|
on Environmental Economics |
|
Issue of 2021‒01‒11
sixty-six papers chosen by Francisco S. Ramos Universidade Federal de Pernambuco |
| By: | OECD |
| Abstract: | Strengthening linkages between climate change adaptation and mitigation policies can improve the efficiency and effectiveness of actions in support of a low-carbon, climate-resilient economic development. This policy paper provides an overview and a discussion of linkages, shedding light on the synergies that can be achieved as well as the trade-offs that could arise between the two policy agendas, but also across other environmental or social policy objectives. It aims at inspiring reflections of fostering linkages, especially as part of countries’ ongoing discussions on designing green recovery measures in response to the COVID-19 pandemic.This Policy Paper was prepared as a background document for the G20 Climate Stewardship Working Group discussions under the G20 Presidency of the Kingdom of Saudi Arabia. |
| Date: | 2021–01–08 |
| URL: | http://d.repec.org/n?u=RePEc:oec:envaac:23-en&r=all |
| By: | World Bank |
| Keywords: | Environment - Adaptation to Climate Change Environment - Carbon Policy and Trading Environment - Climate Change Impacts Environment - Climate Change Mitigation and Green House Gases Environment - Climate Change and Environment Environment - Environmental Economics & Policies Finance and Financial Sector Development - Finance and Development |
| Date: | 2020 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:33423&r=all |
| By: | Jaraite, Jurate (CERE - the Center for Environmental and Resource Economics); Kurtyka , Oliwia (Univ. Grenoble Alpes); Olliver, Hélène (Paris School of Economics) |
| Abstract: | This study examines the causal impacts of the Clean Development Mechanism (CDM) on the environmental performance of Indian manufacturing firms, as measured by their energy use, carbon dioxide (CO2) emissions, and respective intensities. The impacts of CDM projects are estimated by combining statistical matching with the difference-in-differences approach. We found that CDM projects significantly reduced firms' CO2 emission intensity and energy intensity, but had no effect on total CO2 emissions. These results reveal that CDM projects led to an emission-reducing technique effect (decreased CO2 intensity) and to a positive scale effect (increased sales), and that the latter effect muted the impacts of the former. One of the channels of the technique effect rests on participating firms increasingly generating their electricity on site and relying more on renewable energies. Our results suggest that CDM projects improved firms' environmental performance, even though firm-level absolute CO2 emissions did not decline. |
| Keywords: | additionality; carbon offsets; CDM projects; CO2 emissions; firms environmental performance; India; micro level data |
| JEL: | D22 Q53 Q54 Q58 |
| Date: | 2021–01–04 |
| URL: | http://d.repec.org/n?u=RePEc:hhs:slucer:2021_001&r=all |
| By: | Fabio Antoniou (Athens University of Economics and Business); Manthos D. Delis (Montpellier Business School); Steven Ongena (University of Zurich - Department of Banking and Finance; Swiss Finance Institute; KU Leuven; Centre for Economic Policy Research (CEPR)); Chris Tsoumas (Hellenic Open University) |
| Abstract: | Effective environmental policy should consider how the financiers of polluting firms behave. In a theoretical model describing the periods before and after policy implementation, we show that loan spreads for firms participating in cap-and-trade programs are a function of the costs of compliance and the specific features of the permits markets. With higher permits storage and lower permit prices, firm financing costs fall. Our empirical analysis exploits the dichotomy created by phase III of the EU Emission Trading System, designed to increase and pass the cost of Carbon dioxide emissions to the polluters. In contrast with possible program intentions but in line with our theoretical predictions, loan spreads fall by 25% on average starting in 2013. We empirically identify permits storage before program implementation and its associated effect as key drivers of the fall in loan spreads for affected firms, and we show that this dynamic partly undermines the expected reduction in Carbon dioxide emissions. |
| Keywords: | Pollution permits; Loan spreads; Bond spreads; EU Emission Trading System; Carbon dioxide emissions |
| JEL: | G21 G12 Q5 |
| Date: | 2020–12 |
| URL: | http://d.repec.org/n?u=RePEc:chf:rpseri:rp20117&r=all |
| By: | Johansson, Per-Olov (CERE - the Center for Environmental and Resource Economics) |
| Abstract: | The European Union’s Emissions Trading System, EU ETS, has been reformed, shifting the system from a fixed-cap system into a system with an endogenous supply of permits. This paper discusses how to handle the scheme in project appraisal. The focus is on a few relatively straightforward empirical approaches that can be used to approximate how the path of the endogenous supply of permits is affected by an exogenous change in emissions. A particularly surprising feature of the reformed scheme is that an exogenous increase in emissions could cause a reduction in total emissions, a kind of Green Paradox. In addition, overlapping national policies as well as the Paris Agreement to combat climate change that entered into force on 4 November 2016 could neutralize any exogenous impact of the project, reintroducing the ‘waterbed’ so that the project is evaluated as if it sorted under a fixed-cap system. The paper proposes a couple of shortcuts that hopefully simplify economic evaluations of projects affecting the supply of permits. For convenient reference, the paper also lays out the mechanics of the reformed system. |
| Keywords: | Cost–benefit analysis; permits; waterbed puncture; endogenous cap; ETS; climate gases; Paris Agreement |
| JEL: | H23 H43 Q51 Q54 |
| Date: | 2020–12–23 |
| URL: | http://d.repec.org/n?u=RePEc:hhs:slucer:2020_017&r=all |
| By: | Michael Grimm; Sandrine Boukerche |
| Keywords: | Energy - Renewable Energy Environment - Climate Change Mitigation and Green House Gases Environment - Climate Change and Environment Environment - Environmental Economics & Policies Environment - Green Issues Infrastructure Economics and Finance - Infrastructure Finance Macroeconomics and Economic Growth - Climate Change Economics |
| Date: | 2020 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:34327&r=all |
| By: | Niklas Potrafke; Kaspar Wuthrich |
| Abstract: | We examine how Green governments influence macroeconomic, education, and environmental outcomes. Our empirical strategy exploits that the Fukushima nuclear disaster in Japan gave rise to an unanticipated change in government in the German state Baden-Wuerttemberg in 2011. The incumbent rightwing government was replaced by a leftwing government led by the Green party. We use the synthetic control method to select control states against which Baden-Wuerttemberg's outcomes can be compared. The results do not suggest that the Green government influenced macroeconomic outcomes. The Green government implemented education policies that caused comprehensive schools to become larger. We find no evidence that the Green government influenced CO2 emissions, particulate matter emissions, or increased energy usage from renewable energies overall. An intriguing result is that the share of wind power usage decreased relative to the estimated counterfactual. Intra-ecological conflicts and realities in public office are likely to have prevented the Green government from implementing drastic policy changes. |
| Date: | 2020–12 |
| URL: | http://d.repec.org/n?u=RePEc:arx:papers:2012.09906&r=all |
| By: | Ana Alicia Dipierri; Dimitrios Zikos |
| Abstract: | Extreme environmental variations, as a phenomenon deriving from climate change, led to an exacerbated uncertainty on water availability and increased the likelihood of conflicts regarding water-dependent activities such as agriculture. In this paper, we investigate the role of conflict resolution mechanisms—one of Ostrom’s acclaimed Design Principles—when social-ecological systems are exposed to physical external disturbances. The theoretical propositions predict that social-ecological systems with conflict-resolution mechanisms will perform better than those without them. We tested this proposition through a framed field experiment that mimicked an irrigation system. This asymmetric setting exposed farmers to two (2) dilemmas: (i) how much to invest in the communal irrigation system’s maintenance and (ii) how much water to extract. The setting added a layer of complexity: water availability depended not only on the investment but also on the environmental variability. Our findings confirmed the theoretical proposition: groups with stronger ‘institutional robustness’ can cope with environmental variations better than those with weaker robustness. However, we also found that some groups, despite lacking conflict-resolution mechanisms, were also able to address environmental variations. We explored potential explanatory variables to these unexpected results. We found that subjects’ and groups’ attributes might address uncertainty and avert conflict. Thus, social-ecological systems’ capacity to respond to external disturbances, such as environmental variations, might not only be a question of Design Principles. Instead, it might also be strongly related to group members’ attributes and group dynamics. Our results pave the way for further research, hinting that some groups might be better equipped for mitigation measures, while others might be better equipped for adaptation measures. |
| Keywords: | irrigation systems; common-pool resources governance; environmental variability; collective action; institutional robustness; climate change |
| Date: | 2020–12 |
| URL: | http://d.repec.org/n?u=RePEc:ulb:ulbeco:2013/317130&r=all |
| By: | Inge van den Bijgaart; David Klenert; Linus Mattauch; Simona Sulikova |
| Abstract: | Transport has significant externalities including carbon emissions and air pollution. Public health research has identified additional social gains from active travel, due to health benefits of physical exercise. Per mile, these benefits greatly exceed the external costs from car use. We introduce active travel into an optimal fuel taxation model and analytically characterise the optimal second-best fuel tax. We find that accounting for active travel benefits increases the optimal fuel tax by 49% in the US and 36% in the UK. Fuel taxes should be implemented jointly with other policies aimed at increasing the uptake of active travel. |
| Keywords: | transport externalities, congestion, active travel, fuel, health behaviour, optimal taxation |
| JEL: | H23 I12 Q53 Q54 Q58 R41 R48 Z28 |
| Date: | 2020 |
| URL: | http://d.repec.org/n?u=RePEc:ces:ceswps:_8762&r=all |
| By: | Enayat A. Moallemi; Sibel Eker; Lei Gao; Michalis Hadjikakou; Jan Kwakkel; Patrick M. Reed; Michael Obersteiner; Brett A. Bryan |
| Abstract: | Progress to-date towards the ambitious global 2030 agenda for sustainable development has been limited, and upheaval from the COVID-19 pandemic will further exacerbate the already significant challenges to Sustainable Development Goal (SDG) achievement. Here, we undertake a model-based global integrated assessment to characterise alternative pathways towards 36 time-bound, science-driven targets by 2030, 2050, and 2100. We show that it will be unlikely to jointly achieve socioeconomic and environmental targets by 2030, even under the most optimistic pathways and the least ambitious targets. Nonetheless, humanity can still avoid destabilisation of the Earth system and increase socioeconomic prosperity post-2030 via a Green Recovery pathway. A Green Recovery by mid- and end of the century requires reducing global population by 5% and 26%, empowering sustainable economic development by 32% and 52%, increasing education availability by 10% and 40%, reducing the total global fossil energy production by 36% and 80%, reducing agricultural land area by 7% and 10%, and promoting healthy and sustainable lifestyles by lowering consumption of animal-based foods (i.e., meat and dairy) by 39% and 50%, compared to the business-as-usual trajectories for 2050 and 2100, respectively. Our results show that the combination of these changes together towards extended, more ambitious goals by 2050 and 2100 is central to the transformative change needed to ensure that both people and planet prosper in medium- and long-term futures. |
| Date: | 2020–12 |
| URL: | http://d.repec.org/n?u=RePEc:arx:papers:2012.04333&r=all |
| By: | Global Platform for Sustainable Cities |
| Keywords: | Environment - Climate Change Mitigation and Green House Gases Environment - Environment and Energy Efficiency Urban Development - City Development Strategies Urban Development - National Urban Development Policies & Strategies Urban Development - Urban Economic Development Urban Development - Urban Environment |
| Date: | 2020–02 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:33784&r=all |
| By: | Alina Petronela Alexoaei (The Bucharest University of Economic Studies); Raluca Georgiana Robu (The Bucharest University of Economic Studies) |
| Abstract: | The article covers the role of entrepreneurs in developing climate-resilient solutions and business models for sustainable development with a special focus on technological innovation. Building on the concept of social entrepreneurship, the research attempts to investigate the role and the reasons that explain entrepreneurs? engagement in climate change mitigation and in developing new eco-inclusive technologies. The focus will lay on the case of the cleantech industry by attempting to provide a definition of the industry, an analysis of the typology of the financing involved the sectors with the largest impact, and the most innovative types of projects. The results are meant to anticipate key directions and serve as a possible guide to future entrepreneurs and investors interested in cleantech businesses. |
| Keywords: | Eco-inclusive entrepreneurship, cleantech, social entrepreneurs, sustainable entrepreneurship, climate change |
| JEL: | L26 O44 O13 |
| URL: | http://d.repec.org/n?u=RePEc:sek:iefpro:11413254&r=all |
| By: | Antoine GODIN; Paul HADJI-LAZARO |
| Abstract: | When trying to assess the economic consequences of a transition to a low carbon economy, it might seem reasonable to concentrate on the sectors using carbon-intensive technologies and thus emitting important amounts of Greenhouse gases. We however show in this study that non-emitting sectors might nonetheless be vulnerable to transition risks. To do so, we develop a simple methodology that combines Input-Output tables with sectoral financial data to assess the exposure and financial sensitivity of all sectors to simplified transition scenarios in the case of South Africa. We highlight how the combination of the nature of the demand shock, the position in the production structure and the characteristics of the value-chain determines the amplitude of the impacts on the different sectors of the economy and their financial balances. In the case of South Africa and for the two export shocks considered (coal and automotive industry) we find that raw material manufacturers, utilities, as well as financial service providers are exposed and sensitive to transition risks. Our results stress the importance of considering scope 3 (particularly downstream) sectors’ emissions when conducting impact assessments and call for systemic analyses of the economic consequences of the ecological transition. |
| Keywords: | Afrique du Sud |
| JEL: | Q |
| Date: | 2020–12–28 |
| URL: | http://d.repec.org/n?u=RePEc:avg:wpaper:en11948&r=all |
| By: | World Bank |
| Keywords: | Environment - Biodiversity Environment - Environmental Economics & Policies Environment - Environmental Protection Environment - Forests and Forestry Environment - Green Issues Environment - Wildlife Resources |
| Date: | 2020–02 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:34131&r=all |
| By: | John M. Kelsey; Dr Steve Kadivar |
| Abstract: | Hydropower is an important source of renewable energy, but large hydropower multipurpose river basin projects can displace communities and have serious adverse effects on the local environment and livelihoods. The Sardar Sarovar Dam in India and other similar projects have provoked local and international protest culminating in the temporary withdrawal of the World Bank from large hydropower project finance. It would appear to be a better option for powerful stakeholders to engage seriously with weaker ones. As well as ethical concerns, economic theory would suggest that there is a flawed basis for costbenefit analysis which omits input from local stakeholders, particularly that of indigenous peoples who also have a role to play in project design. It is argued that the Kaldor-Hicks criterion should be abandoned and that decisions should be made based on a multi-criteria analysis of which cost-benefit analysis is but one component. It is suggested that full stakeholder engagement could best be conducted through participatory role-playing games which are being increasingly found in use as a means of exploring and resolving stakeholder conflicts. Such use is still relatively recent and safeguards such as a neutral moderator, advocates and ethical gaming rules are required to protect weaker and non-expert stakeholders. |
| Keywords: | Hydropower; Environmental damage; Indigenous Peoples; Cost-benefit analysis; Participatory Stakeholder Gaming |
| JEL: | C72 C78 D61 D63 F63 |
| Date: | 2020 |
| URL: | http://d.repec.org/n?u=RePEc:crn:wpaper:crn2005&r=all |
| By: | Håvard Halland; Adam Dixon; Soh Young In; Ashby Monk; Rajiv Sharma |
| Abstract: | Financing from institutional investors will be critical to achieving the sustainable development goals and curbing climate change. However, these large investors have been largely absent from multilateral initiatives to mobilise private capital. Partly as a result, such initiatives have been unable to reach the scale required for development finance to go “from billions to trillions”. Successful mobilisation of private capital – including from institutional investors – has instead frequently taken place at the local level, by strategic investment funds and some green banks. At the same time, some institutional investors have been changing their modus operandi, from an intermediary to a collaborative model, and are re-localising their operations. The elimination of financial intermediaries with a short-term focus removes a bottleneck between two categories of long-term investors – institutional investors and multilateral finance institutions. That opens new opportunities for collaboration, as discussed in this paper. |
| Keywords: | Blended finance, Climate finance, Development finance institutions, Green banks, Institutional investors, Strategic investment funds, Sustainable finance |
| JEL: | O10 O19 G23 Q54 |
| Date: | 2021–01–08 |
| URL: | http://d.repec.org/n?u=RePEc:oec:dcdaab:35-en&r=all |
| By: | Huhtala, Anni; Ropponen, Olli |
| Abstract: | Growing demand for materials required in the construction of renewable technologies and zeroemission infrastructure may signal significant changes for the minerals and metals market. These in turn might exacerbate the social and environmental risks associated with the mining industry. We explore the impacts of commodity price volatility, the adoption of new technology and environmental risks on the long-term sustainability of a stylized mining firm and examine the implications for government policy intervention. We first analyze whether a mine should remain open or be closed when premature closing is costly due to land rehabilitation and reclamation resulting from an environmental accident. We then go on to investigate alternative resource policy instruments for by which the government may extract resource rents, examples being an ad valorem tax on output, a mining industry-specific corporate tax rate and a royalty on the amount of ore removed. Furthermore, we evaluate the potential of a number of means to correct for environmental externalities and compensate for damages that a mine causes during its lifetime, specifically a Pigou tax on effluents, fines on environmental accidents, mandatory up-front payments to an environmental liability fund and a surety bond to cover closure and reclamation costs. |
| Keywords: | royalty, fines, liability payment, surety bond, Pigou tax, ad valorem tax, excess corporate tax, Environment, energy and climate policy, Business regulation and international economics, Q31, Q38, Q52, |
| Date: | 2020 |
| URL: | http://d.repec.org/n?u=RePEc:fer:wpaper:137&r=all |
| By: | World Bank |
| Keywords: | Agriculture - Agricultural Extension Agriculture - Agricultural Sector Economics Agriculture - Climate Change and Agriculture Agriculture - Forestry Management Environment - Environmental Protection Environment - Natural Resources Management Environment - Water Resources Management |
| Date: | 2020–01 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:33312&r=all |
| By: | Richard S.J. Tol (Department of Economics, University of Sussex, Falmer, United Kingdom) |
| Abstract: | Video discussion of international cooperation for climate policy |
| Keywords: | environmental economics, climate change, game theory, undergraduate, postgraduate, video |
| JEL: | Q54 |
| Date: | 2020–04 |
| URL: | http://d.repec.org/n?u=RePEc:sus:susvid:2095&r=all |
| By: | Richard S.J. Tol (Department of Economics, University of Sussex, Falmer, United Kingdom) |
| Abstract: | Video discussion of international climate policy and negotiations |
| Keywords: | environmental economics, climate change, game theory, undergraduate, postgraduate, video |
| JEL: | Q54 |
| Date: | 2020–04 |
| URL: | http://d.repec.org/n?u=RePEc:sus:susvid:2097&r=all |
| By: | Akbulut-Yuksel, Mevlude (Dalhousie University); Boulatoff, Catherine (Dalhousie University) |
| Abstract: | We explore the power of behavioral economic insights to influence the level of households' recycling and Municipal Solid Waste (MSW) by examining the effectiveness of a green nudge, the adoption of a Clear Bag Policy that was implemented in 2015 in a mid-size urban municipality in Canada. Using a Regression Discontinuity (RD) Design on universe administrative data, our analysis shows that this green nudge promoted recycling, and reduced both refuse and total MSW. While recycling increased by 15 percent, total MSW decreased by 27 percent overall between August 2015 and July 2017. Our results also demonstrate heterogeneity in response to a Clear Bag Policy across neighborhoods with varying socioeconomic indicators. Our findings suggest that green nudges can serve as effective policy instruments in devising future environment policies. |
| Keywords: | environmental policy, green nudge, Municipal Solid Waste (MSW), regression discontinuity design, ArcGIS |
| JEL: | D12 D91 H23 |
| Date: | 2020–12 |
| URL: | http://d.repec.org/n?u=RePEc:iza:izadps:dp13925&r=all |
| By: | Richard S.J. Tol (Department of Economics, University of Sussex, Falmer, United Kingdom) |
| Abstract: | Video discussion of international ozone and acidification policies as models for climate policy |
| Keywords: | environmental economics, climate change, game theory, undergraduate, postgraduate, video |
| JEL: | Q54 |
| Date: | 2020–04 |
| URL: | http://d.repec.org/n?u=RePEc:sus:susvid:2098&r=all |
| By: | Richard S.J. Tol (Department of Economics, University of Sussex, Falmer, United Kingdom) |
| Abstract: | Video discussion of cartel formation for international cooperation on climate policy |
| Keywords: | environmental economics, climate change, game theory, undergraduate, postgraduate, video |
| JEL: | Q54 |
| Date: | 2020–04 |
| URL: | http://d.repec.org/n?u=RePEc:sus:susvid:2096&r=all |
| By: | Lucía Vivanco M.; Andrea Villagrán A.; Víctor Martínez R. |
| Keywords: | Conflict and Development - Disaster Management Environment - Climate Change Impacts Environment - Natural Disasters Social Protections and Labor - Employment and Unemployment Social Protections and Labor - Labor Policies Social Protections and Labor - Social Protections & Assistance Urban Development - Hazard Risk Management |
| Date: | 2020–01 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:34137&r=all |
| By: | Bruno Conte; Klaus Desmet; Dávid Krisztián Nagy; Esteban Rossi-Hansberg |
| Abstract: | This paper quantitatively assesses the world's changing economic geography and sectoral specialization due to global warming. It proposes a two-sector dynamic spatial growth model that incorporates the relation between economic activity, carbon emissions, and temperature. The model is taken to the data at the 1° by 1° resolution for the entire world. Over a 200-year horizon, rising temperatures consistent with emissions under Representative Concentration Pathway 8.5 push people and economic activity northwards to Siberia, Canada, and Scandinavia. Compared to a world without climate change, clusters of agricultural specialization shift from Central Africa, Brazil, and India's Ganges Valley, to Central Asia, parts of China and northern Canada. Equatorial latitudes that lose agriculture specialize more in non-agriculture but, due to their persistently low productivity, lose population. By the year 2200, predicted losses in real GDP and utility are 6% and 15%, respectively. Higher trade costs make adaptation through changes in sectoral specialization more costly, leading to less geographic concentration in agriculture and larger climate-induced migration. |
| JEL: | F18 O13 O41 Q56 R11 R12 |
| Date: | 2020–12 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:28163&r=all |
| By: | Chenxing Li; Yang Yu; Andrew Chi-Chih Yao; Da Zhang; Xiliang Zhang |
| Abstract: | Expanding multi-country emissions trading system is considered as crucial to fill the existing mitigation gap for the 2\degree C climate target. Trustworthy emissions accounting is the cornerstone of such a system encompassing different jurisdictions. However, traditional emissions measuring, reporting, and verification practices that support data authenticity might not be applicable as detailed data from large utilities and production facilities to be covered in the multi-country emissions trading system are usually highly sensitive and of severe national security concern. In this study, we propose a cryptographic framework for an authenticated and secure emissions accounting system that can resolve this data dilemma. We demonstrate that integrating a sequence of cryptographic protocols can preserve data authenticity and security for a stylized multi-country emissions trading system. We call for more research to promote applications of modern cryptography in future international climate governance to build trust and strengthen collaboration. |
| Date: | 2020–11 |
| URL: | http://d.repec.org/n?u=RePEc:arx:papers:2011.13954&r=all |
| By: | Jonathan Colmer; John Voorheis |
| Abstract: | Evidence shows that environmental quality shapes human capital at birth with long-run effects on health and welfare. Do these effects, in turn, affect the economic opportunities of future generations? Using newly linked survey and administrative data, providing more than 150 million parent/child links, we show that regulation-induced improvements in air quality that an individual experienced in the womb increase the likelihood that their children, the second generation, attend college 40-50 years later. Intergenerational transmission appears to arise from greater parental resources and investments, rather than heritable, biological channels. Our findings suggest that within-generation estimates of marginal damages substantially underestimate the total welfare effects of improving environmental quality and point to the empirical relevance of environmental quality as a contributor to economic opportunity in the United States. |
| JEL: | H23 Q53 J00 |
| Date: | 2020–11 |
| URL: | http://d.repec.org/n?u=RePEc:cen:wpaper:20-36&r=all |
| By: | Serhan Cevik; João Tovar Jalles |
| Abstract: | Climate change is an existential threat to the world economy like no other, with complex, evolving and nonlinear dynamics that remain a source of great uncertainty. There is a bourgeoning literature on the economic impact of climate change, but research on how climate change affects sovereign risks is limited. Building on our previous research focusing on the impact of climate change on sovereign risks, this paper empirically investigates how climate change may affect sovereign credit ratings. By means of binary-choice models, we find that climate change vulnerability has adverse effects on sovereign credit ratings, after controlling for conventional macroeconomic determinants of credit worthiness. On the other hand, with regards to climate change resilience, we find that countries with greater climate change resilience benefit from higher (better) credit ratings. These findings, robust to a battery of sensitivity checks, also show that impact of climate change is disproportionately greater in developing countries due largely to weaker capacity to adapt to and mitigate the consequences of climate change. |
| Date: | 2020–12–18 |
| URL: | http://d.repec.org/n?u=RePEc:imf:imfwpa:2020/286&r=all |
| By: | zu Ermgassen, Sophus Olav Sven Emil; Marsh, Sally; Ryland, Kate; Church, Edward; Marsh, Richard; Bull, Joseph |
| Abstract: | Net outcome-type biodiversity policies are proliferating globally as perceived mechanisms to reconcile economic development and conservation objectives. The UK government’s Environment Bill will mandate that most new developments in England demonstrate they deliver a biodiversity net gain (BNG) to receive planning permission, representing the most wide-ranging net outcome-type policy globally. However, as with many nascent net-outcome policies, the likely outcomes of mandatory BNG have not been explored empirically. We assemble all BNG assessments (accounting for ~1% of England’s annual housebuilding and other infrastructure) submitted from January-November 2020 in four early-adopter councils who are implementing mandatory No Net Loss or BNG requirements in advance of the national adoption of mandatory BNG, and analyse the aggregate habitat changes proposed. Our sample is associated with a 21% reduction in the area of non-urban habitats, compensated by commitments to deliver smaller areas of higher-quality habitats years later in the development project cycle. Eighty-seven percent of biodiversity units delivered in our sample come from habitats within or adjacent to the development footprint managed by the developers. However, we find that these gains fall within a governance gap whereby they risk being unenforceable; a challenge which is shared with other net outcome-type policies implemented internationally. |
| Date: | 2021–01–08 |
| URL: | http://d.repec.org/n?u=RePEc:osf:socarx:tw6nr&r=all |
| By: | Behrendt, Karl; Paparas, Dimitrios |
| Keywords: | Agribusiness, Agricultural and Food Policy, Crop Production/Industries, Environmental Economics and Policy, Farm Management |
| Date: | 2020–09–25 |
| URL: | http://d.repec.org/n?u=RePEc:ags:haaewp:308130&r=all |
| By: | Alessandro Cantelmo (Bank of Italy) |
| Abstract: | This paper evaluates the impact of rare disasters on the natural interest rate and macroeconomic conditions by simulating a nonlinear New-Keynesian model. The model is calibrated using data on natural disasters in OECD countries. From an ex-ante perspective, disaster risk behaves as a negative demand shock and lowers the natural rate and inflation, even if disasters hit only the supply side of the economy. These effects become larger and nonlinear if extreme natural disasters become more frequent, a scenario compatible with climate change projections. From an ex-post perspective, a disaster realization leads to temporarily higher natural rate and inflation if supply-side effects prevail. If agents' risk aversion increases temporarily, disasters may generate larger demand effects and lead to a lower natural rate and inflation. If supply-side effects dominate, the central bank could mitigate output losses at the cost of temporarily higher inflation in the short run. Conversely, under strict inflation targeting, inflation is stabilized at the cost of larger output losses. |
| Keywords: | rare disasters, natural disasters, natural interest rate, climate change, DSGE, monetary policy |
| JEL: | E4 E5 |
| Date: | 2020–12 |
| URL: | http://d.repec.org/n?u=RePEc:bdi:wptemi:td_1309_20&r=all |
| By: | McGaughey, Ewan (King's College, London) |
| Abstract: | The Green Recovery Act is a draft Act of Parliament that will end climate damage, recovery the environment and economy, and ensure a living planet. Focused on UK law reform, it shows how the smallest possible legal changes can have the biggest possible impact, and how greenhouse gas emissions can be brought to an end without any cost, and huge benefits to taxpayers, and businesses. It has nine parts, on a Green Recovery Commission; transport; energy; coal, oil and gas elimination; full employment, income and training guarantee; agriculture, supermarkets and stores; finance and corporate governance; local authority empowerment; and international and trade agreements. The Act's key ideas are to ban all fossil fuels as fast as technologically practicable, and to mainstream this principle across all public and private bodies. The text of the Act is preceded by an executive summary, and fully referenced explanatory notes. |
| Date: | 2020–06–30 |
| URL: | http://d.repec.org/n?u=RePEc:osf:lawarx:w57xb&r=all |
| By: | Richard S.J. Tol (Department of Economics, University of Sussex, Falmer, United Kingdom) |
| Abstract: | Video discussion of projections of future climate change |
| Keywords: | climate change, undergraduate, video |
| JEL: | Q54 |
| Date: | 2021–01 |
| URL: | http://d.repec.org/n?u=RePEc:sus:susvid:2103&r=all |
| By: | Blum, Bianca; Neumärker, Bernhard |
| Abstract: | The rapidly expanding corona pandemic in 2020 has largely brought the world to an economic stagnation. The impact on the environment, especially on air quality, from almost suspended air traffic, idle industry and economic lockdown is enormous, but also the economic and social consequences of the crisis. This state of stagnation hardly appears to be economically and socially sustainable. However, we should ask ourselves right now what we can learn from the situation in order to question globalization, better intercept future comparable crisis situations and take the step towards more sustainable development on an ecological, economic and social basis. The paper identifies the areas of externality management to improve environmental quality, digitalization and network expansion as well as basic income as central concepts that need to be addressed in and after the crisis. Concrete concepts are suggested and discussed at the end of the paper. |
| Keywords: | corona crisis management,basic income,environmental politics,pandemics,globalization,public policy |
| JEL: | H12 H23 H53 |
| Date: | 2020 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:fribis:022020en&r=all |
| By: | Eva Coll-Martinez (Sciences Po, Toulose); Malia Kedjar (Normandie University); Patricia Renou-Maissant (EconomiX, CNRS, University of Paris Nanterre)) |
| Abstract: | This paper analyses the location determinants of eco-innovative firms in France. The analysis is based on a dataset obtained after merging firm-level microdata on the location of new firms from DIANE Mercantil Register (Bureau van Dijk) and patents information from the OECD REGPAT (2018) database for the period 2003 and 2013. This paper departs from previous contributions on the location determinants of eco-innovation in three main ways. First, it analyses the effects of the regional technological knowledge base and its composition focusing on environmental-based innovations. Second, it introduces spatial econometrics techniques to capture any potential spatial spillovers arising from the location of eco-innovative firms. And third, it focuses on the French case which is of special interest in view of the relevance of regional eco-innovation policies. Main results show that unrelated knowledge variety for environmental technologies and the political support in terms of investments for the protection of the environment are the main factors explaining the location of eco-innovative firms. Indeed, by applying spatial econometrics we found that there is a clear spatial dependence on the creation. However, our results also show that the impact of the knowledge composition is quite local. These results may have many implications for French departments’ environmental performance and sustainable growth. |
| Keywords: | eco-innovative firms’ entry, industrial location, knowledge spillovers, environmental technologies, France |
| JEL: | L |
| Date: | 2020 |
| URL: | http://d.repec.org/n?u=RePEc:inf:wpaper:2020.02&r=all |
| By: | Hegwood, Margaret; Langendorf, Ryan E.; Burgess, Matthew G. |
| Abstract: | High-profile modeling studies often project that large-scale win-win solutions exist in environmental management, either improving aggregate objectives such as economic gains and conservation, or improving outcomes for multiple stakeholder groups. However, on-the-ground scholars and managers often approach win-win narratives skeptically, due to real-world complexity. Case-study meta-analyses find win-wins are relatively rare. Here, we show mathematically why complexity reduces the availability of win-wins. We provide a general proof that, under uncertainty, the probability a manager should assign to the existence of a win-win outcome (i.e. a Pareto improvement) strictly decreases in each of: the number of objectives, the number of stakeholders, and the number of constraints. We also prove that the maximum simultaneously achievable fraction of all objectives’ maxima strictly decreases in the number of objectives, and approaches a limit unaffected by the tradeoff surface’s curvature. This is important because most empirically estimated two-dimensional tradeoff surfaces are concave—77%, we show in a meta-analysis. Concave tradeoffs are less severe—moreso in lower dimensions—which could create misleading impressions of higher-dimensional tradeoffs. Our results link two important schools of thought regarding environmental tradeoffs, and provide quantitative guidance for interpreting the implications of empirical low-dimensional tradeoff studies for higher-dimensional realities. |
| Date: | 2021–01–07 |
| URL: | http://d.repec.org/n?u=RePEc:osf:socarx:cfp43&r=all |
| By: | Richard S.J. Tol (Department of Economics, University of Sussex, Falmer, United Kingdom) |
| Abstract: | Video discussion of the complexities in the climate system and climate models |
| Keywords: | climate change, undergraduate, video |
| JEL: | Q54 |
| Date: | 2021–01 |
| URL: | http://d.repec.org/n?u=RePEc:sus:susvid:2102&r=all |
| By: | Richard S.J. Tol (Department of Economics, University of Sussex, Falmer, United Kingdom) |
| Abstract: | Video discussion of the natural and enhanced greenhouse effect and its relation of observations |
| Keywords: | climate change, undergraduate, video |
| JEL: | Q54 |
| Date: | 2021–01 |
| URL: | http://d.repec.org/n?u=RePEc:sus:susvid:2101&r=all |
| By: | Enrico Mallucci |
| Abstract: | Unexpected shocks may tip countries with elevated fiscal vulnerabilities into default. The literature has emphasized the role of macroeconomic and financial shocks, such as a decline of commodity prices (Reinhart et al., 2016) or banking crises (Baltenau and Erce, 2018) in shaping sovereign risk. |
| Date: | 2020–12–18 |
| URL: | http://d.repec.org/n?u=RePEc:fip:fedgfn:2020-12-18-1&r=all |
| By: | Jasper N. Meya; Stefan Baumgärtner; Moritz A. Drupp; Martin F. Quaas |
| Abstract: | We study how income inequality affects the social value of a dynamic public good, such as natural capital. Our theory shows that both intra- and intertemporal inequality affect the social value of public natural capital. The direction and size of the effects are driven by the degree of substitutability between the public and private consumption goods. While the value of the public good increases (decreases) with intratemporal income inequality in the case of complements (substitutes), it increases (may decrease) with intertemporal income inequality for complements and Cobb-Douglas (substitutes). A problem of major relevance for the accounting of public natural capital as required by international treaties is to transfer values between study and policy contexts, or to up-scale values from study sites to the national scale. Our theory provides closed-form adjustment factors that allow controlling for differences in study and policy contexts. |
| Keywords: | dynamic public good, inequality, accounting, natural capital, environmental good, non-market valuation, WTP, benefit transfer, biodiversity |
| JEL: | D63 H43 Q51 |
| Date: | 2020 |
| URL: | http://d.repec.org/n?u=RePEc:ces:ceswps:_8752&r=all |
| By: | Ram Bastakoti; Manita Raut; Bhesh Raj Thapa |
| Keywords: | Agriculture - Agricultural Irrigation and Drainage Agriculture - Climate Change and Agriculture Energy - Solar Energy Water Resources - Groundwater Water Resources - Irrigation and Drainage |
| Date: | 2020–01 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:33245&r=all |
| By: | Emmanuelle Augeraud-Véron (GREThA - Groupe de Recherche en Economie Théorique et Appliquée - UB - Université de Bordeaux - CNRS - Centre National de la Recherche Scientifique); Giorgio Fabbri (GAEL - Laboratoire d'Economie Appliquée de Grenoble - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement - Grenoble INP - Institut polytechnique de Grenoble - Grenoble Institute of Technology - UGA - Université Grenoble Alpes - CNRS - Centre National de la Recherche Scientifique - UGA - Université Grenoble Alpes); Katheline Schubert (PSE - Paris School of Economics) |
| Abstract: | This paper presents a first model integrating the relation between biodiversity loss and zoonotic pandemic risks in a general equilibrium dynamic economic set-up. The occurrence of pandemics is modeled as Poissonian leaps in economic variables. The planner can intervene in the economic and epidemiological dynamics in two ways: first (prevention), by deciding to conserve a greater quantity of biodiversity to decrease the probability of a pandemic occurring, and second (mitigation), by reducing the death toll through a lockdown policy, with the collateral effect of affecting negatively labor productivity. The policy is evaluated using a social welfare function embodying society's risk aversion, aversion to fluctuations, degree of impatience and altruism towards future generations. The model is explicitly solved and the optimal policy described. The dependence of the optimal policy on natural, productivity and preference parameters is discussed. In particular the optimal lockdown is more severe in societies valuing more human life, and the optimal biodiversity conservation is larger for more ``forward looking'' societies, with a small discount rate and a high degree of altruism towards future generations. Moreover, societies accepting a large welfare loss to mitigate the pandemics are also societies doing a lot of prevention. After calibrating the model with COVID-19 pandemic data we compare the mitigation efforts predicted by the model with those of the recent literature and we study the optimal prevention- mitigation policy mix. |
| Keywords: | Biodiversity,Covid-19,Prevention,Mitigation,Epidemics,Poisson Processes,Recursive Preferences |
| Date: | 2020–10 |
| URL: | http://d.repec.org/n?u=RePEc:hal:wpaper:hal-03019636&r=all |
| By: | Alviar, Mauricio; García-Suaza, Andrés; Ramírez-Gómez, Laura; Villegas-Velásquez, Simón |
| Abstract: | The bioeconomy has gained attention in policy and academia scenarios as well as the need for strategies to foster the transition toward a more sustainable economic model. This paper provides evidence of the contribution of the bioeconomy to the value added and employment in Colombia and Antioquia, one of its regions. Since knowledge and scientific research are determinant factors for the bioeconomy strategies, relevant indicators of human capital and bioeconomy-related research capacities are studied for the case of Antioquia. The results show that bioeconomy in Colombia represents around 11% of the total value added and 21% of the national employment, which provides a baseline to building a monitoring strategy of the bioeconomy in Colombia and its regions. |
| Keywords: | Knowledge-based bioeconomy; Sustainable development; Bio-based industries; Colombia |
| JEL: | Q01 Q57 R58 |
| Date: | 2020–12 |
| URL: | http://d.repec.org/n?u=RePEc:rie:riecdt:71&r=all |
| By: | Sponagel, Christian; Back, Hans; Angenendt, Elisabeth; Bahrs, Enno |
| Abstract: | Impacts on nature and landscape in Germany must be compensated for in accordance with the Federal Nature Conservation Act. Farmers can participate by voluntarily applying appropriate measures on their land. We used a geodata-based model to analyse environmental compensation measures on arable land from an economic perspective on the example of the Stuttgart Region, a metropolitan area where construction activities and their compensation are huge, exemplary for many European metropolises. In order to estimate a possible realistic potential, the willingness to accept for compensation measures previously determined in a discrete choice experiment with farmers in the Stuttgart region was integrated into the model. The analysis compares the economic viability of current agricultural use with the income generated from the sale of so called ecopoints by supply curve. The results show wide variation in ecopoint potential in spatial terms. The implementation of compensation measures is not economically reasonable, depending on the legal security provided by a land register entry at a price of less than 1.00 € per ecopoint in the Stuttgart city district. In contrast, measures can be implemented economically and on a large scale in surrounding districts for less than 0.60 €, regardless of legal protection. The optimal type of compensation measure from an economic point of view depends on type and land is also important. The model and its results can provide important information for decision-makers in politics, landscape planning and nature conservation. |
| Keywords: | Agribusiness, Agricultural and Food Policy, Agricultural Finance |
| Date: | 2020–09–25 |
| URL: | http://d.repec.org/n?u=RePEc:ags:haaewp:308132&r=all |
| By: | Sponagel, Christian; Back, Hans; Angenendt, Elisabeth; Bahrs, Enno |
| Abstract: | Impacts on nature and landscape in Germany must be compensated for in accordance with the Federal Nature Conservation Act. Farmers can participate by voluntarily applying appropriate measures on their land. We used a geodata-based model to analyse environmental compensation measures on arable land from an economic perspective on the example of the Stuttgart Region, a metropolitan area where construction activities and their compensation are huge, exemplary for many European metropolises. In order to estimate a possible realistic potential, the willingness to accept for compensation measures previously determined in a discrete choice experiment with farmers in the Stuttgart region was integrated into the model. The analysis compares the economic viability of current agricultural use with the income generated from the sale of so called ecopoints by supply curve. The results show wide variation in ecopoint potential in spatial terms. The implementation of compensation measures is not economically reasonable, depending on the legal security provided by a land register entry at a price of less than 1.00 € per ecopoint in the Stuttgart city district. In contrast, measures can be implemented economically and on a large scale in surrounding districts for less than 0.60 €, regardless of legal protection. The optimal type of compensation measure from an economic point of view depends on type and land is also important. The model and its results can provide important information for decision-makers in politics, landscape planning and nature conservation. |
| Keywords: | Agribusiness, Agricultural and Food Policy, Agricultural Finance |
| Date: | 2020–09–25 |
| URL: | http://d.repec.org/n?u=RePEc:ags:haaepa:308132&r=all |
| By: | Olivier Beaumais (CREAM - Centre de Recherche en Economie Appliquée à la Mondialisation - UNIROUEN - Université de Rouen Normandie - NU - Normandie Université - IRIHS - Institut de Recherche Interdisciplinaire Homme et Société - UNIROUEN - Université de Rouen Normandie - NU - Normandie Université, LISA - Lieux, Identités, eSpaces, Activités - UPP - Université Pascal Paoli - CNRS - Centre National de la Recherche Scientifique); Mireille Chiroleu-Assouline (PSE - Paris School of Economics - ENPC - École des Ponts ParisTech - ENS Paris - École normale supérieure - Paris - PSL - Université Paris sciences et lettres - UP1 - Université Panthéon-Sorbonne - CNRS - Centre National de la Recherche Scientifique - EHESS - École des hautes études en sciences sociales - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement, PJSE - Paris Jourdan Sciences Economiques - UP1 - Université Panthéon-Sorbonne - ENS Paris - École normale supérieure - Paris - PSL - Université Paris sciences et lettres - EHESS - École des hautes études en sciences sociales - ENPC - École des Ponts ParisTech - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement, Université Paris1 Panthéon-Sorbonne) |
| Abstract: | We explore firms' commitment to Corporate Social Responsibility (CSR). Using a unique dataset of 8,857 French firms collected through a survey conducted at the end of 2011 by the French National Institute of Statistics and Economic Studies (INSEE), we first construct 3 CSR pillar scores for each firm, based on a non-parametric Item Response Theory model known as Mokken Scale Analysis. CSR scores, along with responses to specific items of the 2011 INSEE survey, allow us to characterize firms implementing formal versus informal CSR. We then estimate simple probit models and count data models to show that, with regards to CSR commitment, size definitely matters, and that a significant share of firms stating that they are not actively committed to CSR, actually engage significantly in CSR, with no monotonic size effect. Cooperation with external actors such as NGOs mitigates the size effect in the likelihood of carrying out informal CSR, whereas the pressure of NGO campaigns against large companies mainly spurs the environmental score of smaller firms in the same sector. |
| Keywords: | corporate social responsibility,corporate environmental responsability,non-parametric Item Response,Theory scoring,stakeholders,SME,France |
| Date: | 2020–12 |
| URL: | http://d.repec.org/n?u=RePEc:hal:psewpa:halshs-03073242&r=all |
| By: | Krekel, Christian (London School of Economics); Rechlitz, Julia (DIW Berlin); Rode, Johannes (Darmstadt University of Technology); Zerrahn, Alexander (DIW Berlin) |
| Abstract: | Although there is strong support for renewable energy plants, they are often met with local resistance. We quantify the externalities of renewable energy plants using wellbeing data. We focus on the example of biogas, one of the most frequently deployed technologies besides wind and solar. To this end, we combine longitudinal household data with novel panel data on more than 13,000 installations in Germany. Identification rests on a spatial difference-in-differences design exploiting exact geographical coordinates of households, biogas installations and wind direction and intensity. We find limited evidence for negative externalities: impacts are moderate in size and spatially confined to a radius of 2,000 metres around plants. We discuss implications for research and regional planning, in particular minimum setback distances and potential monetary compensations. |
| Keywords: | renewables, biogas, externalities, social acceptance, wellbeing, spatial analysis |
| JEL: | C23 Q42 Q51 R20 |
| Date: | 2020–12 |
| URL: | http://d.repec.org/n?u=RePEc:iza:izadps:dp13959&r=all |
| By: | - |
| Abstract: | El informe presenta una serie de indicadores que muestran la evolución del sector energético y la eficiencia energética en Panamá. Se analizan las tendencias del consumo de energía y de las medidas de eficiencia energética a nivel nacional para los diferentes sectores. Los indicadores propuestos constituyen una herramienta útil para el monitoreo de los programas, el análisis de políticas de eficiencia energética y el desarrollo de futuras políticas, que ayudarán a Panamá a seguir avanzando en la senda de la sostenibilidad. |
| Keywords: | RECURSOS ENERGETICOS, RENDIMIENTO ENERGETICO, POLITICA ENERGETICA, OBJETIVOS DE DESARROLLO SOSTENIBLE, ENERGIA ELECTRICA, COMBUSTIBLES FOSILES, FUENTES DE ENERGIA RENOVABLES, MERCADOS, CONSUMO DE ENERGIA, INDUSTRIA, TRANSPORTE, HOGARES, SECTOR TERCIARIO, ENERGIA SOSTENIBLE, ESTADISTICAS DE ENERGIA, ENERGY RESOURCES, ENERGY EFFICIENCY, ENERGY POLICY, SUSTAINABLE DEVELOPMENT GOALS, ELECTRIC POWER, FOSSIL FUELS, RENEWABLE ENERGY SOURCES, MARKETS, ENERGY CONSUMPTION, INDUSTRY, TRANSPORT, HOUSEHOLDS, SERVICE INDUSTRY, SUSTAINABLE ENERGY, ENERGY STATISTICS |
| Date: | 2020–12–28 |
| URL: | http://d.repec.org/n?u=RePEc:ecr:col022:46536&r=all |
| By: | Benedikt Heid; Laura Márquez-Ramos |
| Abstract: | The Convention on International Trade in Endangered Species of Wild Fauna and Flora (CITES) is the international agreement that regulates international trade in wildlife to prevent its decline. Little is known about the effectiveness of its trade restrictions and bans. Combining the largest available panel database on wildlife population sizes of vertebrates with the history of species’ inclusion into CITES, we find that populations increase by 20% after their species’ inclusion into CITES. This effect is driven by populations in countries with thorough enforcement. Outright trade bans increase wildlife, but restrictions that incentivize sustainable use have more immediate positive effects. |
| Keywords: | CITES, endangered species, wildlife decline, wildlife trade policy |
| JEL: | F18 Q27 Q56 |
| Date: | 2020 |
| URL: | http://d.repec.org/n?u=RePEc:ces:ceswps:_8757&r=all |
| By: | Gruener, Sven |
| Abstract: | This study explores whether susceptibility to misinformation is context dependent. We conduct a survey experiment in which subjects had to rate the reliability of several statements in the fields of climate change, Covid-19, and artificial intelligence. There is some evidence for a monological belief system, i.e., being susceptible to one statement containing misinformation is correlated with falling to other false news stories, in all three contexts. The main findings to explain the susceptibility to misinformation can be summarized as follows: trust in social networks is positively associated with falling for misinformation in all contexts. There are also several context-related differences: Individuals are less likely to be susceptible to misinformation in the contexts of climate change and Covid-19 if they have a higher risk perception, tend to take a second look at a problem (i.e., willingness to think deliberately), update their prior beliefs to new evidence (actively open-minded thinking), and trust in science and mass media. Within the context of artificial intelligence, being less prone to conspiracy theories in general and lower subjective knowledge helps not to be susceptible to misinformation. |
| Date: | 2021–01–07 |
| URL: | http://d.repec.org/n?u=RePEc:osf:socarx:x8efq&r=all |
| By: | Susanna Smets; Elvira Broeks; Felicia Pricop; Irina Capita |
| Keywords: | Environment - Water Resources Management Water Supply and Sanitation - Hygiene Promotion and Social Marketing Water Supply and Sanitation - Sanitation and Sewerage Water Supply and Sanitation - Water Supply and Sanitation Economics Water Supply and Sanitation - Water Supply and Sanitation Governance and Institutions Water Supply and Sanitation - Water Treatment & Quality |
| Date: | 2020 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:34066&r=all |
| By: | Pauline Lécole (CEE-M - Centre d'Economie de l'Environnement - Montpellier - FRE2010 - UM - Université de Montpellier - CNRS - Centre National de la Recherche Scientifique - Montpellier SupAgro - Institut national d’études supérieures agronomiques de Montpellier - Institut Agro - Institut national d'enseignement supérieur pour l'agriculture, l'alimentation et l'environnement - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement); Raphaële Préget (CEE-M - Centre d'Economie de l'Environnement - Montpellier - FRE2010 - UM - Université de Montpellier - CNRS - Centre National de la Recherche Scientifique - Montpellier SupAgro - Institut national d’études supérieures agronomiques de Montpellier - Institut Agro - Institut national d'enseignement supérieur pour l'agriculture, l'alimentation et l'environnement - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement); Sophie Thoyer (CEE-M - Centre d'Economie de l'Environnement - Montpellier - FRE2010 - UM - Université de Montpellier - CNRS - Centre National de la Recherche Scientifique - Montpellier SupAgro - Institut national d’études supérieures agronomiques de Montpellier - Institut Agro - Institut national d'enseignement supérieur pour l'agriculture, l'alimentation et l'environnement - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement) |
| Abstract: | The small farm sector has long been neglected by the Common Agricultural Policy (CAP). Since CAP support is mainly allocated through the first pillar budget on a per-hectare basis, small farms receive little or no direct income support. This situation is compounded by cumbersone administrative procedures which discourage small farmers from claiming the financial support they are entitled to, and by eligibility criteria which exclude part of the small farm sector from the CAP system. The 2014 CAP introduced the Small Farmers Scheme (SFS) offering small farms the option of an unconditional annual lump-sum payment per farm replacing the standard direct payments of the first pillar. This paper assesses the acceptability in France of a more sophisticated version of the 2014 SFS for the post-2020 CAP. We propose that this extended SFS include easily controllable conditions on environmental efforts and on salaried employment. The results of a discrete choice experiment conducted in France show that the principle of such extended SFS would be attractive to small farmers, especially market gardeners, and that the vast majority of respondents have a preference for an extended SFS incorporating an environmental condition. |
| Date: | 2020–11–27 |
| URL: | http://d.repec.org/n?u=RePEc:hal:wpaper:hal-03027230&r=all |
| By: | Jean-Etienne de Bettignies; Hua Fang Liu; David T. Robinson |
| Abstract: | This paper develops and tests a model in which 1) purpose-driven firms emerge as an optimal organizational form even for profit-maximizing entrepreneurs; and 2) CSR arises endogenously as a response to imperfect regulatory oversight. Purpose-driven organizations allow entrepreneurs to create rents for socially responsible (e.g. environmentally concerned) workers by allowing them to reduce the negative externalities (e.g. pollution) that would be generated without them, and to extract these rents through lower wages. Through this rent extraction entrepreneurs internalize the pro-social preferences of their responsible workers, and in turn engage in CSR through self-regulation, provided that regulatory oversight is poor enough - and hence regulation is loose enough - to make self-regulation worthwhile. The key prediction of the model is a negative impact of regulatory oversight on CSR activity. To test this, we exploit the UK's 2012 decision to mandate greenhouse gas emissions disclosure in all public firms. Consistent with our theory, we find that firms in the UK receive lower CSR ratings after increased regulatory oversight compared to firms from the other 15 European countries which did not experience mandatory disclosure requirements. We also perform a number of robustness checks and explore the interaction between oversight, wages and CSR. These empirical findings provide further support for the model. |
| JEL: | D62 J31 M14 M52 Q58 |
| Date: | 2020–12 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:28159&r=all |
| By: | Cinzia Di Novi (Department of Economics, University Of Pavia); Anna Marenzi (Department of Economics, University Of Venice Cà Foscari); Francesca Zantomio (Department of Economics, University Of Venice Cà Foscari) |
| Abstract: | Social changes, widespread dissemination of Western-type culture, and the globalization of food production and consumption have reduced adherence to the traditional Mediterranean diet (MD) in the Southern European countries where the MD originated. This study explores whether changes in the technology, culture and social welfare that have characterized Italy for decades may have influenced red and processed meat consumption across generations. Such consumption has been associated with a higher risk for cardiovascular disease and colorectal cancer and with negative environmental impacts. To obtain a broad picture of red and processed meat consumption and adherence to the MD across generations, we constructed a Mediterranean composite score that summarizes the frequency of these foods’ consumption. For the purpose of our study, we constructed a pseudo-panel derived from repeated cross-sections of the annual household survey, “Aspects of Daily Life,” that was part of the Multipurpose Survey carried out by the Italian National Statistical Office (ISTAT) from 1997 to 2012. We adopted an APC (Age, Period, Cohort) approach that involves age, period, and cohort effects. Our findings reveal that the oldest generations undertook a major shift from the traditional MD. |
| Keywords: | red meat, processed meat, health, environmental impact, generations, Mediterranean Diet |
| JEL: | I12 I15 Q18 Q56 Q57 |
| Date: | 2021 |
| URL: | http://d.repec.org/n?u=RePEc:ven:wpaper:2021:01&r=all |
| By: | World Bank |
| Keywords: | Urban Development - Hazard Risk Management Urban Development - Urban Water & Waste Management Water Resources - Flood Control |
| Date: | 2020–02 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:33379&r=all |
| By: | World Bank Group |
| Keywords: | Public Sector Development - Public Sector Administrative and Civil Service Reform Agriculture - Forestry Management Environment - Forests and Forestry Rural Development - Forestry Environment - Sustainable Land Management |
| Date: | 2020–01 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:33378&r=all |
| By: | Klaus-Peter Hellwig |
| Abstract: | Can countries improve their business climate through reforms in specific policy areas? Kraay and Tawara (2013) find that the answer depends on how we measure the business climate. When regressing seven different business climate indices on 38 policy indicators, they find little agreement among the seven models as to which of those policy indicators matter most. I revisit this puzzle using the same data but replacing their linear models with a Random Forest algorithm. I find a strong consensus across models on the importance ranking of policy indicators: No matter which business climate index is considered, the top ten contributors to a better business climate always include high recovery rates in insolvency proceedings (i.e., cents on the dollar for creditors), shorter border formalities for both importers and exporters, and low costs for starting a business. I show that the marginal effect of reforms is heterogeneous across countries and document how reform priorities depend on country specific circumstances. |
| Date: | 2020–12–11 |
| URL: | http://d.repec.org/n?u=RePEc:imf:imfwpa:2020/278&r=all |
| By: | Iizuka, Michiko (UNU-MERIT, and National Graduate Institute for Policy Studies (GRIPS)); Hane, Gerald (National Graduate Institute for Policy Studies (GRIPS), and Hitachi Ltd.) |
| Abstract: | The transformation of sociotechnical systems is considered necessary for achieving the Sustainable Development Goals(SDGs). However, this transformation process is inhibited by institutional inertia of the public sector, vested interests of the private sector, routine habits of individuals, and increased complexity of globalised activities. While policies to stimulate the transition exist, these policies and pathways are still considered insufficient. Meanwhile, there are many individual private initiatives taking place to advance the societal agenda. Although these are still isolated actions of new actors, they have the potential to become broader movements bringing disruptive advances through innovation. This study explores the potential of innovation ecosystem to understand the emerging private sector initiatives to meet social agenda through innovations that are disruptive and inclusive. Four types of businesses are examined: venture capital, an incubator, venture start-ups, and a social impact fund. A common feature underlying these cases are the creation of tailored innovation ecosystems that effectively utilises complementary assets. Currently these activities are self-generated without much government support. However, by aligning with public policy impact can be accelerated towards achieving the SDGs. Examining cases as 'signals' provide hints for how policy can be formulated to scaled-up and transform currently isolated private initiatives. |
| Keywords: | Innovation Ecosystems, SDGs, Emerging business, Complementary assets, Transformative change, Asia |
| JEL: | O32 O35 O38 M13 |
| Date: | 2021–01–05 |
| URL: | http://d.repec.org/n?u=RePEc:unm:unumer:2021001&r=all |
| By: | V. Ratna Reddy; M. Srinivasa Reddy |
| Keywords: | Agriculture - Agricultural Irrigation and Drainage Water Resources - Drought Management Water Resources - Groundwater Water Resources - Irrigation and Drainage |
| Date: | 2020–01 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:33243&r=all |
| By: | Susan, Shaheen; Adam, Cohen |
| Keywords: | Social and Behavioral Sciences, Mobility on Demand, MOD |
| Date: | 2020–01–01 |
| URL: | http://d.repec.org/n?u=RePEc:cdl:itsrrp:qt0mn1b0b8&r=all |
| By: | Blum, Bianca; Neumärker, Bernhard |
| Abstract: | Die schnell wachsende Corona Pandemie im Jahr 2020 hat die Welt weitgehend in eine wirtschaftliche Stagnation gebracht. Die Auswirkungen des fast unterbrochenen Flugverkehrs, der stillgelegten Industrie und des wirtschaftlichen Lockdowns auf die Umwelt, insbesondere auf die Luftqualität, sind enorm; aber auch auf die wirtschaftlichen und sozialen Folgen der Krise. Dieser Stillstand scheint wirtschaftlich und sozial kaum nachhaltig zu sein. Wir sollten uns jedoch jetzt fragen, was wir aus der Situation lernen können, um die Globalisierung in Frage zu stellen, zukünftige vergleichbare Krisensituationen besser abzufangen und den Schritt zu einer nachhaltigeren Entwicklung auf ökologischer, wirtschaftlicher und sozialer Basis zu gehen. Das Arbeitspapier identifiziert dabei die Bereiche des Externalitätenmanagements zur Verbesserung der Umweltqualität, Digitalisierung und Netzerweiterung sowie des Grundeinkommens als zentrale Konzepte, die in und nach der Krise angegangen werden müssen. Konkrete Konzepte werden am Ende des Papiers vorgeschlagen und diskutiert. |
| Keywords: | corona crisis management,basic income,environmental politics,pandemics,globalization,public policy |
| JEL: | H12 H23 H53 |
| Date: | 2020 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:fribis:022020de&r=all |
| By: | Isabel Mendes |
| Abstract: | Today, Circular Economy (EC) is a popular concept in the business and financial world, among academics, politicians and decision-making bodies, and governmental and non-governmental institutions. Since 2003 has been intensely produced and published academic and non-academic literature. But despite this growing enthusiasm - and as far as we know so far - there are topics related to EC that remain under discussion, perhaps because they have not yet been the subject of sufficiently clarifying and multidisciplinary analysis. In this article, we intend to contribute to the clarification of some of these topics. The topics were chosen according to the questions that were installed in the author's mind of this article as she reviewed the literature on EC (the scientific areas in which the author is included are Environment and Natural Resources Economics and Ecological Economy). The topics under discussion are as follows: 1) Neoclassical economists also use the EC concept; will this be equal to the current concept of EC? 2) Some authors have argued that EC is an entirely new concept; however, the circular functioning of the economy was already described by economists in the 18th century. In the end, we want to demonstrate: 1) That EC is a polysemic term; that is, although the EC of neoclassical economists is different from the current EC, both share a common root: circularity; 2) The term EC is not new because its genesis lies in the 18th century; 3) the current concept of EC is also not new, because it has been described since the 1960s; 4) What is truly new in today's EC is the recognition and internalization of its principles by the business and governmental worlds. To achieve our objective, we were based on the critical analysis of the literature, supported by the theoretical body of conventional neoclassical economics (micro and macro); Ecological and Environmental Economy; and the History of Economic Thought. |
| Keywords: | circular economy; circular model of monetary flows; circular throughput model; linear throughput model. JEL Classification: A13, O11, O13, O41, O44, Q01, Q50, Q57. |
| Date: | 2020–10 |
| URL: | http://d.repec.org/n?u=RePEc:ise:isegwp:wp022020&r=all |
| By: | Farjam, Mike; Wolf, Stephan |
| Abstract: | Through an online experiment with 682 participants, we test how inter-generational resource sharing is affected by granting veto power to later generations. We specifically study the over-use of a common-pool resource (CPR) by early generations at the expense of later generations and examine how the veto empowerment of later generations can be used to restrain egoistic tendencies. We compare sequential ultimatum and dictator games of various lengths and find that (1) the CPR consumption of early generations does not depend on the number of generations that follow them; (2) the veto empowerment of later generations leads to a fairer, but ultimately less efficient use of the CPR across generations; and (3) the vetoes are used more carefully if not only previous generations, but also future generations that do not yet have access to the resource are affected by the veto. |
| Date: | 2021–01–07 |
| URL: | http://d.repec.org/n?u=RePEc:osf:socarx:759ks&r=all |
| By: | Muhammad Ashraf; Faizan ul Hasan |
| Keywords: | Agriculture - Agricultural Irrigation and Drainage Water Resources - Groundwater Water Resources - Hydrology Water Resources - Irrigation and Drainage |
| Date: | 2020–01 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:33241&r=all |
| By: | Partha Sarathi Banerjee; Sanjiv De Silva |
| Keywords: | Agriculture - Agricultural Irrigation and Drainage Poverty Reduction - Poverty Reduction Strategies Water Resources - Groundwater Water Resources - Irrigation and Drainage |
| Date: | 2020–01 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:33246&r=all |
| By: | Mohinder P. Gulati; Satya Priya; Edward W. Bresnyan |
| Keywords: | Agriculture - Agricultural Irrigation and Drainage Agriculture - Agricultural Sector Economics Energy - Solar Energy Water Resources - Irrigation and Drainage |
| Date: | 2020–01 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:33375&r=all |