costs associated with securing tenure. The latter is important given the property rights insecurities that have led to deforestation in many tropical countries. Our model allows a study of both the length of a forest transition and the speed at which net forest depletion eventually ends in the long run. Understanding the forest transition as we describe it could be important for future climate change mitigation policies. For instance, we find that privileging the dynamics of reforestation can be harmful for primary native forests, which are known to have the highest ecological value.
    Keywords: forest transition, land uses, development, tenure costs.
    JEL: O11 O13 Q23 Q56 Q57
    Date: 2014
  8. By: Jean-Francois Mercure (Cambridge Centre for Climate Change Mitigation Research, Department of Land Economy, University of Cambridge); Hector Pollitt (Cambridge Econometrics Ltd, Covent Garden, Cambridge, CB1 2HT, UK); Unnada Chewpreecha (Cambridge Econometrics Ltd, Covent Garden, Cambridge, CB1 2HT, UK); Pablo Salas (Cambridge Centre for Climate Change Mitigation Research, Department of Land Economy, University of Cambridge); Aideen M. Foley (Cambridge Centre for Climate Change Mitigation Research, Department of Land Economy, University of Cambridge); Philip B. Holden (Environment, Earth and Ecosystems, Open University); Neil R. Edwards (Environment, Earth and Ecosystems, Open University)
    Abstract: This paper presents an analysis of possible uses of climate policy instruments for the decarbonisation of the global electricity sector in a non-equilibrium economic and technology innovation-diffusion perspective. Emissions reductions occur through changes in technology and energy consumption; in this context, investment decision-making opportunities occur periodically, which energy policy can incentivise in order to transform energy systems and meet reductions targets. Energy markets are driven by innovation, dynamic costs and technology diffusion; yet, the incumbent systems optimisation methodology in energy modelling does not address these aspects nor the effectiveness of policy onto decision-making since the dynamics modelled take their source from the top-down `social-planner' assumption. This leads to an underestimation of strong technology lock-ins in cost-optimal scenarios of technology. Breaking this tradition, our approach explores bottom-up investor dynamics led global diffusion of low carbon technology in connection to a highly disaggregated sectoral macroeconometric model of the global economy, FTT:Power-E3MG. A set of ten different projections to 2050 of the future global power sector in 21 regions based on different combinations of electricity policy instruments are modelled using this framework, with an analysis of their climate impacts. We show that in an environment emphasising diffusion and learning-by-doing, the impact of combinations of policies does not correspond to the sum of the impacts of individual instruments, but that strong synergies exist between policy schemes. We show that worldwide carbon pricing on its own is incapable of breaking the current fossil technology lock-in, but that under an elaborate set of policies, the global electricity sector can be decarbonised affordably by 89% by 2050 without early scrapping of capital.
    Keywords: Transport, Technological change, Emissions, Fuel use
    JEL: O33 Q41 Q42 Q48 Q54
    Date: 2013–10
  9. By: Reino Unido. Department for International Development
    Date: 2013–02–11
  10. By: Dono, Gabriele; Cortignani, Raffaele; Giraldo, Luca; Doro, Luca; Roggero, Pier Paolo
    Abstract: The paper describes results obtained investigating the problems of adaptation to climate change of Italian agriculture. It specify a choice process that explicitly considers that farmers base their planning on an awareness of the inherent variability in the climatic conditions of their territories. The expectations on climatic variables, and the consequent conditions for crop, are represented under various hypotheses of climate stability, or cognition of a change achieved by observing the current weather conditions, or even in full knowledge of the actual probability distributions of climate events. The choices due to those expectations are simulated with a model of Discrete Stochastic Programming. The results suggest that it may be interesting to better investigate the hypothesis that, even in a relatively short time and, especially, already in the current period, are in place climate changes significant for the agricultural activities, especially when poor of water resource and in marginal areas. Failure to understand these changes can lead farmers to a wrong choices: on one hand, may prevent from taking advantage of existing opportunities for income improvements,; on the other hand, may induce farmers to misconceptions on the way to defend from the negative effects of climate change. This suggests that among the most effective strategies for adapting to climate change, there is support for farmers to improve their ability to assess the new and changing climate framework.
    Keywords: Keywords: discrete stochastic programming, positive mathematical programming, agricultural supply analysis, adaptation to climate change, awareness of climate change, Agribusiness, Research Methods/ Statistical Methods, Risk and Uncertainty, C61, Q10, Q54,
    Date: 2014
  11. By: L. Lambertini; A. Palestini; A. Tampieri
    Abstract: We investigate a linear state dfferential game describing an asymmetric Cournot duopoly with capacity accumulation à la Ramsey and a negative environmental externality (pollution), in which one of the firms has adopted corporate social responsibility (CSR) in its statute, and therefore includes consumer surplus and the environmental effects of production in its objective function. If the market is sufficiently large, the CSR firm sells more, accumulates more capital and earns higher profits than its profit-seeking rival.
    JEL: C73 H23 L13 O31
    Date: 2014–08
  12. By: Lynn, Peter
    Abstract: This study empirically identifies dimensions of behaviour that are distinct in terms of the extent to which people act pro-environmentally. Three dimensions are identified, relating to at-home, transport-related and purchasing behaviour. The correlation between behaviour in each dimension is explored and the characteristics and attitudes associated with the extent to which behaviour is pro-environmental in each dimension are compared. The correlates of pro-environmental behaviour are found to differ between the dimensions. Attitudes towards the environment are more strongly associated with at-home or purchasing behaviours than with transport-related behaviours. The findings have implications for the design of policies intended to influence behaviours with environmental impact and for marketing of pro-environmental behaviours.
    Date: 2014–04–29
  13. By: Valérie Angeon (Ceregmia, Université des Antilles et de la Guyane); Armelle Caron (Mutations des Activités, des Espaces et des Formes d'Organisation dans les Territoires Ruraux, INRA; UMR Métafort, AgroParisTech); Cécile Birard (Syndicat Mixte du Parc naturel régional des Volcans d’Auvergne); Patrick Cayre (Mutations des Activités, des Espaces et des Formes d'Organisation dans les Territoires Ruraux, INRA; UMR Métafort, AgroParisTech; DGER/BIPI, Ministère de l'Agriculture de la Pêche et de l'Alimentation); Philippe Chambon (Mutations des Activités, des Espaces et des Formes d'Organisation dans les Territoires Ruraux, INRA; UMR Métafort, AgroParisTech); Arnaud Larade (Mutations des Activités, des Espaces et des Formes d'Organisation dans les Territoires Ruraux, INRA; Agrosystèmes tropicaux, INRA; UMR Metafort, AgroParisTech); Ludovic Méasson (Société Française de l'Evaluation); Claire Planchat (UMR Métafort, AgroParisTech; Vous Etes D'ici)
    Abstract: La Trame verte et bleue (TVB), nouveau dispositif d’action publique visant à enrayer la perte de biodiversité traduit un renouvellement des référentiels de justification des politiques de conservation et de leur stratégie territoriale. Il s’agit d’intégrer la planification écologique dans l’aménagement de l’ensemble du territoire. Le processus de territorialisation de la TVB met en rapport de multiples niveaux de décision et d’action imbriqués. Il crée de ce fait des configurations inédites de complexité et d’incertitude et implique des innovations en termes de gouvernance que le cadre analytique de la gouvernance adaptative permet d’appréhender. En nous appuyant sur l’exemple du Parc Naturel Régional des Volcans d’Auvergne, nous analysons le rôle que ces institutions sont susceptibles de jouer dans ces dynamiques de changement et d’apprentissage socio-technique et politique qui conditionnent une mise en Å“uvre effective de la TVB.
    Abstract: The Green and Blue infrastructure (Trame verte et bleue –TVB) is a new conservation policy tool based on the notions of ecological network and corridor. The introduction of this new instrument through the French Grenelle environment commitments brings about some change in the spatial strategy of the conservation policy. Beyond the identification of priority conservation areas, ecological planning of all the territory is concerned. The TVB’s implementation process establishes the connection of multi and nested decisional and action levels. It thus creates specific situations of complexity and uncertainty that require innovation and perpetual change of governance. The study of the Auvergne region case through the adaptive governance analytical framework highlights the potential fruitful role of Regional nature parks in such dynamics of change and learning. Mots-clés : aménagement durable des territoires, biodiversité, réseau écologique, corridor écologique, gouvernance adaptative, socio-écosystème, trame verte et bleue Keywords : Sustainable landplaning, Biodiversity, Ecological network, Adaptive governance, socio-ecosystem
    Keywords: sociologie de la connaissance, politique de l'environnement, politique environnementale, politique de sauvegarde, mode de gouvernance, gouvernance adaptative, trame verte et bleue , planification écologique, aménagement du territoire, parc naturel régional, réseau écologiquedéveloppement durable, protection de l'environnement, biodiversitéplanification, théorie des apprentissages, corridor écologiqueprocessus d'apprentissageauvergne, france
    JEL: Q58 Q5
    Date: 2013
  14. By: Wim BENOOT; Stef PROOST
    Abstract: The paper analyses the strategic environmental policy choices of governments for the car market. We consider two countries that each have a small number of car producers who sell cars at home and abroad, there are cross border pollution externalities and cross border R&D externalities. Each government can set a fuel tax and a fuel emission standard but tariffs are not allowed. We show that the symmetric cooperative equilibrium will have a fuel tax lower than global environmental damage and the fuel standard may not be needed as instrument. The symmetric non-cooperative fuel tax equals the local environmental damage. Non-cooperative governments always prefer to use a fuel tax rather than a fuel efficiency standard as the fuel tax allows to tax foreign profits. When car manufacturing is concentrated in only one country, the car importing country will opt for a higher fuel tax. The role of the fuel efficiency standard is enhanced when there is only a small number of producers, when there is a higher spill over rate and when crude oil prices are lower. The results are illustrated with a simple numerical model for the car market.
    Date: 2014–07
  15. By: Timothy Swanson (Centre for International Environmental Studies, IHEID, The Graduate Institute of International and Development Studies, Geneva); Chiara Ravetti; Yana Popp Jin; Mu Quan; Zhang Shiqiu
    Abstract: This paper looks at the problem of information control behind the unsustainable levels of air pollution in China. In particular, it focuses on a large urban area, Beijing, and it examines the role of the public, government-controlled information and the adaptation choices of households in response to signals about high pollution. Our analysis is based on a simple theoretical framework in which people migrate from rural areas to polluted cities, receiving a signal from the government about urban pollution; hence, they decide whether to adapt to pollution or not. We find that the government has no incentive to ensure sustainable air quality, as it can distort pollution information in order to attract cheap labour. We then analyse empirically two different air pollution indexes from different sources and agents’ behaviour in an original household survey collected in Beijing. We find that the official air pollution values are systematically distorted, creating perverse incentives for households to react to bad air quality, especially for people who rely on government-controlled sources of information.
    Keywords: Air Pollution; Government; Information; Averting Behaviour; Sustainability.
    JEL: Q53 Q56 Q58
    Date: 2014–08–29
  16. By: Ragona, Maddalena; Albertazzi, Sergio; Nicolli, Francesco; Mazzanti, Massimiliano; Montini, Anna; Vitali, Giuliano; Canavari, Maurizio
    Abstract: The recent Common Agricultural Policy reform (CAP14) at the European level links the granting of aid to farmers to adhering to environmentally-friendly farming practices. It therefore becomes important to assess the overall effectiveness of such a policy by taking into account different economic and environmental criteria. In this work, an ex ante assessment of different agricultural policy scenarios in Italy is undertaken at the national level, through the adoption of a fuzzy multi-criteria analysis approach, to account for the different economic and environmental aspects (indicators) of each scenario. Italian agricultural holdings were divided into homogeneous groups (according to farm typology, location, and environment), in order to determine the most preferable scenario for each group. Results are extremely heterogeneous across the macro areas, the farm typologies, and the climatic zones, and it is not possible to determine a ‘good-for-all’ scenario. However, we can observe that when all indicators are assigned an equal weight and also when environmental indicators are assigned a higher weight, the preferred scenario for the majority of groups is the alternative scenario where a tax of 30% on pesticides is added to the CAP14. On the other side, when economic indicators have a higher weight, the situation of subsidies preceding CAP14 (base subsidies and environmental subsidies, with no differentiation among conventional and organic farming) seems to be the ‘best’ scenario for all groups, with one exception.
    Keywords: multi-criteria analysis, sustainability, agricultural subsidies, environment, organic agriculture, Agricultural and Food Policy, Land Economics/Use, Research Methods/ Statistical Methods, Risk and Uncertainty, C02, C65, D81, Q15, Q18,
    Date: 2014
  17. By: Bernd Kalkum
    Keywords: Environment - Climate Change Mitigation and Green House Gases Finance and Financial Sector Development - Access to Finance Energy - Energy Production and Transportation Urban Development - Urban Environment Macroeconomics and Economic Growth - Climate Change Economics
    Date: 2014–05
  18. By: Lykke Andersen; Ugur Bilge; Ben Groom; David Gutierrez; Evan Killick; Juan Carlos Ledezma; Charles Palmer; Diana Weinhold
    Abstract: Policy interventions designed to simultaneously stem deforestation and reduce poverty in tropical countries entail complex socio-environmental trade-offs. A hybrid model, comprising an optimising, agricultural household model integrated into the ‘shell’ of an agent-based model, is developed in order to explore the trade-offs of alternative policy bundles and sequencing options. The model is calibrated to the initial conditions of a small forest village in rural Bolivia. Heterogeneous farmers make individually optimal land-use decisions based on factor endowments and market conditions. Endogenously determined wages and policy provided jobs link the agricultural labour market and rural-urban migration rates. Over a simulated 20-year period, the policymaker makes “real-time” public investments and public policy that in turn impact welfare, productivity, and migration. National and local land-use policy interventions include conservation payments, deforestation taxes and international REDD payments that both impact land use directly and affect the policymaker’s budget. The results highlight trade-offs between reductions in deforestation and improvements in household welfare that can only be overcome either when international REDD payments are offered or when decentralized deforestation taxes are implemented. Yet, the sequencing of policies is also found to play a critical role in these results.
    Date: 2014–09
  19. By: Natalia Melgar (Departamento de Economía, Facultad de Ciencias Sociales, Universidad de la República); Irene Mussio (Departamento de Economía, Facultad de Ciencias Sociales, Universidad de la República); Maximo Rossi (Departamento de Economía, Facultad de Ciencias Sociales, Universidad de la República)
    Abstract: Pro-environmental conducts are different from pro-environmental opinions, given the fact that there is not a strict relationship between meaning something and acting according to those principles. The aim of this paper is to examine the attitudinal factors which determine the concern for the environment as well as four environmentally friendly behaviors, while trying to account for the heterogeneity of pro-environment attitudes. What we found is there is a set of characteristics which determine the willingness to take pro-environmental actions: women, marriage, higher education, public employment, higher levels of religiosity, having a left-party ideology and belonging to a trade union are positively correlated with environmentally friendly behaviors. Younger individuals tend to take more environmentally friendly actions compared to older respondents. In general, attitudes and behaviors do not differ between groups of countries. In a second stage, we studied the joint effects of expressing concern and taking environmentally friendly attitudes.
    Keywords: environment, conduct, attitudes, concern, behavior
    JEL: D03 Q53
    Date: 2013–02
  20. By: Campus, Daniela
    Abstract: The rural development plans in Europe, within the provisions of Axis Two of the Common Agricultural Policy, consider the opportunity to protect and enhance “environmental-friendly” farming systems. The present paper describes the role of organic farming measures in the promotion and safeguard of the High Nature Value in Tuscany. Using National Census of Agriculture data (2010) a Probit model was adopted, in order to estimate the probability of program enrolment. After that, both control and treatment groups were constructed implementing a Propensity Score Approach: selecting 13 explanatory variables which are presupposed to be independent from the outcome variable, the two groups were built on the basis of the propensity scores. The aim should be to have two similar groups, for which the only difference is the treatment itself. In our study the treatment variable is the total area under organic agriculture, while the outcome is the High nature Value. After having controlled and achieved a good balancing between the covariates, the mean effect of the program participation on the treated (ATT) was computed. It is obtained as a difference between the averages of the two groups. The result unexpectedly reveals that AES have not a statistically significant impact on both fauna and flora biodiversity. However, these results must be interpreted with caution because both the type of data (we used cross-sectional data) and the assumptions on which the methodology is based could have a relevant effect on the final outcome.
    Keywords: agri-environmental payments, biodiversity, Tuscany, treatment effect., Agricultural and Food Policy, Community/Rural/Urban Development, Environmental Economics and Policy, Research Methods/ Statistical Methods, C21, Q18, Q56.,
    Date: 2014
  21. By: Christopher Shultz (Regional Research Institute, West Virginia University); Randall W. Jackson (Regional Research Institute, West Virginia University)
    Keywords: water resources, ecological economics, environment and development
    JEL: Q32 Q56 Q57
    Date: 2014–08–20
  22. By: Esther Regnier (CES - Centre d'économie de la Sorbonne - CNRS : UMR8174 - Université Paris I - Panthéon-Sorbonne, EEP-PSE - Ecole d'Économie de Paris - Paris School of Economics - Ecole d'Économie de Paris); Michel De Lara (CERMICS - Centre d'Enseignement et de Recherche en Mathématiques et Calcul Scientifique - Ecole des Ponts ParisTech)
    Abstract: The Word Summit on Sustainable Development (Johannesburg, 2002) encouraged the application of the ecosystem approach by 2010. In this perspective, we propose a theoretical management framework that deals jointly with i) ecosystem dynamics, ii) conflicting issues of production and preservation and iii) robustness with respect to dynamics uncertainties. More specifically, we define the robust viability kernel as the set of initial species biomasses such that at least one harvesting strategy guarantees minimal production and preservation levels for all times, whatever the uncertainties. We apply our approach to the anchovy-hake couple in the Peruvian upwelling ecosystem. We find that accounting for uncertainty significantly reduces the robust viability kernel compared to the deterministic one (without uncertainties). We observe that, when we increase the set of uncertainties, the robust viability kernel very slightly decreases, expressing a moderate sensibility with respect to refining the set of uncertainties. We comment on the management implications of comparing robust viability kernels (with uncertainties) and the deterministic one (without uncertainties).
    Keywords: Optimization; viability; uncertainty; robustness; sustainability; ecosystem management; fisheries; Peruvian upwelling
    Date: 2013–01
  23. By: Alain-Désiré Nimubona (Department of Economics, University of Waterloo); Hassan Benchekroun (Department of Economics, McGill University)
    Abstract: We compare the performance of R&D cooperation and R&D competition within the eco-industry using a model of vertical relationship between a polluting industry and the eco-industry. The polluting industry is assumed perfectly competitive and the eco-industry is a duopoly in the market for abatement goods and services, with one fi?rm acting as a Stackelberg leader and the other fi?rm as a follower. When there are full information sharing under R&D cooperation and involuntary information leakages under R&D competition, we ?find that the only case where government intervention is needed is the case where R&D cooperation yields a higher welfare but smaller pro?fits for the follower eco-industrial fi?rm than R&D competition. Furthermore, because of the market power that the eco-industry enjoys, we show that more total R&D efforts under R&D competition do not necessarily translate into more abatement activities and larger social welfare. When there are no involuntary leakages of information under R&D competition, this result occurs because R&D competition can induce more total R&D efforts than R&D cooperation even for signi?ficantly high R&D spillovers if the marginal environmental damage is large.
    JEL: L13 O32 Q55 Q58
    Date: 2014–09
  24. By: Dillon, Andrew; McGee, Kevin; Oseni, Gbemisola
    Abstract: Nonseparable household models outline the links between agricultural production and household consumption, yet empirical extensions to investigate the effect of production on dietary diversity and diet composition are limited. Although a significant literature has investigated the calorie-income elasticity abstracting from production, this paper provides an empirical application of the nonseparable household model linking the effect of exogenous variation in planting season production decisions via climate variability on household dietary diversity. Using exogenous variation in degree days, rainfall, and agricultural capital stocks as instruments, the effect of production on household dietary diversity at harvest is estimated. The empirical specifications estimate production effects on dietary diversity using both agricultural revenue and crop production diversity. Significant effects of agricultural revenue and crop production diversity on dietary diversity are estimated. The dietary diversity-production elasticities imply that a 10 percent increase in agricultural revenue or crop diversity results in a 1.8 percent or 2.4 percent increase in dietary diversity, respectively. These results illustrate that agricultural income growth or increased crop diversity may not be sufficient to ensure improved dietary diversity. Increases in agricultural revenue do change diet composition. Estimates of the effect of agricultural income on share of calories by food groups indicate relatively large changes in diet composition. On average, a 10 percent increase in agricultural revenue makes households 7.2 percent more likely to consume vegetables and 3.5 percent more likely to consume fish, and increases the share of tubers consumed by 5.2 percent.
    Keywords: Food&Beverage Industry,Rural Development Knowledge&Information Systems,Regional Economic Development,Rural Poverty Reduction,Economic Theory&Research
    Date: 2014–09–01
  25. By: World Bank
    Keywords: Poverty Reduction - Rural Poverty Reduction Economic Theory and Research Macroeconomics and Economic Growth - Regional Economic Development Environmental Economics and Policies Environment
    Date: 2014–06
  26. By: Carey, J.M.; Knapp, S.; Irving, P.
    Abstract: __Abstract__ Existing methodologies to assess risk due to vessel traffic often do not account for damages to marine assets in case of oil or chemical spills from ships. While some socio-economic damages can be quantified in monetary terms, expert knowledge is often the only way to assess potential damages to the marine ecology. The use of expert knowledge introduces a source of uncertainty. We propose a method which minimizes recognized flaws in subjective assessments by eliciting sensitivity ratings from multiple assessors and recognizing their differences of opinion as a source of uncertainty. We also explore various scoring options to reflect overall expert opinions. We develop and apply the methodology to the Victorian coastline in Australia and believe that improved assessment can assist policy makers of any maritime nation to make better informed decisions.
    Keywords: expert knowledge, environmental sensitivities, oil pollution, uncertainty, Kendall’s coefficient of concordance
    JEL: C10
    Date: 2014–07–29
  27. By: Kleczkowski, Adam; Ellis, Ciaran; Goulson, Dave; de Vries, Frans P.; Hanley, Nick
    Abstract: The decline in extent of wild pollinators in recent years has been partly associated with changing farm practices and in particular with increase of pesticide use. In this paper we combine ecological modelling with economic analysis of a single farm output under the assumption that both pollination and pest control are essential inputs. We show that the drive to increase farm output can lead to a local decline in the wild bee population. Commercial bees are often considered an alternative to wild pollinators, but we show that their introduction can lead to further decline and finally local extinction of wild bees. The transitions between different outcomes are characterised by threshold behaviour and are potentially difficult to predict and detect in advance. Small changes in economic (input prices) and ecological (wild bees carrying capacity and effect of pesticides on bees) can move the economic-ecological system beyond the extinction threshold. We also show that increasing the pesticide price or decreasing the commercial bee price might lead to reestablishment of wild bees following their local extinction. Thus, we demonstrate the importance of combining ecological modelling with economics to study the provision of ecosystem services and to inform sustainable management of ecosystem service providers.
    Keywords: Ecosystem services, Pollination, Food security, Bioeconomic modelling, Ecology,
    Date: 2013
  28. By: Rovai, Massimo; Bartolini, Fabio; Brunori, Gianluca; Fastelli, Laura
    Abstract: Millennium Ecosystem Assessment (MA) provides bases for comprehensive understanding of Services provided by ecosystems, linking ecosystems and human well-being. As rural landscape is considered provider of multifunction services and is affected by a wide range of land uses several ecosystems are involved in developing an operative definition of landscape. Thus a common and comprehensive definition of landscape function, services provides, benefits and value are not enough developed. In fact, the concept of landscape function or services has been used as synonymous to ecosystem services Literature has highlighted that alternative land uses/rural area managements affect the ecosystem services provision, due to the trade-off, synergies and disservices in the provision of these services. The paper aims at exploring the linkages between ecosystem services and regarding rural landscape. To support this comprehensive assessment of the linkages between ecosystem services and landscape an empirical analysis to understand trade-off and synergises in ecosystem services provision by landscape are applied in Tuscany region. Results will contribute to provide empirical evidences and knowledge about the implementation of mechanism aimed to align provision of ecosystem services by rural landscape towards current and future needs.
    Keywords: Landscape, Ecosystem services, Tuscany, Multicriteria Analysis, Fuzzy, Agricultural and Food Policy, Q18, Q10,
    Date: 2014
  29. By: Stefani, Gianluca; Scarpa, Riccardo; Lombardi, Ginevra Virginia
    Abstract: A recent study published by Murphy et al. (2005) reported results of a meta-analysis of hypothetical bias using 28 valuation studies. The authors found a median ratio of hypothetical to actual values of 1.35 but they did not investigate the ratio of scales of the hypothetical and actual value distributions, which is of great relevance in joint stated and revealed preference analysis. We propose an addendum to Murphy et al. (2005) to provide some insights on the distribution of the scale factor across 23 studies for which relevant data is available. We also describe a method to supply priors to future studies that use Bayesian approaches to model merged revealed and stated preference data.
    Keywords: contingent valuation, experiments, scale identification, meta-analysis, stated preferences, Demand and Price Analysis, Public Economics, Research Methods/ Statistical Methods, C9, H41, Q26, Q28,
    Date: 2014
  30. By: Elba Esteves (Fondo Nacional de Recursos); Máximo Rossi (Departamento de Economía, Facultad de Ciencias Sociales, Universidad de la República); Edgardo Sandoya (Fondo Nacional de Recursos); Patricia Triunfo (Departamento de Economía, Facultad de Ciencias Sociales, Universidad de la República)
    Abstract: Smoking is influenced by the interaction of individual, social, environmental and cultural, that impact the decision to smoke and the consumption pattern. The present study aimed to analyze which elements characterize smokers in Uruguay. The study was conducted based on the Encuesta Continua de Hogares of 2006, estimating the probability that an individual was smoking using multivariate analysis with a logit model according to their characteristics and those of your household. The existence of smokers in the home was the element that increased the likelihood of smoking, while being male, being married / divorced, have between 20 and 59 years, to be economically active, have not completed high school and have very low income also increased. Acted in the opposite being a student, belonging to a religion, have asthma, hypertension or diabetes or have made a recent health check. The simulation showed that education was a protective factor more important than income, so if the population had completed secondary smoking is reduced by half.
    Keywords: tabaco, fuma, salud
    JEL: D03 D11 I10
    Date: 2013–03
  31. By: World Bank
    Keywords: Poverty Reduction - Rural Poverty Reduction Rural Development Knowledge and Information Systems Macroeconomics and Economic Growth - Regional Economic Development Agricultural Knowledge and Information Systems Agriculture Rural Development
    Date: 2014–05
  32. By: Joseph DeSalvo (Department of Economics, University of South Florida); Qing Su (Department of Marketing, Economics and Sports Business, Northern Kentucky University)
    Abstract: This paper applies a simultaneous equation model to examine the impact of a variety of factors on four dimensions of urban sprawl: spatial size, sprawl index, and daily vehicle miles traveled per capita. The regression results indicate that the transportation cost has a negative impact on urban sprawl in terms of spatial size, land consumption per capita and daily VMT. The impact of household income on spatial size, land consumption per capita and daily vehicle miles traveled per capita are U-shaped. The impact of number of household is mixed: it has a positive impact on spatial size and daily VMT, but a negative impact on land consumption per capita. Urban growth boundary has a negative and statistically significant impact while minimum lot size has a positive impact on two dimensions of urban sprawl (spatial size and land consumption per capita). Regression results also indicate that among the variables that capture the political, social and geographic characteristics of an area, the amount of intergovernmental transfers as a percentage of local revenue has a positive and statistically impact on all four dimensions of urban sprawl while the percentage of urban fringe area overlying aquifers has such an impact on three dimensions (spatial size of an area, sprawl index, and land consumption per capita). The violent crime rate in the central cities has a positive and statistically significant impact on two dimensions of urban sprawl (spatial size and land consumption per capita).
    Keywords: multi-dimensional urban sprawl; simultaneous equation model; urban growth boundary; minimum lot size; violent urban crime rate in central city
    JEL: R10
    Date: 2013–11

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