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on Environmental Economics |
| By: | PRASANTA SAHOO (JADAVPUR UNIVERSITY, Department of Mechanical Engineering) |
| Abstract: | Due to growing environmental concern, an initiative to switch towards eco-friendly options for engineering problems has been observed lately. Tribology is one such domain in which a lot of scope exists for employing eco-sustainable solutions. The present article discusses the tribological materials from an eco-sustainable viewpoint. Various surface finishing methods and bio friendly lubricants have been deliberated. Besides, suitable biomimetic techniques have also been presented. Finally some aspects touching the economics and eco-sustainable philosophies relevant to the subject have been discussed.Eco sustainable tribology should be integrated into world science and make its impact on the solutions for worldwide problems, such as the change of climate and the shortage of food and drinking water. Tribology can be made a green process by have minimal loss of energy, longer life of devices, lesser emission of greenhouse gases and lower use of toxic materials. Lot of scope exists for achieving this which can be though use of natural materials for tribological purposes where possible, development of multifunctional coatings, reducing the loss of frictional energy by making surfaces smoother and increasing the life of device by having lower wear and corrosion. Lubrication is one key field where lot of scope exists to make to make the process eco-sustainable. Finally, strategic global policies are to be undertaken so that people are bound to go for eco-sustainable solution in tribology. |
| Keywords: | Tribology; Eco-sustainable; global policy |
| Date: | 2019–07 |
| URL: | http://d.repec.org/n?u=RePEc:sek:iacpro:9110683&r=all |
| By: | Sittiphat Lerdsrichainon (Faculty of Economics, Srinakharinwirot University); Nantarat Tangvitoontham (Faculty of Economics, Srinakharinwirot University); Sittidaj Pongkijvorasin (Faculty of Economics, Chulalongkorn University) |
| Abstract: | This research aims to investigate the indirect values of the forest, which are transformed to rubber plantation and agricultural crops. These have the negative effects to the environment. The study used Contingent Valuation Method (CVM) to explore and estimate the indirect values of the ?Kao Lhong Forest? such as the mineral in soil, the water absorption, CO2 absorption, the protection of storm and the temperature control. The questionnaires and in-dept interview techniques are applied in order to directly collect the data from the 380 local people in landslide area at Kao Lhong Forest.The research found that the local people are focusing on the indirect values, which have the effects on the community at the medium level. Good climate conditions is the most important element. Its value is averagely 3.29. Second important element is that Kao Lhong Forest prevent storms, which its value is 3.10. Lastly, the least average value of the important elements is water origin and soil absorb which is 2.84. Only 168 respondents willing to pay for the indirect benefits, which is averagely 77.63 baht per month. This study found that the maximum willingness to pay is for good soil quality (Conserve Nutrition) which is 20.68 baht per month. Additionally, the minimum willingness to pay is for the absorbing of Carbon Dioxide, which the value is 13.64 baht per month. |
| Keywords: | Indirect value, Forest valuing, Contingent Valuation Method |
| JEL: | Q50 |
| Date: | 2019–07 |
| URL: | http://d.repec.org/n?u=RePEc:sek:iacpro:9110924&r=all |
| By: | Hiroaki Ino (School of Economics, Kwansei Gakuin University); Toshihiro Matsumura (Institute of Social Science, The University of Tokyo) |
| Abstract: | This study shows the first-best optimality of an emission tax based on emission intensity targets.Emissions are taxed when a firm’s emission intensity exceeds the targeted level. The literature on environmental tax shows that Pigovian tax, which internalizes negative externality, yields the first-best optimum under perfect competition, whereas the same is not true under imperfect competition. We show that even under imperfect competition, the combination of uniform emission tax and nonuniform emission intensity targets leads to the first best. The first-best uniform tax rate is always equal to the Pigovian tax. This principle can also apply to the policy combination of tradable emission permits and emission intensity targets. |
| Keywords: | optimal taxation, emission intensity regulation, Cournot competition, Bertrand competition, renewable portfolio standard |
| JEL: | Q58 Q48 H23 L51 |
| Date: | 2019–10 |
| URL: | http://d.repec.org/n?u=RePEc:kgu:wpaper:199&r=all |
| By: | Akintoye V. Adejumo (Obafemi Awolowo University, Ile-Ife, Nigeria); Simplice A. Asongu (Yaoundé, Cameroon) |
| Abstract: | Globally, investments in physical and human capital have been identified to foster real economic growth and development in any economy. Investments, which could be domestic or foreign, have been established in the literature as either complements or substitutes in varying scenarios. While domestic investments bring about endogenous growth processes, foreign investment, though may be exogenous to growth, has been identified to bring about productivity and ecological spillovers. In view of these competing–conflicting perspectives, this chapter examines the differential impacts of domestic and foreign investments on green growth in Nigeria during the period 1970-2017. The empirical evidence is based on Auto-regressive Distributed Lag (ARDL) and Granger causality estimates. Also, the study articulates the prospects for growth sustainability via domestic or foreign investments in Nigeria. The results show that domestic investment increases CO2 emissions in the short run while foreign investment decreases CO2 emissions in the long run. When the dataset is decomposed into three sub-samples in the light of cycles of investments within the trend analysis, findings of the third sub-sample (i.e. 2001-2017) reveal that both types of investments decrease CO2 emissions in the long run while only domestic investment has a negative effect on CO2 emissions in the short run. This study therefore concludes that as short-run distortions even out in the long-run, FDI and domestic investments has prospects for sustainable development in Nigeria through green growth. |
| Keywords: | Investments; Productivity; Sustainability; Growth |
| JEL: | E23 F21 F30 O16 O55 |
| Date: | 2019–01 |
| URL: | http://d.repec.org/n?u=RePEc:exs:wpaper:19/078&r=all |
| By: | Happe, Anne-Kathrin; Wolf, Christine; Raab, Kristina; Hauck, Jennifer; Scheve, Jan; Buttigieg, Pier Luigi; Jax, Kurt; Krause, Gesche |
| Abstract: | [Hintergrund] Der aktuelle globale Bericht des Weltbiodiversitätsrats (Intergovernmental Science-Policy Platform on Biodiversity and Ecosystem Services; IPBES) (IPBES 2019) ist einer der hoch-rangigen internationalen Berichte zu wichtigen Erd- und Umweltfragen, die im UN-Kontext erstellt werden und einen konkreten Bezug zu den UN-Nachhaltigkeitszielen (Sustainable Development Goals, SDGs) haben. Er zeigt, wie stark der Rückgang von Ökosystemleistungen die Lebensgrundlage der Menschen auf der Erde gefährdet: So sind bis zu eine Million Tier- und Pflanzenarten vom Aussterben bedroht. Die IPBES Autor*innen lassen keinen Zweifel daran, dass es einer tiefgreifenden Veränderung unserer Lebens- und Wirtschaftsweise bedarf, um diesem Massensterben Einhalt zu gebieten. Nur durch eine nachhaltige Nutzung ökologischer Ressourcen können wir den Hauptursachen des Biodiversitätsverlusts, der Reduktion von Ökosystemleistungen und der Zerstörung von Lebensräumen, entgegenwirken (IPBES 2019). Die Schlussfolgerungen des globalen IPBES Berichts und anderer IPBES Berichte sind von großer politischer Relevanz. Dadurch, dass die Berichte von 131 nationalen Regierungen mit-getragen werden und die Staaten entlang des gesamten Erstellungsprozesses an den Berichten beteiligt sind (z.B. bei der Auswahl von Themen und Expert*innen, der Einbindung von Stakeholder*innen oder der Zusammenfassung für Entscheidungsträger*innen (IPBES 2012)), erhalten ihre Ergebnisse politisches Gewicht. Dabei ist das nationale Engagement für globale Umweltpolitik und Forschung im Umweltbereich nicht auf IPBES beschränkt. Zwischenstaatliche Organisationen wie der IPCC (Intergovermental Panel on Climate Change), ICES (International Council for the Exploration of the Seas) oder IPBES spielen eine immer größer werdende Rolle in der globalen Umweltpolitik; sie alle besitzen eine zunehmende Deutungs-hoheit sowie politische und gesellschaftliche Autorität (Beck et al. 2014). Die Verleihung des Friedensnobelpreises an den IPCC im Jahr 2007 ist dafür ein deutliches Zeichen (Beck et al. 2014). Während die Berichte dieser Organisationen in globalen Politikprozessen eine wichtige Rolle spielen (z.B. für die Konvention zur Biologischen Vielfalt - CBD), fließen ihre Ergebnisse trotz der Beteiligung nationaler Politikakteur*innen selten in nationale politische Diskurse ein und finden in vielen Bereichen, zum Beispiel der Wirtschaftspolitik, bislang wenig Beachtung. Ein möglicher Grund dafür kann eine unzureichende wissenschaftliche Kontextualisierung auf Basis des nationalen politischen Bedarfes sein. Wir gehen davon aus, dass internationale Umweltberichte und ihre wissenschaftlichen Ergebnisse durch einen partizipativen, dialogorientierten Beratungsansatz für die nationale Politik-beratung aufbereitet werden können, um die Relevanz und die Anwendbarkeit der Ergebnisse zu steigern. Idealerweise mündet ein solcher Beratungsansatz in einen standardisierten Prozess, der nicht nur für einen konkreten Umweltbericht, sondern für eine Vielzahl von Um-weltberichten und Themen angewendet werden kann. Im vorliegenden Diskussionspapier stellen wir zunächst das INTERNAS-Projekt vor, das einen solchen Beratungsansatz entwickelt hat. Der INTERNAS-Prozess wird im Folgenden erläutert und reflektiert. Zusätzlich werden verschiedene in INTERNAS angewandte Einzel-methoden, wie beispielsweise Stakeholderdialoge und digitale Wissens-Repräsentationen (Ontologien) vorgestellt. |
| Date: | 2019 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:ufzdps:72019&r=all |
| By: | Gouri Sankar Bandyopadhyay (Syamsundar College India) |
| Abstract: | The severe effects of unprecedented climate change are justifiably considered a serious threat to human civilization in general and tribal-rural or aboriginal population in particular. The crisis has been identified globally but its consistently negative effects on indigenous people of the developing countries are not properly measured. In India such effects are projected to impact the millions of lives in folk-tribal heartland. It is historically proved that various effects of climate change such as sea level rise, recurrent floods, draughts, evaporation, increased cyclonic activities like tsunami, rising temperature have badly affected the downtrodden backward people like adivasis, Indian tribal, and their tradition-bound livelihood in this subcontinent. Due to changed weather pattern agricultural production has been rapidly declined in the last few decades in India. The present study needs to state that if climate change occurs in such way, India will lose land especially in the coastline and the rural economy will be affected drastically. In fact, climate change is a scary prospect especially for these rural populations whose culture is predominantly subsistence-based and non-urbanized in basic nature. The paper also tries to focus on the age-old indigenous awareness of ills of global warming and ongoing climatic change. The forested tribes have raised again and again their voices against the abrupt tree-falling and the timber merchant-contractors-politicians nexus that lies behind it. Growing social awareness of climate change and balanced sustainable development can minimize the vulnerability of these marginal populations. |
| Keywords: | climate change, damage to environment, indian aboriginal, livelihood, vulnerability |
| Date: | 2019–08 |
| URL: | http://d.repec.org/n?u=RePEc:smo:epaper:006gb&r=all |
| By: | C Magno (School of Economics, University of the Philippines Diliman); J Morillo (National Institute of Geological Sciences, University of the Philippines Diliman) |
| Abstract: | Water use is one of the most critical sustainability issues of the mining sector. It is important in each stage of the mining life cycle. The water use of the mine can introduce significant ecological changes. It can compete with the water use of households living in the community and other economic activities in the area. We look at the water use of two large scale mining companies and communities in Didipio, Nueva Viscaya and Taganito, Surigao del Norte. We compare water extraction with various factors such as mineral production, land use, rehabilitation, mine development, and environmental concerns. Based on our initial findings, the rate of water extraction of the two mines is significantly correlated with the level of mine development, rehabilitation and pollution control. In both cases, household consumption plays a minimal role in driving the demand for water. |
| Keywords: | mining; water use; water extraction; Philippines |
| JEL: | Q56 Q58 Q59 |
| Date: | 2019–10 |
| URL: | http://d.repec.org/n?u=RePEc:phs:dpaper:201903&r=all |
| By: | Guglielmo Maria Caporale; Gloria Claudio-Quiroga; Luis A. Gil-Alana |
| Abstract: | This paper examines the relationship between the logarithms of CO2 emissions and real GDP in China by applying fractional integration and cointegration methods. The univariate results indicate that the two series are highly persistent, their orders of integration being around 2, whilst the cointegration tests (using both standard and fractional techniques) imply that there exists a long-run equilibrium relationship between the two variables in first differences, i.e. their growth rates are linked together in the long run. This suggests the need for environmental policies aimed at reducing emissions during periods of economic growth. |
| Keywords: | CO2 emissions, GDP, China, persistence, fractional integration, fractional cointegration |
| JEL: | C22 C32 Q56 |
| Date: | 2019 |
| URL: | http://d.repec.org/n?u=RePEc:ces:ceswps:_7881&r=all |
| By: | Simplice A. Asongu (Yaoundé/Cameroon); Nicholas M. Odhiambo (Pretoria, South Africa) |
| Abstract: | This study investigates the relevance of government quality in moderating the incidence of environmental degradation on inclusive human development in 44 sub-Saharan African countries for the period 2000-2012. Environmental degradation is measured with CO2 emissions and the governance dynamics include: political stability, voice and accountability, government effectiveness, regulation quality, the rule of law and corruption-control. The empirical evidence is based on the Generalised Method of Moments. Regulation quality modulates CO2 emissions to exert a net negative effect on inclusive development. Institutional governance (consisting of corruption-control and the rule of law) modulates CO2 emissions to also exert a net negative effect on inclusive human development. Fortunately, the corresponding interactive effects are positive, which indicates that good governance needs to be enhanced to achieve positive net effects. A policy threshold of institutional governance at which institutional governance completely dampens the unfavourable effect of CO2 emissions on inclusive human development is established. Other policy implications are discussed. |
| Keywords: | CO2 emissions; Economic development; Africa |
| JEL: | C52 O38 O40 O55 P37 |
| Date: | 2019–01 |
| URL: | http://d.repec.org/n?u=RePEc:aby:wpaper:19/011&r=all |
| By: | Paolo Casini (KU Leuven); Edilio Valentini (University G. d’Annunzio of Chieti-Pescara) |
| Abstract: | There is a large consensus that low levels of carbon price cannot provide adequate incentives to invest in cleaner technologies and abate emissions. Since carbon demand and price tend to decrease during recessions, economists and policy makers have proposed different types of price stabilizing mechanisms (PSM) for emissions markets to prevent carbon price from falling too low. We investigate the effects of a PSM on investments and emissions and show that when unfavorable macroeconomic conditions reduce emissions, adjusting the supply of allowances to sustain their price may inhibit investments. Moreover, when firms invest in an integrated abatement technology, not only can emissions increase - an effect previously examined in the literature - but a PSM can exacerbate this effect when an exogenous negative shock curbs the demand of carbon. |
| Keywords: | Carbon Markets, Price Stabilizing Mechanisms, Macroeconomic Recession |
| JEL: | Q5 Q55 |
| Date: | 2019–07 |
| URL: | http://d.repec.org/n?u=RePEc:fem:femwpa:2019.16&r=all |
| By: | Brumme, Anja |
| JEL: | H41 |
| Date: | 2019 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:vfsc19:203655&r=all |
| By: | Engler, Daniel; Groh, Elke D.; Ziegler, Andreas |
| JEL: | Q42 Q54 A13 C25 Z12 |
| Date: | 2019 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:vfsc19:203610&r=all |
| By: | Hille, Erik; Althammer, Wilhelm; Diederich, Henning |
| JEL: | H23 O31 Q42 Q55 Q58 |
| Date: | 2019 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:vfsc19:203482&r=all |
| By: | H. Spencer Banzhaf; Yaqin Liu; Martin Smith; Frank Asche |
| Abstract: | Extending recent results in the industrial organization literature (Carvajal et al. 2013), we de-rive non-parametric tests of behavior consistent with the tragedy of the commons model. Our approach derives testable implications of such behavior under any arbitrarily concave, differentiable production function of total inputs and when individual extractors of the resource have any arbitrary convex, differentiable cost of supplying inputs. We extend the tests to account for behavioral errors in observed data and derive statistical tests based on “how far off” the marginal costs are from those that are consistent with the model. We also extend the tests to allow for sampling error and/or measurement error. Applying our approach to panel data of Norwegian fishers, we find evidence rejecting the tragedy of the commons model. Significantly, we find that rejection rates of the model increase after property rights reforms moved the fishery away from the tragedy of the commons. |
| JEL: | C14 C72 D21 D23 Q2 Q3 |
| Date: | 2019–10 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:26398&r=all |
| By: | Luca Farnia (FEEM); Laura Cavalli (FEEM); Sergio Vergalli (University of Brescia and FEEM) |
| Abstract: | In this paper we calculate the Italian Cities Sustainable Development Goals (SDGs) Composite Index potentially useful for policy analysis and dissemination of sustainable development at local level in Italy. Structured into several dimensions representing 16 out of 17 SDGs adopted by the United Nations at the end of September 2015, the index merges 53 available economic, social and environmental elementary indicators into a single composite dimension, highlighting a geographical and demographic heterogeneity within the country. By using the Spectral Value Decomposition technique, the index offers an urban focus of sustainability, showing some differences among the goals and the cities of Italy. Finally, it identifies the Goal concerning quality education and decent work and economic growth as the main key Goals for sustainability. |
| Keywords: | SDGs, Composite Index, Weighting, Correlation, Spectral Value Decomposition, Principal Component |
| JEL: | C4 O18 Q56 |
| Date: | 2019–07 |
| URL: | http://d.repec.org/n?u=RePEc:fem:femwpa:2019.18&r=all |
| By: | Ngo Van Long |
| Abstract: | The purpose of this paper is to model the influence of Kantian moral scruples in a dynamic environment. Our objectives are two-fold. Firstly, we investigate how a Nash equilibrium among agents who have moral scruples may ensure that the exploitation of a common property renewable resource is Pareto efficient at every point of time. Secondly, we outline a prototype model that shows, in an overlapping generation framework, how a community’s sense of morality may evolve over time and identifies conditions under which the community may reach a steady state level of morality in which everyone is perfectly Kantian. |
| Keywords: | tragedy of the commons, dynamic games, Nash equilibrium, self-image, categorical imperative |
| JEL: | C71 D62 D71 |
| Date: | 2019 |
| URL: | http://d.repec.org/n?u=RePEc:ces:ceswps:_7880&r=all |
| By: | Ziegler, Andreas |
| JEL: | Q50 A13 C93 D91 Q57 |
| Date: | 2019 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:vfsc19:203562&r=all |
| By: | Waichman, Israel; Requate, Tilman; Karde, Markus; Milinski, Manfred |
| Abstract: | Avoiding a catastrophic climate change event is a global public good characterized by several dimensions, notably heterogeneity between the parties involved. It is often argued that such heterogeneity between countries is a major obstacle to cooperative climate policy. We challenge this belief by experimentally simulating two important heterogeneities, in wealth and loss, when dangerous climate change occurs. We find that under loss heterogeneity the success rate in achieving sufficient mitigation to prevent catastrophic climate change is higher than with homogeneous parties. We also observe that neither endowment heterogeneity nor the combination of endowment and loss heterogeneities lead to significantly different success rates than with homogeneous parties. Our findings suggest that heterogeneities may facilitate rather than hinder successful international climate policy negotiations. |
| Keywords: | global public good,change negotiation,collective-risk social dilemma,endowmentheterogeneity,loss heterogeneity,focal point |
| JEL: | C92 D74 H41 Q54 |
| Date: | 2019 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:kcgwps:19&r=all |
| By: | Ilia Kuchin (National Research University Higher School of Economics); Gennady Baranovskii (National Research University Higher School of Economics); Yury Dranev (National Research University Higher School of Economics); Alexander Chulok (National Research University Higher School of Economics) |
| Abstract: | The goal of this research is to add to the existing corpus of knowledge concerning particular green finance instrument - green bonds. It tries to answer some questions relevant for both scholars and business in order to reinforce the development of green bonds market. One of these questions is whether green bonds issuance cause positive market reaction. Resent activities in global agenda, starting from United Nations Sustainable Goals released in 2015 and endings huge public attention for green issues in 2019 impose additional burden on companies’ competitiveness. Our major hypothesis is that ecological factors affect investors’ decisions whose portfolios and investment declarations are getting to be more aligned with global ecological agenda. The green bonds issuance provide a signal for investors that the issuing firm is involved in sustainable development and hence its stock may be included in the portfolio. The study discovers the significance of the “green” label for the stock market reaction. Alongside, it studies some other features of green bonds, fostering their evolvement and justifying their costs for issuers. |
| Keywords: | green bonds; stock returns; event study; bonds issuance |
| JEL: | Q01 G10 G12 G14 |
| Date: | 2019 |
| URL: | http://d.repec.org/n?u=RePEc:hig:wpaper:101sti2019&r=all |
| By: | Hasan, Ifthekhar; Noth, Felix; Tonzer, Lena |
| Abstract: | This paper investigates whether cultural norms shaped by religion drive consumer decisions after a corporate scandal. We exploit the unexpected notice of violation by the US Environmental Protection Agency in September 2015, accusing the car producer Volkswagen (VW) to have used software to manipulate car emission values during test phases. Using a difference-in-difference model, we show that new registrations of VW (diesel) cars decline significantly in German counties with a high share of Protestants following the VW scandal. Our results suggest that the enforcement culture rooted in Protestantism affects consumer decisions and penalises corporate fraud. |
| Keywords: | religion,corporate scandal,consumer choice,climate change |
| JEL: | D12 O30 Q50 Z12 |
| Date: | 2019 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:iwhdps:212019&r=all |
| By: | Levon Amatuni; Juudit Ottelin; Bernhard Steubing; Jos\'e Mogollon |
| Abstract: | Car-sharing platforms provide access to a shared rather than a private fleet of automobiles distributed in the region. Participation in such services induces changes in mobility behaviour as well as vehicle ownership patterns that could have positive environmental impacts. This study contributes to the understanding of the total mobility-related greenhouse gas emissions reduction related to business-to-consumer car-sharing participation. A comprehensive model which takes into account distances travelled annually by the major urban transport modes as well as their life-cycle emissions factors is proposed, and the before-and-after analysis is conducted for an average car-sharing member in three geographical cases (Netherlands, San Francisco, Calgary). In addition to non-operational emissions for all the transport modes involved, this approach considers the rebound effects associated with the modal shift effect (substituting driving distances with alternative modes) and the lifetime shift effect for the shared automobiles, phenomena which have been barely analysed in the previous studies. As a result, in contrast to the previous impact assessments in the field, a significantly more modest reduction of the annual total mobility-related life-cycle greenhouse gas emissions caused by car-sharing participation has been estimated, 3-18% for three geographical case studies investigated (versus up to 67% estimated previously). This suggests the significance of the newly considered effects and provides with the practical implications for improved assessments in the future. |
| Date: | 2019–10 |
| URL: | http://d.repec.org/n?u=RePEc:arx:papers:1910.11570&r=all |
| By: | Helm, Carsten; Mier, Mathias |
| JEL: | H23 Q42 Q58 O33 |
| Date: | 2019 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:vfsc19:203539&r=all |
| By: | Titus Corlatean (Dimitrie Cantemir Christian University, Bucharest, Romania) |
| Abstract: | Through all his life, the humans seek happiness. Across the world, people aspire to live happily without fear to something or someone, and in harmony with God or with nature. In a world shaken by economic crisis, natural disasters or armed conflicts, life has shown that to be truly happy, in addition to material wealth, people also need spiritual wellbeing. We need a new paradigm of sustainable development. Economic wellbeing, social and a healthy environment together define the concept of happiness on a global scale. This might be implemented through a generic index named the gross global happiness index. UN, OECD, EC bodies and governments of some countries have understood that only economic indicators are not enough to develop public policies able to find solutions to the problems of the contemporary world. Economic data should be complemented with information designed to measure quality of life not only in material terms. The international community should promote sustainable development capable of ensuring every opportunity to seek happiness. The debates on the subject, held at international level could result, among other things, that the right to happiness should be recognized legally binding. There are already proposals for inclusion in the Charter of Fundamental Rights of the European Union. This paper is a call for continued efforts made by the governments of some countries and several international bodies towards the elaboration of public policies able to lead to sustainable development and improving the quality of life. |
| Keywords: | right to happiness, prosperity, human rights, sustainable development, public policy, GDP, economic growth, international community, the United Nations |
| Date: | 2019–08 |
| URL: | http://d.repec.org/n?u=RePEc:smo:epaper:008tc&r=all |
| By: | Semrau, Finn Ole; Hanley, Aoife |
| JEL: | F18 O31 Q52 Q56 |
| Date: | 2019 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:vfsc19:203635&r=all |
| By: | Markwardt, Gunther; Hecker, Lutz; Wätzold, Frank |
| JEL: | Q01 Q53 Q58 |
| Date: | 2019 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:vfsc19:203627&r=all |
| By: | Requate, Tilman; Camacho-Cuena, Eva; Ch'ng, Kean Siang; Waichman, Israel |
| Abstract: | We experimentally test the truth-telling mechanism proposed by Montero (2008) for eliciting firms' abatement costs. We compare this mechanism with two well-known alternative allocation mechanisms, free and costly allocation of permits at the Pigouvian price. Controlling for the number of firms and the firms' maximal emissions, we find that, in line with the theoretical predictions, firms over-report their maximal emissions under free allocation of permits and under-report these under costly allocation of permits. Under Montero's mechanism, by contrast, firms almost always report their maximal emissions truthfully. However, in terms of efficiency, the difference between Montero's mechanism and costly allocation disappears with industries including more than one firm. |
| Keywords: | mechanism design,environmental policy,permit trading,auctions,experiment |
| JEL: | C92 D44 L51 Q28 |
| Date: | 2019 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:kcgwps:18&r=all |
| By: | Gutsche, Gunnar; Ziegler, Andreas |
| JEL: | Q55 O32 O33 C23 C25 |
| Date: | 2019 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:vfsc19:203617&r=all |
| By: | Samuel Carrara (Fondazione Eni Enrico Mattei (FEEM) and Renewable and Appropriate Energy Laboratory (RAEL), University of California) |
| Abstract: | Nuclear is considered as a valuable option for the decarbonization of the power generation, as it is a no-carbon, yet commercially consolidated technology. However, its real prospects are uncertain: if some countries, especially in the non-OECD area, have been extensively investing in nuclear, many OECD countries, which host the vast majority of operational reactors worldwide, feature old fleets which will not be replaced, as phase-out policies are being implemented. Research scenarios often consider polarized conditions based on either a global unconstrained nuclear development or a generalized phase-out. The main aim of this work is instead to explore the techno-economic implications of policy-relevant scenarios, designed on the actual nuclear prospects in the world regions, i.e. mainly differentiating policy constraints between the OECD and the non-OECD regions. The analysis, conducted via the Integrated Assessment Model WITCH, shows that nuclear generation constantly grows over the century, even if in general the nuclear share in the electricity mix does not significantly change over time, both at a global and at a European level. Over time, and especially if constraints are applied to nuclear deployment, the nuclear contribution is compensated by renewables (mainly wind and solar PV) and, to a lower extent, by CCS (only marginally in the EU). The policy costs related to the nuclear phase-out are not particularly high (0.4% additional global GDP loss with respect to the unconstrained policy scenario), as they are almost completely compensated by innovation and technology benefits in renewables and energy efficiency. Phase-out policies applied only to the OECD regions do not entail any additional policy costs, while non-OECD regions marginally benefit from lower uranium prices. A sudden shutdown of nuclear reactors in the OECD regions results in a doubling of these losses and gains. |
| Keywords: | Nuclear, Power Generation, Climate Change Mitigation, Integrated Assessment Models |
| JEL: | C69 Q43 Q54 |
| Date: | 2019–07 |
| URL: | http://d.repec.org/n?u=RePEc:fem:femwpa:2019.19&r=all |
| By: | Marian Kachniarz (Wroclaw University of Environmental and Life Sciences, Wroclaw, Poland); Zbigniew Piepiora (Wroclaw University of Environmental and Life Sciences, Wroclaw, Poland) |
| Abstract: | Urban functional areas usually extend beyond the city's administrative boundaries. As a result, there is a problem of coordinating effective public service provision between the city and its suburbs. A review of world experience shows that two institutional solutions are usually applied here – intercommunal cooperation or adaptation of administrative borders to the scope of the functional zone. However, the studies so far have not provided an answer as to which method is more effective. The objective of the paper is to compare the processes of adapting administrative borders to urban functional areas. The hypothesis was formulated that uniform management of the entire functional area favors effectiveness and institutional sustainability of public service provision. Princeton in the USA and Lubin in Poland were selected as case studies. Princeton is an example of successful administrative consolidation of the city with the surrounding rural commune, while in Lubin, unfortunately, such a project was not implemented. In the conclusion was found that inter-communal cooperation does not provide sustainable solutions and is exposed to cadenza changes of decision-makers. The most effective seems to be the consolidation of individuals, but its success depends on a very well prepared and transparent procedure. |
| Keywords: | urban functional area, administrative consolidation, public services, inter-communal cooperation |
| Date: | 2019–08 |
| URL: | http://d.repec.org/n?u=RePEc:smo:epaper:007mk&r=all |
| By: | Kristina Govorukha (TU Bergakademie Freiberg); Philip Mayer (TU Bergakademie Freiberg); Dirk Rübbelke (TU Bergakademie Freiberg); Stefan Vögele (Forschungszentrum Jülich GmbH, Institute of Energy and Climate Research – Systems Analysis andTechnology Evaluation) |
| Abstract: | The main drivers of transformation processes of electricity markets stem from climate policies and changing economic environments. In order to analyse the respective developments, modelling approaches regularly rely on multiple structural and parametric simplifications. For example, discontinuities in economic development (recessions and booms) are frequently disregarded. Distorting effects that are caused by such simplifications tend to scale up with an extension of the time horizon of the analysis and can significantly affect the accuracy of long-term projections. In this study, we include information on economic discontinuities and elaborate on their influences on short-and long-term modelling outcomes. Based on historical data, we identify the impact of a high-amplitude change in economic parameters and examine its cumulative effect on the German electricity market by applying a techno-economic electricity market model for the period from 2005 to 2014. Similar changes may consistently occur in the future and we expect that a more comprehensive understanding of their effects on long-term scenarios will increase the validity of long-term models. Results indicate that policy decision making based on modelling frameworks can benefit from a comprehensive understanding of the underlying simplifications of most scenario studies. |
| Keywords: | Scenario Analysis, Electricity Markets, Economic Development, Energy Market Modelling, Uncertainty, Macroeconomic Cycles, Electricity Production |
| JEL: | Q4 Q43 |
| Date: | 2019–07 |
| URL: | http://d.repec.org/n?u=RePEc:fem:femwpa:2019.17&r=all |
| By: | OECD |
| Abstract: | National development banks (NDBs) and development finance institutions – domestically focused, publicly owned financial institutions with a specific development mandate – are poised to play a role in bridging the investment gap for climate-compatible infrastructure in developing countries. But delivering on the Paris Agreement will require NDBs to transition from their traditional role as ‘financer’ to ‘mobiliser’ of investment for infrastructure, and to be better recognised in the international climate and development finance landscape. This paper highlights the role of NDBs drawing from case studies of the Brazilian Banco Nacional de Desenvolvimento Econômico e Social and the Development Bank of Southern Africa. As such, it provides important impetus to the international discourse on decisive climate action. |
| Date: | 2019–10–30 |
| URL: | http://d.repec.org/n?u=RePEc:oec:envaac:18-en&r=all |
| By: | Janmaat, Johannus; Geleta, Solomon; Loomis, John |
| Abstract: | Since people care about each other, an individual's willingness to pay to protect an environmental good or service will reflect their concern for others who would also be impacted by a change in the good or service. Through the extended social network, an individual's willingness to pay will reflect the impacts on people who they do not immediately know. If this effect is not considered, willingness to pay estimates can be biased. However, extended social networks are difficult to measure. We therefore explored the potential for egocentric social networks to help explain variations in willingness to pay. Given the conventional way of describing social networks, we demonstrate that egocentric social network measures should not be related to willingness to pay if there is no relationship between the social network measure and the willingness to pay for a change in the environmental good or service. When the social network measures are increasing in the willingness to pay for an environmental improvement, then a regression of willingness to pay on these social network measures will show a positive relationship. Empirically, we find such a relationship in the results of a choice experiment conducted in the central Okanagan of British Columbia. However, we also find that a measure of peoples assessment of the benefits of development relative to the environmental impacts was a more effective predictor. This may be a consequence of how the respondent's egocentric networks were measured. Alternative approaches to measuring the egocentric social network may be necessary. |
| Keywords: | Social network effects, egocentric, sociocentric, prosocial, ego-alter, random utility, network centrality |
| JEL: | Q24 Q25 Q51 Q57 |
| Date: | 2019–10–23 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:96675&r=all |
| By: | Patrick Honohan (Peterson Institute for International Economics) |
| Abstract: | Should central banks take more account of ethical distributional and environmental concerns in the design and implementation of the wider monetary policy toolkit they have been using in the past decade? Although the scope to influence a range of objectives is more limited than is often supposed, and while it is vital to not derail monetary policy from its core purposes, central bank mandates justify paying more attention to such broad issues, especially if policy choices have a significant potential impact. Carefully managed steps in this direction could actually strengthen central bank independence while making some contribution to improving the effectiveness of public policy on these matters. |
| Keywords: | Monetary Policy, Central Banking |
| JEL: | E42 E52 E58 |
| Date: | 2019–10 |
| URL: | http://d.repec.org/n?u=RePEc:iie:wpaper:wp19-18&r=all |
| By: | Canran Zheng (Fondazione Eni Enrico Mattei and Student at John Hopkins University) |
| Abstract: | This report presents an analysis of China’s transition to a low-carbon energy system, which requires multi-disciplinary approaches. As a world’s energy consumption driver, China will continue to play a significant role in the global energy transition in next few decades and its future choices in the energy sector will have a great impact on global energy demand and supply pattern. On the other hand, China’s unique political environment, complex geographic diversity, and ongoing US-China trade conflict have compounded the uncertainties associated with energy transition. To look into the future roles of different energy technologies, the report mainly covers the spectrum of coal, hydro, nuclear, solar and wind, unconventional oil and gas, as well as electric vehicles. With a specific focus on the power sector, the report aims to help understand the prospects for China’s energy sector based on current contexts, existing policies, announced national and regional plans, and ongoing debates. |
| Keywords: | O, O18 |
| JEL: | O O18 |
| Date: | 2019–10 |
| URL: | http://d.repec.org/n?u=RePEc:fem:femwpa:2019.25&r=all |