nep-res New Economics Papers
on Resource Economics
Issue of 2018‒02‒05
four papers chosen by
Maximo Rossi
Universidad de la República

  1. Mistrust and Opposition to Large-Scale Projects : An Experiment on the Role of Uncertainty By Ghidoni, Riccardo
  2. Land use, forest preservation and biodiversity in Asia By Halkos, George; Managi, Shunsuke
  3. Threshold Policy Effects and Directed Technical Change in Energy Innovation By Lionel Nesta; Elena Verdolini; Francesco Vona
  4. The Economic Value of Habits in Household Production – A Field Experiment By Ioana Bejan; Carsten Lynge Jensen; Laura M. Andersen; Lars Gårn Hansen

  1. By: Ghidoni, Riccardo (Tilburg University, Center For Economic Research)
    Abstract: The realization of large-scale projects such as landfills, power plants, etc. is often hindered by the opposition of the possible host community. I study the case in which the opposition emerges from the mistrust of the host community toward the proposer of the project due to an informational asymmetry on the project's returns. In a novel laboratory experiment, I compare a baseline opposition game to treatments including the possibility to endogenously disclose information about the project or to offer compensatory transfers to the host. Both tools are more effective than expected in mitigating oppositions, but have heterogeneous impacts on the creation of social surplus and its allocation among the stakeholders.
    Keywords: trust; NIMBY; Information disclosure; Compensatory transfers
    JEL: C70 C90 D03 Q53
    Date: 2017
  2. By: Halkos, George; Managi, Shunsuke
    Abstract: Continuous increase in one side of human populations and on the other side on the number of extinct and endangered species in Asia requires appropriate land use and forest preservation. Forests provide a number of benefits such as regulation of global climate and ecosystems, provision of raw materials and wild foods for local communities, watershed protection for a region, national income from ecotourism, carbon sequestration, being a landscape and habitat of rare species. This introduction provides summary for land use, forest preservation and biodiversity policy in Asia.
    Keywords: Asia; Land use; Ecosystem Service; Biodiversity.
    JEL: Q10 Q23 Q56
    Date: 2017–11
  3. By: Lionel Nesta (Université Côte d'Azur; GREDEG CNRS; OFCE Sciences Po. Paris; SKEMA Business School); Elena Verdolini (Fondazione ENI Enrico Mattei (FEEM)); Francesco Vona (OFCE Sciences Po. Paris; SKEMA Business School)
    Abstract: This paper analyzes the effect of environmental policies on the direction of energy innovation across countries over the period 1990-2012. Our novelty is to use threshold regression models to allow for discontinuities in policy effectiveness depending on a country's relative competencies in renewable and fossil fuel technologies. We show that the dynamic incentives of environmental policies become effective just above the median level of relative competencies. In this critical second regime, market-based policies are moderately effective in promoting renewable innovation, while command-and-control policies depress fossil based innovation. Finally, market-based policies are more effective to consolidate a green comparative advantage in the last regime. We illustrate how our approach can be used for policy design in laggard countries.
    Keywords: Directed technical change, threshold models, environmental policies, policy mix
    JEL: Q58 Q55 Q42 Q48 O34
    Date: 2018–01
  4. By: Ioana Bejan (Department of Food and Resource Economics, University of Copenhagen); Carsten Lynge Jensen (Department of Food and Resource Economics, University of Copenhagen); Laura M. Andersen (Department of Food and Resource Economics, University of Copenhagen); Lars Gårn Hansen (Department of Food and Resource Economics, University of Copenhagen)
    Abstract: People are prone to habits but how important are they for economic outcomes? In a randomized field experiment we compare two treatments with identical economic incentives to adjust a range of household production activities. Treatments only differ in the extent to which they allow households to adjust habits relevant for these activities. We utilize smart-metered hourly power consumption to unobtrusively measure treatment effects. We find that preventing habits from being adjusted reduces consumer surplus by 76% suggesting a substantial economic value of habits.
    Keywords: habits, field experiment, household behavior, text messages, electricity use
    JEL: C93 D12 D90
    Date: 2018–01

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