Understanding and managing the unequal consequences of environment pressures and policies
In: Debate the Issues: New Approaches to Economic Challenges; OECD Insights, S. 75-79
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In: Debate the Issues: New Approaches to Economic Challenges; OECD Insights, S. 75-79
In this paper analyze the economic effects of CO2 emission reductions in the Basque Country (Spain) using an applied general equilibrium (AGE) model with specific attention to environment-energy-economy interactions. Environmental policy is implemented through a system of tradable pollution permits that the government auctions. The costs of different levels of CO2 abatement are discussed, focusing on the variations of macroeconomic, sectoral and environment-energy variables. Results show that the costs for achieving the Kyoto targets can remain limited if the appropriate combination of changes in fuel-mix and restructuring of the economy is induced. ; En este trabajo analizamos el impacto económico de una reducción de las emisiones de CO2 en el País Vasco. Para ello utilizamos un modelo de equilibrio general aplicado (MEGA), que presta especial atención a las interacciones entre economía, medio ambiente y energía y que implementa la política ambiental mediante un mercado de permisos de emisión regulado por el gobierno. El artículo discute el coste de reducción de diferentes niveles en las emisiones, mostrando las variaciones en las principales variables macroeconómicas, sectoriales y energéticas. Los resultados muestran que los costes de cumplirlos objetivos de Kyoto pueden ser moderados, si se consiguen inducir los cambios apropiados en el mix energético y en las estructuras de producción y consumo.
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In: International environmental agreements: politics, law and economics, Band 8, Heft 4, S. 343-365
ISSN: 1573-1553
Cooperation in international environmental agreements appears difficult to attain because of strong free-riding incentives. This paper explores how different technology spillover mechanisms among regions can influence the incentive structures to join and stabilise an international agreement. We use an applied modelling framework (STACO) that enables us to investigate stability of partial climate coalitions. Technology spillovers to coalition members increase their incentives to stay in the coalition and reduce abatement costs, which leads to larger global payoffs and a lower global CO2 stock. Several theories on the impact of technology spillovers are evaluated by simulating a range of alternative specifications. We find that while spillovers are a good instrument to improve stability of bilateral agreements, they cannot overcome the strong free rider incentives that are present in larger coalitions. This conclusion is robust against the specification of technology spillovers.
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[EN] In this paper analyze the economic effects of CO2 emission reductions in the Basque Country (Spain) using an applied general equilibrium (AGE) model with specific attention to environment-energy-economy interactions. Environmental policy is implemented through a system of tradable pollution permits that the government auctions. The costs of different levels of CO2 abatement are discussed, focusing on the variations of macroeconomic, sectoral and environment-energy variables. Results show that the costs for achieving the Kyoto targets can remain limited if the appropriate combination of changes in fuel-mix and restructuring of the economy is induced. ; [ES] En este trabajo analizamos el impacto económico de una reducción de las emisiones de CO2 en el País Vasco. Para ello utilizamos un modelo de equilibrio general aplicado (MEGA), que presta especial atención a las interacciones entre economía, medio ambiente y energía y que implementa la política ambiental mediante un mercado de permisos de emisión regulado por el gobierno. El artículo discute el coste de reducción de diferentes niveles en las emisiones, mostrando las variaciones en las principales variables macroeconómicas, sectoriales y energéticas. Los resultados muestran que los costes de cumplirlos objetivos de Kyoto pueden ser moderados, si se consiguen inducir los cambios apropiados en el mix energético y en las estructuras de producción y consumo. ; González, M.; Dellink, R. (2006). Impact of climate policy on the Basque economy. Economía Agraria y Recursos Naturales - Agricultural and Resource Economics. 6(12):187-213. doi:10.7201/earn.2006.12.09 ; SWORD ; 187 ; 213 ; 6 ; 12
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In this paper we analyze the economic effects of CO2 emission reductions in the Basque Country (Spain) using an applied general equilibrium (AGE) model with specific attention to environment-energy-economy interactions. Environmental policy is implemented through a system of tradable pollution permits that the government auctions. The costs of different levels of CO2 abatement are discussed, focusing on the variations of macroeconomic, sectoral and environment-energy variables. Results show that the costs for achieving the Kyoto targets can remain limited if the appropriate combination of changes in fuel-mix and restructuring of the economy is induced.
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In: Wageningen UR frontis series 25
In: Journal of policy modeling: JPMOD ; a social science forum of world issues, Band 28, Heft 2, S. 207-221
ISSN: 0161-8938
In: Journal of policy modeling: JPMOD ; a social science forum of world issues, Band 28, Heft 2, S. 207-222
ISSN: 0161-8938
This paper deals with an assessment of the economic costs of environmental policies in the Netherlands, using a dynamic Applied General Equilibrium model with bottom-up information on abatement techniques. Empirical abatement cost curves are used to determine substitution possibilities between pollution and abatement and the characteristics of abatement goods. The results show that an absolute decoupling of economy and environment is possible. Smog formation is the most costly environmental theme, due to the absence of technical abatement options. For all environmental themes, the least-cost way to reduce emissions is via a combination of technical abatement measures and substantial economic restructuring.
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This important new book enhances our understanding of the dynamic interactions between economic activity, economic growth, pollution abatement and environmental policy. It addresses one main policy problem: how can the direct and indirect costs of environmental policy for multiple pollutants be properly assessed in an applied model? Using an original methodology, the author constructs a multi-sectoral dynamic applied general equilibrium model. This new integrated model greatly improves the empirical analysis of the dynamic reactions of economic agents to pollution control, explicitly taking into account the direct and indirect effects of abatement on the economy and the environment. The author goes on to apply the model to study the costs of various environmental policies including climate change, acidification, eutrophication, smog formation and the dispersion of fine dust. He finds that if environmental policies can be implemented simultaneously and in a cost-effective manner, the economic costs of these policies can be effectively limited through a combination of economic restructuring and adopting technical abatement measures. Modelling the Costs of Environmental Policy will prove essential and enlightening reading for scholars, students and researchers of environmental and resource economics, environmental policy and economic modelling
In: Environmental and resource economics, Band 72, Heft 2, S. 309-363
ISSN: 1573-1502
In: Environmental and resource economics, Band 56, Heft 2, S. 277-305
ISSN: 1573-1502
In: CESifo Working Paper Series No. 4059
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In: Climate Change Economics (CCE), Forthcoming
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