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on Resource Economics |
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Issue of 2011‒08‒29
three papers chosen by |
| By: | Anthony J. Venables |
| Abstract: | This paper develops a model in which supply of a non-renewable resource can adjust through two margins: the rate of depletion and the rate of field opening. Faster depletion of existing fields means that less of the resource can ultimately be extracted, and optimal depletion of open fields follows a (modified) Hotelling rule. Opening a new field involves sinking a capital cost, and the timing of field opening is chosen to maximize the present value of the field. Output dynamics depend on both depletion and field opening, and supply responses to price changes are studied. In contrast to Hotelling, the long run equilibrium rate of growth of prices is independent of the rate of interest, depending instead on characteristics of demand and geologically determined supply. |
| Keywords: | natural resource, depletion, Hotelling, fossil fuel, carbon tax |
| JEL: | Q3 Q5 |
| Date: | 2011 |
| URL: | http://d.repec.org/n?u=RePEc:oxf:oxcrwp:062&r=res |
| By: | Balázs Égert |
| Abstract: | The authorities have a very ambitious environmental-policy agenda, aimed chiefly at cutting greenhouse gas (GHG) emissions but also at dealing with local air and water pollution, waste management and the conservation of biodiversity. The laws that followed the Grenelle de l?environnement encompass policy measures in energy generation, manufacturing, transport, waste management, construction and agriculture to encourage a transition towards a low-carbon economy. The government is committed to an ambitious GHG reduction objective of 75% to be achieved by 2050. This paper evaluates its policies in terms of cost effectiveness, with a special emphasis on: how to impose a unique carbon price in the aftermath of the rejection of the carbon tax by the Constitutional Council; the challenges relating to renewable and nuclear electricity generation; the ways to reduce carbon intensity in the residential and transport sectors; how to improve waste management; and whether external costs related to the use of fertilisers and pesticides are properly accounted for in water management. Whereas considerable progress has been made to “green” the economy, an important challenge that remains is to internalise global and local externalities in all sectors of the economy so as to increase the cost-effectiveness of environmental policies. |
| Keywords: | global warming, GHG emissions, environmental policies, carbon price, abatement cost, renewables, nuclear power, negative externalities, water pollution, waste management |
| JEL: | H23 Q41 Q42 Q48 Q52 Q53 Q54 Q58 |
| Date: | 2011–04–22 |
| URL: | http://d.repec.org/n?u=RePEc:oec:ecoaaa:859-en&r=res |
| By: | Wang , Hua; He, Jie; Kim, Yoonhee; Kamata, Takuya |
| Abstract: | Municipal solid waste management continues to be a major challenge for local governments in both urban and rural areas across the world, and one of the key issues is their financial constraints. Recently an economic analysis was conducted in Eryuan, a poor county located in Yunnan Province of China, where willingness to pay for an improved solid waste collection and treatment service was estimated and compared with the project cost. This study finds that the mean willingness to pay is about 1 percent of household income and the total willingness to pay can basically cover the total cost of the project. The analysis also shows that the poorest households in Eryuan are not only willing to pay more than the rich households in terms of income percentage in general, but also are willing to pay no less than the rich in absolute terms where no solid waste services are available; the poorest households have stronger demand for public solid waste management services while the rich have the capability to take private measures when public services are not available. |
| Keywords: | Urban Solid Waste Management,Environmental Economics&Policies,Waste Disposal&Utilization,Energy and Environment,Environment and Energy Efficiency |
| Date: | 2011–08–01 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wbrwps:5767&r=res |