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on Environmental Economics |
| By: | Oliver Ruhnau (Institute of Energy Economics at the University of Cologne (EWI)); Paul Lehmann (University of Leipzig, Faculty of Economics and Management Service) |
| Abstract: | Many administrations, including the EU and the US, have introduced substantial support policies for electrolytic hydrogen. However, interactions of such policies with existing climate policies remain poorly understood. Here, we combine an analytical and a numerical model to investigate the combination of emissions trading, renewable electricity subsidies, and electrolytic hydrogen support. We find that supporting hydrogen reduces renewable subsidies, while emissions prices increase unless the operation of hydrogen electrolysis flexibly responds to electricity prices. Even without explicit regulations on electricity sourcing, the increase in electricity demand for hydrogen production is almost entirely covered by additional renewable electricity generation. If subsidized hydrogen is explicitly required to be matched with additional renewable electricity (“green hydrogen”), the amounts of emissions and renewable electricity remain constant, but the prices of emissions and electricity decline, and support costs for renewable electricity and hydrogen increase. Overall, matching requirements inflate the hydrogen-policy-related system costs by 2–7%. We conclude that promoting the price-responsiveness of hydrogen electrolysis offers greater potential for synergies with emissions trading and renewable electricity subsidies than enforcing strict matching requirements. |
| Keywords: | Environmental policy; electrolytic hydrogen; emissions trading; renewable energy; energy markets; welfare and redistribution; demand-side flexibility |
| JEL: | C61 D47 Q21 Q28 Q41 Q48 |
| Date: | 2025–10–27 |
| URL: | https://d.repec.org/n?u=RePEc:ris:ewikln:021699 |
| By: | Rosella Giacometti; Gabriele Torri; Marco Bonomelli; Davide Lauria |
| Abstract: | In this work, we aim to develop a market-implied sustainability score for companies, based on the extent to which a stock is over- or under-represented in sustainable funds compared to traditional ones. To identify sustainable funds, we rely on the Sustainable Finance Disclosure Regulation (SFDR), a European framework designed to clearly categorize investment funds into different classes according to their commitment to sustainability. In our analysis, we classify as sustainable those funds categorized as Article 9 - also known as "dark green" - and compare them to funds categorized as Article 8 or Article 6. We compute an SFDR Market-Implied Sustainability (SMIS) score for a large set of European companies. We then conduct an econometric analysis to identify the factors influencing SMIS and compare them with state-of-the-art ESG (Environmental, Social, and Governance) scores provided by Refinitiv. Finally, we assess the realized risk-adjusted performance of stocks using portfolio-tilting strategies. Our results show that SMIS scores deviate substantially from traditional ESG scores and that, over the period 2010-2023, companies with high SMIS have been associated with significant financial outperformance. |
| Date: | 2025–10 |
| URL: | https://d.repec.org/n?u=RePEc:arx:papers:2510.20434 |
| By: | Dotti, Nicola Francesco (Directorate-General for Research and Innovation, European Commission); Canton, Erik (Directorate-General for Research and Innovation, European Commission); Benoit, Florence (Directorate-General for Research and Innovation, European Commission); Cavicchi, Bianca (Directorate-General for Research and Innovation, European Commission); Di Girolamo, Valentina (Directorate-General for Research and Innovation, European Commission); Ravet, Julien (Directorate-General for Research and Innovation, European Commission); Steeman, Jan-Tjibbe (Directorate-General for Research and Innovation, European Commission) |
| Abstract: | This literature review provides short summaries of recent scientific articles discussing the challenges of 'greening research'. While science has played a fundamental role in understanding climate change, today's most pressing societal challenge, research organisations and activities are also called to 'greening' themselves, reducing their environmental footprint and promoting more sustainable practices. This multifaceted challenge is addressed by an emerging literature identifying the carbon footprint of university campuses and research infrastructure, discussing the main challenges such as research-related travelling. This review aims to discuss the emerging practices contributing to promoting environmental sustainability for research activities. |
| Keywords: | Greening research, decarbonisation, sustainability, climate change, research organisations |
| JEL: | Q56 Q58 O32 O38 |
| Date: | 2025–01 |
| URL: | https://d.repec.org/n?u=RePEc:eug:wpaper:ki-01-25-022-en-n |
| By: | Catherine Leining (Motu Economic and Public Policy Research); Sasha Maher (Motu Economic and Public Policy Research); Hannah Kotula (Motu Economic and Public Policy Research) |
| Abstract: | Cooperation between countries is key to avoiding the most severe impacts of climate change. Under current policies, the world will face temperatures of 3ºC above pre-industrial levels by 2100. Developing countries hold three quarters of the cost-effective mitigation needed in 2030 under 1.5ºC pathways, but currently lack the capability to make it happen and historically have contributed least to the problem. If higher- and lower-income countries fail to work together to unlock that mitigation, the world will lock in dangerous climate change. Providing conventional climate finance to lower-income countries is crucial but is not the only option – nor has it been sufficient so far. |
| Keywords: | Climate change; emissions trading; carbon markets; Paris Agreement; New Zealand; Article 6; cooperation |
| JEL: | Q54 Q56 Q58 |
| Date: | 2024–10 |
| URL: | https://d.repec.org/n?u=RePEc:mtu:mnotes:note_54 |
| By: | Jose Eduardo Alatorre; Gabriel Porcile; Julia Juarez; Juan Carlos Moreno-Brid |
| Abstract: | The paper presents a Kaleckian extended model exploring sustainable development, defined as growth that is economically stable, socially inclusive, and environmentally respectful. The model links CO2 emission trends with public investments in green capabilities, represented by the share of renewables in total energy supply. It incorporates three key actors: green capitalists (G), brown capitalists (B), and workers (R), whose alliances influence taxes, social expenditure, and green capabilities investments. Three political coalitions are formed: green-red (GR), green-brown (GB), and red-brown (RB). The GR coalition promotes sustainable and inclusive growth but may face trade imbalances depending on public investment's ability to boost non-price competitiveness. The GB alliance yields sustainable but non-inclusive growth with a high long-term deficit. The RB coalition results in environmentally unsustainable outcomes but may produce stable growth with income redistribution during high commodity export demand. Applying the model to Mexico highlights fiscal space challenges for public investment and income redistribution amidst emissions reduction targets. |
| Keywords: | Climate |
| JEL: | B50 Q43 Q56 |
| Date: | 2024–12 |
| URL: | https://d.repec.org/n?u=RePEc:lev:wrkpap:wp_1074 |
| By: | Priscila Espinosa (Department of Applied Economics, Universitat de València, Spain); Priscila Espinosa; Maria Teresa Balaguer-Coll (Department of Finance and Accounting, Universitat Jaume I, Castellón, Spain); José Manuel Pavía (Department of Applied Economics, Universitat de València, Valencia, Spain); Emili Tortosa-Ausina (IVIE, Valencia and IIDL and Department of Economics, Universitat Jaume I, Castellón, Spain) |
| Abstract: | The floods that struck the Valencian region (Spain) in October 2024 illustrate how climate change is intensifying extreme weather events in Mediterranean floodprone areas, challenging regional economic resilience. This disaster, which resulted in numerous fatalities and extensive infrastructure damage, disrupted supply chains across a region already vulnerable due to decades of urban and industrial development in the area. Drawing on regional economic resilience theory and recovery curve methodologies, we present an ex ante framework for rapidly assessing climate disaster impacts on regional economic growth. Our approach combines sectoral recovery dynamics with worker-level impact data to update GDP growth forecasts in real-time, addressing a critical gap in disaster response capabilities for increasingly climate-vulnerable regions. Applied to the Valencia floods, our methodology reveals differential sectoral resilience patterns: while construction demonstrates rapid recovery due to reconstruction demand, agriculture shows prolonged vulnerability reflecting the sector’s exposure to climate risks. Compared to pre-flood forecasts, results indicate economic contractions of up to 0.2 percentage points in 2024 and 2025, followed by a policy-supported rebound adding 0.3 percentage points to growth in 2026. The analysis underscores how government intervention fundamentally shapes postdisaster economic trajectories in flood-prone regions. Beyond providing immediate impact assessment, this framework offers a generalisable tool for enhancing climate resilience planning in Mediterranean and other climatevulnerable territories, enabling policymakers to rapidly adjust economic forecasts and recovery strategies as extreme weather events become more frequent and severe under climate change. |
| Keywords: | macroeconomic forecasting; GDP growth; natural disasters; recovery curves; regional economic resilience |
| JEL: | Q54 R11 H84 C53 |
| Date: | 2025 |
| URL: | https://d.repec.org/n?u=RePEc:jau:wpaper:2025/10 |
| By: | Chepeliev, Maksym; Maryla Maliszewska; Amit Kanudia; Wen Jin Yuan; Channing Arndt; Dominique van der Mensbrugghe |
| Abstract: | This paper uses a combination of the global energy system model KINESYS and global computable general equilibrium (CGE) model ENVISAGE to analyze the impact of future climate mitigation policies. Results are subsequently linked to an atmospheric source-receptor model. Principal findings are as follows: (i) Holding global temperatures below 2oC requires significant policy effort. A uniformly applied tax of nearly $400 (2014 USD) per tonne of CO2eq is required. (ii) Ignoring benefits and co-benefits of mitigation policy, the cost to the global economy is relatively small. Holding global temperature rise below 2oC implies a loss of about 1.1% of global GDP. Using the revenue from carbon taxation to offset distorting taxes, as opposed to transferring carbon revenues in a lump sum manner to households, further reduces or reverses economic losses. (iii) However, benefits and co-benefits are significant. Benefits relate to reduced climate-related damages, such as lower frequency/intensity of extreme weather events. The co-benefit in focus relates to reduced air pollution. The monetized co-benefits of reduced air pollution substantially exceed the costs of mitigation alone by 2050 in most scenarios. Low-income countries experience a higher benefit-to-cost ratio compared to high-income economies. (iv) As mitigation effort increases, global trade-to-GDP ratios decline. Mitigation substitutes strongly traded fossil fuels for mostly domestically generated electricity. This downdraft on trade volume is a major and robust result. (v) The composition of trade shifts in logical ways, with production/trade in energy-intensive products tending to decline more and production/trade in less energy-intensive products tending to decline less. |
| Date: | 2025 |
| URL: | https://d.repec.org/n?u=RePEc:gta:workpp:7609 |
| By: | Ghosn, Fadi; Zreik, Mohamad; Awad, Ghina; Karouni, George |
| Abstract: | In the evolving landscape of global energy dynamics, Malaysia stands as a pivotal example of a nation actively transitioning towards renewable energy and sustainable development. This paper provides a comprehensive analysis of Malaysia's energy sector transformation, underpinned by the government's commitment to reducing carbon emissions and mitigating the impacts of climate change. The objective of this research is to delve into the intricacies, opportunities, and challenges of steering Malaysia towards a greener future, with a particular focus on the shift from reliance on fossil fuels to the adoption of renewable energy sources such as solar, wind, and biomass. Employing a mixed-method approach, this study synthesizes existing literature, policy documents, and case studies to examine the current state and historical context of energy use in Malaysia, analyze government initiatives and policy frameworks, explore technological advancements, and assess the environmental and socioeconomic impacts of the energy transition. Results indicate that despite facing challenges such as financial investment, technological advancement, and public acceptance, collaborative efforts between the government, private sector, and communities have led to significant progress in promoting renewable energy. The paper concludes that Malaysia's energy transition represents a critical step towards achieving a balance between economic growth and environmental preservation, setting a precedent for sustainable development in the Southeast Asian region. This transition is not only essential for climate change mitigation but also presents opportunities for economic diversification, energy security, and social inclusivity. The study ultimately calls for continued innovation, supportive policies, and international cooperation to overcome remaining barriers and fully realize the potential of renewable energy in Malaysia. |
| Keywords: | Malaysia, Renewable Energy, Sustainable Development, Energy Security, Climate Change Mitigation. |
| JEL: | O1 O13 |
| Date: | 2024–01–17 |
| URL: | https://d.repec.org/n?u=RePEc:pra:mprapa:126301 |
| By: | CHENG, Haitao; YANASE, Akihiko |
| Abstract: | Article 6 of the Paris Agreement seeks to foster international cooperation between developed and developing countries in curbing global carbon emissions. Central to this provision is the facilitation of international transfers of green technology and carbon mitigation outcomes. Through this mechanism, developed countries transfer their green technology to developing countries to help them mitigate emissions. In return, developing countries transfer emission permits equivalent to the mitigated outcomes to developed countries to alleviate their abatement burden. This study employs an international oligopoly model to explore the implications of green technology transfer (GTT) and international transfer of mitigated outcomes (ITMO) on welfare, emission permit issuance and global emissions. We find that once successfully implemented, these transfers consistently improve global welfare. Moreover, when permits are determined non-cooperatively by the countries, the implementation of GTT and ITMO leads to a reduction in global emissions. |
| Keywords: | Green technology transfer, Internationally transferred mitigation outcomes, Permit markets, International coordination, Paris Agreement |
| JEL: | F12 F18 H23 Q54 |
| Date: | 2025–10–16 |
| URL: | https://d.repec.org/n?u=RePEc:hit:hiasdp:hias-e-154 |
| By: | MUKHERJEE, Atri; Behera, Samir Ranjan; Yadav, Kovuri Akash; Saha, Debapriya |
| Abstract: | Climate change presents a growing threat to India's macro-financial outlook, with significant implications at the subnational level. This study compiles the data on climate-related expenditure by 31 Indian States and Union Territories from 2004-05 to 2022-23. The State governments, on an average, spend 1.1 per cent of their GSDP and 7.3 per cent of total expenditure on climate-related activities. A dynamic panel regression identifies fiscal capacity, intergovernmental transfers, and expenditure persistence as key determinants of climate spending of States, whereas climate vulnerability plays a limited role. The paper also reviews the current sources of climate financing of the States and explores the opportunities to scale up financing through various alternative channels. It underscores the need for strengthening institutional capacity and use of strategic fiscal tools to enhance climate responsiveness of States. |
| Keywords: | Green budgeting, Climate budget tagging, Climate expenditure, Climate finance, Environmental transfers, Fiscal decentralization, Indian States |
| JEL: | H7 H72 H76 H77 Q54 Q58 |
| Date: | 2025–10–09 |
| URL: | https://d.repec.org/n?u=RePEc:pra:mprapa:126438 |
| By: | Bright A. Gyamfi (Udaipur, India); Divine Q. Agozie (Accra, Ghana); Ernest B. Ali (Accra, Ghana); Festus V. Bekun (Istanbul, Turkey); Simplice A. Asongu (Johannesburg, South Africa) |
| Abstract: | As the environmental sustainability effectiveness of various political systems is taken into consideration, it is doubtful as to whether the presumption of the overall efficiency of democracy can be sustained in global governance architecture. The effectiveness of autocracies and democracies (i.e., governance indicators are compared in the present study) with reference to strengths and weaknesses in environmental objectives. This analysis explores the effect of autocracy, democracy, as well as the trend of globalization on CO2 emissions for open and closed economies from 1990 to 2020. Crucial indicators such as economic growth, renewable energy and non-renewable energy are controlled for while examining the roles of economic expansion on the disaggregated energy consumption portfolios for both open and closed economies. The empirical analysis revealed some insightful results. First, for the open economies, with the expectation of non-renewable energy which show a positive significant impact on emissions, all variables show a negative effect on emissions. Furthermore, the closed economies result indicate that, apart from renewable energy which has a negative relationship with emissions, all the variables including the interaction terms have a positive relation with emissions. However, an inverted U-shaped environmental Kuznets curve (EKC) hypothesis was validated for both economies. |
| Keywords: | Open economies, closed economies, democracy, autocracy, Environmental Kuznets Curve, globalization index, environmental sustainability. |
| Date: | 2024–01 |
| URL: | https://d.repec.org/n?u=RePEc:dbm:wpaper:24/018 |
| By: | Ashutosh Yadav (Patna, India); Bright Akwasi Gyamfi (Udaipur, India); Simplice A. Asongu (Johannesburg, South Africa); Deepak Kumar Behera (Patna, India) |
| Abstract: | In the context of sustainable development, this study investigates the intricate dynamics among good governance, renewable energy investment, and green finance in BRICS nations. The aim of the study is to assess how green finance and governance effectiveness moderate the impact of renewable energy investment on CO2 emissions. Utilizing the Cross-Sectional Autoregressive Distributed Lag (CS-ARDL) model, a meticulous analysis spanning two decades was conducted to unravel the relationships among key variables and CO2 emissions. The findings underscore a nuanced interplay where renewable energy investments, synergized with robust governance and strategic green finance, significantly mitigate CO2 emissions, contributing to sustainable economic development. However, the study reveals non-linear relationships, highlighting the necessity for optimal allocation and strategic planning to maximize environmental benefits. In the short-run, a government effectiveness policy threshold that should be attained in order for renewable energy investment to reduce CO2 emissions is provided. In the long-run, the negative responsiveness of CO2 emissions to renewable energy investment is further consolidated by green finance. Moreover, enhancing renewable energy investment in the long run is positive for environmental sustainability. It follows that policy makers should tailor policies aimed at enhancing renewable energy investment in the long-run as well as complementing renewable energy investment with green finance in the long-run in order to ensure environmental sustainability by means of reducing CO2 emissions. Policymakers in BRICS nations are urged to strengthen governance structures, promote renewable energy investments, leverage green finance, foster public-private partnerships, adopt a holistic approach, and address non-linear effects to accelerate the transition to a low-carbon economy. |
| Keywords: | Sustainable Development, Governance, Renewable Energy Investment, BRICS and CS-ARDL |
| Date: | 2024–01 |
| URL: | https://d.repec.org/n?u=RePEc:dbm:wpaper:24/014 |
| By: | Kazeem B. Ajide (Lagos, Nigeria); Olorunfemi Y. Alimi (Lagos, Nigeria); Simplice A. Asongu (Johannesburg, South Africa) |
| Abstract: | The research investigates the relationship between intelligence quotient (IQ) and environmental degradation, aiming to understand how cognitive abilities influence environmental outcomes across different nations and time periods. The objective is to examine the impact of intelligence quotient (IQ) on environmental indicators such as carbon emissions, ecological demand, and the Environmental Kuznets Curve (EKC), seeking insights to inform environmental policy and stewardship. The study utilizes statistical techniques including Ordinary Least Squares (OLS), Two Stage Least Squares (2SLS), and Iteratively Weighted Least Squares (IWLS) to analyze data from 147 nations over the years 2000 to 2017. These methods are applied to explore the relationship between IQ and environmental metrics while considering other relevant variables. The findings reveal unexpected positive associations between human intelligence quotient and carbon emissions, as well as ecological demand, challenging conventional notions of "delay discounting." Additionally, variations in the Environmental Kuznets Curve (EKC) hypothesis are identified across different pollutants, highlighting the roles of governance and international commitments in mitigating emissions. The study concludes by advocating for the adoption of a "delay discounting culture" to address environmental challenges effectively. It underscores the complex interactions between intelligence, governance, and population dynamics in shaping environmental outcomes, emphasizing the need for targeted policies to achieve sustainability objectives. |
| Keywords: | Human capital; intelligence quotient; population; output; carbon emission; EKC, World |
| JEL: | C52 O38 O40 Q50 I20 |
| Date: | 2024–01 |
| URL: | https://d.repec.org/n?u=RePEc:dbm:wpaper:24/004 |
| By: | Heckenhahn, Jonas |
| Abstract: | Climate change impacts are intensifying worldwide, with the harshest consequences borne by vulnerable developing countries that face high exposure and limited capacity to adapt. Although international agreements commit wealthy donor countries to provide adaptation finance, actual transfers remain far below estimated needs. Expanding such support ultimately depends on domestic political feasibility, including the preferences of donor-country publics. This paper investigates whether personal exposure to extreme weather fosters solidarity with vulnerable developing countries. I link objective indicators of heatwaves, heavy rainfall, and drought to more than 23, 000 responses from the 2024 European Investment Bank Climate Survey across the EU-27. Ordered logistic regressions reveal that exposure to all three weather types is positively associated with support for financing adaptation abroad. The findings suggest that, at current exposure levels, proximate climate damages activate an empathy pathway that strengthens outward-looking solidarity, rather than a crowding-out mechanism that would shift priorities toward domestic adaptation. |
| Abstract: | Die Auswirkungen des Klimawandels nehmen weltweit zu, wobei die schwerwiegendsten Folgen von vulnerablen Entwicklungsländern getragen werden, die einer hohen Gefährdung ausgesetzt sind und nur über begrenzte Anpassungskapazitäten verfügen. Obwohl internationale Abkommen wohlhabende Geberländer zur Bereitstellung von Anpassungsfinanzierung verpflichten, liegen die tatsächlichen Transfers weit unter den geschätzten Bedarfen. Eine Ausweitung solcher Unterstützung hängt letztlich von der innenpolitischen Umsetzbarkeit ab, einschließlich der Präferenzen der Bevölkerungen in den Geberländern. Diese Studie untersucht, ob persönliche Erfahrungen mit extremen Wetterereignissen die Solidarität mit vulnerablen Entwicklungsländern fördern. Dazu kombiniere ich objektive Indikatoren für Hitzewellen, Starkregen und Dürren mit über 23.000 Antworten, die im Rahmen des European Investment Bank Climate Survey 2024 in den 27 EU-Mitgliedstaaten erhoben wurden. Ordinale logistische Regressionen zeigen, dass die Exposition gegenüber allen drei Wettertypen positiv mit der Unterstützung für die Finanzierung von Anpassungsmaßnahmen im Ausland zusammenhängt. Die Ergebnisse deuten darauf hin, dass unter den derzeitigen Expositionsniveaus unmittelbare Klimaschäden einen Empathie-Mechanismus aktivieren, der nach außen gerichtete Solidarität stärkt, anstatt einen Crowding-out-Mechanismus auszulösen, der die Prioritäten auf die inländische Anpassung verschieben würde. |
| Keywords: | Climate Change, Extreme Weather, Heatwaves, Heavy Rainfall, Drought, Adaptation Finance, Vulnerable Countries, Climate Policy Preferences |
| JEL: | Q54 Q56 Q58 F35 |
| Date: | 2025 |
| URL: | https://d.repec.org/n?u=RePEc:zbw:rwirep:330183 |
| By: | Ana Fontoura Gouveia; João Carvalho |
| Abstract: | Several countries established ambitious climate goals to tackle the climate emergency. To fulfill these goals, bold climate policies are needed, upholding the political commitments and effectively addressing climate change. Given that social resistance is seen as a deterrent for action, this research provides a contribution to policy makers wanting to boost support for climate policies. Relying on randomized control trials over different design options within the same climate instrument – including green taxes, subsidies and regulations –, we show the importance of design features, namely relating to funding options and the overall tax burden. We also show that individual perceptions on climate change and climate policies are significantly associated with support, providing scope for government action also in this front. Taken together, these factors can be enough to sustain a supporting majority for all policies considered. |
| Date: | 2025 |
| URL: | https://d.repec.org/n?u=RePEc:ptu:wpaper:w202513 |
| By: | Sikwebu, Dinga; Aroun, Woodrajh |
| Abstract: | The just transition (JT) concept is in vogue. Presently, an array of forces has adopted the JT concept, either as a goal or policy. Since its emergence within the trade union movement in the 1990s as a response to global warming, multilateral bodies, civil society organisations, and corporations, have endorsed just transition with intentions to use it as a guide in their actions and interventions to mitigate climate change. To comply with international treaties, national and subnational governments are also introducing hard and soft laws to facilitate what they regard as just transitions. In addition to above uses, the JT concept has moved into the academe and is utilised in diverse economic sectors such as energy, food and agriculture, healthcare, finance and tourism. After years of climate denialism, corporations and business associations have achieved what has been their goal since the signing of the Paris Agreement in 2015, recognition as a key non-state actor in climate negotiations (Mousu, 2020). Viewed positively, the popularity of the JT concept reflects a "growing awareness of and concern about deepening inequalities between the world's rich and poor, and how the climate and environmental crises, and efforts to address them, are accentuating them" (Stevis, Morena and Krause, 2020, 4). Considering its spread, attempts are underway to operationalise the concept. To enhance its utility and simplify the expansive use of JT concept, Harrington (2022) makes a distinction between climate and non-climate transitions. Climate-related transitions require shifts away from large-scale greenhouse gas emissions and adaptation by sectors that are potential carbon sinks. Non-climate transitions involve changes required in sectors such healthcare, agriculture and food production. (...) |
| Date: | 2025 |
| URL: | https://d.repec.org/n?u=RePEc:zbw:gluwps:330336 |
| By: | St\'ephane Cr\'epey (LPSM); Samuel Drapeau (LPSM); Mekonnen Tadese (LPSM) |
| Abstract: | Carbon pricing has become a central pillar of modern climate policy, with carbon taxes and emissions trading systems (ETS) serving as the two dominant approaches. Although economic theory suggests these instruments are equivalent under idealized assumptions, their performance diverges in practice due to real-world market imperfections. A particularly less explored dimension of this divergence concerns the role of financial intermediaries in emissions trading markets. This paper develops a unified framework to compare the economic and environmental performance of tax- and market-based schemes, explicitly incorporating the involvement of financial intermediaries. By calibrating both instruments to deliver identical aggregate emission reduction targets, we assess their economic performance across alternative market structures. Our results suggest that although the two schemes are equivalent under perfect competition, the presence of intermediaries in ETS reduces both regulatory wealth and the aggregate wealth of economic agents relative to carbon taxation. These effects stem from intermediaries' influence on price formation and their appropriation of part of the revenue stream. The findings underscore the importance of accounting for intermediaries' behavior in the design of carbon markets and highlight the need for further empirical research on the evolving institutional structure of emissions trading systems. |
| Date: | 2025–10 |
| URL: | https://d.repec.org/n?u=RePEc:arx:papers:2510.15941 |
| By: | Cheikh T. Ndour (Dakar, Senegal); Waoundé Diop (Dakar, Senegal); Simplice A. Asongu (Johannesburg, South Africa) |
| Abstract: | This study assesses the effects of natural disasters on food security in a sample of 40 sub-Saharan African countries. First, we assess the effects of natural disasters on the four dimensions of food security and secondly, we disaggregated natural disaster using the two dimensions that are most representative, namely hydrological and biological disasters. The regressions are based on the generalised method of moments on a dataset covering the period 2005-2020. Natural disasters are measured by the total number of people affected and food security by its characteristics: access, availability, use and sustainability. The results show that natural disasters increase the prevalence of undernourishment but reduce dependence on cereal imports. An increase in natural disasters by 1% increases the prevalence of undernourishment by the same proportion. As for import dependency, a 1% increase in natural disasters reduces dependency by 2.2%. The disaggregated effects show that hydrological disasters are more significant than biological disasters in impacting food security. Floods reduce the average energy supply adequacy but also dependence on cereal imports. Policy implications are discussed. The study complements the extant literature by assessing the effects of natural disasters on food security in a region where food insecurity is one of the worst in the world. |
| Keywords: | Food security; Natural disasters; Sustainable development; Sub-Saharan Africa |
| Date: | 2024–01 |
| URL: | https://d.repec.org/n?u=RePEc:dbm:wpaper:24/010 |
| By: | Missirian, Anouch; Noack, Frederik; Engist, Dennis; Gantois, Josephine; Gaur, Vasundhara; Hyjazie, Batoule F.; Larsen, Ashley; M’Gonigle, Leithen K.; Qaim, Matin; Sargent, Risa D.; Souza-Rodrigues, Eduardo; Kremen, Claire |
| Abstract: | Genetically modified (GM) crops have been adopted by some of the world’s leading agricultural nations, but the full extent of their environmental impacts remains largely unknown. While concerns about the direct environmental effects of GM crops have declined, GM crops have led to indirect changes in agricultural practices, including pesticide use, agricultural expansion, and cropping patterns with profound environmental implications. Recent studies paint a nuanced picture of these environmental impacts, with mixed effects of GM crop adoption on biodiversity, deforestation, and human health that vary with the GM trait and geographic scale. New GM or gene-edited crops with different traits would likely have different environmental and human health impacts. |
| Date: | 2025–10–23 |
| URL: | https://d.repec.org/n?u=RePEc:tse:wpaper:131056 |
| By: | Paolo Polidori (Department of Law, Society & Politics, Università di Urbino Carlo Bo); Rosalba Rombaldoni (Department of Economics, Society & Politics, Università di Urbino Carlo Bo) |
| Abstract: | This paper aims to contribute to the debate on waste management with the intention of considering the waste cycle as an integrated service using the logical scheme proper to network analysis. Its optimization involves the identification of critical nodes and bottlenecks that prevent the system from achieving balances in line with circularity and sustainability. Providing for a sustainable landfill, as a necessary building block that cleanly closes the material cycle, imposes the constraint that produces backward effects throughout the supply chain, even to the point of changing the structure of the entire network. A simple model shows that the lifespan of a landfill, in the absence of economic constraints, depends on the actions put in place upstream of the final storage phase, which will have to be all the more incisive the greater the community's aversion to the creation of landfills. |
| Keywords: | sustainable landfill; network analysis; environmental and economic efficiency |
| JEL: | H23 Q53 Q56 |
| Date: | 2025 |
| URL: | https://d.repec.org/n?u=RePEc:urb:wpaper:25_01 |
| By: | Nicola Garbarino |
| Abstract: | Does land development adapt to changing climate risks? Extreme precipitation increases flood risk, yet land-use decisions may overlook rare events. Drawing on nearly half a century of climate and land-use data for Europe (1975–2020), this paper finds that extreme precipitation slows the expansion of built-up areas, though only slightly. The effect is stronger over longer horizons, consistent with a clearer climate signal. Adaptation is concentrated in fast-growing urban areas. An accounting framework that combines these effects suggests that relocation in response to shifting precipitation patterns has reduced damages by roughly 5%. |
| Date: | 2025 |
| URL: | https://d.repec.org/n?u=RePEc:ces:ifowps:_419 |
| By: | Cheikh T. Ndour (Dakar, Senegal); Simplice A. Asongu (Johannesburg, South Africa) |
| Abstract: | Purpose – This study examines the relevance of information and communication technologies in the effect of gender economic inclusion on environmental sustainability. Design/methodology/approach – The focus is on a panel of 42 sub-Saharan African countries over the period 2005-2020. The empirical evidence is based on generalized method of moments. The environmental sustainability indicator used is CO2 emissions per capita. Two indicators of women's economic inclusion are considered: women's labour force participation and women's unemployment. The chosen ICT indicators are mobile phone penetration, internet penetration and fixed broadband subscriptions. Findings – The results show that: (i) fixed broadband subscriptions represent the most relevant ICT moderator of gender economic inclusion for an effect on CO2 emissions; (ii) negative net effects are apparent for the most part with fixed broadband subscriptions (iii) both positive ICT thresholds (i.e., critical levels for complementary policies) and negative ICT thresholds (i.e., minimum ICT levels for negative net effects) are provided; (iv) ICT synergy effects are apparent for female unemployment, but not for female employment. In general, the joint effect of ICTs or their synergies and economic inclusion should be a concern for policymakers in order to better ensure sustainable development. Moreover, the relevant ICT policy thresholds and mobile phone threshold for complementary policy are essential in promoting a green economy. Originality/value –The study complements the extant literature by assessing linkages between information technology, gender economic inclusion and environmental sustainability. |
| Keywords: | ICT, Gender inclusion; Environment sustainability; Sub-Saharan Africa |
| JEL: | C52 O38 O40 O55 P37 |
| Date: | 2024–01 |
| URL: | https://d.repec.org/n?u=RePEc:dbm:wpaper:24/003 |
| By: | Diana Barro (Ca’ Foscari University of Venice); Oleksandr Castello (Ca’ Foscari University of Venice); Marco Corazza (Ca’ Foscari University of Venice); Martina Nardon (Ca’ Foscari University of Venice) |
| Abstract: | The sustainable energy transition represents a transformative shift in how energy is produced, distributed, and consumed – moving away from fossil fuels toward renewable energy sources. This shift is essential for achieving global decarbonization goals but presents significant challenges for businesses. As firms are compelled to adapt to this evolving regulatory and economic landscape, they become increasingly exposed to transition-related financial risks and uncertainties. This exposure is particularly pronounced for small and medium-sized enterprises (SMEs), which often lack the financial and strategic capacity to manage such transformation effectively, placing their valuations and long-term competitiveness at risk. To facilitate SMEs' transition process, we propose a novel financial tool, termed Transition Risk Impact Swap (TRIS), that leverages the conceptual framework of equity swaps, the use of conventional and sustainability-linked indices as proxies for corporate greenness, and flexible customisation, to enable the hedging of climate transition costs and uncertainty based on SMEs' transition performance. Proposed under both floating-for-floating and fixed-for-floating structures, TRIS allows for positive upfront payments and mitigating basis risk through linkage to observable market indicators, while also offering the flexibility to achieve a zero initial value through appropriately defined spreads, enhancing its marketability. The economic viability and risk-mitigating potential of the TRIS are quantitatively assessed through Historical Bootstrap and Monte Carlo simulations using European market data from STOXX and MSCI index series. The proposed financial instrument offers a scalable mechanism to strategically support firms in initiating or accelerating their climate transition by enhancing financial flexibility, reducing reliance on traditional funding channels, and mitigating the risk of long-term marginalisation or market exclusion. |
| Keywords: | Energy transition risk, Risk mitigation, European listed SMEs, Equity swaps, STOXX Europe 600 and MSCI Europe indices, Historical Bootstrap and Monte Carlo simulations |
| JEL: | G13 G23 C63 |
| Date: | 2025 |
| URL: | https://d.repec.org/n?u=RePEc:ven:wpaper:2025:23 |
| By: | Vinicius Schuabb; Pedro Chaves Maia; Valdemar Pinho Neto; Sergio Guimarães; Paulo Tafner |
| Abstract: | This paper examines how social policy shapes mobility responses to extreme weather events. We study Brazil's conditional cash transfer programme, Bolsa Família, and its impact on the relocation decisions of vulnerable households exposed to extreme rainfall. We assemble a novel dataset linking georeferenced household and firm records to high-resolution precipitation data, climate vulnerability maps, and federally recognized disaster reports, covering 858 municipalities from 2015 to 2020. |
| Keywords: | Weather shock, Conditional cash transfers, Resilience, Labour market |
| Date: | 2025 |
| URL: | https://d.repec.org/n?u=RePEc:unu:wpaper:wp-2025-74 |
| By: | Lee Van ("Faculty of Management, Universiti Teknologi Malaysia, 81310 Skudai, Johor Darul Takzim, Malaysia " Author-2-Name: Thoo Ai Chin Author-2-Workplace-Name: "Faculty of Management, Universiti Teknologi Malaysia, 81310 Skudai, Johor Darul Takzim, Malaysia " Author-3-Name: Author-3-Workplace-Name: Author-4-Name: Author-4-Workplace-Name: Author-5-Name: Author-5-Workplace-Name: Author-6-Name: Author-6-Workplace-Name: Author-7-Name: Author-7-Workplace-Name: Author-8-Name: Author-8-Workplace-Name:) |
| Abstract: | "Objective - The transition toward sustainable development in the manufacturing industry increasingly depends on integrating circular economy practices, enabled by green supply chain collaboration. However, despite growing attention to circular economy implementation, research on it that relates to green supply chain collaboration remains limited. This study investigates circular economy practices with a particular focus on the determinants of supplier, customer, and internal collaboration within manufacturing organizations. Methodology/Technique – A structured review was conducted on articles published between 2022 and 2025 in the Web of Science database, resulting in 48 studies identified through abstract screening and full-text review. The findings reveal a clear upward trend in research interest, with publications doubling from 9 in 2022 to a peak of 18 in 2024. Findings – Notably, the most frequently examined indicators include supplier awareness, customer awareness, and cross-functional cooperation for supplier, customer, and internal collaboration, respectively. Other factors, such as environmental management certifications and solutions, also contribute to effective circular economy implementation. Based on these insights, future research is encouraged to explore collaborative dynamics in small and medium-sized enterprises (SMEs) and emerging economies, where resource constraints and institutional differences present unique challenges. Novelty – Additionally, the role of digital technologies in enhancing transparency, trust, and coordination among supply chain actors warrants further investigation. In conclusion, this study highlights the strategic importance of fostering collaboration across the supply chain to accelerate the adoption of circular economies and build more sustainable and resilient manufacturing systems. Type of Paper - Review" |
| Keywords: | customer awareness, cross-functional cooperation, digital technologies, environmental management certifications, green supply chain collaboration, supplier awareness. |
| JEL: | L25 L60 |
| Date: | 2025–09–30 |
| URL: | https://d.repec.org/n?u=RePEc:gtr:gatrjs:jfbr231 |
| By: | Svenja Flechtner (Siegen University); Martin Middelanis (Freie Universitat Berlin) |
| Abstract: | The relationship between income inequality and carbon emissions remains ambiguous in both theory and evidence. A declining–marginal–propensity-to-emit (MPE) framework predicts a short-term trade-off between reducing inequality and limiting emissions, whereas political-economy perspectives suggest that higher structural inequality increases carbon output. Empirical studies often report negative associations, but these frequently conflate within-country dynamics with cross-country differences. We argue that distinguishing these levels can reconcile the evidence: the MPE mechanism primarily operates within countries over time, while political-economy channels shape structural, cross-country variation. Using data from the World Inequality Database, we conduct two complementary analyses. First, simulations on a global sample of 162 countries from 2019 test whether shifts in national income distributions alter carbon emissions at constant GDP, isolating the within-country MPE effect. Second, cross-sectional panel analyses examine whether households at equivalent income levels generate more emissions in more unequal societies. Our results show a modest within-country trade-off â۠most pronounced in low- and middle-income countries and when the income share of the middle class rises â۠alongside a cross-country pattern in which higher inequality is systematically associated with higher emissions across the income distribution. These findings highlight the coexistence of opposing dynamics and underscore that climate policy should balance short-term trade-offs against the structural benefits of reducing inequality. |
| Keywords: | Inequality, Carbon emissions, Climate change, Marginal propensity to emit, Redistribution |
| JEL: | D31 Q53 Q54 Q56 |
| Date: | 2025–10 |
| URL: | https://d.repec.org/n?u=RePEc:inq:inqwps:ecineq2025-687 |
| By: | Diana Barro (Ca’ Foscari University of Venice); Marco Corazza (Ca’ Foscari University of Venice); Gianni Filograsso (Ca’ Foscari University of Venice) |
| Abstract: | In this contribution, we discuss how to handle financial and sustainable investment goals, focusing on greenness and ESG features. Sustainable investing has attracted increasing interest with an associated growing commitment to take an active part in investment choices. Among thematic investments, green and energy-related ones have emerged, capturing investors' attention. Non-optimized strategies and traditional portfolio allocation models cannot guarantee the necessary flexibility. To answer this demand, ESG tailored-made allocations should be provided, with the aim of representing the preferences and commitments of investors adequately. This contribution introduces a novel ESG-focused tracking error model to optimize portfolio allocation. We consider two reference benchmarks, accounting for a financial target and an ESG one, respectively. The objective function results in a convex linear combination of the two goals where the parameter λ accounts for the investor's financial and ESG preferences. A symmetric tracking error measure is proposed to replicate the financial benchmark passively, while an asymmetric measure is used to track and possibly outperform the thematic ESG benchmark. Identifying the benchmarks for the two components represents a crucial step and, jointly with the choice of the parameter λ, accounts for the portfolio's overall risk-return and ESG profiles. In the model, the sustainability feature is handled not only with the presence of the ESG benchmark but also with the introduction of dedicated constraints. Namely, a desired minimum level of greenness and a maximum amount of carbon intensity can be accounted for. An application to the EUROSTOXX 600 equity market is presented and discussed for different choices of the parameter λ, representing different sustainability preferences and risk-return profiles. Furthermore, a discussion on the choice of the benchmarks is provided. |
| Keywords: | Tracking Error, Portfolio optimization, Green sustainability, ESG, GAN |
| JEL: | C53 C61 G11 |
| Date: | 2025 |
| URL: | https://d.repec.org/n?u=RePEc:ven:wpaper:2025:21 |
| By: | Carlos Giraldo (Fondo Latinoamericano de Reservas - FLAR); Iader Giraldo-Salazar (Fondo Latinoamericano de Reservas - FLAR); Jose E. Gomez-Gonzalez (Department of Finance, Information Systems, and Economics, City University of New York – Lehman College); Jorge M Uribe (Universitat Oberta de Catalunya) |
| Abstract: | We examine how climate hazards influence housing affordability, measured by the price-to-income ratio (PTI), across a global cross-section of cities. While previous research links PTI mainly to credit conditions and bubble dynamics, the role of climate hazards remains largely unexplored. Using hierarchical cluster analysis to group climate indicators and quantile regressions to capture effects across the distribution of PTI, we find that climate factors matter little at the median and lower end of the PTI distribution, but strongly influence the most overpriced markets. Higher cooling degree day, reflecting prolonged warming, raise PTI ratios by enhancing the amenity value of milder winters, whereas extreme hot days above 35 °C lower PTI, are associated to a reduced demand under acute heat stress, and therefore to lower PTIs. Our results which highlight both the risks of raising temperatures and the amenity value of warmer winters imply that temperate cities should prepare for intensified affordability pressures as warming winters drive further overpricing, while tropical cities may experience easing PTI but face severe health and infrastructure risks. Policies must integrate housing, finance, and climate adaptation to address these divergent challenges. |
| Keywords: | climate change; price-to-income; temperature raising; amenity; quantile regressions |
| Date: | 2025–10–06 |
| URL: | https://d.repec.org/n?u=RePEc:col:000566:021689 |
| By: | Mawia, Harriet; Ferguson, Nathaniel; Bryan, Elizabeth; Thomas, Timothy S. |
| Abstract: | Agriculture is vital to Kenya's economy, accounting for 20% of the country’s GDP in 2020. Yet the growth of the sector has slowed in recent years due to unfavorable weather conditions, leading to a reduction in crop and livestock performance (Central Bank of Kenya, 2023). While employment in agriculture has been steadily declining (to 32% in 2023), the sector still employs a large share of the rural population and is the main source of informal employment, rural income, and livelihoods (D’Alessandro et al., 2015; ILO 2025). A majority of Kenyan farmers operate on a small scale and are solely dependent on rainfall (D’Alessandro et al., 2015). However, since the 1970s, the country has experienced significant changes in rainfall pat terns--average rainfall during the long season has decreased while rainfall during other times of the year has increased and the country has experienced more frequent climate extreme events (Kogo et al. 2021). Increased climate variability has negative effects on agriculture and may exacerbate inequalities within the sector. Due to gender inequalities and gender-differentiated roles in agrifood systems, men and women do not experience climate change and variability in the same ways (Balikoowa et al., 2019; Lecoutere et al. 2023). According to the World Economic Forum, women are more vulnerable than men to climate change due to lower education and exclusion from the political and domestic decision-making processes that affect their lives (Gunawardena, 2020). |
| Keywords: | agriculture; employment; climate change; extreme weather events; gender; agrifood systems; Kenya; Africa; Eastern Africa; Sub-Saharan Africa |
| Date: | 2025–07–14 |
| URL: | https://d.repec.org/n?u=RePEc:fpr:gcanip:175631 |
| By: | Ranger, Nicola A.; Adam, Christopher; Arndt, Channing; Martín, Roberto Spacey |
| Abstract: | Climate change is driving three transformations in the landscape of global finance, with implications for central banks in Sub-Saharan Africa (SSA). First, pressures on financial institutions related to climate-related physical risks are mounting, with potential to threaten price and financial stability. Second, global and domestic responses to climate change are creating risks and opportunities for SSA economies. Third, the ongoing shift in the global financial architecture toward sustainability could either crowd-out or crowd-in international investment flows to SSA. Uncertainties in each increase the challenges for central banks and supervisors. We find that, without action, the risks outweigh the opportunities. To fulfil their mandates, SSA's central banks are obliged to react; however, the paucity of peer-reviewed evidence hinders the development and execution of appropriate responses. Preparedness is crucial if actions by SSA central banks are to play their part in shifting the balance towards managing risks and grasping opportunities. |
| Keywords: | climate change; central banking; Sub-Saharan Africa; financial markets; financial risk |
| JEL: | E58 O13 Q54 |
| Date: | 2025–10–06 |
| URL: | https://d.repec.org/n?u=RePEc:ehl:lserod:129898 |
| By: | Bassirou Gueye |
| Abstract: | The Environmental and Clean Technology (ECT) sector in Canada plays a significant role in the nation's economy and efforts to combat climate change. Statistics Canada defines the ECT sector as encompassing activities related to environmental protection, resource optimization, and the use of energy-efficient goods. In 2021, the sector contributed 2.9% to Canada's GDP and employed 314, 257 individuals, representing 1.6% of the national workforce. This study uses data from the Environmental and Clean Technology Products Economic Account to provide a comprehensive analysis of the sector's workforce diversity. This paper focuses on the representation of women in the ECT sector, highlighting their underrepresentation and examining their compensation relative to men across various demographics, including age, education, and occupation. Women comprised 28.6% of the ECT workforce in 2021, with a higher presence in service-related jobs compared to goods production. They were more likely to have postsecondary education but face a gender pay gap, earning on average 16.3% less than their men counterparts. The paper further explores the intersectionality of gender with Indigenous, racialized, and immigrant identities, highlighting the additional challenges these groups could face. For instance, among immigrants, Indigenous peoples, and the racialized population, women were underrepresented in the ECT sector and faced a compensation gap compared to their men counterparts. |
| Keywords: | Environmental and clean technology, gender representation, compensation gap, Indigenous women, racialized women, immigrant women, Canada, economic growth, workforce diversity |
| JEL: | J23 M21 |
| Date: | 2024–07–24 |
| URL: | https://d.repec.org/n?u=RePEc:stc:stcp8e:202400700003e |
| By: | Kampmann, David |
| Abstract: | How We Sold Our Future: The Failure to Fight climate Change by J. Beckert, Polity Press, 2025. Overshoot: How the World surrendered to Climate Breakdown by A. Malm and W. Carton, Verso, 2024 |
| JEL: | N0 |
| Date: | 2025–10–21 |
| URL: | https://d.repec.org/n?u=RePEc:ehl:lserod:129931 |
| By: | Ando, Tomohiro; Bailey, Natalia; Rambaldi, Alicia; Shukla, Jyoti; Tirumala, Raghu; Tiwari, Piyush |
| Abstract: | Climate change increasingly affects housing markets, yet distributional impacts are rarely examined beyond mean-based analyses. Using quantile regression on over 500, 000 Australian property transactions (2015–2020), this study shows that affordable housing is disproportionately devalued by bushfire and flood risks, while resilience factors such as altitude and elevated coastal proximity command premiums in higher-end markets. These results reveal a “vulnerability trap” for low-income households and a “resilience divide” favoring affluent buyers, underscoring the need for distribution-sensitive climate adaptation housing policies. |
| Keywords: | Adaptation, Housing markets, Quantile regression, Resilience, Spatial Inequality, Vulnerability |
| JEL: | R30 R31 |
| Date: | 2025–10–16 |
| URL: | https://d.repec.org/n?u=RePEc:pra:mprapa:126530 |
| By: | Asim, Meerab |
| Abstract: | We examine market reactions to climate events using event study methodology on a final sample of 250 high-severity events (2000–2025) across US, EU, and Asian markets, which were filtered from a raw dataset of over 1.5 million events. Broad US indices (SPY, QQQ) show no significant event- day AR, while the US energy sector (XLE) exhibits a negative reaction (−6 bps, p |
| Keywords: | Climate Events; Market Efficiency; Event Study; Financial Markets, Information Processing; Climate Finance; ESG Investing; Climate Risk Pricing; Event Study Methodology |
| JEL: | C12 G10 Q4 Q41 Q51 |
| Date: | 2025–10–13 |
| URL: | https://d.repec.org/n?u=RePEc:pra:mprapa:126500 |
| By: | Gozlugol, Alperen |
| Abstract: | Sustainable finance has become mainstream, with governments and stakeholders relying on financial players/channels to prod real economy firms into addressing environmental and social issues. An overlooked, yet significant problem with this idea is credit substitution—where firms replace their ‘exiting’ creditors or investors. This significantly weakens the effect of ‘exit’ and results in the migration of problems or risks associated with lending and investment to new entrants. This article examines credit substitution in theory and practice, focusing on its implications for sustainable finance. It argues that the current regulatory framework and broader ecosystem for financial institutions worldwide create conditions highly conducive to credit substitution. Key factors include substantial cross-jurisdictional differences in approaches towards sustainable finance among major financial centres and cross-sectoral differences within jurisdictions—particularly in the EU—where sustainable finance regulations vary between bank-based and market-based financing. These conditions undermine the effectiveness of sustainable finance policies. If the aim is to address environmental and social impacts in the real economy, such policies are diluted; alternatively, if focused on managing financial risks associated with lending to and investing in firms causing these impacts, the result is only migration, rather than mitigation, of risks. The article concludes with policy implications. |
| Keywords: | sustainable finance; ESG risks; credit substitution; regulatory arbitrage; financial regulation |
| JEL: | F3 G3 |
| Date: | 2025–10–22 |
| URL: | https://d.repec.org/n?u=RePEc:ehl:lserod:129581 |
| By: | Toyo A. M. Dossou (Cotonou, Benin); Dossou K. Pascal (Cotonou, Benin); Emmanuelle N. Kambaye (Chengdu, China); Simplice A. Asongu (Johannesburg, South Africa); Alastaire S. Alinsato (Cotonou, Benin) |
| Abstract: | Although the impact of financial development on renewable energy consumption has been extensively examined in recent years, the study regarding the moderation of governance quality on the financial development on renewable energy consumption nexus is sparse. By filling the gap in the energy economics literature, this study investigates the moderating effect of governance quality on the relationship between financial development on renewable energy consumption for a panel of 33 African countries over the period 2000-2020. The fully modified ordinary least square (FMOLS) estimation techniques has been used to account for the cointegration and cross-sectional dependence, respectively. The results unveil that the impact of governance quality and financial development on renewable energy consumption is negative and statistically significant. Moreover, the results reveal that the FD-governance quality interactions are significant and negative. Governance quality thresholds at which the negative incidence of financial development on renewable energy consumption is completely nullified are 0.825; 2.15; 2.86; 3.52;3.36; and 0, 1, respectively |
| Keywords: | Financial development, renewable energy consumption, governance quality, Africa |
| Date: | 2024–01 |
| URL: | https://d.repec.org/n?u=RePEc:dbm:wpaper:24/011 |
| By: | Martin, Will; Nia, Reza; Vos, Rob |
| Abstract: | Agricultural yield shocks are frequently correlated across countries and much of the recent literature concludes that both the volatility of shocks and the extent of correlations across countries are likely to increase substantially with climate change. Given this background, it seems important to consider the potential impacts of large, synchronized yield shocks in both developing and developed countries. These shocks are examined using IFPRI’s MIRAGRODEP model and the linked POVANA household models to assess the impacts on real incomes, food prices, poverty and food insecurity. The results of a 25% reduction in productivity in South Asia and Eastern and Southern Africa are compared with a similar productivity reduction in Europe and North America. The results make clear that the adverse impacts on global poverty and food security are much more severe when the shock originates in developing countries. The results point to a need for quite different policy responses in the case of a multiple breadbasket failure arising in the global south, rather than—like the three most recent food crises—in the global north. |
| Keywords: | agriculture; climate change; crop yield; developing countries; extreme weather events; food security; poverty; shock |
| Date: | 2025–09–22 |
| URL: | https://d.repec.org/n?u=RePEc:fpr:ifprid:176642 |
| By: | Alexandre Bernier; Doris Hanzl-Weiss (The Vienna Institute for International Economic Studies, wiiw); Philipp Heimberger (The Vienna Institute for International Economic Studies, wiiw); Michal Hrubý; Ambre Maucorps (The Vienna Institute for International Economic Studies, wiiw); Leon Podkaminer (The Vienna Institute for International Economic Studies, wiiw) |
| Abstract: | Chart of the month Germany’s historic fiscal policy shift by Philipp Heimberger Opinion Corner Does inflation retard growth? Not necessarily! by Leon Podkaminer Inflation is commonly believed to lead to various misfortunes – above all, the misallocation of productive resources. However, seemingly over the longer run it correlates positively with per capita GDP growth it appears that the higher the inflation, the faster the economic growth. Against this background, one of the sources of weakness in the euro area economy may have been the overactive fight against inflation, rather than inflation itself. EU enlargement and climate neutrality taking up the twofold challenge of economic and environmental convergence by Ambre Maucorps and Alexandre Bernier The EU’s goal of achieving climate neutrality by 2050 has recently been embraced by EU candidate countries, demonstrating their commitment to reducing polluting emissions. Although their recent progress on the carbon intensity of their economies has been promising, their heavy dependence on fossil fuels and the limited fiscal room they have cast doubt on their capacity to meet EU environmental performance standards. Without substantial support from the EU even before accession, it is unlikely that candidate countries will manage to decarbonise their economies sufficiently by 2050 to be on a par with the rest of the EU. The state of the Czech automotive industry and the outlook for it by Doris Hanzl-Weiss and Michal Hrubý This article considers the state of the Czech automotive industry and the outlook for it, and sheds light on two aspects of it – cars and battery production and exports – making various comparisons with Slovakia. It highlights Czechia’s relatively robust production portfolio, with its increasing share of electric vehicles, its reliance on geographically close export markets with low geopolitical risk, and its ongoing integration into battery supply chains (albeit with a heavy reliance on imported battery cells). While the overall outlook for the automotive industry may appear gloomy, Czechia could hardly have entered this period in a better position. Monthly and quarterly statistics for Central, East and Southeast Europe |
| Keywords: | fiscal policy, debt brake, inflation, economic growth, climate neutrality, GHG emissions, fossil fuels dependence, automotive industry, electric vehicles, batteries |
| Date: | 2025–04 |
| URL: | https://d.repec.org/n?u=RePEc:wii:mpaper:mr:2025-04 |
| By: | Elvis K. Ofori (Taiyuan, China); Festus V. Bekun (Istanbul, Turkey); Bright A. Gyamfi (Istanbul, Turkey); Ali E. Baba (Yekaterinburg, Russia); Stephen T. Onifade (Konya, Turkey); Simplice A. Asongu (Johannesburg, South Africa) |
| Abstract: | The current study thus explored the impact of technological innovation and trade openness on clean energy while accounting for economic growth, access to electricity, pollution, industrial restructuring, and urbanization using data from 1990 to 2020 for both the MINT and BRICS economies. A series of test were performed for a robust analysis using second generation econometrics approaches before proceeding to investigate the long-run linkages between renewable energy and the duo of innovation and trade using the Prais-Winsten regression model with panel-corrected standard errors (PCSE) while the Driscoll-Kraay standard errors test was applied for robustness checks. The results, firstly confirm the presence of heterogeneity, cross-sectional dependence, and cointegration among the selected variables. Secondly, technological innovation as a renewable energy determinant demonstrated negative elasticities in both BRICS countries and the full sample, but a positive elasticity in the MINT countries. Thirdly, concerning trade liberalisation, negative elasticities were obtained for the full sample and MINT countries, while the elasticities were positive for the BRICS bloc. Fourthly, the roles of economic growth and environmental pollution reveal a negative impact on renewable energy consumption for all samples while urbanisation and industrial restructuring promote renewable energy developments only in the BRICS bloc. Policy implications are discussed. |
| Keywords: | Renewable energy, trade liberalization, technological innovation, Prais-Winsten regression |
| Date: | 2024–01 |
| URL: | https://d.repec.org/n?u=RePEc:dbm:wpaper:24/007 |
| By: | Qionghua Chu |
| Abstract: | I identify a new signaling channel in ESG research by empirically examining whether environmental, social, and governance (ESG) investing remains valuable as large institutional investors increasingly shift toward artificial intelligence (AI). Using winsorized ESG scores of S&P 500 firms from Yahoo Finance and controlling for market value of equity, I conduct cross-sectional regressions to test the signaling mechanism. I demonstrate that Environmental, Social, Governance, and composite ESG scores strongly and positively signal higher debt-to-total-capital ratio, both individually and in various combinations. My findings contribute to the growing literature on ESG investing, offering economically meaningful signaling channel with implications for long-term portfolio management amid the rise of AI. |
| Date: | 2025–10 |
| URL: | https://d.repec.org/n?u=RePEc:arx:papers:2510.15956 |
| By: | Tendai Gwatidzo |
| Abstract: | Despite its limited role in causing climate change, Africa has been significantly affected by it, particularly in the form of droughts and flooding. Most research on the economic impact of climate change has largely focused on its short-term effects. This study uses panel data covering the period 19802018 and the synthetic control method to investigate both short-term and long-term effects of droughts in the Southern African Development Community (SADC) region. The synthetic control method enables us to credibly identify the causal effect of droughts, as it creates a credible counterfactual. Our results show that droughts in the SADC region can be quite devastating. On average, droughts reduced each affected countrys gross domestic product per capita by about 18%, apart from South Africa, where the effect was about 5%. The study results also suggest that the effects of the droughts are long-lasting. Policymakers should therefore consider long-term, rather than short-term, policy responses to droughts. |
| Date: | 2025–10–23 |
| URL: | https://d.repec.org/n?u=RePEc:rbz:wpaper:11091 |
| By: | Stela Jorgji (University of Tirana); Jonida Teta (University of Tirana); Saeed Mousa (ESC [Rennes] - ESC Rennes School of Business); Vadim Ponkratov; Izabella Elyakova; Larisa Vatutina; Andrey Pozdnyaev; Tatiana Chernysheva (MSU - Lomonosov Moscow State University = Université d'État Lomonossov de Moscou [Moscou]); Elena Romanenko; Mikhail Kosov (PRUE - Plekhanov Russian University of Economics [Moscow]) |
| Abstract: | This study investigates the relationships between sustainable human capital management practices, ESG performance, ESG disclosure, and firm financial performance. Using a sample of 387 S&P 500 firms from 2013 to 2023 and a panel data regression approach, we examine the impact of training expenditure, workforce diversity and inclusion, pay equity, and employee benefits on ESG performance. We also explore the association between ESG performance and ESG disclosure, the effect of ESG performance on financial performance, and the moderating role of ESG disclosure in the ESG-financial performance relationship. Our findings reveal that sustainable human capital management practices have a positive and significant impact on ESG performance, which in turn positively influences firm financial performance. We also find a positive relationship between ESG performance and ESG disclosure, and that ESG disclosure moderates the ESG-financial performance link, with the positive association being stronger for firms with higher levels of ESG disclosure. This study contributes to the literature by offering an integrated approach to examine the relationships between sustainable human capital management, ESG performance, ESG disclosure, and financial performance, providing novel insights into the drivers and outcomes of corporate sustainability in the context of human capital management. |
| Keywords: | Sustainability, Effects of Globalization, Firm Financial Performance, ESG Disclosure, ESG Performance, Sustainable Human Capital Management |
| Date: | 2024–06–01 |
| URL: | https://d.repec.org/n?u=RePEc:hal:journl:hal-05271946 |
| By: | Tiago Cavalcanti; Kamiar Mohaddes; Hongyu Nian; Haitao Yin |
| Abstract: | This paper investigates the pass-through of environmental compliance costs along supply chains. We compile a firm-level dataset linking regulated firms in pollution-intensive industries with their top five clients and suppliers. We find that clients of regulated firms invest less in R&D, employ fewer skilled R&D staff, and produce fewer innovations than clients of less regulated firms, while no comparable effects are observed for suppliers. The pass-through is stronger with larger trade volumes, higher input prices faced by clients, and in markets where regulated firms hold greater market power or clients face intense competition. Policy simulations suggest that green technology incentives for regulated firms and R&D subsidies for their clients can mitigate these adverse effects and raise social welfare by enhancing both innovation and environmental quality. |
| Keywords: | environmental compliance, supply chain, pass-through, R&D, innovation |
| JEL: | O30 Q01 Q55 |
| Date: | 2025–10 |
| URL: | https://d.repec.org/n?u=RePEc:een:camaaa:2025-55 |
| By: | Jan-Tjibbe Steeman (Directorate-General for Research and Innovation, European Commission); Alexandr Hobza (Directorate-General for Research and Innovation, European Commission); Erik Canton (Directorate-General for Research and Innovation, European Commission); Valentina Di Girolamo (Directorate-General for Research and Innovation, European Commission); Alessio Mitra (Directorate-General for Research and Innovation, European Commission); Océane Peiffer-Smadja (Directorate-General for Research and Innovation, European Commission); Julien Ravet (Directorate-General for Research and Innovation, European Commission) |
| Abstract: | This paper provides a rationale on why investing in research and innovation (R&I) matters for Europe. It describes the potential of R&I to strengthen EU's competitiveness, support a green and sustainable future, and build a fair European society. EU's R&I performance is presented, including R&I investments compared to global peers, EU's main strengths and weaknesses, and EU’s added value. The paper also highlights the importance of well-designed R&I policies, integral to the overall policy design, and provides pathways to strengthen current public and private efforts to reap the full potential of R&I. |
| Keywords: | Research and innovation, competitiveness, green economy, fair society, EU policy, public investment, private investment |
| JEL: | O32 O33 Q55 Q56 I28 |
| Date: | 2024–03 |
| URL: | https://d.repec.org/n?u=RePEc:eug:wpaper:ki-bd-24-002-en-n |
| By: | Kaldorf, Matthias |
| Abstract: | We propose a quantitative DSGE model with environmental and financial frictions to asses how high emission taxes affect optimal central bank collateral policy. Central banks specify which assets banks can pledge as collateral to obtain short-term central bank funding. This is referred to as central bank collateral policy and involves a trade-off between supplying sufficient liquidity to banks and exposing itself to losses from accepting risky assets as collat- eral. Emission taxes affect this trade-off by reducing productivity in the non-financial sector, such that the corporate default rate increases and the quality of collateral deteriorates. High emission taxes also reduce investment, debt issuance and, hence, the amount of collateral available to banks. This decline in the quantity of collateral is more pronounced if emission tax shocks are very persistent or permanent. It is therefore optimal to relax collateral policy in the longer run, where the collateral quantity channel dominates, and to tighten collateral policy after a transitory emission tax shock, in order to offset the short run reduction in collateral quality. |
| Keywords: | Central Bank Collateral Policy, Climate Policy, Collateral Premia, Corporate Default Risk |
| JEL: | E44 E58 E63 Q58 |
| Date: | 2025 |
| URL: | https://d.repec.org/n?u=RePEc:zbw:bubdps:330307 |
| By: | Simplice A. Asongu (Johannesburg, South Africa); Samba Diop (Bambey, Senegal); Ekene ThankGod Emeka (Nsukka, Nigeria); Amarachi O. Ogbonna (Bengaluru, India) |
| Abstract: | This study investigates how governance and infrastructure moderate the effect of natural resource rents on economic growth using a sample of 110 countries, including 47 African countries from 2000 to 2018. The empirical evidence is based on Panel Smooth Transition Regressions (PSTR). The following findings are established. First, the nexus between economic growth and natural resources is not linear and the underlying non-linearity is contingent on existing infrastructural and governance levels. Second, evidence of a “natural resource curse†is apparent in countries with extremely low levels of governance and infrastructural development. Third, the favorable effect of natural resources on economic growth requires a governance threshold of -1.210 and an infrastructure threshold of 2.583, indicating that countries with governance and infrastructure levels higher than these values tend to benefit much more from the wealth of natural resources. With high levels of the transition variables (governance and infrastructure), the established thresholds are low and situated between the 5thand the 10th percentiles. Countries identified below the established thresholds are mainly from Africa. Policy implications are discussed with specific emphasis on African countries. |
| Keywords: | Natural Resources; Economic Growth; Governance; Infrastructure; Threshold; Panel Smooth Transition Regressions; Generalised Method of Moments; Panel |
| JEL: | H10 Q20 Q30 O11 O55 |
| Date: | 2024–01 |
| URL: | https://d.repec.org/n?u=RePEc:dbm:wpaper:24/013 |
| By: | Batabyal, Amitrajeet; Beladi, Hamid |
| Abstract: | A farmer in Haryana, a state neighboring the capital city of New Delhi, India, burns agricultural crop residue which leads to an increase in air pollution and gives rise to extra costs for a small business owning representative citizen in New Delhi. We theoretically analyze this farmer/citizen interaction. We first determine the optimal amount of crop produced when the farmer disregards the negative externality he imposes on the representative New Delhi citizen. Second, we study the equilibrium that emerges when the farmer must pay a fine to compensate the New Delhi citizen for the negative externality he causes. Finally, we compare the outcomes in the preceding two cases and then explain the differences that arise. |
| Keywords: | Agricultural Crop Residue, Air Pollution, Burning, External Diseconomy |
| JEL: | Q15 Q52 |
| Date: | 2025–02–12 |
| URL: | https://d.repec.org/n?u=RePEc:pra:mprapa:125945 |
| By: | Elvis D. Achuo (Dschang, Cameroon); Simplice A. Asongu (Johannesburg, South Africa) |
| Abstract: | Despite the global resolve to ensure the availability and sustainable management of water and sanitation, several people across the world still have very limited or no access to basic drinking water, sanitation and hygiene (WASH) services. Therefore, this study primarily examined the effect of public spending on WASH adoption. The moderating role of governance quality in the nexus among public spending and WASH adoption was equally assessed. The underlying relationships for a global panel of 45 countries over the 2000-2022 period are unravelled with the help of the system Generalised Method of Moments, Driscoll-Kraay robust standard errors and the generalised least squares estimation techniques. Results from various approaches show that public spending has a statistically significant negative effect on WASH adoption. Moreover, the interactive regressions show that public spending negatively interacts with governance to produce a negative net effect of -0.319. The underlying negative effects are apparent when some governance thresholds are exceeded. These thresholds are critical points that when reached, complementary policies are needed in order to maintain the unconditional positive effect of public spending on WASH adoption. It follows that the complementarity between public spending and governance is a sufficient and necessary condition for the promotion of WASH adoption exclusively below certain governance thresholds. Contingent on the empirical results, policymakers are advised to tailor public spending to more conveniently target local-based WASH initiatives in order to limit bureaucracy and broad-based policies. Besides, the local population should be endowed with the ability to sanction elected officials when WASH measures are not effectively implemented. Beyond the economic and political governance consideration related to WASH, institutional governance should also be improved at the local level, to the extent that ensuring the respect of interactions between the citizens and the State in the promotion of WASH is also enforced at the local level. |
| Keywords: | Public spending, Drinking water, Sanitation, Hygiene, Governance quality, WASH adoption |
| Date: | 2024–01 |
| URL: | https://d.repec.org/n?u=RePEc:dbm:wpaper:24/012 |
| By: | Kirui, Oliver K.; Ahmed, Mosab; Raouf, Mariam; Abushama, Hala; Siddig, Khalid |
| Abstract: | This study investigates the determinants of access to safe water and reliable energy for households in Sudan using nationally representative data from a recent labor market survey. The results show that urbanization, education, and wealth significantly enhance the access households have to these essential services, while rural areas and less developed regions, particularly in the Darfur and Kordofan regions, face substantial challenges. Access to reliable energy correlates with better food security and health outcomes within households, and improved access to safe water significantly enhances the health of household members. Policy recommendations supported by these research results include targeted rural infrastructure investments, educational improvements, and regional interventions to address disparities in household access to safe water and reliable energy across Sudan. |
| Keywords: | Sudan; Africa; Northern Africa; capacity development; households; water; energy; food security; health; socioeconomic environment; rural urban relations |
| Date: | 2024 |
| URL: | https://d.repec.org/n?u=RePEc:fpr:ssspwp:22 |
| By: | Mingoti, Rafael; da Silveira, Hilton Luis Ferraz |
| Abstract: | The Amazon and Cerrado biomes, which together cover nearly two-thirds of Brazil, are critical to global ecological stability but face significant deforestation pressures driven by agriculture and livestock expansion. While the Cerrado, with its savanna-like vegetation, and the dense forests of the Amazon have distinct ecological characteristics, both have been similarly impacted by Brazil's rapid agricultural and infrastructural development. Historically, these biomes were sparsely occupied until the 20th century, when large-scale projects such as the Belém-Brasília and Trans-Amazonian highways facilitated settlement and land conversion. During the 1980s, agricultural frontiers expanded rapidly, especially in the Cerrado. Research by Embrapa introduced advanced soil management techniques and crop adaptation strategies, enabling efficient tropical agriculture and converting native vegetation into productive farmland for crops like soy and corn. In the Amazon, where soils are less fertile, large-scale cattle ranching dominated, leading to the establishment of the infamous "arc of deforestation" along major transport routes. |
| Keywords: | deforestation; agriculture; Amazon River; ecology; livestock; satellite imagery; Brazil; Americas; South America |
| Date: | 2025–09–30 |
| URL: | https://d.repec.org/n?u=RePEc:fpr:lacwps:176755 |
| By: | Guillaume Lestrelin (UMR TETIS - Territoires, Environnement, Télédétection et Information Spatiale - Cirad - Centre de Coopération Internationale en Recherche Agronomique pour le Développement - AgroParisTech - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement); Emeline Hassenforder (UMR G-EAU - Gestion de l'Eau, Acteurs, Usages - Cirad - Centre de Coopération Internationale en Recherche Agronomique pour le Développement - BRGM - Bureau de Recherches Géologiques et Minières - IRD - Institut de Recherche pour le Développement - AgroParisTech - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement - Institut Agro Montpellier - Institut Agro - Institut national d'enseignement supérieur pour l'agriculture, l'alimentation et l'environnement - UM - Université de Montpellier); Houssem Braiki (UMR G-EAU - Gestion de l'Eau, Acteurs, Usages - Cirad - Centre de Coopération Internationale en Recherche Agronomique pour le Développement - BRGM - Bureau de Recherches Géologiques et Minières - IRD - Institut de Recherche pour le Développement - AgroParisTech - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement - Institut Agro Montpellier - Institut Agro - Institut national d'enseignement supérieur pour l'agriculture, l'alimentation et l'environnement - UM - Université de Montpellier); Xavier Augusseau (UMR TETIS - Territoires, Environnement, Télédétection et Information Spatiale - Cirad - Centre de Coopération Internationale en Recherche Agronomique pour le Développement - AgroParisTech - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement); Sylvie Morardet (INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement); Soumaya Younsi; Syrine Mrad; Hadil Chiha |
| Abstract: | Ce guide traite de planification territoriale, un processus stratégique et décisionnel visant à organiser et à programmer le développement d'un territoire en intégrant divers aspects tels que l'utilisation des terres, la gestion des ressources naturelles, l'accès aux biens et aux services publics, les infrastructures et les activités économiques. Il est issu de réflexions et d'expérimentations menées en Tunisie depuis plus de quinze ans par le Ministère de l'Agriculture, des Ressources Hydrauliques et de la Pêche et ses partenaires de l'enseignement supérieur et de la recherche agronomique tunisiens et français. |
| Keywords: | Approche participative, Planification, Tunisie, Méthodologie, Développement territorial |
| Date: | 2025 |
| URL: | https://d.repec.org/n?u=RePEc:hal:journl:hal-05312848 |
| By: | Galle, Johannes (Potsdam Institute for Climate Impact Research); Oliveira, Rodrigo (UNU-WIDER); Overbeck, Daniel (National University of Singapore); Riedel, Nadine (University of Münster); Severnini, Edson (Boston College) |
| Abstract: | This paper provides the first comprehensive evidence on how firms in emerging economies respond to carbon taxation. Using detailed administrative data, we study the announcement and implementation of South Africa’s 2019 carbon tax—a potential trailblazer for other developing countries with limited state capacity amid the global expansion of carbon pricing. Contrary to concerns that carbon taxes might hinder growth or employment, we find no negative effects on firm performance or jobs. Firms facing higher effective tax rates increased activity following the tax’s announcement, four years before implementation, likely reflecting the resolution of regulatory uncertainty and efforts to mitigate stranded asset costs. While we find no measurable reduction in emissions—likely due to this anticipatory behavior—our results suggest that carbon taxation can be implemented without harming economic outcomes, even in the short term and in low- and middle-income settings. |
| Keywords: | firm performance, carbon tax, carbon pricing, employment outcomes |
| JEL: | H23 Q52 Q58 O13 O55 |
| Date: | 2025–10 |
| URL: | https://d.repec.org/n?u=RePEc:iza:izadps:dp18212 |
| By: | Johannes Gallé; Rodrigo Oliveira; Daniel Overbeck; Nadine Riedel; Edson R. Severnini |
| Abstract: | This paper provides the first comprehensive evidence on how firms in emerging economies respond to carbon taxation. Using detailed administrative data, we study the announcement and implementation of South Africa’s 2019 carbon tax—a potential trailblazer for other developing countries with limited state capacity amid the global expansion of carbon pricing. Contrary to concerns that carbon taxes might hinder growth or employment, we find no negative effects on firm performance or jobs. Firms facing higher effective tax rates increased activity following the tax’s announcement, four years before implementation, likely reflecting the resolution of regulatory uncertainty and efforts to mitigate stranded asset costs. While we find no measurable reduction in emissions—likely due to this anticipatory behavior—our results suggest that carbon taxation can be implemented without harming economic outcomes, even in the short term and in low- and middle-income settings. |
| JEL: | H23 O13 O55 Q52 Q58 |
| Date: | 2025–10 |
| URL: | https://d.repec.org/n?u=RePEc:nbr:nberwo:34406 |
| By: | Dünhaupt, Petra; Gibson, Safiya; Herr, Hansjörg; Warwick, Ozzi; Xhafa, Edlira |
| Abstract: | Trinidad and Tobago (T&T) stands at a critical juncture as it faces a set of interrelated socio-ecological crises: extreme vulnerability to climate crisis, rising levels of violent crime, and deeply rooted social inequality and exclusion fuelled by inequalities and injustices in the world of work and a patchy social protection and welfare. The root causes of this multiple crisis lie in a model of economic growth highly dependent on fossil fuels, particularly oil and natural gas, prioritizing short-term stability over longterm transformation. (...) |
| Date: | 2025 |
| URL: | https://d.repec.org/n?u=RePEc:zbw:gluwps:330337 |
| By: | Ayoki, Milton |
| Abstract: | The diffusion of general-purpose artificial intelligence (AI) systems is collapsing the marginal cost of cognition, coordination, and capital formation. This abundance of intelligence is simultaneously re-pricing the three residual scarcities that still constrain human welfare: atmospheric carbon space, human labor hours, and irreversible time. Using a unified production–climate–welfare model, we show that (i) AI accelerates decarbonization by driving the cost curve of clean technologies below that of fossil fuels; (ii) labor markets bifurcate into a vanishing low-skill wage sector and an expanding high-skill rent sector, generating a transfer problem that can only be solved by AI dividends; and (iii) the option value of future consumption rises as AI compresses the calendar time needed to unlock large-scale decarbonization, longevity, and existential-risk mitigation. The conjunction of these effects drives the Ramsey rule for optimal climate policy to its mathematical limit: the social discount rate (SDR) must converge to zero. We provide empirical calibration using the latest IPCC scenarios, large-language-model energy-intensity data, and labor-share forecasts through 2100. A zero SDR reconciles inter-generational equity with intra-generational efficiency and unlocks a portfolio of “long-horizon public goods” (LHPGs)—from atmospheric restoration to asteroid defense—that markets at positive discount rates chronically under-supply. |
| Keywords: | Artificial intelligence, abundance; scarcity; social discount rate; zero discounting; inter-generational equity; labor-market bifurcation; AI dividend; long-horizon public goods; existential risk, decarbonization; marginal cost of cognition; Ramsey rule; option value of time. |
| JEL: | D63 E24 H23 O33 Q54 Q55 |
| Date: | 2025–09–03 |
| URL: | https://d.repec.org/n?u=RePEc:pra:mprapa:126550 |
| By: | Guillaume Thirel (CESBIO - Centre d'études spatiales de la biosphère - IRD - Institut de Recherche pour le Développement - INSU - CNRS - Institut national des sciences de l'Univers - CNES - Centre National d'Études Spatiales [Toulouse] - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement - EPE UT - Université de Toulouse - Comue de Toulouse - Communauté d'universités et établissements de Toulouse); Antoine Terremocha (RiverLy - RiverLy - Fonctionnement des hydrosystèmes - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement); Eric Sauquet (RiverLy - RiverLy - Fonctionnement des hydrosystèmes - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement) |
| Keywords: | Extrêmes, Débits, Explore2, TRACC, Changement climatique, Hydrologie |
| Date: | 2025–10–13 |
| URL: | https://d.repec.org/n?u=RePEc:hal:journl:hal-05324817 |
| By: | Toker Doganoglu (Department of Economics, University of Wuerzburg); Lukasz Grzybowski (Faculty of Economic Sciences, University of Warsaw); Frank Verboven (KU Leuven and CEPR (London), Naamsestraat 69, 3000 Leuven, Belgium) |
| Abstract: | This paper examines the impact of the 2021 revision of the EU energy labeling regulation on the energy efficiency of refrigerators sold in Belgium, France, Germany, and Poland between 2019 and 2022. We analyze detailed product-level sales data to assess whether the introduction of the new labeling system (the New EU Energy Label 2021) improved the energy performance of products available on the market. The results reveal substantial cross-country differences in sales-weighted energy consumption: Germany and Belgium exhibit significantly lower average energy use, reflecting differences in product portfolios and consumer preferences, while consumers in France and Poland tend to purchase less efficient models. After controlling for refrigerator characteristics, average energy consumption declined by 2.8% in France, 3.4% in Belgium, and 3.5% in both Germany and Poland between March 2021 and December 2022. We further estimate a nested logit demand model incorporating both energy labels and the discounted ten-year cost of electricity consumption. The results indicate that, except in Poland, consumers tend to undervalue future energy costs under both the old and new labeling regimes. The estimated willingness to pay (WTP) for labels varies across countries, with some evidence of overvaluation for specific efficiency classes. Using the model, we conduct counterfactual simulations to assess the effects of alternative policy scenarios. The simulations suggest that the 2021 reform led to measurable improvements in the average energy efficiency of refrigerators sold in the EU market. |
| Keywords: | Energy Efficiency, EU Energy Label, Nested Logit |
| JEL: | D12 L51 Q58 |
| Date: | 2025 |
| URL: | https://d.repec.org/n?u=RePEc:war:wpaper:2025-26 |
| By: | Ragasa, Catherine; Kyle, Jordan; Yasmin, Sabina; Pande, Harshita; Basu, Sampurna; Sharma, Aanshi; Najjar, Dina |
| Abstract: | Women’s equal participation and leadership in political and public life can boost a country’s long-run economic growth, foster social inclusion, and help countries reach the 2030 Sustainable Development Goals. Beyond these important outcomes, women’s inclusion in public life is a basic human right: women deserve a role in making decisions, controlling resources, and shaping policies. Yet, globally, only 22 percent of members of parliament and 16 percent of cabinet secretaries are women. Although disproportionately employed in the agrifood system, women lack decision-making power regarding the policies that govern it. And beyond high-level statistics like the share of women in national parliaments, there is a lack of tools for measuring and tracking gender equality in national- and state-level governance (ElDidi et al., 2021; Quisumbing et al., 2023; Ragasa et al., 2022). Yet, achieving meaningful progress on gender equality within governance requires identifying specific gaps and opportunities within a country’s policy process. |
| Keywords: | agrifood systems; capacity development; decision making; women's empowerment; India; Asia; Southern Asia |
| Date: | 2025–02–18 |
| URL: | https://d.repec.org/n?u=RePEc:fpr:cgiarp:173280 |
| By: | Anouck Adrot (DRM - Dauphine Recherches en Management - Université Paris Dauphine-PSL - PSL - Université Paris Sciences et Lettres - CNRS - Centre National de la Recherche Scientifique); Henri Isaac (DRM - Dauphine Recherches en Management - Université Paris Dauphine-PSL - PSL - Université Paris Sciences et Lettres - CNRS - Centre National de la Recherche Scientifique) |
| Abstract: | Data ecosystems represent a promising avenue to support Disaster Risk Reduction (DRR) and resilience. Especially in fragmented settings such as cross-border regions, data ecosystems can foster data sharing and regulation among DRR actors. However, recent research has suggested that the creation and maintenance of data ecosystems is challenging. Overall, DRR actors still lack a comprehensive overview of the nature of the impact that a data ecosystem can have on its members. Despite the scarcity of cross-border data ecosystems for DRR, a comprehensive examination of their impact is necessary to support future investments. This research addresses this lack by thoroughly examining the case of the Italian French border. Through a qualitative research design, our research team has been collecting and analyzing data from observations, interviews and focus groups. Drawing on the Theory of Change (ToC), we propose a comprehensive model of the support from a cross-border data ecosystem for its members' resilience. This research contributes to research on data ecosystem in the field of disaster management by highlighting the importance of nurturing data documentation, collaboration and trustful ties within data ecosystems. |
| Keywords: | Data ecosystem, cross-border resilience, Disaster Risk Reduction (DRR), Theory of Change (TOC) |
| Date: | 2025–05 |
| URL: | https://d.repec.org/n?u=RePEc:hal:journl:hal-05310050 |
| By: | C. LABROUSSE (INSEE); Y. PERDEREAU (PSE) |
| Abstract: | Les effets distributifs de la taxation carbone sont cruciaux pour son acceptabilité politique et dépendent à la fois des inégalités de revenus et de facteurs géographiques. En utilisant des données d’enquêtes et administratives françaises, nous montrons que les ménages ruraux consacrent une part de leur consommation 2, 8 fois plus élevée aux combustibles fossiles que les ménages urbains, et travaillent dans des entreprises qui émettent 2, 7 fois plus de gaz à effet de serre. Nous intégrons ces éléments dans un modèle spatial à agents hétérogènes avec choix endogènes de migration et d’accumulation de richesse. Après une augmentation des taxes carbone, nous estimons que les ménages ruraux subissent des pertes de bien-être 20 % plus élevées que les ménages urbains. Ces pertes sont amplifiées à court terme par une baisse des salaires, mais partiellement compensées à long terme par la migration et la baisse des prix de l'immobilier. Par rapport à des transferts uniformes, cibler à la fois le revenu et la localisation géographique augmente les gains de bien-être médians d’un tiers de plus que ceux obtenus par le seul ciblage du revenu. Nous concluons que les mécanismes de taxation du carbone doivent tenir compte des disparités spatiales afin d’améliorer leur acceptabilité politique. |
| Keywords: | Taxe carbone, énergie, politique fiscale, inégalités, géographie, dynamiques spatiales, migration |
| JEL: | C61 E62 H23 Q43 Q58 R13 |
| Date: | 2025 |
| URL: | https://d.repec.org/n?u=RePEc:nse:doctra:2025-21 |
| By: | Théotime Michez (EGIS SE - EGIS SE—Geotechnique, RECOVER - Risques, Ecosystèmes, Vulnérabilité, Environnement, Résilience - AMU - Aix Marseille Université - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement); Laurent Peyras (RECOVER - Risques, Ecosystèmes, Vulnérabilité, Environnement, Résilience - AMU - Aix Marseille Université - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement); Stéphane Lambert (IGE - Institut des Géosciences de l’Environnement - IRD - Institut de Recherche pour le Développement - INSU - CNRS - Institut national des sciences de l'Univers - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement - Fédération OSUG - Observatoire des Sciences de l'Univers de Grenoble - UGA - Université Grenoble Alpes - Grenoble INP - Institut polytechnique de Grenoble - Grenoble Institute of Technology - UGA - Université Grenoble Alpes); Sébastien Reynaud (EGIS SE - EGIS SE—Geotechnique); Patrick Garcin (EGIS SE - EGIS SE—Geotechnique) |
| Keywords: | montagne, risques naturels, transport, infrastructure |
| Date: | 2025–10–13 |
| URL: | https://d.repec.org/n?u=RePEc:hal:journl:hal-05324820 |
| By: | Todd D. Gerarden; Bryan K. Bollinger; Kenneth Gillingham; Daniel Xu |
| Abstract: | This study examines the effects of tariffs imposed by the U.S. on imported solar panels. We first provide clear evidence that tariff-exposed firms shifted production to locations that did not face tariffs, and that domestic prices increased relative to other markets. We then develop a structural model to analyze welfare effects. We find that the tariffs generated modest gains for domestic manufacturers and for government revenues, but larger losses in domestic consumer surplus and environmental benefits, thereby reducing domestic welfare. Furthermore, the tariffs reduced domestic solar industry employment and wages. By contrast, subsidizing solar panel manufacturing could increase domestic production, employment, and welfare. |
| JEL: | F13 Q48 |
| Date: | 2025–10 |
| URL: | https://d.repec.org/n?u=RePEc:nbr:nberwo:34401 |
| By: | Pierre Cotterlaz (CEPII - Centre d'Etudes Prospectives et d'Informations Internationales - Centre d'analyse stratégique); Christophe Gouel (UMR PSAE - Paris-Saclay Applied Economics - AgroParisTech - Université Paris-Saclay - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement, CEPII - Centre d'Etudes Prospectives et d'Informations Internationales - Centre d'analyse stratégique) |
| Keywords: | Empreinte carbone, France |
| Date: | 2025–10 |
| URL: | https://d.repec.org/n?u=RePEc:hal:journl:hal-05323366 |
| By: | Samuel Perreault; Silvana M. Pesenti; Daniyal Shahzad |
| Abstract: | Risk assessment in casualty insurance, such as flood risk, traditionally relies on extreme-value methods that emphasizes rare events. These approaches are well-suited for characterizing tail risk, but do not capture the broader dynamics of environmental variables such as moderate or frequent loss events. To complement these methods, we propose a modelling framework for estimating the full (daily) distribution of environmental variables as a function of time, that is a distributional version of typical climatological summary statistics, thereby incorporating both seasonal variation and gradual long-term changes. Aside from the time trend, to capture seasonal variation our approach simultaneously estimates the distribution for each instant of the seasonal cycle, without explicitly modelling the temporal dependence present in the data. To do so, we adopt a framework inspired by GAMLSS (Generalized Additive Models for Location, Scale, and Shape), where the parameters of the distribution vary over the seasonal cycle as a function of explanatory variables depending only on the time of year, and not on the past values of the process under study. Ignoring the temporal dependence in the seasonal variation greatly simplifies the modelling but poses inference challenges that we clarify and overcome. We apply our framework to daily river flow data from three hydrometric stations along the Fraser River in British Columbia, Canada, and analyse the flood of the Fraser River in early winter of 2021. |
| Date: | 2025–10 |
| URL: | https://d.repec.org/n?u=RePEc:arx:papers:2510.18639 |
| By: | Eyal G. Frank; Anouch Missirian; Dominic P. Parker; Jennifer L. Raynor |
| Abstract: | "Option value" provides theoretical justification for conserving wildlife species lacking known value, but empirical assessments of actual realizations are rare. We examine quasi-option value in the context of gray wolf eradication, which aimed to protect humans and their property historically, but also reduced the potential for wolves to improve human well-being today. We estimate the effects of long-run differences in the presence of wolves north, but not south, of Canada’s Saint Lawrence River on animal-related (primarily deer) vehicle collisions. Wolves reduce the share of animal collisions by 38 percent, reducing risk to human life and property. |
| JEL: | Q20 Q50 |
| Date: | 2025–10 |
| URL: | https://d.repec.org/n?u=RePEc:nbr:nberwo:34377 |
| By: | Falck, Elisabeth; Schulte, Patrick |
| Abstract: | In this paper, we provide evidence on the impact of global seasonal temperature shocks on global food commodity prices. Utilizing monthly data from 1961 to 2023, we find an economically and statistically highly significant, longer-lasting positive impact of summer temperature shocks on global food commodity prices. In contrast, we do not find such effects for winter, spring or autumn temperature shocks. A summer which is 0.4 êC hotter than in the previous five years, roughly equal to the largest summer shock we observe in our sample, causes food commodity prices to rise by about 10 % within 12 months. In addition, we show that such weather shocks lower global food production quantities, indicating that such shocks can be classified as supply shocks. |
| Keywords: | Global seasonal temperature shocks, food commodity prices, food production, local projections |
| JEL: | Q02 Q11 E31 |
| Date: | 2025 |
| URL: | https://d.repec.org/n?u=RePEc:zbw:bubdps:330306 |
| By: | Eric Maillé (RECOVER - Risques, Ecosystèmes, Vulnérabilité, Environnement, Résilience - AMU - Aix Marseille Université - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement); Thaddée Faure-Marie (RECOVER - Risques, Ecosystèmes, Vulnérabilité, Environnement, Résilience - AMU - Aix Marseille Université - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement) |
| Abstract: | L'augmentation de l'occurrence de feux de forêt hors norme conduit à la multiplication des impacts sur les enjeux humains bâtis. La maîtrise du risque nécessite d'évaluer leur vulnérabilité à différentes échelles. |
| Keywords: | Interface habitat forêt, Vulnérabilité, Incendies de forêt, Feux de forêt |
| Date: | 2025–10–13 |
| URL: | https://d.repec.org/n?u=RePEc:hal:journl:hal-05324819 |
| By: | Emmanuelle Augeraud-V\'eron; Daria Ghilli; Fausto Gozzi; Marta Leocata |
| Abstract: | The aim of this paper is to formulate and study a stochastic model for the management of environmental assets in a geographical context where in each place the local authorities take their policy decisions maximizing their own welfare, hence not cooperating each other. A key feature of our model is that the welfare depends not only on the local environmental asset, but also on the global one, making the problem much more interesting but technically much more complex to study, since strategic interaction among players arise. We study the problem first from the $N$-players game perspective and find open and closed loop Nash equilibria in explicit form. We also study the convergence of the $N$-players game (when $n\to +\infty$) to a suitable Mean Field Game whose unique equilibrium is exactly the limit of both the open and closed loop Nash equilibria found above, hence supporting their meaning for the game. Then we solve explicitly the problem from the cooperative perspective of the social planner and compare its solution to the equilibria of the $N$-players game. Moreover we find the Pigouvian tax which aligns the decentralized closed loop equilibrium to the social optimum. |
| Date: | 2025–10 |
| URL: | https://d.repec.org/n?u=RePEc:arx:papers:2510.21397 |
| By: | Jacek Wszo{\l}a; Krzysztof Burnecki; Marek Teuerle; Martyna Zdeb |
| Abstract: | This paper introduces a novel multidimensional insurance-linked instrument: a contingent convertible bond (CoCoCat bond) whose conversion trigger is activated by predefined natural catastrophes across multiple geographical regions. We develop such a model explicitly accounting for the complex dependencies between regional catastrophe losses. Specifically, we explore scenarios ranging from complete independence to proportional loss dependencies, both with fixed and random loss amounts. Utilizing change-of-measure techniques, we derive risk-neutral pricing formulas tailored to these diverse dependence structures. By fitting our model to real-world natural catastrophe data from Property Claim Services, we demonstrate the significant impact of inter-regional dependencies on the CoCoCat bond's pricing, highlighting the importance of multidimensional risk assessment for this innovative financial instrument. |
| Date: | 2025–10 |
| URL: | https://d.repec.org/n?u=RePEc:arx:papers:2510.17221 |
| By: | Alexandre Gohin (SMART - Structures et Marché Agricoles, Ressources et Territoires - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement - Institut Agro Rennes Angers - Institut Agro - Institut national d'enseignement supérieur pour l'agriculture, l'alimentation et l'environnement); Alan Matthews (University of Dublin) |
| Abstract: | Following 25 years of negotiations, the Mercosur countries and the European Commission reached a political agreement on a comprehensive association agreement in December 2024. However, its ratification is currently uncertain due to concerns of some European member states, among other issues, around possible negative impacts on their farm/livestock sectors. The main objective of this paper is to quantify these likely impacts. Our methodology elaborates on the general equilibrium framework used in previous sustainable impact assessments, where potential or illustrative agreements were analysed. We simulate both a full liberalisation scenario as well as a scenario simulating the more limited market‐opening offers in sensitive sectors, notably tariff rate quotas in agriculture. This allows us to identify the protective impact of these more limited offers. We also provide results for the main European member states and conduct several robustness analyses. We find that, because the beef offer is limited to additional import quotas, the negative impacts on livestock income are heavily muted. We also find that the European livestock sector, and more generally the farm and food industries, benefit from the income growth induced by the other components of the agreement. Finally, we do not find stronger negative effects in countries currently opposed to ratification, in particular France, because their consumers prefer domestic foods. |
| Keywords: | General equilibrium, Income, Livestock, Mercosur, Trade agreement, Europe |
| Date: | 2025–09–26 |
| URL: | https://d.repec.org/n?u=RePEc:hal:journl:hal-05319827 |
| By: | Chakraborty, Lekha; Pillai, Shikha |
| Abstract: | Against the backdrop of United Nations Office for Outer Space Affairs' (UNOOSA’s) 2025 Landmark Study, which documents women's 30 percent global workforce share in public space agencies—declining to 19 percent on boards—this paper applies gender budgeting framework to diagnose fiscal policy imperatives in the Department of Space (DoS), India. Aligning with the foundational principles of the UN Outer Space Treaty (1967), which mandates equitable benefits from space exploration "for all people, " and with Sustainable Development Goals (SDGs) 4 (quality education), 5 (gender equality), 9 (industry, innovation, and infrastructure), and 17 (partnerships for the goals), this analysis underscores the scope of gender budgeting as a fiscal accountability tool for inclusive growth in emerging space economies. We analysed the Space budgets across 20 space centres in India, and also across 41 sanctioned Space projects to understand the fiscal incidence and marksmanship in space technology (e.g., launch vehicles, propulsion systems) and space applications (e.g., Earth observation, communication satellites). Despite the absence of specifically targeted programmes for women in the space sector within the Ministry of Finance’s Gender Budgeting Statement 2025-26, our ex-post fiscal incidence analysis reveals that ISRO's significant achievements are inherently women-inclusive in their outcomes, despite workforce underrepresentation. Key findings highlight marked variations in the gender disaggregated fiscal incidence, with utilisation rates ranged from a low of 10.9 percent at IN-SPACe to 21 percent at Vikram Sarabai Space Centre (VSSC) and 32 percent at UR Rao Satellite Centre (URSC). Fiscal marksmanship analysis reveals the deviations between Budget Estimates and Actuals are relatively insignificant in space sector. Integrating results-linked gender budgeting into space policy is crucial, which emerges as a dual lever for equity—ensuring women's voice in high impact decision-making—and efficiency, by harnessing diverse perspectives to optimise resource allocation and innovation trajectories. |
| Keywords: | Gender budgeting, space sector, fiscal incidence, Sustainable Development Goals, STEM |
| JEL: | H50 J16 O38 Q55 |
| Date: | 2025 |
| URL: | https://d.repec.org/n?u=RePEc:pra:mprapa:126617 |
| By: | Vina Dooshima Kiishi (Graduate School of Management, Management & Science University Malaysia Author-2-Name: Ibiwani Alisa Binti Hussain Author-2-Workplace-Name: Graduate School of Management, Management & Science University Malaysia Author-3-Name: Author-3-Workplace-Name: Author-4-Name: Author-4-Workplace-Name: Author-5-Name: Author-5-Workplace-Name: Author-6-Name: Author-6-Workplace-Name: Author-7-Name: Author-7-Workplace-Name: Author-8-Name: Author-8-Workplace-Name:) |
| Abstract: | " Objective - This study explores the role of women's participation in advancing sustainable development in Nigeria's oil and gas sector, a field traditionally dominated by men. It examines how gender inclusion may influence policy innovation, economic growth, and workplace equity within this critical industry. Methodology/Technique - The research adopts a cross-sectional quantitative design. Data were collected through structured surveys from 358 female professionals across Nigeria's six geopolitical zones. Analytical methods included descriptive statistics, Pearson correlation, and multiple regression analysis, all of which were performed using SPSS software. Finding - The analysis revealed a weak but statistically significant relationship between women's inclusion and sustainable development indicators. Notably, a stronger association was found between women's influence on decent work conditions and their contributions to policy and innovation. The regression model showed modest explanatory power, suggesting other factors may also contribute to sustainability outcomes. Novelty - This study contributes to the limited body of empirical research on gender inclusion in the extractive industries of Sub-Saharan Africa. By conceptualising inclusion as a driver of innovation and sustainable growth, it highlights the strategic value of women's participation in advancing SDG 5 (Gender Equality) and SDG 8 (Decent Work and Economic Growth) in Nigeria's oil and gas sector. Type of Paper - Empirical" |
| Keywords: | Economic growth; innovation capacity; leadership opportunities; Nigeria energy industry; policy development; workplace diversity; and women empowerment. |
| JEL: | J16 Q56 O15 L72 |
| Date: | 2025–09–30 |
| URL: | https://d.repec.org/n?u=RePEc:gtr:gatrjs:gjbssr666 |
| By: | Pouget, Sébastien; Brodback, Daniel; Guenster, Nadja; Wang, Ruichen |
| Abstract: | We present an experimental study of investors’ willingness to pay for socially responsible assets. In our initial public offering experiment, various assets share identical financial risk-return profiles but differ in the intensity and timing of societal benefits, represented by charitable donations. We find that subjects value societal benefits positively and prefer a positive correlation between financial returns and these societal benefits. We offer implications for the design of corporate social responsibility policies and for the pricing of responsible assets. |
| Keywords: | Socially Responsible Investing; Investment Decisions; ESG Preferences; Experimental Finance |
| JEL: | A13 C91 G41 |
| Date: | 2025–10–23 |
| URL: | https://d.repec.org/n?u=RePEc:tse:wpaper:131057 |
| By: | Gilles Paché (CERGAM - Centre d'Études et de Recherche en Gestion d'Aix-Marseille - AMU - Aix Marseille Université - UTLN - Université de Toulon) |
| Abstract: | In France and beyond, e-commerce sparks an urban logistics crisis: vans, cargo bikes, and scattered parcels choke streets, while local shops vanish. Convenience collides with physical, social, and environmental limits, creating congestion, noise, and stress for residents. Cities face a critical situation—adaptation is urgent, or urban life risks becoming unlivable. As the author underlines, structural vulnerabilities demand immediate and decisive attention. |
| Keywords: | Logistics apocalypse, Urban deliveries, City logistics |
| Date: | 2025–10 |
| URL: | https://d.repec.org/n?u=RePEc:hal:journl:hal-05324290 |
| By: | Pascal Hagenmuller (CEN - Centre d'Etudes de la Neige - CNRM - Centre national de recherches météorologiques - INSU - CNRS - Institut national des sciences de l'Univers - CNRS - Centre National de la Recherche Scientifique - Comue de Toulouse - Communauté d'universités et établissements de Toulouse - Météo-France - Fédération OSUG - Observatoire des Sciences de l'Univers de Grenoble - UGA - Université Grenoble Alpes); Léo Viallon-Galinier (CEN - Centre d'Etudes de la Neige - CNRM - Centre national de recherches météorologiques - INSU - CNRS - Institut national des sciences de l'Univers - CNRS - Centre National de la Recherche Scientifique - Comue de Toulouse - Communauté d'universités et établissements de Toulouse - Météo-France - Fédération OSUG - Observatoire des Sciences de l'Univers de Grenoble - UGA - Université Grenoble Alpes); Simon Filhol (CEN - Centre d'Etudes de la Neige - CNRM - Centre national de recherches météorologiques - INSU - CNRS - Institut national des sciences de l'Univers - CNRS - Centre National de la Recherche Scientifique - Comue de Toulouse - Communauté d'universités et établissements de Toulouse - Météo-France - Fédération OSUG - Observatoire des Sciences de l'Univers de Grenoble - UGA - Université Grenoble Alpes); Diego Monteiro (CEN - Centre d'Etudes de la Neige - CNRM - Centre national de recherches météorologiques - INSU - CNRS - Institut national des sciences de l'Univers - CNRS - Centre National de la Recherche Scientifique - Comue de Toulouse - Communauté d'universités et établissements de Toulouse - Météo-France - Fédération OSUG - Observatoire des Sciences de l'Univers de Grenoble - UGA - Université Grenoble Alpes); François Doussot (CEN - Centre d'Etudes de la Neige - CNRM - Centre national de recherches météorologiques - INSU - CNRS - Institut national des sciences de l'Univers - CNRS - Centre National de la Recherche Scientifique - Comue de Toulouse - Communauté d'universités et établissements de Toulouse - Météo-France - Fédération OSUG - Observatoire des Sciences de l'Univers de Grenoble - UGA - Université Grenoble Alpes); Titouan Biget (CEN - Centre d'Etudes de la Neige - CNRM - Centre national de recherches météorologiques - INSU - CNRS - Institut national des sciences de l'Univers - CNRS - Centre National de la Recherche Scientifique - Comue de Toulouse - Communauté d'universités et établissements de Toulouse - Météo-France - Fédération OSUG - Observatoire des Sciences de l'Univers de Grenoble - UGA - Université Grenoble Alpes); Marie Dumont (CEN - Centre d'Etudes de la Neige - CNRM - Centre national de recherches météorologiques - INSU - CNRS - Institut national des sciences de l'Univers - CNRS - Centre National de la Recherche Scientifique - Comue de Toulouse - Communauté d'universités et établissements de Toulouse - Météo-France - Fédération OSUG - Observatoire des Sciences de l'Univers de Grenoble - UGA - Université Grenoble Alpes) |
| Keywords: | neige, changement climatique, montagne, avalanche, pergélisol, pluie, sur |
| Date: | 2025–10–13 |
| URL: | https://d.repec.org/n?u=RePEc:hal:journl:hal-05324818 |
| By: | Lenel Nivose (Auteur indépendant) |
| Abstract: | The IDEO, the optimal economic development indicator, aims to measure the adequacy of public and private infrastructure provision in the economy. Therefore, we seek to determine whether the economy, in light of its needs, has a sufficiently significant development in modern infrastructure or in its use. This indicator is based on 11 indicators to quantify the economic, ecological and social context of the economy. Our indicator thus focuses on the development of communication and electrical infrastructure while taking into account the environmental conditions of the economy. The IDEO also integrates road, port and airport infrastructure which characterizes the openness of the country and conditions economic interactions. Our indicator is careful to consider political stability as a factor of Through its interpretation, the IDEO allows us to assess the nature of the needs of the economy. |
| Abstract: | L'IDEO, l'indicateur de développement économique optimale, permet de mesurer l'adéquation de l'offre publique et privée d'infrastructure dans l'économie. Par conséquent, nous recherchons à déterminer si l'économie, au regard de son besoin, possède un développement suffisamment important dans les infrastructures modernes ou dans leur utilisation. Cet indicateur repose sur 11 indicateurs permettant de quantifier le contexte économique, écologique et social de l'économie. Notre indicateur concentre ainsi le développement d'infrastructure de communication et électriques tout en tenant compte des conditions environnementales de l'économie. L'IDEO intègre également les infrastructures routières, portuaires et aéroportuaires qui caractérisent l'ouverture du pays et conditionne les interactions économiques. Cet indicateur est soucieux de considérer la stabilité politique comme un facteur de développement. De par son interprétation, l'IDEO nous permet d'évaluer la nature des besoins de l'économie. |
| Keywords: | Public and Private Investment, Instability, Econometrics, Composite Indicator, Infrastructures, Economic policies, Économétrie, Indicateur composite, Investissement public et privé, Politique éconimique, Instabilité, Politik ekonomik, Envestisman piblik ak prive, Enfrastrikti, Endikatè konpoze, Ekonometri, Enstabilite |
| Date: | 2025–10–10 |
| URL: | https://d.repec.org/n?u=RePEc:hal:journl:hal-05306788 |
| By: | Fitzgerald, Frances; Spiller, Beia (Resources for the Future) |
| Abstract: | Even as the United States rolls back renewable-energy tax incentives, global investments in clean technologies are rising (IEA 2025). This financial and industrial infusion has the potential to profoundly affect local economies. In rural southern Arkansas, for example, companies are poised to spend billions to extract the region’s lithium, filling the landscape with pipelines and wells while also injecting significant cash into the local economy. At the national level, the implications may be even more consequential; today, US supply chains for batteries—used to power everything from consumer electronics to military systems—depend almost entirely on lithium imports. In many ways, the technology the Arkansas projects plan to use, direct lithium extraction (DLE), represents the promise of a new green industrial economy that could deliver high-tech growth, economic revitalization, and climate benefits all at once.Realizing these benefits will be easier said than done. The lithium market has whipsawed over the past five years, and for every analysis predicting that DLE will reshape global markets (Patel 2023), another warns that its commercial viability is still far from certain (Pedersen and Iqbal 2024). Drawing on conversations with industry experts, company feasibility studies, and project finance modeling, this report provides novel insights into the specific technological, market, and policy conditions that DLE would require to succeed in the United States. We take an in-depth look at three projects in the Smackover region of Arkansas—ExxonMobil’s Saltwerx, Standard Lithium’s Lanxess project, and the Reynolds Unit developed by Southwest Arkansas (SWA), a joint venture between Standard Lithium and Norway’s Equinor—as well as Anson Resources’ Paradox Project in Utah. SWA Reynolds offers particularly strong public data and is thus the focus of much of this analysis.Resources for the Future (RFF) has identified three core challenges to market viability for DLE: price volatility of lithium, technological uncertainty, and macroeconomic factors. Regarding price, we find that lithium prices must rise well above summer 2025 levels, which were around $10, 000 per tonne of lithium carbonate equivalent (LCE), See https://tradingeconomics.com/commodity/lithium to make the US projects profitable. Prices are currently in a multiyear trough, having fallen 80 percent since 2023 because of a surge in production in China (Scheyder 2025). However, this is not expected to last: Industry forecasts suggest that prices will rebound to their previous yearly average highs (~$40, 000 per tonne) over the next five years, driven primarily by rising global electric vehicle (EV) demand and the corresponding increased need for batteries (IEA 2024). SC-Insights (SCI) projects an average lithium price of around $21, 000 per tonne over the next two decades, well above the average of $16, 000 per tonne that our modeling suggests most US projects will require to break even.The second challenge DLE must overcome is technological uncertainty. Commercial viability of DLE depends on whether the technology can scale beyond the pilot stage. Although many developers report lithium recovery rates from brine of around 90 percent—a substantial improvement over the 40 to 60 percent from traditional evaporative ponds (Nicolaci et al. 2024) —these figures are based on controlled demonstrations and remain unproven in full-scale operations. More broadly, untested technology increases the risks of capital expenditure and operational expenditure overruns, and our modeling shows that cost overruns can quickly erode the financial viability of these projects, particularly if lithium prices do not fully recover. Finally, macroeconomic factors, such as inflation, high interest rates, or shifts in investors’ risk appetite, pose a risk for project economics. The 8 percent discount rate assumed by most US DLE companies appears reasonable under current conditions, but DLE’s early-stage status may make it particularly sensitive to increases in the cost of capital.If US DLE projects succeed, they could create a new domestic supply chain, generate durable revenue for local governments, and bolster US competitiveness in the global battery economy. If they falter, they may serve as a cautionary tale about the risks of betting on unproven technologies in a rapidly shifting industrial landscape. This report provides novel insights into the specific price points, technological performance levels, and policy ecosystems that DLE will require to compete, and it concludes with a discussion of the broader implications of DLE for the United States and the world. |
| Date: | 2025–10–27 |
| URL: | https://d.repec.org/n?u=RePEc:rff:report:rp-25-16 |
| By: | Pierre E. Biscaye; |
| Abstract: | Can transitory economic shocks affect long-term violent conflict risk? This paper studies this question using data on con ict events and desert locust swarm exposure across 0.25◦ grid cells in Africa and the Arabian peninsula from 1997-2018. A staggered event study approach shows that swarm exposure increases the average annual probability of any violent conflict in a cell by 1.8 percentage points (64%) in subsequent years. Effects are driven by initial agricultural destruction: exposure to swarms in nonagricultural areas or outside the main crop growing season has no impact. Agricultural activity (but not average productivity) falls following swarm exposure, indicating persistent indirect economic effects which may reduce opportunity costs of fighting. The largest effects of swarms on con ict occur with a 7 year lag and there are no effects in the year of exposure, inconsistent with predictions based on changes in opportunity costs of fighting alone. Impacts of past exposure are concentrated in periods of social/political disruptions driven by other proximate causes (e.g., the Arab Spring, civil war). This creates the delay in the largest impacts of swarm exposure, and aligns with models of civil conflict emphasizing the role of grievances in conflict onset. Patterns of long-term impacts on conflict and heterogeneity by local unrest are similar for exposure to droughts, indicating the mechanisms are not specific to locust swarms. These results add motivation for policies mitigating the risk of agricultural shocks and promoting household resilience and recovery. |
| Keywords: | africa, agriculture, conflict, desert locusts, natural disasters |
| JEL: | D74 J16 Z12 |
| Date: | 2025 |
| URL: | https://d.repec.org/n?u=RePEc:hic:wpaper:436 |
| By: | Tahsin Mehdi; René Morissette |
| Abstract: | In May 2023, 20.1% of Canadians usually worked most of the time from home, down from 24.3% in May 2021 and almost three times the rate of 7.1% observed in May 2016. While this increase in work from home likely reduced commuting and greenhouse gas (GHG) emissions caused by transportation (Morissette, Deng and Messacar, 2021), it also put downward pressure on the revenues and ridership of urban public transit systems, many of which experienced deficits in recent years (Griffin, 2023). Partly as a result of telework growth, the number of passenger-trips in urban transit systems in September 2023 was 18% lower than in the same month in 2019. |
| Keywords: | public transit, work from home, commuting, greenhouse gas |
| JEL: | J23 M21 |
| Date: | 2024–01–24 |
| URL: | https://d.repec.org/n?u=RePEc:stc:stcp8e:202400100002e |
| By: | Delos Reyes, Julieta A.; Aquino, Lady Litz M.; Narita, Rovelito L.; Romanillos, Vilma L.; Lat, Abigail T.; Flores, Emmanuel C.; Sanjorjo, Neil Christian R.; Delos Reyes, Leo-Aldo A. |
| Abstract: | Despite longstanding recognition of the need to reform the Philippine public education system, significant improvements remain elusive. A more in-depth and targeted evaluation of current conditions is necessary. This paper explores several key questions: (1) How are teaching and learning materials developed, quality-assured, produced, distributed, and disposed of by the Department of Education (DepEd)? (2) How does the Philippines' procurement process for learning materials compare with that of other countries? (3) What measures can improve the efficiency of procurement, quality control, distribution, and disposal? (4) Can DepEd’s procurement methods support growth and sustainability in the local paper industry? The study surveyed 106 students and 42 teachers and conducted 16 key informant interviews and focus group discussions. Findings show that DepEd’s role in the book supply chain begins with providing Curriculum Guides (CGs), which serve as the foundation for publishers to create content. Content developers (writers, editors, illustrators, etc.) are managed by publishers, but the materials undergo evaluation by DepEd’s Bureau of Curriculum Development (BCD), guided by DepEd Order 25 (s. 2023). CG development is centralized at the DepEd Central Office through BCD and the Bureau of Learning Resources, employing a top-down approach. While this ensures academic rigor, it may fail to capture local cultural contexts and the on-the-ground needs of teachers and students. The procurement of textbooks and learning materials follows Republic Act 9184, requiring publishers and printers to undergo a bidding process. This centralized procurement often leads to delays, from curriculum development to book delivery. Textbook distribution is unequal; central schools typically have full sets while non-central schools may have limited or no materials, often due to logistical challenges and the remote locations of printers and publishers. Limited internet connectivity further complicates access to digital learning resources for both students and teachers. Book publishing using digital printing is gaining traction, enhancing the capacity of local printers and publishers. Book disposal policies align with government property rules but do not address how to dispose of outdated books, particularly regarding recycling, which could contribute to environmental sustainability and a more stable paper supply. Similar issues in educational resource development, distribution, and infrastructure exist in the Philippines, Cambodia, Jordan, Malawi, and Zambia. While some countries allow for more localized customization of materials based on culture and community needs, the Philippines employs a highly standardized model, limiting the relevance of materials for learners in remote and culturally diverse areas. The paper recommends: including regional experts in the development of curriculum guides; building the capacity of regional teams; regionalizing the procurement of learning resources; prioritizing digital infrastructure investment in remote regions; offering incentives for printers and publishers to operate in underserved areas; creating a logistics system that prioritizes delivery to remote schools; allowing for the use and regional printing of PDFs; and establishing clear protocols for the disposal and recycling of outdated books for future printing. Comments to this paper are welcome within 60 days from the date of posting. Email publications@pids.gov.ph. |
| Keywords: | book supply chain;EDCOM II;curriculum guide;procurement system;regionalization |
| Date: | 2025 |
| URL: | https://d.repec.org/n?u=RePEc:phd:dpaper:dp_2025-29 |
| By: | Francesco Amodio (McGill University, BREAD, and CEPR); Elia Benveniste (European Bank for Reconstruction and Developmet); Mario F. Carillo (Departament of Applied Economics, Universitat Autònoma de Barcelona, Spain & IPEG); Marc Riudavets-Barcons (University of Helsinki & HGSE) |
| Abstract: | This paper shows that granting migrants legal status reduces labor exploitation. We study Spain's 2005 large-scale regularization program, which granted legal status to 600, 000 undocumented migrants. We proxy labor exploitation with hospitalizations for heat-related illnesses among working-age individuals, capturing exposure to hazardous working conditions in outdoor occupations. We implement a triple-difference design that exploits cross-provincial variation in pre-reform shares of undocumented migrants and temporal variation in extreme temperatures. Our results show that the incidence of heat-related hospitalizations during heatwaves declined significantly in provinces with greater exposure to the amnesty. Specifically, an additional day above 35°C became 3.3 percentage points less likely to result in heat-related hospitalization in highly exposed provinces, representing a 9.4% reduction relative to the pre-reform mean. Our findings demonstrate that migrant regularization is a powerful policy for improving worker well-being and reducing their vulnerability to extreme climatic events. |
| Keywords: | amnesty programs, working conditions, exploitation, extreme heat |
| Date: | 2025–10 |
| URL: | https://d.repec.org/n?u=RePEc:uab:wprdea:wpdea2514 |
| By: | Graf, Julia (Montanuniversität Leoben); Renner, Renate; Klebel, Thomas |
| Abstract: | Effective risk communication is a core element of the Sendai Framework for Disaster Risk Reduction (2015–2030), emphasizing the importance of early warning and public information in mitigating disaster impacts. However, existing research often treats risk communication as a uniform process, lacking systematic differentiation between short-term warnings for acute hazards and long-term adaptation strategies. This scoping review analyzes 194 peer-reviewed studies to examine how risk communication strategies vary according to the temporal dimension (short-term, long-term, or hybrid), hazard types by group (atmospheric, geophysical, hydrological, and biophysi-cal), and intended purpose. Communication goals are categorized through an inductively developed approach—Act, Prepare, and Aware—and mapped across the four major hazard groups. A focused analysis of 141 studies reveals that differences, such as atmospheric hazards, are predominantly addressed through hybrid (41%) and short-term (25%) strategies, often combining real-time alerts with awareness and preparedness. Geophysical haz-ards are strongly associated with hybrid approaches (43%), which emphasize participatory and educational for-mats. Hydrological hazards display the widest variation, combining short-term, hybrid, and complex strategies. Purely long-term formats, however, are rarely found across all hazard types (1.4%), despite their strategic im-portance for resilience. Findings suggest that the choice of communication strategy can be tied to the nature and dynamics of each hazard type. This review identifies key patterns, research gaps, and a structured basis for further evaluation and the development of risk communication. It provides an overview of current literature and guidance for developing context-sensitive, temporally integrated communication strategies. |
| Date: | 2025–10–22 |
| URL: | https://d.repec.org/n?u=RePEc:osf:socarx:tmwrv_v1 |
| By: | Carlo Bellavite Pellegrini (Dipartimento di Politica Economica, DISCE, & Centro Studi Economia Applicata (CSEA), Università Cattolica del Sacro Cuore, Milano, Italy); Rachele Camacci (Dipartimento di Politica Economica, DISCE, & Centro Studi Economia Applicata (CSEA), Università Cattolica del Sacro Cuore, Milano, Italy); Peter Cincinelli (Department of Management, University of Bergamo, Italy) |
| Abstract: | The company’s sustainability is an important factor for a portfolio’s asset allocation. The increasing attention it receives has led to a proliferation of criteria and rating agencies, resulting in significant divergences among ESG scores and methodologies. Based on a sample of 139 companies in the food and beverage sector, this research investigates, first, the impact of ESG score on the financial performance, using three different ESG scores from three different data providers (Refinitiv, Bloomberg and Truvalue Labs). Our outcomes show a positive and significant relationship between ESG score and financial performance across all three selected data providers. Secondly, this paper investigates any divergences in the evaluation process, and if so, which factors determine these discrepancies. Divergencies are analyzed both in terms of rating scores and in terms of methodologies and procedures. Our evidence shows that the main differences are in the score methodology, in the weights assignment to pillars and in the selection of the criteria on which the evaluation is based. |
| Keywords: | ESG Score, Sustainability, Financial Performance, ESG Rating Agencies, Score Divergence, Food and Beverage Sector |
| JEL: | G11 M14 Q56 C55 G30 |
| Date: | 2025–09 |
| URL: | https://d.repec.org/n?u=RePEc:ctc:serie5:dipe0051 |
| By: | Andrew B. Martinez |
| Abstract: | This paper uses an empirical model that incorporates multiple hazards and vulnerabilities to nowcast direct hurricane damages immediately following landfall on the continental United States over the last quarter century using real-time information. I evaluate the performance of the model by constructing a novel database of real-time damage predictions from commercial catastrophe models. I also analyze how official estimates of damage are revised. I find that my empirical model is substantially more accurate than simpler models that only incorporate wind speed and income. While commercial nowcasts are generally accurate, especially when averaging across multiple models, my empirical model is performs best immediately after landfall and when there is a large proportion of uninsured and flood losses. The improved nowcasts are beneficial to many stakeholders including policymakers, insurers, and financial markets. |
| Date: | 2025–10 |
| URL: | https://d.repec.org/n?u=RePEc:gwc:wpaper:2025-006 |