|
on Environmental Economics |
| By: | Simplice Asongu (Yaoundé/Cameroun) |
| Abstract: | We provide policy-relevant critical masses beyond which, increasing CO2 emissions negatively affects inclusive human development. This study examines how increasing CO2 emissions affects inclusive human development in 44 Sub-Saharan African countries for the period 2000-2012. The empirical evidence is based on Fixed Effects and Tobit regressions. In order to increase the policy relevance of this study, the dataset is decomposed into fundamental characteristics of inclusive development and environmental degradation based on income levels (Low income versus (vs.) Middle income); legal origins (English Common law vs. French Civil law); religious domination (Christianity vs. Islam); openness to sea (Landlocked vs. Coastal); resource-wealth (Oil-rich vs. Oil-poor) and political stability (Stable vs. Unstable). All computed thresholds are within policy range. Hence, above these thresholds, CO2 emissions negatively affect inclusive human development. |
| Keywords: | CO2 emissions; Economic development; Africa |
| JEL: | C52 O38 O40 O55 P37 |
| Date: | 2018–01 |
| URL: | http://d.repec.org/n?u=RePEc:agd:wpaper:18/023&r=env |
| By: | Effrosyni Diamantoudi (Concordia University); Eftichios Sartzetakis (University of Macedonia); Stefania Strantza (Concordia University) |
| Abstract: | This paper examines the stability of International Environmental Agreements (IEAs) in an economy with trade. We extent the basic model of the IEAs by letting countries choose emission taxes and import tariffs as their policy instruments in order to manage climate change and control trade. We define the equilibrium of a three-stage emission game. In the first stage, each country decides whether or not to join the agreement. In the second stage, countries choose simultaneously - cooperatively or non-cooperatively - tariff and tax levels. In the third stage, taking countries’ decisions as given, firms compete a la Cournot in the product markets. Numerical analysis illustrates that the interaction between trade and environment policies is essential in enhancing cooperation. Contrary to the IEA model, stable agreements are larger and more efficient in reducing aggregate emissions and improving welfare. Moreover, the analysis shows that the size of a stable agreement increases in the number of countries affected by the externalities. |
| Keywords: | Environmental Agreements |
| JEL: | D6 Q5 C7 |
| Date: | 2018–07 |
| URL: | http://d.repec.org/n?u=RePEc:fem:femwpa:2018.23&r=env |
| By: | Volz, Ulrich (Asian Development Bank Institute) |
| Abstract: | Placing the Asian economies onto a sustainable development pathway requires an unprecedented shift in investment away from greenhouse gas, fossil fuel, and natural resource intensive industries towards more resource efficient technologies and business models. The financial sector will have to play a central role in this ‘green transformation’. This study discusses the need for greening the financial system and the role of financial governance. It reviews the state of green lending and investment in Asia and provides an overview of green financial governance initiatives across Asia. It also identifies market innovations to increase green finance in Asia, barriers to green investments, and financial policy and highlights priority areas for policy makers. |
| Keywords: | green investments; green finance; sustainable development; green transformation; Asia |
| JEL: | G01 G02 G30 Q01 Q50 |
| Date: | 2018–03–02 |
| URL: | http://d.repec.org/n?u=RePEc:ris:adbiwp:0814&r=env |
| By: | Nassiry, Darius (Asian Development Bank Institute) |
| Abstract: | The global green bond market has grown rapidly in recent years, increasing from $3 billion in 2012 to over $100 billion in 2017. Given the broad acceptance and strong demand from investors, green bonds have emerged as an important financing solution, raising finance for climate change mitigation and adaptation investments, particularly in developing countries, where the need for such investments is significant. The Nordic region has pioneered the issuance of green bonds. The World Bank and Skandinaviska Enskilda Banken, a leading Nordic financial services group, developed the green bond concept in 2008 in response to investors’ demand for climate-related investments. Since then, Nordic issuers have played a leading role in green bond issuance, particularly for local green finance. We summarize the Nordic experience with green bonds with a focus on local financing structures and highlight key points that may be of value for developing countries, particularly those in Asia and the Pacific, in exploring green bonds as a means to raise finance for climate change mitigation and adaptation investments. |
| Keywords: | global green bond market; green bonds; financing solution; climate change mitigation; investments; Nordic region; World Bank; Skandinaviska Enskilda Banken; Nordic financial services; climate-related investments |
| JEL: | F30 G02 |
| Date: | 2018–03–06 |
| URL: | http://d.repec.org/n?u=RePEc:ris:adbiwp:0816&r=env |
| By: | Effrosyni Diamantoudi (Department of Economics, Concordia University); Eftichios Sartzetakis (Department of Economics, University of Macedonia); Stefania Strantza (Department of Economics, Concordia University) |
| Abstract: | The present paper examines the stability of self-enforcing International Environmental Agreements (IEAs) among heterogeneous countries in a twostage emission game. In the first stage each country decides whether or not to join the agreement, while in the second stage the quantity of emissions is chosen simultaneously by all countries. We use quadratic benefit and environmental damage functions and assume k types of countries that differ in their sensitivity to the global pollutant. We find that the introduction of heterogeneity does not yield larger stable coalitions. In particular, we show that, in the case of two types, when stable coalitions exist their size is very small, and, if the asymmetry is strong enough, they include only one type of countries. Moreover, heterogeneity can reduce the scope of cooperation relative to the homogeneous case. We demonstrated that introducing asymmetry into a stable, under symmetry, agreement can disturb stability. |
| Keywords: | Environmental Agreements |
| JEL: | D6 Q5 C7 |
| Date: | 2018–07 |
| URL: | http://d.repec.org/n?u=RePEc:fem:femwpa:2018.22&r=env |
| By: | Branko Boskovic; Ujjayant Chakravorty; Martino Pelli; Anna Risch |
| Abstract: | Fuelwood collection is often cited as the most important cause of deforestation in developing countries. Use of fuelwood in cooking is a leading cause of indoor air pollution. Using household data from India, we show that households located farther away from the forest spend more time collecting. Distant households are likely to sell more fuelwood and buy less. That is, lower access to forests increases fuelwood collection and sale. This counter-intuitive behavior is triggered by two factors: lower access to forests (a) increases the fixed costs of collecting, which in turn leads to more collection; and (b) drives up local fuelwood prices, which makes collection and sale more profitable. We quantify both these effects. Using our estimates we show that a fifth of the fuelwood collected is consumed outside of rural areas, in nearby towns and cities. Our results imply that at the margin, fuelwood scarcity may lead to increased collection and sale, and exacerbate forest degradation. |
| Keywords: | energy access, cooking fuels, deforestation, forest cover, fuelwood collection |
| JEL: | D10 O13 Q42 |
| Date: | 2018 |
| URL: | http://d.repec.org/n?u=RePEc:ces:ceswps:_7095&r=env |
| By: | Branko Boškovic (School of Business, University of Alberta); Ujjayant Chakravorty (Tufts University and Toulouse School of Economics); Martino Pelli (Department of Economics, University of Sherbrooke); Anna Risch (GAEL, University Grenoble Alpes) |
| Abstract: | Fuelwood collection is often cited as the most important cause of deforestation in developing countries. Use of fuelwood in cooking is a leading cause of indoor air pollution. Using household data from India, we show that households located farther away from the forest spend more time collecting. Distant households are likely to sell more fuelwood and buy less. That is, lower access to forests increases fuelwood collection and sale. This counter-intuitive behavior is triggered by two factors: lower access to forests (a) increases the fixed costs of collecting, which in turn leads to more collection; and (b) drives up local fuelwood prices, which makes collection and sale more profitable. We quantify both these effects. Using our estimates we show that a fifth of the fuelwood collected is consumed outside of rural areas, in nearby towns and cities. Our results imply that at the margin, fuelwood scarcity may lead to increased collection and sale, and exacerbate forest degradation. |
| Keywords: | Energy Access, Cooking Fuels, Deforestation, Forest Cover, Fuelwood Collection |
| JEL: | D10 O13 Q42 |
| Date: | 2018–07 |
| URL: | http://d.repec.org/n?u=RePEc:fem:femwpa:2018.21&r=env |
| By: | Allen, D.E.; McAleer, M.J. |
| Abstract: | A set of 115 tweets on climate change by President Trump, from 2011 to 2015, are analysed by means of the data mining technique, sentiment analysis. The intention is to explore the contents and sentiments of the messages contained, the degree to which they differ, and their implications about his understanding of climate change. The results suggest a predominantly negative emotion in relation to tweets on climate change, but they appear to lack a clear logical framework, and confuse short term variations in localised weather with long term global average climate change. |
| Keywords: | Sentiment Analysis, Polarity, Climate Change, Scientific Verification, Weather |
| JEL: | A1 C88 C44 Z0 |
| Date: | 2018–05–30 |
| URL: | http://d.repec.org/n?u=RePEc:ems:eureir:107293&r=env |
| By: | Branko Boskovic; Ujjayant Chakravorty; Martino Pelli; Anna Risch |
| Abstract: | Fuelwood collection is often cited as the most important cause of deforestation in devel- oping countries. Use of fuelwood in cooking is a leading cause of indoor air pollution. Using household data from India, we show that households located farther away from the forest spend more time collecting. Distant households are likely to sell more fuel- wood and buy less. That is, lower access to forests increases fuelwood collection and sale. This counter-intuitive behavior is triggered by two factors: lower access to forests (a) increases the xed costs of collecting, which in turn leads to more collection; and (b) drives up local fuelwood prices, which makes collection and sale more pro table. We quantify both these e ects. Using our estimates we show that a fth of the fuelwood collected is consumed outside of rural areas, in nearby towns and cities. Our results imply that at the margin, fuelwood scarcity may lead to increased collection and sale, and exacerbate forest degradation. |
| Keywords: | energy access, cooking fuels, deforestation, forest cover, fuelwood collection |
| JEL: | D10 O13 Q42 |
| Date: | 2018 |
| URL: | http://d.repec.org/n?u=RePEc:tuf:tuftec:0826&r=env |
| By: | Almut Balleer (RWTH Aachen University, School of Business and Economics); Morten Endrikat (RWTH Aachen University, School of Business and Economics) |
| Abstract: | For several decades, there has been a discussion in economics on how to appropriately measure economic welfare. Although it is common perception that a simple GDP evaluation bears several shortcomings, GDP per capita is still the most prominent measure of countries’ welfare and of its development over time. In a recent paper, Jones and Klenow (2016) extend the huge existing literature on alternative welfare measures by a concept that is based on a utility framework and that incorporates, besides consumption, also life expectancy, inequality, and leisure. In this paper, we add a component of environmental quality, in particular air pollution, to this framework and show that for some country groups accounting for air quality remarkably changes their relative welfare position, both in terms of levels and growth rates over time. Especially for some emerging countries we find strong welfare reductions due to high levels of air pollution. Nevertheless, on average, our welfare measure is still highly correlated with GDP per capita. Our results highlight the importance of environmental aspects in welfare accounting. |
| Keywords: | Economic Welfare, Economic Development, Air Pollution, Environmental Economics |
| JEL: | D63 I12 O54 O57 Q53 Q56 |
| Date: | 2018 |
| URL: | http://d.repec.org/n?u=RePEc:mar:magkse:201817&r=env |
| By: | Zhao, Jinhua (Asian Development Bank Institute) |
| Abstract: | We compare aggregate emission intensity, quantity, and price targets adopted at the national level but implemented cost effectively at the firm level. We obtain simple ranking conditions that depend on the slope ratio of marginal emission damage and marginal abatement cost curves, and threshold parameters determined by the variance and covariance of GDP and business-as-usual emission. We apply the ranking conditions to the top 12 carbon dioxide emitters with specific greenhouse gas targets in the Paris Agreement, and obtain a robust result that intensity targets dominate quantity targets for most of these nations. |
| Keywords: | aggregate intensity target; quantity target; price target; climate change; INDC; Paris Agreement |
| JEL: | Q58 |
| Date: | 2018–03–01 |
| URL: | http://d.repec.org/n?u=RePEc:ris:adbiwp:0813&r=env |
| By: | Blum, Bianca; Hübner, Julian; Müller, Sarah; Neumärker, Karl Justus Bernhard |
| Abstract: | [Introduction ...] This paper explores the factors that influence the emergence and extent of rebound effects and the challenges that arise for a sustainable environmental policy. The focus here is on increasing energy efficiency and the energy consumption decisions on the consumer side. The starting point of this investigation is the concept of the rebound effect, whose definition is based on the most common classification in the much-cited works by Greening et. al. (2000) and Berkhout et. al. (2000). Based on this, the main part of this paper is dedicated to the different factors influencing the rebound effect. The last section addresses the challenges arising for an environmental policy to promote energy efficiency. |
| Date: | 2018 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:cenwps:022018&r=env |
| By: | Charles F. Mason |
| Abstract: | There is an emerging consensus that carbon emissions must be limited. An attractive approach to promoting carbon reductions is to encourage reductions in deforestation. But any such strategy must confront a basic problem: agents that might be induced to reduce their actions which would reduce forests have private information about their opportunity costs. This concern seems particularly likely to apply in situations where there are significant related risks, as agents seem highly likely to differ in their tolerance for risk. In this paper, I investigate a contracting scheme designed to mitigate the asymmetric information problem where agents are heterogeneous in their tolerance for risk. Mechanisms that recognize the potential insurance value associated with the acquisition of sequestration services, and that pay attention to landholders’ private information about risk tolerance, offer a sensible way to approach the problem. These contracts are generally a cheaper approach to maintenance of forests than a simple, constant per-unit subsidy. |
| Keywords: | incentive contracting, risk aversion, deforestation |
| JEL: | D04 D86 L15 Q54 |
| Date: | 2018 |
| URL: | http://d.repec.org/n?u=RePEc:ces:ceswps:_7067&r=env |
| By: | Fernando M. Aragón (Institute for Fiscal Studies); Francisco Oteiza (Institute for Fiscal Studies and EDePo @ Institute for Fiscal Studies); Juan Pablo Rud (Institute for Fiscal Studies and Royal Holloway) |
| Abstract: | This paper examines how farmers adapt, in the short-run, to extreme heat. Using a production function approach and micro-data from Peruvian households, we find that high temperatures induce farmers to increase the use of inputs, such as land and domestic labor. This reaction partially attenuates the negative effects of high temperatures on output. We interpret this change in inputs as an adaptive response in a context of subsistence farming, incomplete markets, and lack of other coping mechanisms. We use our estimates to simulate alternative climate change scenarios and show that accounting for adaptive responses is quantitatively important. |
| JEL: | O13 O12 Q12 Q15 Q51 Q54 |
| Date: | 2018–02–23 |
| URL: | http://d.repec.org/n?u=RePEc:ifs:ifsewp:18/06&r=env |
| By: | Choi, Jai-Young (Asian Development Bank Institute); Yu, Eden S. H. (Asian Development Bank Institute) |
| Abstract: | We explore the welfare consequences of international outsourcing in the presence of resulting environmental damage in a three-stage model of North–South trade. In stage 1, outsourcing firms in the North (e.g., United States and Europe）cause environmental damage to the vendor country in the South, as exemplified by the People’s Republic of China. But, as its primary goal, the South pursuing economic development is willing to bear the costs of environmental degradation. Moving into Stage II, the environmental deterioration becomes so severe in the South that the vendor country begins to tackle the environmental problem by enacting government regulations. As a result, the costs and, hence, the prices of outsourced goods and services tend to increase for the firms in the North. However, the environmental protection measures undertaken generally fall short of the levels needed to restore the environmental quality acceptable by World Health Organization standards. We present a framework for analyzing the effects of international outsourcing on environment and, ultimately, social welfare in terms of gains and losses under three alternative scenarios regarding no, partial, or full accountability for outsourcing induced environmental damages. The policy implication is clear: to fully resolve the environmental problem in Stage III, the implementation of strong regulations or the fostering international cooperation is desirable; that is, until the environmental costs of outsourcing are fully accounted for by the outsourcing firms in the North. Such firms, however, may react by resorting to insourcing, diversified outsourcing and other strategies. |
| Keywords: | outsourcing; labor-augmenting effect; environmental costs; internalization; vendor countries |
| JEL: | F11 F13 F22 |
| Date: | 2018–06–13 |
| URL: | http://d.repec.org/n?u=RePEc:ris:adbiwp:0848&r=env |
| By: | Chris Giguere; Chris Moore; John C. Whitehead |
| Abstract: | Sensitivity to the scope of public good provision is an important indication of validity for the contingent valuation method. An online survey was administered to an opt-in, or non-probability sample, panel in September 2017 to estimate the willingness-to-pay to protect hemlock trees from a destructive invasive species on federal land in North Carolina. We collected survey responses from 907 North Carolina residents. We find evidence that attribute non-attendance is a factor when testing for sensitivity to scope. When estimating the model with stated attribute non-attendance the ecologically and socially important scope coefficients become positive and statistically significant. Key Words: |
| Date: | 2018 |
| URL: | http://d.repec.org/n?u=RePEc:apl:wpaper:18-07&r=env |
| By: | Chang, C-L.; McAleer, M.J.; Zuo, G. |
| Abstract: | Recent research shows that efforts to limit climate change should focus on reducing emissions of carbon dioxide over other greenhouse gases or air pollutants. Many countries are paying substantial attention to carbon emissions to improve air quality and public health. The largest source of carbon emissions from human activities in some countries in Europe and elsewhere is from burning fossil fuels for electricity, heat, and transportation. The price of fuel influences carbon emissions, but the price of carbon emissions can also influence the price of fuel. Owing to the importance of carbon emissions and their connection to fossil fuels, and the possibility of Granger (1980) causality in spot and futures prices, returns and volatility of carbon emissions, it is not surprising that crude oil and coal have recently become a very important research topic. For the USA, daily spot and futures prices are available for crude oil and coal, but there are no daily spot or futures prices for carbon emissions. For the EU, there are no daily spot prices for coal or carbon emissions, but there are daily futures prices for crude oil, coal and carbon emissions. For this reason, daily prices will be used to analyse Granger causality and volatility spillovers in spot and futures prices of carbon emissions, crude oil, and coal. A likelihood ratio test is developed to test the multivariate conditional volatility Diagonal BEKK model, which has valid regularity conditions and asymptotic properties, against the alternative Full BEKK model, which has valid regularity conditions and asymptotic properties under the null hypothesis of zero off-diagonal elements. Dynamic hedging strategies using optimal hedge ratios will be suggested to analyse market fluctuations in the spot and futures returns and volatility of carbon emissions, crude oil and coal prices. |
| Keywords: | Carbon emissions, Fossil fuels, Crude oil, Coal, Low carbon targets, Green energy, Spot and futures prices, Granger causality and volatility spillovers, Likelihood ration test, Diagonal BEKK, Full BEKK, Dynamic hedging |
| JEL: | C58 L71 O13 P28 Q42 |
| Date: | 2017–05–01 |
| URL: | http://d.repec.org/n?u=RePEc:ems:eureir:100331&r=env |
| By: | Yoshino, Naoyuki (Asian Development Bank Institute); Taghizadeh-Hesary, Farhad (Asian Development Bank Institute) |
| Abstract: | The main obstacle to developing green energy projects is lack of access to finance. For larger energy projects (e.g., large hydropower projects), insurance and pensions are sustainable financing alternatives. Large energy projects are long-term investment projects; banks are not able to provide long-term loans because their resources (deposits) are short- to medium-term. Pension funds and insurance companies hold long-term savings, so these institutions could be a proper alternative for financing mega-size energy projects. On the other hand, because electricity tariffs are often regulated by the government, to increase the investment incentives the spillover effects originally created by energy supplies need to be used, and tax revenues refunded to the investors in energy projects. For smaller-size green projects, the paper provides a theoretical model for combining utilisation of carbon tax and a new way of financing risky capital, i.e., hometown investment trust funds (HITs). Because of the Basel capital requirement, and because most green energy projects from the point of view of financers are considered risky projects, many financers are reluctant to lend to them or they lend at high interest rates. We show that by taxing carbon dioxide (CO2), sulphur dioxide (SO2), and nitrogen oxides (NOx) and allocating those tax revenues to HITs, green projects will become more feasible and more interesting for hometown investors; hence the supply of investment money to these funds will increase. |
| Keywords: | carbon tax; green energy; renewable energy; hometown investment trust funds; HITs |
| JEL: | E62 G21 Q21 |
| Date: | 2017–07–11 |
| URL: | http://d.repec.org/n?u=RePEc:ris:adbiwp:0761&r=env |
| By: | Jha, Shikha (Asian Development Bank Institute); Quising, Pilipinas (Asian Development Bank Institute); Ardaniel, Zemma (Asian Development Bank Institute); Martinez, Jr., Arturo (Asian Development Bank Institute); Wang, Limin (Asian Development Bank Institute) |
| Abstract: | Typhoons, floods, and other weather-related shocks can inflict suffering on local populations and create life-threatening conditions for the poor. Yet, natural disasters also present a development opportunity to upgrade capital stock, adopt new technologies, enhance the risk-resiliency of existing systems, and raise standards of living. This is akin to the “creative destruction” hypothesis coined by economist Joseph Schumpeter in 1943 to describe the process where innovation, learning, and growth promote advanced technologies as conventional technologies become outmoded. To test the hypothesis in the context of natural disasters, we look at the case of the Philippines—among the most vulnerable countries in the world to such disasters, especially typhoons. Using synthetic panel data regressions, we show that typhoon-affected households are more likely to fall into lower income levels, although disasters can also promote economic growth. Augmenting the household data with municipal fiscal data, we show some evidence of the creative destruction effect: Municipal governments in the Philippines helped mitigate the poverty impact by allocating more fiscal resources to build local resilience while also utilizing additional funds poured in by the national government for rehabilitation and reconstruction. |
| Keywords: | natural disasters; typhoons; poverty; household income mobility; foreign aid; fiscal transfers; municipalities; public spending; creative destruction |
| JEL: | H72 H75 H76 O53 Q54 R11 |
| Date: | 2018–03–07 |
| URL: | http://d.repec.org/n?u=RePEc:ris:adbiwp:0817&r=env |
| By: | Galina Alova; José Carlos Orihuela; Katia Karousakis |
| Abstract: | Peru relies significantly on its abundant natural capital for economic growth, development and human well-being. At the same time, the country’s rich terrestrial and marine biodiversity is subject to high pressure as a result of land-use change, overexploitation, industrial development and illegal mining and logging activities. This paper examines Peru’s efforts to integrate biodiversity into decision-making at different levels of the government and in various sectors of the economy. The analysis finds that the Peruvian government recognises the risk that depletion of the country’s natural capital may substantially undermine the long-term sustainability of the economy. Significant progress has been made to mainstream biodiversity, for example, through the creation of an enabling institutional and legal framework. However, a number of challenges remain, requiring targeted effective solutions, such as strengthening capacity of the public sector with a focus on the sub-national level, improving the quality and coverage of data to inform biodiversity mainstreaming, and scaling up biodiversity finance including through the use of economic instruments. |
| Keywords: | Biodiversity, ecosystem services, mainstreaming, Peru, sustainable development |
| JEL: | Q5 Q57 |
| Date: | 2018–07–10 |
| URL: | http://d.repec.org/n?u=RePEc:oec:dcdaaa:45-en&r=env |
| By: | Larisa Shakhovskaya (Volgograd State Technical University); Elena Petrenko (PRUE - Plekhanov Russian University of Economics [Moscow]); Alexandr Dzhindzholia (Volgograd State Technical University); Victoria Timonina (Volgograd State Technical University) |
| Abstract: | In this article are considered by authors the technological, resource and economic capacity of the Far East, the first stages of a cooperation between Russia and the largest gas importers in the Pacific Rim are described, the main projects and fields contributing to the development of a cooperation between the countries are also considered. Statistical methods of the analysis act as methodological base of a research. In modern conditions in relation to the energy sector of Russia (imposition of sanctions by the western countries) there is a reorientation of export deliveries to the EU to Asia-Pacific countries. In these conditions the Far East of Russia acts as a large oil and gas source which has advantages and opportunities to compete in the Asian market, using not only the favorable investment climate, but also the infrastructure developed for today's time. The carried-out analysis showed that Russia is the largest suppliers in the market of Asia-Pacific countries. Constantly interest in the Russian energy resources in the Asian market grows. It is connected with a geographical location of Russia, with high inventories of hydrocarbons in the Far East, safety of deliveries, low policy risks, etc. |
| Keywords: | consumption,import,competition,natural gass,market,Asia-Pacific countries,Russia,projects |
| Date: | 2018–03–30 |
| URL: | http://d.repec.org/n?u=RePEc:hal:journl:hal-01773992&r=env |
| By: | Chardin Carel Makita Kongo (APDHAC - Association Pour la Promotion Des Droits de l'Homme en Afrique Centrale - UNIVERSITE CATHOLIQUE D AFRIQUE CENTRALE, Université catholique d'Afrique centrale, Institut catholique de Yaoundé - Université catholique d'Afrique centrale, Institut catholique de Yaoundé) |
| Abstract: | Le présent article consiste à identifier les priorités du gouvernement de la République Congo en matière du développement durable et les changements climatiques qui peuvent être intégrer dans les projets REDD+. Cette dernière tente de démontrer comment le projet REDD+ contribuera à l'atténuation des effets des changements climatiques et au développement durable au Congo ? Comment le projet REDD+ répondra aux exigences d'efficacité, d'efficience et d'équité d'une économie verte dans un pays comme le Congo ? Comment le projet REDD+ pourrait servir de catalyseur de transformations vers une économie verte et rendre plus viables d'autres projets de développement durable dans un pays comme le Congo ? Comment le projet REDD+ aura un impact sur les droits des peuples autochtones au Congo ? Comment pourraient s'articuler et se développer, au bénéfice de la République du Congo, des collaborations et des partenariats entre les entités d'exécution du Fonds pour l'environnement mondial et les autres Agents et organismes d'exécution des financements climatiques. |
| Date: | 2018–06–24 |
| URL: | http://d.repec.org/n?u=RePEc:hal:wpaper:hal-01822249&r=env |
| By: | Daniel Jeongdae Lee, Nixie Abarquez, Kiatkanid Pongpanich and Farzana Sharmin (Macroeconomic Policy and Financing for Development Division, United Nations Economic and Social Commission for Asia and the Pacific) |
| Abstract: | Agenda for Sustainable Development, through its role in allocating resources to such critical areas as education, health and infrastructure, enhancing income distribution and addressing externalities, both positive and negative (e.g. Research and Development versus pollution). For fiscal policy to support development priorities in a sustainable manner, attention is needed to debt sustainability and other measures of fiscal space. This policy brief assesses how much fiscal space countries in the Asia-Pacific region have, and whether that space is being used effectively. |
| URL: | http://d.repec.org/n?u=RePEc:unt:pbmpdd:pb65&r=env |
| By: | Serhan Cevik; Guohua Huang |
| Abstract: | This how-to note focuses on the management of the fiscal costs associated with natural disaster risks. Unlike other types of fiscal risks (for example, unexpected macroeconomic changes or materialization of contingent liabilities), a natural disaster presents a unique challenge to fiscal risk-management and budget processes because of its exogenous nature and potentially overwhelming scale. This note discusses how governments can build fiscal resilience against natural hazards and strengthen fiscal management after a disaster, including through budgeting frameworks and other fiscal policies. The note aims to answer three central questions: How large should fiscal buffers be? How should fiscal buffers be built up? How should fiscal buffers be used efficiently and transparently once a natural disaster has struck? These three questions directly relate to fiscal policy, fiscal risk management, and the budget process—all core areas of IMF expertise. To address them, the note focuses on fiscal strategies for financing recovery efforts and considers approaches to mitigate disaster impact. The note also provides guidance on how to conduct regular risk analyses of natural disasters’ potential fiscal consequences and outlines best practices for defining and accounting for the contingent liabilities associated with natural disasters in budgeting frameworks. Finally, the note touches on approaches for risk reduction, disaster risk financing strategies, and risk transfer mechanisms, such as various insurance instruments. |
| Keywords: | Fiscal management;Fiscal policy;Fiscal sustainability;Natural disaster assistance;Climate changes;Fiscal management, Fiscal policy, Fiscal sustainability, Natural disaster assistance, Climate changes |
| Date: | 2018–06–11 |
| URL: | http://d.repec.org/n?u=RePEc:imf:imfhtn:18/03&r=env |
| By: | Vatcharin Sirimaneetham (Macroeconomic Policy and Financing for Development Division, United Nations Economic and Social Commission for Asia and the Pacific) |
| Abstract: | Achieving the Sustainable Development Goals (SDGs) will require a substantial increase in financial investments. For all developing countries worldwide, it is estimated that investment requirements to achieve SDGs would need to increase by $2.5 trillion per year during the period 2015-2030, based on the annual investment needs of about $3.9 trillion and current spending at $1.4 trillion. Studies that are focused only on infrastructure also suggest that the amount of required financial investments far exceeds the prevailing trends. For example, the infrastructure investment needs in a group of 26 Asia-Pacific least developed countries, landlocked developing countries and small island developing States are estimated at 10.5 per cent of GDP on average per year during the period 2016-2030, which exceeds their current infrastructure spending trend of 4-7.5 per cent of GDP. |
| URL: | http://d.repec.org/n?u=RePEc:unt:pbmpdd:pb71&r=env |
| By: | Alberto Troccoli |
| Abstract: | Geography, including climatic factors, have long been considered potentially important elements in shaping socio-economic activities. However, it has been argued that other possible drivers, particularly institutions, can be more important factors. Here we demonstrate that geography/climate variables satisfactorily explain the worldwide economic activity as measured by the per capita Gross Cell Product (GCP-PC) at a high geographical resolution, typically much higher than country average. A 1{\deg} by 1{\deg} GCP-PC dataset has been key for establishing and testing a direct relationship between 'local' geography/climate and GCP-PC. Not only have we tested the geography/climate hypothesis using many possible explanatory variables, importantly we have also predicted and reconstructed GCP-PC worldwide by retaining the most significant predictors. While this study confirms that latitude is the most important predictor for GCP-PC when taken in isolation, the accuracy of the GCP-PC prediction is greatly improved when other factors mainly related to variations in climatic variables, rather than average climatic conditions, are considered. However, latitude diminishes in importance when only the wealthier parts of the globe are considered. This work points to specific features of the climate system which appear key to driving economic activity, such as the variability in air pressure or the seasonal variations of dew point temperature. The implications of these findings range from a better understanding of why socio-economically better-off societies are geographically placed where they are, in the present, past and future, to informing where new economic activities could be established in order to yield favourable economic outcomes based on geography/climate conditions. |
| Date: | 2018–06 |
| URL: | http://d.repec.org/n?u=RePEc:arx:papers:1806.06358&r=env |
| By: | Luisa Dressler; Tibor Hanappi; Kurt van Dender |
| Abstract: | This paper shows that corporate tax provisions can lead to different effective tax rates (ETRs) if there is a capital cost-intensive and a variable cost-intensive way of producing the same output. It develops a framework for analysing sources of the difference in ETRs and adapts existing models to compare forward-looking ETRs for low-carbon and high-carbon electricity generation technologies, considering tax provisions for cost recovery in 36 countries. It finds that standard tax systems are technology neutral when investments are debt-financed because the deductibility of interest payments compensates for the fact that capital allowances are based on nominal (rather than real) capital costs. Under equity finance, ETRs are higher for investments in capital-cost-intensive technologies as the cost of equity finance is often not deductible. Since low-carbon electricity generation tends to be relatively capital-intensive, this result represents a form of unintentional misalignment of the corporate tax system with decarbonisation objectives,. |
| Keywords: | corporate taxation, cost structure, electricity generation, low-carbon transition, technology choice |
| JEL: | G11 H25 O14 Q48 |
| Date: | 2018–07–19 |
| URL: | http://d.repec.org/n?u=RePEc:oec:ctpaaa:37-en&r=env |
| By: | Patrick Lloyd-Smith (Department of Agricultural and Resource Economics, University of Saskatchewan); Ewa Zawojska (Faculty of Economic Sciences, University of Warsaw); Wiktor L. Adamowicz (Department of Resource Economics and Environmental Sociology) |
| Abstract: | “Contingent valuation” (“CV”) and “choice experiments” (“CE”) are generally introduced as two separate stated preference methods to estimate welfare measures, and a large literature investigates their convergent validity. We first review the literature comparing “CV” and “CE”, and show that these comparisons typically differ in (1) the number of options presented per value elicitation task, (2) the number of tasks given to a single respondent, (3) the framing of tasks, (4) the set (and order) of attributes characterizing options in tasks, (5) sizes of “CV” and “CE” samples, (6) econometric models used for data analysis, and (7) the format of information presented. Despite the wide variety of applications, we argue that the main (and perhaps only) difference between “CV” and “CE” is the presentation of information in elicitation tasks: as text in “CV” and as a table in “CE”. We then assess the effect of presentation of information in an induced-value experiment. We find that participants perform equally well in “CV” and “CE” tasks in terms of making payoff-maximizing choices based on the induced values, but “CV” tasks take substantially more time to answer. A significant difference between payoff-maximizing choices in “CV” and “CE” is observed when only answers to the first elicitation task are considered. This latter finding is particularly important in light of recommendations for stated preference research that suggest that valuation studies should use only one task for eliciting preferences. |
| Keywords: | Stated preference, Contingent valuation, Choice experiment, Experimental economics |
| JEL: | Q51 D6 H4 C91 M31 |
| Date: | 2018 |
| URL: | http://d.repec.org/n?u=RePEc:war:wpaper:2018-14&r=env |