2,754 research outputs found
Inertia in infrastructure development : some analytical aspects, and reasons for inefficient infrastructure choices
No full textThis paper uses some simple conceptual models to draw out various implications of infrastructure investments with long lifetimes for the ability of societies to reduce their future greenhouse gas emissions. A broad range of such investments, related both to energy supply and demand systems, may commit societies to high and persistent levels of greenhouse gas emissions over time, that are difficult and costly to change once the investments have been sunk. There are, the author argues, several strong reasons to expect the greenhouse gas emissions embedded in such investments to be excessive. One is that infrastructure investment decisions tend to be made on the basis of (current and expected future) emissions prices that do not fully reflect the social costs of greenhouse gas emissions resulting from the investments. A second, related, set of reasons are excessive discounting of future project costs and benefits including future climate damages, and a too-short planning horizon for infrastructure investors. These issues are illustrated for two alternative cases of climate damages, namely with the possibility of a"climate catastrophe,"and with a sustained increase in the marginal global damage cost of greenhouse gas emissions.Climate Change Economics,Energy Production and Transportation,Climate Change Mitigation and Green House Gases,Transport Economics Policy&Planning,Environment and Energy Efficiency
Strategic climate policy with offsets and incomplete abatement : carbon taxes versus cap-and-trade
No full textThis paper provides a first analysis of optimal offset policies by a"policy bloc"of fossil fuel importers implementing a climate policy, facing a (non-policy) fringe of other importers, and a bloc of fuel exporters. The policy bloc uses either a carbon tax or a cap-and-trade scheme, jointly with a fully efficient offset mechanism for reducing emissions in the fringe. The policy bloc is then shown to prefer a tax over a cap-and-trade scheme, since 1) a tax extracts more rent as fuel exporters reduce the export price, and more so when the policy bloc is larger relative to the fringe; and 2) offsets are more favorable to the policy bloc under a tax than under a cap-and-trade scheme. The optimal offset price under a carbon tax is half the tax rate; under a cap-and-trade scheme the quota and offset price are equal. The domestic carbon and offset price are both higher under a tax than under a cap-and-trade scheme when the policy bloc is small; when it is larger the offset price can be higher under a cap-and-trade scheme. Fringe countries gain by mitigation in the policy bloc, and more under a carbon tax since the fuel import price is lower, and since the price obtained when selling offsets is often higher (always so for a large fringe).Climate Change Economics,Climate Change Mitigation and Green House Gases,Energy Production and Transportation,Markets and Market Access,Environment and Energy Efficiency
Carbon offsets with endogenous environmental policy
No full textInterests in obtaining carbon offsets in host countries for Clean Development Mechanism projects may serve as an obstacle to implementing more stringent general environmental policies in the same countries. A relatively lax environmental policy, whereby carbon emissions remain high, can be advantageous for such countries as it leaves them with a higher than otherwise scope for future emissions reductions through Clean Development Mechanism and other offset projects. In this note, the potential to affect the availability of future Clean Development Mechanism projects is shown to distort environmental and energy policies of Clean Development Mechanism host countries in two ways. Measures to reduce use of fossil energy are weakened. Because this weakens private sector incentives to switch to lower-carbon technology through Clean Development Mechanism projects, host governments then also find it attractive to subsidize this switch, in order to maximize the country’s advantage from the Clean Development Mechanism.Climate Change Mitigation and Green House Gases,Energy Production and Transportation,Environmental Economics&Policies,Environment and Energy Efficiency,Climate Change Economics
Taxes versus Cap-and-Trade in Climate Policy when only some Fuel Importers Abate
No full textI study climate policy choices for a “policy bloc” of fuel-importers, when a “fringe” of other fuel importers have no climate policy, fuel exporters consume no fossil fuels, and importers produce no such fuels. The policy bloc and exporter blocs act strategically in fossil fuel markets. When the policy bloc sets a carbon tax, the fuel import price set by the exporter is reduced, and more so when the policy bloc is larger. The carbon tax then serves to extract the exporter’s rent. The fringe also gains from reduced fuel import prices, and gains more when the policy bloc is larger. When the policy bloc sets an emissions cap, fuel demand becomes less price elastic. In response, a monopolistic exporter sets the fuel export price higher than under a tax, which hurts both the policy bloc and the fringe. This effect can be stronger when the policy bloc is larger, so that the fringe loses when the policy bloc is larger, opposite to the tax policy case. Overall, a cap is inferior to a tax for fossil fuel importers, both those that implement a climate policy, and those that do not.climate policy, carbon taxes, cap-and-trade schemes, carbon emissions, strategic trade policy
Ecosystem models of bivalve aquaculture: Implications for supporting goods and services
No full textIn this paper we focus on the role of ecosystem models in improving our understanding of the complex relationships between bivalve farming and the dynamics of lower trophic levels. To this aim, we review spatially explicit models of phytoplankton impacted by bivalve grazing and discuss the results of three case studies concerning an estuary (Baie des Veys, France), a bay, (Tracadie Bay, Prince Edward Island, Canada) and an open coastal area (Adriatic Sea, Emilia-Romagna coastal area, Italy). These models are intended to provide insight for aquaculture management, but their results also shed light on the spatial distribution of phytoplankton and environmental forcings of primary production. Even though new remote sensing technologies and remotely operated in situ sensors are likely to provide relevant data for assessing some the impacts of bivalve farming at an ecosystem scale, the results here summarized indicate that ecosystem modelling will remain the main tool for assessing ecological carrying capacity and providing management scenarios in the context of global drivers, such as climate change
Climate cost uncertainty, retrofit cost uncertainty, and infrastructure closedown : a framework for analysis
No full textLarge and energy-intensive infrastructure investments with long life times have substantial implications for climate policy. This study focuses on options to scale down energy consumption and carbon emissions now and in the future, and on the costs of doing so. Two ways carbon emissions can be reduced post-investment include retrofitting the infrastructure, or closing it down. Generally, the presence of bulky infrastructure investments makes it more costly to reduce emissions later. Moreover, when expected energy and environmental costs are continually rising, inherent biases in the selection processes for infrastructure investments lead to excessive energy intensity in such investments. Thus great care must be taken when choosing the energy intensity of the infrastructure at the time of investment. Simulations indicate that optimally exercising the retrofit option, when it is available, reduces ex ante expected energy consumption relative to the no-option case. Total energy plus retrofit costs can also be substantially reduced, the more so the larger is ex ante cost uncertainty. However, the availability of the retrofit option also leads to a more energy intensive initial infrastructure choice; this offsets some, but usually not all, of the gains from options for subsequent retrofitting.Energy Production and Transportation,Transport Economics Policy&Planning,Climate Change Mitigation and Green House Gases,Climate Change Economics,Environment and Energy Efficiency
"green stimulus,"economic recovery, and long-term sustainable development
No full textThis paper discusses short-run and long-run effects of"green stimulus"efforts, and compares these effects with"non-green"fiscal stimuli. Green stimulus is defined here as short-run fiscal stimuli that also serve a"green"or environmental purpose in a situation of"crisis"characterized by temporary under-employment. A number of recently enacted national stimulus packages contain sizeable"green"components. The authors categorize effects according to their a) short-run employment effects, b) long-run growth effects, c) effects on carbon emissions, and d)"co-benefit"effects (on the environment, natural resources, and for other externalities). The most beneficial"green"programs in times of crisis are those that can stimulate employment in the short run, and lead to large"learning curve"effects via lower production costs in the longer term. The overall assessment is that most"green stimulus"programs that have large short-run employment and environmental effects are likely to have less significant positive effects for long-run growth, and vice versa, implying a trade-off in many cases between short-run and long-run impacts. There are also trade-offs for employment generation in that programs that yield larger (smaller) employment effects tend to lead to more employment gains for largely lower-skilled (higher-skilled) workers, so that the long-term growth effects are relatively small (large). Ultimately, the results reinforce the point that different instruments are needed for addressing different problems.Environmental Economics&Policies,Energy Production and Transportation,Climate Change Mitigation and Green House Gases,Climate Change Economics,Transport Economics Policy&Planning
Sex differences in Cognitive Abilities Test scores: a UK national picture
No full textBackground and aims. There is uncertainty about the extent or even existence of sex differences in the mean and variability of reasoning test scores ( Jensen, 1998; Lynn, 1994, ; Mackintosh, 1996). This paper analyses the Cognitive Abilities Test (CAT) scores of a large and representative sample of UK pupils to determine the extent of any sex differences.
Sample. A nationally representative UK sample of over 320,000 school pupils aged 11-12 years was assessed on the CAT (third edition) between September 2001 and August 2003. The CAT includes separate nationally standardized tests for verbal, quantitative, and non-verbal reasoning. The size and recency of the sample is unprecedented in research on this issue.
Methods. The sheer size of the sample ensures that any sex difference will achieve statistical significance. Therefore, effect sizes (d) and variance ratios (VR) are employed to evaluate the magnitude of sex differences in mean scores and in score variability, respectively.
Results. The mean verbal reasoning score for girls was 2.2 standard score points higher than the mean for boys, but only 0.3 standard points in favour of girls for non-verbal reasoning (NVR), and 0.7 points in favour of boys for quantitative reasoning (QR). However, for all three tests there were substantial sex differences in the standard deviation of scores, with greater variance among boys. Boys were over represented relative to girls at both the top and the bottom extremes for all tests, with the exception of the top 10% in verbal reasoning.
Conclusions. Given the small differences in means, explanations for sex differences in wider domains such examination attainment at age 16 need to look beyond conceptions of `ability'. Boys tend to be both the lowest and the highest performers in terms of their reasoning abilities, which warns against the danger of stereotyping boys as low achievers
International Fuel Tax Assessment: An Application to Chile
No full textMost developed and developing country governments levy taxes on gasoline and diesel fuel used by motor vehicles. However, outside of the United States and Europe, automobile and heavy truck externalities have not been quantified, so policymakers have little guidance on whether prevailing tax rates are anywhere close to their corrective levels. This paper develops a general approach for roughly gauging the magnitude of motor vehicle externalities, and hence the corrective tax on gasoline and diesel, for individual countries, based on pooling local data sources with extrapolations from U.S. data. The analysis is illustrated for the case of Chile, though it could be readily applied to other countries with appropriate data collection.gasoline tax, diesel tax, externalities, optimal tax, welfare gains, Chile
Infrastructure investments under uncertainty with the possibility of retrofit : theory and simulations
No full textInvestments in large, long-lived, energy-intensive infrastructure investments using fossil fuels increase longer-term energy use and greenhouse gas emissions, unless the plant is shut down early or undergoes costly retrofit later. These investments will depend on expectations of retrofit costs and future energy costs, including energy cost increases from tighter controls on carbon emissions. Simulation analysis shows that the retrofit option can significantly reduce anticipated future energy consumption as of the time of initial investment, and total future energy plus retrofit costs. The more uncertain are the costs, the greater the value of this option. However, the future retrofit option also induces more energy-intensive infrastructure choices, partly offsetting the direct effect of having the option on anticipated energy use. Efficient, forward-looking infrastructure investments have high potential for reducing long-term energy consumption. Particularly if energy prices are expected to rise, however, the potential for reduced energy consumption will be eroded if expectations of energy prices do not include environmental costs or future retrofit possibilities and technologies are not adequately developed.Energy Production and Transportation,Climate Change Economics,Climate Change Mitigation and Green House Gases,Environment and Energy Efficiency,Energy and Environment
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