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on Resource Economics |
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Issue of 2024‒02‒26
three papers chosen by |
| By: | Ferreira, Susana (University of Georgia); Moro, Mirko (University of Stirling); Welsch, Heinz (University of Oldenburg) |
| Abstract: | A growing literature in economics uses subjective well-being data collected in surveys as a proxy for utility. Environmental economists have combined these data with the public goods experienced by respondents using a novel non-market valuation approach: the experienced preference approach. In this review, we take stock of what we know, including recent developments, and what we still need to learn about this new approach. We first present a conceptual framework that clarifies the relationship between experienced preference and conventional valuation approaches. We then discuss key challenges for its empirical application and identify areas where additional research would be fruitful. |
| Keywords: | subjective well-being, life-satisfaction, happiness, experienced utility, non-market valuation, willingness to pay, public goods |
| JEL: | Q51 I31 H41 |
| Date: | 2024–01 |
| URL: | http://d.repec.org/n?u=RePEc:iza:izadps:dp16718&r=res |
| By: | Florian Heeb (Massachusetts Institute of Technology (MIT) - Sloan School of Management); Julian F Kölbel (University of St. Gallen - School of Finance; MIT Sloan; Swiss Finance Institute) |
| Abstract: | We report results from a pre-registered field experiment about the impact of index provider engagement on corporate climate policy. A randomly chosen group of 300 out of 1227 international companies received a letter from an index provider, encouraging the company to commit to setting a science-based climate target to remain included in its climate transition benchmark indices. After one year, we observed a significant effect: 21.0% of treated companies have committed, vs. 15.7% in the control group. This suggests that engagement by financial institutions can affect corporate policies when a feasible request is combined with a credible threat of exit. |
| Keywords: | Shareholder Engagement, Field Experiment, Climate, ESG, Activism |
| JEL: | D22 D62 G23 G34 M14 |
| Date: | 2024–01 |
| URL: | http://d.repec.org/n?u=RePEc:chf:rpseri:rp2404&r=res |
| By: | Ferreira, Susana (University of Georgia) |
| Abstract: | This article reviews the literature on the economic impacts of disasters caused by extreme weather and climate events to draw lessons on how societies can better manage these risks. While evidence that richer, better governed societies suffer less and recover faster from climate extremes suggests adaptation, knowledge gaps remain, and little is known about the efficiency of specific adaptation actions. I review various "no or low" regrets adaptation options which are recommended when uncertainties over climate change impacts are high. I discuss how governments can play an important role in adaptation by directly providing public goods to manage disaster risks or by facilitating private agents' adaptation responses, but also highlight the political economy of policy and coordination failures. |
| Keywords: | climate change policy, natural disasters, climate adaptation, risk management, climate extremes |
| JEL: | Q54 Q56 O13 O44 I30 |
| Date: | 2024–01 |
| URL: | http://d.repec.org/n?u=RePEc:iza:izadps:dp16715&r=res |