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The Benefits and Costs of Informal Sector Pollution Control: Mexican Brick Kilns AgEcon
Blackman, Allen; Newbold, Stephen C.; Shih, Jhih-Shyang; Cook, Joseph H..
In developing countries, urban clusters of manufacturers which are "informal"-small-scale, unlicensed and virtually unregulated-can have severe environmental impacts. Yet pollution control efforts have traditionally focused on large industrial sources, in part because the problem is not well understood. This paper presents a benefit-cost analysis of four practical strategies for reducing emissions from traditional brick kilns in Ciudad Juarez, Mexico. To our knowledge, it is the first such analysis of informal sources. We find very significant net benefits for three of the four control strategies. These results suggest that informal polluters should be a high priority for environmental regulators.
Tipo: Working or Discussion Paper Palavras-chave: Benefit-cost analysis; Informal sector; Air pollution; US-Mexico Border; Brick kiln; Environmental Economics and Policy; O13; O17; O54; Q25; Q28.
Ano: 2000 URL: http://purl.umn.edu/10532
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Using Alternative Regulatory Instruments to Control Fixed Point Air Pollution in Developing Countries: Lessons from International Experience AgEcon
Blackman, Allen; Harrington, Winston.
Should developing countries eschew conventional command and control regulatory instruments that are increasingly seen as inefficient and rely instead on 'alternative' instruments based on economic incentives and community pressure? This paper addresses this question as it pertains to fixed point air pollution. The paper discusses the theoretical advantages and disadvantages of alternative instruments, reviews both industrialized country and developing country experiences with them, and proposes a number of policy guidelines. We argue that regulators in developing countries typically operate under severe financial and institutional constraints. Given these constraints, pure economic incentive instruments are generally not practical since they involve...
Tipo: Working or Discussion Paper Palavras-chave: Market based instruments; Economic incentives; Informal regulation; Developing country; Industrial air pollution; Environmental Economics and Policy; Q25; Q28; O13.
Ano: 1998 URL: http://purl.umn.edu/10689
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Taxes Versus Quantities for a Stock Pollutant with Endogenous Abatement Costs and Asymmetric Information AgEcon
Karp, Larry S.; Zhang, Jiangfeng.
Non-strategic firms with rational expectations make investment and emissions decisions. The investment rule depends on firms’ beliefs about future emissions policies. We compare emissions taxes and quotas when the (strategic) regulator and (nonstrategic) firms have asymmetric information about abatement costs, and all agents use Markov Perfect decision rules. Emissions taxes create a secondary distortion at the investment stage, unless a particular condition holds; emissions quotas do not create a secondary distortion. We solve a linear-quadratic model calibrated to represent the problem of controlling greenhouse gasses. The endogeneity of abatement capital favors taxes, and it increases abatement.
Tipo: Thesis or Dissertation Palavras-chave: Pollution control; Investment; Asymmetric information; Rational expectations; Choice of instruments; Resource /Energy Economics and Policy; C61; D8; H21; Q28.
Ano: 2008 URL: http://purl.umn.edu/42877
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Forest Carbon Sinks: European Union, Japanese, and Canadian Approaches AgEcon
Amano, Masahiro; Sedjo, Roger A..
This report compares the approaches of the governments of Japan, Canada, and the European Union member countries toward using carbon sinks to meet their respective Kyoto Protocol carbon reduction targets. Various policies have been proposed by which governments can sequester carbon by promoting afforestation and reforestation, slowing deforestation, and undertaking forest management activities under Articles 3.3 and 3.4. At this time, carbon emissions reduction programs are still under development, both within individual countries and within the context of the protocol. Although some of the details have been worked out, concrete definitions are often still lacking, especially as regards impermanence of forests, additionality, leakage, and socioeconomic and...
Tipo: Working or Discussion Paper Palavras-chave: Climate; Sinks; Kyoto Protocol; Forestry; Canada; Japan; European Union; Resource /Energy Economics and Policy; F01; Q23; Q28; Q48.
Ano: 2003 URL: http://purl.umn.edu/10913
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Analysis of Participation in Multifunctional Agriculture: U.S. Rice Farms AgEcon
Tur Cardona, Juan; Wailes, Eric J.; Dixon, Bruce L.; Danforth, Diana M..
Multifunctional agriculture is particularly fundamental to some working lands conservation policies and programs, such as the Environmental Quality Incentive Program (EQIP), Conservation Security Program (CSP) and Wildlife Habitat Incentive Program (WHIP). Farmers can also be engaged in providing recreational and agri-tourism services such as hunting, fishing, bird-watching, farm tours, petting zoos and hospitality services. Using the Agricultural Resource Management Survey (ARMS) we analyze factors associated with participation in conservation, recreation and agri-tourism activities as a function of farm structure, farm financial measures, production practices, and socio-demographic characteristics of the farm operator. To estimate the functional...
Tipo: Presentation Palavras-chave: Multifunctional agriculture; Agri-environmental policy; Rice; Logistic model; Agricultural and Food Policy; Community/Rural/Urban Development; Crop Production/Industries; Environmental Economics and Policy; Land Economics/Use; Q18; Q26; Q28.
Ano: 2012 URL: http://purl.umn.edu/119750
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Designing REDD+ Schemes to Address Permanence Concerns: Empirical Evidence from Kenya AgEcon
Veronesi, Marcella; Schlondorn, Tim; Zabel, Astrid; Engel, Stefanie.
Reducing Emissions from Deforestation and Forest Degradation (REDD+) is an important topic in the debate on policies to mitigate climate change. This is the first study to test and compare the environmental impact of different REDD+ payment schemes in the field, and provide some insights on the effectiveness of different policies with respect to the permanence of forest-based emission reductions. This study implements a stated preference experiment of time allocation in the unique setting of the Kasigau Corridor REDD+ Project in Kenya, where charcoaling is a major source of forest degradation. The impact on time allocation is analyzed under the presumption that a hypothetical agricultural policy or an eco-charcoaling policy was introduced. We find that a...
Tipo: Presentation Palavras-chave: REDD; Permanence; Deforestation; Labor; Kenya; International Development; I38; J22; O13; Q18; Q23; Q28; Q56.
Ano: 2012 URL: http://purl.umn.edu/124131
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Market-Based Instruments for the Optimal Control of Invasive Insect Species: B. Tabaci in Arizona AgEcon
Richards, Timothy J.; Ellsworth, Peter; Tronstad, Russell; Naranjo, Steve.
Invasive insect species represent perhaps one of the most significant potential sources of economic risk to U.S. agricultural production. Private control of invasive insect species is likely to be insufficient due to negative externality and weaker-link public good problems. In this study, we compare a system of Pigouvian taxes with tradable permits for invasive species control. While the emissions control literature shows that taxes are preferred to permits under cost uncertainty, invasive species control involves correlated cost and benefit uncertainty, so we expect a quantity-based system to be preferred. Monte Carlo simulations of optimal steady-state outcomes confirm our expectations.
Tipo: Conference Paper or Presentation Palavras-chave: Externalities; Invasive species; Optimal control; Permits; Spatial-temporal model; Taxes.; Environmental Economics and Policy; Public Economics; Risk and Uncertainty; H23; L51; Q28; Q57..
Ano: 2010 URL: http://purl.umn.edu/61189
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Cost Heterogeneity and the Potential Savings from Market-Based Policies AgEcon
Newell, Richard G.; Stavins, Robert N..
Policy makers and policy analysts are frequently faced with situations where it is unclear whether market-based instruments hold real promise of reducing costs, relative to conventional command-and-control approaches. We develop rules-of-thumb that can be employed with minimal amounts of information to estimate the potential cost savings associated with marketbased policies, with an application to the environmental policy realm. Our hope is that these simple formulae can aid policy analysts and policy makers in the early stages of exploring alternative policy instruments by helping them identify approaches that merit greater attention and more detailed analysis. We illustrate the use of the rules-of-thumb with an application to nitrogen oxides control in...
Tipo: Working or Discussion Paper Palavras-chave: Environment; Policy instruments; Cost-effective; Market-based; Tradable permits; Uniform standards; Industrial Organization; Q28; Q38.
Ano: 2000 URL: http://purl.umn.edu/10577
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Environmental Services Programs for the Chesapeake Bay AgEcon
Shabman, Leonard A.; Rose, Bob; Stephenson, Kurt.
Tipo: Journal Article Palavras-chave: Ecosystem Services; Payment for Ecosystem Services; Water Quality; Chesapeake Bay; Environmental Economics and Policy; Resource /Energy Economics and Policy; Q25; Q28; Q53; Q57.
Ano: 2011 URL: http://purl.umn.edu/117405
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The Cost-Effectiveness of Conservation Payments AgEcon
Ferraro, Paul J.; Simpson, R. David.
Intact ecosystems provide important global services. Many valuable ecosystems are located in low-income countries in which citizens are not in a position to provide global public goods gratis. To address this problem, international conservation and development donors have been making substantial investments in habitat conservation. Among the more common conservation schemes are interventions aimed at encouraging commercial activities that produce ecosystem services as joint products. We argue that it would be more cost-effective to pay for conservation performance directly. We use a simple yet general model to establish three conclusions. First, the overall cost of conservation is least when direct payments are employed. Second, the donor will generally...
Tipo: Working or Discussion Paper Palavras-chave: Biodiversity; Conservation; Cost-effective; Incentives; Agricultural Finance; H21; Q28.
Ano: 2000 URL: http://purl.umn.edu/10800
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Experience with Market-Based Environmental Policy Instruments AgEcon
Stavins, Robert N..
Environmental policies typically combine the identification of a goal with some means to achieve that goal. This chapter for the forthcoming Handbook of Environmental Economics focuses exclusively on the second component, the means - the "instruments" - of environmental policy, and considers, in particular, experience around the world with the relatively new breed of economic-incentive or market-based policy instruments. I define these instruments broadly, and consider them within four categories: charge systems; tradable permits; market friction reductions; and government subsidy reductions. Within charge systems, I consider: effluent charges, deposit-refund systems, user charges, insurance premium taxes, sales taxes, administrative charges, and tax...
Tipo: Working or Discussion Paper Palavras-chave: Market-based policy; Economic incentives; Tradable permits; Emission taxes; Environmental Economics and Policy; Q28.
Ano: 2001 URL: http://purl.umn.edu/10909
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Research on Socioeconomic Impacts of Chronic Wasting Disease (CWD) in Alberta AgEcon
Adamowicz, Wiktor L.; Arnot, C.; Boxall, Peter C.; Dridi, Chokri; Goddard, Ellen W.; Jordan, M.; Forbes, K.; Laate, K.; Myshaniuk, K.; Parlee, B.; Petigara, M.; Unterschultz, James R.; Zimmer, N..
This report summarizes a series of projects undertaken by staff and students in the Department of Rural Economy which examine various socio-economic aspects of chronic wasting disease and its effect on a range of stakeholders in Alberta. The four projects included exploring impacts on the cervid farming industry, hunters, the general Albertan public, and certain Aboriginal groups. General results from these studies are presented with references that provide a more thorough analysis and discussion.
Tipo: Report Palavras-chave: Chronic wasting disease; Socio-economic impacts; Aboriginals; Farming industry; Livestock Production/Industries; Production Economics; Q12; Q26; Q28.
Ano: 2010 URL: http://purl.umn.edu/98686
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The Precautionary Principle Revisited: Its Interpretations and their Conservation Consequences AgEcon
Tisdell, Clement A..
The precautionary principle was included in 1992 in the Rio Declaration on Environmental and Development and is a part of important international agreements and documents, for example, the Convention on Biological Diversity. Yet the interpretation of this principle is not straightforward as a guide for environmental policy – a variety of interpretations are possible. This paper identifies and examines various economic versions of the principle. Furthermore, it shows that different economic versions of the principle can give rise to conflicting policy recommendations for resource conservation. In addition, it demonstrates that applications of the principle do not always favour (natural) resource conservation (for example, biodiversity conservation) although...
Tipo: Working or Discussion Paper Palavras-chave: Biodiversity; Conservation; Climate change; Flexibility; Learning; Precautionary principle; Uncertainty; Environmental Economics and Policy; Q2; Q28; Q3; H43.
Ano: 2009 URL: http://purl.umn.edu/55339
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Are Preferences for Environmental Quality Sensitive to Financial Funding Schemes? Evidence from a Marine Restoration Programme in the Black Sea AgEcon
Remoundou, Kyriaki; Koundouri, Phoebe; Adaman, Fikret; Nunes, Paulo A.L.D..
This paper uses a non-market valuation study to elicit consumers’ preferences for a marine restoration programme in the Black Sea aiming to reduce the level of public health risk from bathing and improve water quality and the overall level of marine biodiversity. In this context, we administer a stated choice experiment in coastal settlements in Ukraine and Turkey and employ two tax revenue reallocation schemes as payment vehicles. One proposes the financing of the marine restoration programme by the reduction of the public budget for renewable energy and the second by the reduction of the public budget on training for civil servants. We examine the stated preferences and the subsequently derived economic value estimates in the two treatments with the aim...
Tipo: Working or Discussion Paper Palavras-chave: Non-Market Valuation; Stated Choice Experiment; Payment Vehicle; Tax Revenues Reallocation; Marine Resources; Black Sea; Marine Biodiversity; Developing Countries; Environmental Economics and Policy; Q22; Q28.
Ano: 2011 URL: http://purl.umn.edu/108204
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The Determinants of Household Recycling: A Material Specific Analysis of Recycling Program Features and Unit Pricing AgEcon
Jenkins, Robin R.; Martinez, Salvador A.; Palmer, Karen L.; Podolsky, Michael J..
This paper examines the impact of two popular solid waste programs on the percent recycled of several different materials found in the residential solid waste stream. We examine a unique, national, household-level data set containing information on the percent recycled of five different materials: glass bottles, plastic bottles, aluminum, newspaper, and yard waste. We find that access to curbside recycling has a significant and substantial positive effect on the percentage recycled of all five materials and that the level of this effect varies across different materials. The length of the recycling program's life has a significant and positive effect on two of the five materials and a mandatory recycling requirement does not affect any materials. The level...
Tipo: Working or Discussion Paper Palavras-chave: Solid waste; Recycling; Unit pricing; Incentives; Environmental Economics and Policy; Q28; H31.
Ano: 1999 URL: http://purl.umn.edu/10798
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Multi-Period Emissions Trading in the Electricity Sector - Winners and Losers AgEcon
Bode, Sven.
Emission trading has become recently more and more import in environmental regulation. In the context of controlling greenhouse gas emissions, the directive on a Europewide trading scheme for large immobile sources may be perceived as one of the most important milestones in recent years. Prior to its start, however, a number of very specific design features have to be agreed upon. In the political discussion, the question of how to allocate emission rights is considered as one of the most important issues. So far, a distribution (almost) free of charge is the option of choice. An aspect that has interestingly attracted little attention in the past is the question of how to allocate emission rights over time. This may for example be done on the basis of a...
Tipo: Working or Discussion Paper Palavras-chave: Abatement costs; Allocation of GHG allowances; Benchmark; Compliance costs; Electricity sector; Multi-period emission trading; Environmental Economics and Policy; H23; H25; L20; L52; L94; Q25; Q28.
Ano: 2004 URL: http://purl.umn.edu/26314
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On the Integration of Carbon Capture and Storage into the International Climate Regime AgEcon
Bode, Sven; Jung, Martina.
As GHG emissions did not decline as anticipated early of the 1990ties Carbon Capture and Storage (CCS) recently gained more and more attention as a climate change mitigation option. However, CO2 suppressed in geological reservoirs is likely to lead to future releases of the CO2 stored. This "non-permanence" must be considered if an environmentally sound policy is desired. Against this background, the present article analyses a potential integration of CCS in the international climate regime. It is based on existing rules and modalities regarding non-permanence of sequestration in the Land use, Land-use change and Forestry (LULUCF) sector. Interestingly, the experience from LULUCF has almost completely been neglected during the discussion on CCS. We argue...
Tipo: Working or Discussion Paper Palavras-chave: Carbon Dioxide Capture and Storage; Permanence; Sequestration; LULUCF; Climate Policy; Environmental Economics and Policy; Q25; Q28; Q38; Q48.
Ano: 2004 URL: http://purl.umn.edu/26279
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Carbon Dioxide Capture and Storage (CCS) - Liability for Non-Permanence under the UNFCCC AgEcon
Bode, Sven; Jung, Martina.
Prior to CoP 10, our discussion paper "On the Integration of Carbon Capture and Storage into the International Climate Regime" argued that carbon capture and storage (CCS) was similar to carbon sequestration in the area of Land Use, Land-Use Change and Forestry (LULUCF). This was criticized by several readers who observed that treating CCS as a removal activity (sink) would not be compatible with the UNFCCC sink definition, what we already had mentioned in the paper. The present paper is based on the UNFCCC definition and analyses how CCS could be integrated into the climate regime. As CO2 may re-enter the atmosphere after injection into geological reservoirs, the question of long-term liability has to be considered. Apart from this aspect, additional...
Tipo: Working or Discussion Paper Palavras-chave: Carbon Dioxide Capture and Storage; CDM; Climate Change; UNFCCC; Environmental Economics and Policy; Q25; Q28; Q40.
Ano: 2005 URL: http://purl.umn.edu/26131
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Market Power in Tradable Emission Markets: A Laboratory Testbed for Emission Trading in Port Phillip Bay, Victoria AgEcon
Cason, Timothy N.; Gangadharan, Lata; Duke, Charlotte.
In theory, competitive emission permit markets minimise total abatement cost for any emission ceiling. Permit markets are often imperfectly competitive, however, if they are thin and dominated by large firms. The dominant firm(s) could exercise market power and increase other firms’ costs of pollution control, while reducing their own emission control costs. This paper reports a testbed laboratory experiment to examine whether a dominant firm can exercise market power in a permit market organised using the double auction trading institution. Our parameters approximate the abatement costs of sources in a proposed tradable emissions market for the reduction of nitrogen in the Port Phillip Watershed in Victoria, Australia. We vary across treatments the...
Tipo: Conference Paper or Presentation Palavras-chave: Market Power; Emission Permits; Experiments; Environmental Regulation; Environmental Economics and Policy; C91; Q25; Q28.
Ano: 2003 URL: http://purl.umn.edu/57841
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Discussion: Water Scarcity–Future Uses and Implications for Policy AgEcon
Willis, David B..
The three articles presented at this invited session examine the evolution of water policy planning and the implementation of regulatory tools to achieve water conservation objectives. Two articles focus on Texas water issues and the third focuses on the Georgia planning experience. Each article clearly illustrates the value of sharing advances in hydrologic and economic modeling with local community stakeholder groups to facilitate the credible development of regional water management plans. Moreover, each article hints that stronger regulatory tools may be needed to achieve long-run policy objectives.
Tipo: Journal Article Palavras-chave: Conservation; Regulation; Water policy; Resource /Energy Economics and Policy; Q25; Q28.
Ano: 2011 URL: http://purl.umn.edu/113530
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