SABIIA - Sistema Aberto e Integrado de Informação em Agricultura (Sabiia)

Simpson, R. David; Toman, Michael; Ayres, Robert U..

In their 1963 classic Scarcity and Growth Howard Barnett and Chandler Morse argued that resource scarcity did not threaten economic growth. A second investigation in the late 1970s, Scarcity and Growth Reconsidered, reached largely the same conclusion. The 25 years since that work was published have witnessed many developments. The message of Scarcity and Growth that depletion of market resources was not a problem has given way to a concern that "new scarcities" of environmental quality, global climate, and biological diversity are emerging. Resources for the Future recently assembled a distinguished group of international scholars to again address scarcity and growth. This paper describes their charge and summarizes their findings. Technological progress...

Accumulative Pollution, "Clean Technology," and Policy Design

Palavras-chave: History of economic thought; Technological change; Renewable resources and economy; Research and Development/Tech Change/Emerging Technologies; B12; B20; N50; O13; O14; O33; O47; Q20; Q32.

Ano: 2004

URL: http://purl.umn.edu/10835

Withagen, Cees; Toman, Michael.

Environmental policymakers must address the adverse effects of a number of pollutants that accumulate in the environment. Goals for the regulation of these damages often involve holding long-term emissions below a level deemed to be "dangerous", or outright banning of offending products or processes along with subsidization of more "green" alternatives. This paper builds upon previous studies by Keeler, Spence, and Zeckhauser (1971) and Tahvonen and Withagen (1996) in addressing the optimal long-term management of an accumulative but assimilatable pollutant through policies that restrict more damaging production processes and thereby induce more benign alternatives. Using a simple general equilibrium approach, we consider the possibility that the...

The Roles of the Environment and Natural Resources in Economic Growth Analysis

Palavras-chave: Stock externalities; Nonconvexities; Sustainable development; Environmental Economics and Policy; Q20; Q28; D62.

Ano: 1998

URL: http://purl.umn.edu/10748

The primary aim of this paper is pedagogical. We first present and discuss a "wiring diagram" framework in order to elucidate the general links between economic growth and "natural capital." After developing the general framework, we develop parallel frameworks applicable to several specific sectors of the economy (agriculture, forestry, and manufacturing). Two appendices provide a mathematical formulation of the economy-wide framework and a brief historical review of the role of natural resources and the environment in economic growth theory.

Sustainable Decision-making: The State of the Art from an Economics Perspective

Palavras-chave: Economic growth; Natural resources; Sustainable development; Resource /Energy Economics and Policy; Q00; O1.

Ano: 2003

URL: http://purl.umn.edu/10510

Government, corporate and other decision makers are more and more often being urged to 'act sustainably' and to pursue policy paths toward 'sustainable development.' However, application of these concepts is hampered by serious interdisciplinary disagreements about the interactions of humans with their environment. Moreover, reducing disagreements about sustainability cannot be achieved solely through an improvement in scientific knowledge. These observations lead me to express skepticism about the capacity of any more or less mechanistic rule, economic, scientific or otherwise, to provide definitive and reliable answers about sustainable policies or conduct. However, there are processes and procedures that can help guide decision-making. I underscore the...

Cost-Benefit Analysis and Regulatory Reform: An Assessment of the Science and the Art

Palavras-chave: Sustainable development; Cost-benefit analysis; Intergenerational equity; Multicriteria analysis; Social values; Institutional and Behavioral Economics; A12; A13; B41; D61; D63; H43; Q28.

Ano: 1998

URL: http://purl.umn.edu/10602

Kopp, Raymond J.; Krupnick, Alan J.; Toman, Michael.

The continuing efforts in the 104th Congress to legislate requirements for cost-benefit analysis (CBA) and the revised Office of Management and Budget guidelines for the conduct of such assessments during a regulatory rulemaking process highlight the need for a comprehensive examination of the role that CBA can play in agency decision-making. This paper summarizes the state of knowledge regarding CBA and offers suggestions for improvement in its use, especially in the context of environmental regulations.

The Benefits of Reduced Air Pollutants in the U.S. from Greenhouse Gas Mitigation Policies

Palavras-chave: Cost-benefit; Cost-effectiveness; Risk management; Regulatory reform; Demand and Price Analysis; D6; L5.

Ano: 1997

URL: http://purl.umn.edu/10851

Burtraw, Dallas; Toman, Michael.

Policies that reduce emissions of greenhouse gases can simultaneously alter emissions of conventional pollutants that have deleterious effects on human health and the environment. This paper first describes how these "ancillary" benefits--benefits in addition to reduced risks of climate change--can result from greenhouse gas (GHG) mitigation efforts. It then discusses methodologies for assessing ancillary benefits and provides a critical review of estimates associated with reductions of criteria air pollutants. We find that these benefits in the U.S. may be significant, indicating a higher level of "no regrets" greenhouse gas abatement than might be expected based on simple economic calculations of abatement cost. However, the magnitude of ancillary...

The Economics of "When" Flexibility in the Design of Greenhouse Gas Abatement Policies

Palavras-chave: Climate change; Greenhouse gas; Ancillary benefits; Air pollution; Co-control benefits; Environmental Economics and Policy; H23; I18; Q48.

Ano: 1997

URL: http://purl.umn.edu/10496

Toman, Michael; Morgenstern, Richard D.; Anderson, John W..

This paper focuses on the economic desirability of the fixed and relatively short-term greenhouse gas targets and timetables in the Kyoto Protocol. The Protocol provides flexibility in which greenhouse gases to control, where control can be implemented, and what domestic policy measures are used. However, the Protocol does not allow much flexibility in when emission reductions take place in pursuit of longer-term environmental goals. Nor does it allow more flexible shorter-term environmental targets through price-based policy instruments that balance environmental goals and compliance costs. The relative inflexibility of the Protocol with respect to these elements may derive, in part, from a misplaced analogy between the global warming issue and the highly...

Fundamental Economics of Depletable Energy Supply

Palavras-chave: Climate change policy; Kyoto Protocol; Environmental Economics and Policy; Q28.

Ano: 1999

URL: http://purl.umn.edu/10763

Krautkraemer, Jeffrey A.; Toman, Michael.

In this paper, we first present and discuss the basic logic underlying all neoclassical economic theories of "optimal" energy supply: maximization of the present value of some stream of economic returns. We then discuss how the economic theory of optimal resource depletion has evolved since Hotelling's classic 1931 article. We also consider the power of the theory to support improved empirical understanding of actual behavior. Our discussion of empirical literature indicates that this work has so far provided only limited empirical understanding.

Using Environmental Benefit-Cost Analysis to Improve Government Performance

Palavras-chave: Depletable resources; Energy; Intertemporal optimization; Resource /Energy Economics and Policy; Q4.

Ano: 2003

URL: http://purl.umn.edu/10842

Farrow, Scott; Toman, Michael.

In this paper we first describe the legal and administrative basis of mandates that variously require and eschew economic measures for environmental management. We then summarize the steps involved in benefit-cost analysis and what can and cannot be accomplished with such information. Our basic conclusion is that while the approach is not perfect, benefit-cost analysis has a solid methodological footing and provides a valuable performance measure for an important governmental function, improving the well-being of society. However, benefit-cost analysis requires analytical judgements which, if done poorly, can obfuscate an issue or worse, provide a refuge for scoundrels in the policy debate. We conclude the article with specific suggestions for both the...

Understanding the Design and Performance of Emissions Trading Systems for Greenhouse Gas Emissions: Proceedings of an Experts' Workshop to Identify Research Needs and Priorities

Palavras-chave: Benefit-cost analysis; Environmental regulation; Regulatory reform; Environmental Economics and Policy; Q28; D61; H43.

Ano: 1998

URL: http://purl.umn.edu/10598

Implementing the Clean Development Mechanism: Lessons from U.S. Private-Sector Participation in Activities Implemented Jointly

Palavras-chave: Environmental Economics and Policy.

Ano: 2003

URL: http://purl.umn.edu/10729

Lile, Ronald D.; Powell, Mark R.; Toman, Michael.

The "Clean Development Mechanism" (CDM) contained in the December 1997 Kyoto Protocol to the United Nations Framework Convention on Climate Change provides, for the first time, the capacity for industrialized countries to claim credits for greenhouse gas (GHG) emissions reductions or offsets undertaken in cooperation with host developing countries. However, the Protocol provides no guidance on how these cooperative activities for GHG reduction and sustainable development would be undertaken in practice, including the particularly important issue of the relationship of the private sector vis-à-vis government institutions in designing, financing, and securing approval for jointly implemented GHG abatement projects. The pilot program for "Activities...

Research Frontiers in the Economics of Climate Change

Palavras-chave: Climate change; Joint implementation; Environmental Economics and Policy; Q28; F21.

Ano: 1998

URL: http://purl.umn.edu/10868

Academic and policy debates over climate change risks and policies have stimulated economic research in a variety of fields. In this article I briefly discuss eight overlapping areas of current research in which further effort particularly is warranted. These areas include decision criteria for policy; risk assessment and adaptation; uncertainty and learning; abatement cost and the innovation and diffusion of technology; and the credibility of policies and international agreements. Further analysis in these areas not only will advance academic understanding but also will provide insights of considerable importance to policymakers.

Optimal Investment in Clean Production Capacity

Palavras-chave: Climate change; Sustainable development; Integrated assessment; Environmental uncertainty; Environmental policy; Environmental Economics and Policy; Q25; Q28; Q48.

Ano: 1998

URL: http://purl.umn.edu/10507

Fischer, Carolyn; Toman, Michael; Withagen, Cees.

For the mitigation of long-term pollution threats, one must consider that both the process of environmental degradation and the switchover to new and cleaner technologies are dynamic. We develop a model of a uniform good that can be produced by either a polluting technology or a clean one; the latter is more expensive and requires investment in capacity. We derive the socially optimal pollution stock accumulation and creation of nonpolluting production capacity, weighing the tradeoffs among consumption, investment and adjustment costs, and environmental damages. We consider the effects of changes in the pollution decay rate, the capacity depreciation rate, and the initial state of the environment on both the steady state and the transition period. The...

Ancillary Benefits of Reduced Air Pollution in the United States from Moderate Greenhouse Gas Mitigation Policies in the Electricity Sector

Palavras-chave: Pollution accumulation; Clean technology; Capacity investment; Environmental Economics and Policy; Q2; Q42.

Ano: 2002

URL: http://purl.umn.edu/10622

Assessing Sustainability: Some Conceptual and Empirical Challenges

Burtraw, Dallas; Krupnick, Alan J.; Palmer, Karen L.; Paul, Anthony; Toman, Michael; Bloyd, Cary.

This paper considers how moderate actions to slow atmospheric accumulation of greenhouse gases from fossil fuel use also could reduce conventional air pollutants in the United States. The benefits that result would be "ancillary" to greenhouse gas abatement. Moreover, the benefits would tend to accrue locally and in the near term, while benefits from reduced climate change mostly accrue globally and over a time frame of several decades or longer. The previous literature suggests that changes in nitrogen oxides (NOx) would be the most important consequence of moderate carbon policies. We calculate these changes in a detailed electricity model linked to an integrated assessment framework to value changes in human health. A tax of $25 per metric ton of carbon...

Tipo: Conference Paper or Presentation

Palavras-chave: Climate change; Greenhouse gas; Ancillary benefits; Air pollution; Co-control benefits; Nitrogen oxides; Sulfur dioxide; Carbon dioxide; Particulates; Health; Environmental Economics and Policy; H23; I18; Q48.

Ano: 2001

URL: http://purl.umn.edu/10664

Toman, Michael; Lile, Ronald D.; King, Dennis M..

In this paper we address two related conceptual and practical challenges in assessing "sustainability." The first is the criteria to be used, in particular the relationship between sustainability and measures of economic well-being and the use of monetary versus nonmonetary indicators. The second is the problem of determining which physical scales to use for sustainability assessments when there are multiple and overlapping "communities" or stakeholder groups. While neither set of challenges admits a definitive solution, there has been progress on the first set of issues - in particular, through the development of multicriteria assessment strategies and stakeholder involvement processes. In contrast, the problem of how to assess sustainability in practice...

Palavras-chave: Sustainable development; Integrated assessment; Environmental indicators; Environmental Economics and Policy; Q20; R19; D57.

Ano: 1998

URL: http://purl.umn.edu/10756

Climate Change Policy

Shogren, Jason F.; Toman, Michael.

Having risen from relative obscurity as few as ten years ago, climate change now looms large among environmental policy issues. Its scope is global; the potential environmental and economic impacts are ubiquitous; the potential restrictions on human choices touch the most basic goals of people in all nations; and the sheer scope of the potential response - a significant shift away from using fossil fuels as the primary energy source in the modern economy -is daunting. In this paper, we explore the economics of climate change policy. We examine the risks that climate change poses for society, the benefits of protection against the effects of climate change, and the costs of alternative protection policies. We organize our discussion around three broad...

Economic Analysis and the Formulation of U.S. Climate Policy

Palavras-chave: Climate change; Incentive-based policy; International environmental cooperation; Benefit-cost analysis; Environmental Economics and Policy; Q25; Q28; Q48.

Ano: 2000

URL: http://purl.umn.edu/10767

Economic analysts within government agencies as well as outside government has played a noticeable and increasing role in formulating U.S. climate policy. However, that role has remained limited; in particular, economic analysis has largely been ignored and occasionally even derided in the context of setting targets for GHG control. This paper explores this uneasy relationship between analysis and policy during several U.S. administrations. Some of these problems stem from the incompleteness of the economic analyses themselves, and economic analysts sometimes have not been the most effective advocates for their own findings. However, I think one of the biggest obstacles to more effective use of economic analysis in climate policymaking has been a basic...

Assessing the Constraints and Opportunities for Private-Sector Participation in Activities Implemented Jointly: Two Case Studies from the US Initiative for Joint Implementation

Palavras-chave: Climate change; Kyoto Protocol; Council of Economic Advisers; Resource /Energy Economics and Policy; Q2; Q4.

Ano: 2003

URL: http://purl.umn.edu/10528

Powell, Mark R.; Lile, Ronald D.; Toman, Michael.

This paper assesses the constraints and opportunities for private-sector participation in Activities Implemented Jointly under the United Nations Framework Convention on Climate Change. After some initial background, the discussion turns to the United States Initiative on Joint Implementation (USIJI) - its objectives, proposal review and evaluation criteria, and a classification of project proposals by project type and stage of development. Two USIJI projects are developed as case studies. One case is an energy end use project that has gained formal acceptance and financing. The other case is an energy production project proposal that has not secured acceptance or financing. In both cases, transaction costs were substantial, and project proponents regarded...

Energy and Economic Development: An Assessment of the State of Knowledge

Palavras-chave: Climate change; Joint implementation; Public Economics; Q28; F21.

Ano: 1997

URL: http://purl.umn.edu/10555

Toman, Michael; Jemelkova, Barbora.

Energy development is an integral part of enhanced economic development. The fact that expanded provision and use of energy services is strongly associated with economic development leaves open how important energy is as a causal factor in economic development, however; and energy development competes with other opportunities for scarce capital and opportunities for policy and institutional reform. In this paper we first give a brief conceptual discussion that seeks to identify the channels through which increased availability of energy services might be a key to stimulating economic development along different stages of the development process. We then examine some empirical work to see what evidence it might provide regarding possible channels of...

Early Emissions Reduction Programs: An Application to CO2 Policy

Palavras-chave: Energy; Economic development; Productivity; Poverty alleviation; Resource /Energy Economics and Policy; Q41; Q43.

Ano: 2003

URL: http://purl.umn.edu/10685

Parry, Ian W.H.; Toman, Michael.

In the wake of the December 1997 Kyoto Protocol, which, if implemented, would oblige the United States and other industrialized countries to reduce greenhouse gases (GHGs) by 2008-2012, a number of proposals have been offered to increase the incentives for reducing emissions over the nearer term. The existence of an interim period between setting and implementing environmental goals is ubiquitous in environmental policymaking. The existence of this interim period gives rise to several potential rationales for early emissions reductions. In this paper we use a series of simple models and numerical illustrations to analyze some aspects of the performance of early emissions reduction programs in the case of GHGs. We show that there is a compelling economic...