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on Energy Economics |
| By: | Ostfeld, R.; Reiner, D. |
| Abstract: | Scotland offers a case study of a country with significant fossil energy resources that has recently moved to rapidly decarbonize its economy and deploy renewable energy sources. We review the key policies that have facilitated a 47% reduction in greenhouse gas emissions from 1990 levels and almost 75% of Scottish electricity being produced from renewable energy. Public views on climate policy, renewable energy, and low-carbon technologies are explored using focus groups we conducted in Aberdeen, Peterhead, and Edinburgh and citizens’ juries held in Aberdeen and Edinburgh. The deliberative processes reveal strong public support for continued diversification of Scotland’s energy portfolio to include more renewable energy sources, particularly at the local level. We also found support for a greater role for state-led involvement in the energy sector. Pro-renewables sentiments and skepticism of industry pervade even in Aberdeen, the main UK hub for oil and gas exploration, alongside support for further exploration of low-carbon technologies such as carbon capture and storage (CCS). Although Peterhead stood to benefit from a major CCS project, there was little awareness of the proposed project among residents nor its cancellation. Finally, we argue deliberative processes can help both policy-makers and developers gauge where they can (and cannot) expect support. |
| Keywords: | Citizens' jury, focus groups, energy transition, climate policy, renewable energy, low-carbon technologies, Scotland, carbon capture and storage |
| JEL: | Q42 Q54 Q58 |
| Date: | 2019–10–07 |
| URL: | http://d.repec.org/n?u=RePEc:cam:camdae:1987&r=all |
| By: | A.M. Oosthuizen; R. Inglesi-Lotz; G.A. Thopil |
| Abstract: | The centrality of electricity to everyday life is indisputable, and the price thereof can have significant implications. Literature is inconclusive over the effect of the renewable energy share in the energy mix on retail electricity price as country-specific regulatory policy has a significant impact on retail electricity prices. The purpose of this paper is to determine the effect of the increasing renewable electricity share on retail electricity prices for 34-OECD countries, considering the change in market structure for 23 EU countries. The results show that the influence of the renewable energy share in the energy mix to retail electricity prices is positive and statistically significant. Increasing renewable sources is inescapable in reaching SDG7, while increased awareness of true price signals should prompt private investment while phasing out support schemes in the long run. A sound regulatory framework is required to account for renewable intermittency as well as effective supply and demand matching. The positive impact on electricity prices should not deter policymakers from promoting renewable energy as the effect is marginal and is expected to decline in coming years, improving energy security. The benefits of employing renewables far outweigh the environmental cost. |
| Keywords: | renewable energy; electricity prices; OECD; energy dependence |
| Date: | 2019–09 |
| URL: | http://d.repec.org/n?u=RePEc:rza:wpaper:797&r=all |
| By: | Bobylev Yuri (Gaidar Institute for Economic Policy) |
| Abstract: | The oil and gas sector is among the basic ones of the Russian economy and is playing an important role in the income generation for the state budget and Russia’s trade balance. Implementation of the OPEC+ agreement regarding the production restriction has resulted in the world crude oil prices growth. In 2018, the volumes of crude oil production peaked for the entire post-Soviet period and the extraction and export of the natural gas hit all-time high. Under the first stage of tax maneuver in force in the oil industry, the refining depth and increased volumes of export of petroleum products observed before its implementation were replaced by contraction of production and export of fuel oil and by the reduction of crude oil refining and export of petroleum products. Oil refining depth moved up markedly. It was decided to gradually complete tax maneuver in the oil sector and introduce the additional profits tax (windfall tax). |
| Keywords: | Russian economy, oil and gas sector, oil production, oil prices, oil and gas export |
| JEL: | L71 L72 |
| Date: | 2019 |
| URL: | http://d.repec.org/n?u=RePEc:gai:ppaper:ppaper-2019-972&r=all |
| By: | Mancusi, Maria Luisa; Conti, Chiara; Sanna-Randaccio, Francesca; Sestini, Roberta |
| Abstract: | This paper investigates the fragmentation of the EU innovation system in the field of renewable energy sources (RES) by estimating the intensity and direction of knowledge spillovers over the years 1985-2010. We modify the original double exponential knowledge diffusion model proposed by Caballero and Jaffe (1993) to provide information on the degree of integration of EU countries’ RES knowledge bases and to assess how citation patterns changed over time. We show that EU RES inventors have increasingly built “on the shoulders of the other EU giants”, intensifying their citations to other member countries and decreasing those to domestic inventors. Furthermore, the EU strengthened its position as source of RES knowledge for the US. Finally, we show that this pattern is peculiar to RES, with other traditional (i.e. fossil-based) energy technologies and other radically new technologies behaving differently. We provide suggestive, but convincing evidence that such decrease in fragmentation around the turn of the century emerged as a result of the EU increased support for RES taking mainly the form of demand-pull policies. |
| Keywords: | EU integration; renewable energy technologies; knowledge flows |
| JEL: | O31 Q42 Q55 Q58 |
| Date: | 2018–12 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:95775&r=all |
| By: | Louis-Gaëtan Giraudet (CIRED - Centre International de Recherche sur l'Environnement et le Développement - CNRS - Centre National de la Recherche Scientifique - ENPC - École des Ponts ParisTech - CIRAD - Centre de Coopération Internationale en Recherche Agronomique pour le Développement - EHESS - École des hautes études en sciences sociales - AgroParisTech, ENPC - École des Ponts ParisTech); Antoine Missemer (CIRED - Centre International de Recherche sur l'Environnement et le Développement - CNRS - Centre National de la Recherche Scientifique - ENPC - École des Ponts ParisTech - CIRAD - Centre de Coopération Internationale en Recherche Agronomique pour le Développement - EHESS - École des hautes études en sciences sociales - AgroParisTech, CNRS - Centre National de la Recherche Scientifique) |
| Abstract: | Energy efficiency can be considered as a central pillar of global warming mitigation, with important co-benefits, including productivity gains, resource conservation or national security. It is also a subject of controversy between engineers and economists, who have divergent conceptions of the notion of optimality that delineates energy efficiency potentials. Modern surveys hardly go back beyond the 1970s and do not fully explore the reasons and conditions for the persistent differences between economists' and engineers' views. This paper provides such a historical account, investigating the positioning of economic analysis in contrast to the technical expertise on key energy efficiency topics – the rebound effect, the energy efficiency gap, and green nudges, from the 19th century to the present day. It highlights the permanence and evolution in the relationship that economists have had with technical expertise. An extension of the current conceptual framework is finally provided to connect our historical findings with avenues for future research. |
| Keywords: | engineering,nudge,history of economic thought,energy efficiency,market barriers and failures |
| Date: | 2019 |
| URL: | http://d.repec.org/n?u=RePEc:hal:wpaper:halshs-02301636&r=all |
| By: | de Haas, Ralph; Popov, Alexander |
| Abstract: | We study the relation between financial structure and carbon emissions in a large panel of countries and industries. For given levels of economic and financial development, emissions per capita are lower in economies that are relatively more equity-funded. Industry-level analysis reveals two channels. First, deeper stock markets reallocate investment towards cleaner industries and, second, they allow carbon-intensive industries to produce green patents and reduce their energy intensity. Only one-tenth of these industry-level reductions in domestic emissions is offset by increased carbon embedded in imports. A firm-level analysis of an exogenous shock to the cost of equity in Belgium confirms our findings. |
| Keywords: | Carbon Emissions; Financial Development; Financial structure; Innovation |
| JEL: | G10 O4 Q5 |
| Date: | 2019–09 |
| URL: | http://d.repec.org/n?u=RePEc:cpr:ceprdp:14012&r=all |
| By: | Enflo, Kerstin; Karlsson, Tobias; Molinder, Jakob |
| Abstract: | There is a wide-spread concern that technical change may spur social conflicts, especially if workers are replaced with machines. To empirically analyze whether job destruction drives protests, we study a historical example of a revolutionary new technology: the adoption of electricity. Focusing on the gradual roll-out of the Swedish electricity grid between 1900 and 1920 enables us to analyze 2,487 Swedish parishes in a difference-in-differences framework. Proximity to large-scale water-powered electricity plants is used to instrument for electricity adoption. Our results confirm that the labor saving nature of electricity was followed by an increase of local conflicts in the form of strikes. But displaced workers were not likely to initiate conflicts. Instead, strikes were most common in sectors with employment growth. Similarly, we find that the strikes were of an offensive rather than a defensive nature. Thus, electrification did not result in rebellions driven by technological anxiety. It rather provided workers with a stronger bargaining position from which they could voice their claims through strikes. |
| Keywords: | electrification; infrastructure investments; Labor conflicts; labor demand; strikes; Technological change |
| JEL: | N14 N34 N74 O14 |
| Date: | 2019–09 |
| URL: | http://d.repec.org/n?u=RePEc:cpr:ceprdp:13986&r=all |
| By: | Carlsson, Fredrik (Department of Economics, School of Business, Economics and Law, Göteborg University); Kataria, Mitesh (Department of Economics, School of Business, Economics and Law, Göteborg University); Lampi, Elina (Department of Economics, School of Business, Economics and Law, Göteborg University); Martinsson, Peter (Department of Economics, School of Business, Economics and Law, Göteborg University) |
| Abstract: | Households’ demand for electricity continues to increase. This trend per se should indicate increased disutility from power outages. On the other hand, batteries and other back-up systems have been improved and the frequency and duration of outages have been reduced in many countries. By comparing the results from two stated preference studies on Swedish households’ willingness to pay to avoid power outages in 2004 and 2017, we investigate whether the willingness to pay has changed. The willingness to pay is assessed for power outages of different durations, and whether it is planned or unplanned. We find three main differences: i) The proportion of households stating zero willingness to pay to avoid power outages decreased significantly from 2004 to 2017 and ii) the overall WTP was considerably higher in 2017 than in 2014, but iii) the WTP for duration of an outage has decreased. These results have implications for how regulators incentivize and regulate electricity suppliers since they suggest that a reliable supply of electricity is of greater importance now than what earlier studies have suggested. |
| Keywords: | Power outage; stated preferences; Sweden |
| JEL: | D12 Q40 Q41 |
| Date: | 2019–10 |
| URL: | http://d.repec.org/n?u=RePEc:hhs:gunwpe:0776&r=all |
| By: | Zhou, Wenchao (CERE - the Center for Environmental and Resource Economics); Bostian, Moriah (Lewis & Clark College, USA); Färe, Rolf (Department of Economics, Oregon State University); Grosskopf, Shawna (CERE - the Center for Environmental and Resource Economics); Lundgren, Tommy (CERE - the Center for Environmental and Resource Economics) |
| Abstract: | Forest fuel defined as branches and tops (GROT) of harvested trees represents a large share of forest biomass and is increasingly viewed as a potential energy source. This study assesses the economic potentials of forest bioenergy production in Swedish forests, using a network data envelopment analysis (DEA) model to estimate the technology for biofuel and other forest products. We consider that forests are managed to use multiple inputs to produce multiple outputs. Outputs include sawtimber, pulpwood, fuelwood, and bioenergy in terms of GROT. Our model also considers environmental concerns over biodiversity and CO2 emissions from burning biomass. We apply the network DEA model to measure the revenue efficiency of forest production of Swedish forests using a panel consisting of 20 counties and covering the years from 2008 to 2014. Our results show that there exist persistent economic inefficiencies of forest production in some counties, reducing the overall efficiency of Sweden’s forest and wood products industry. In addition, we also estimate the potential increase in bioenergy, deadwood and CO2 emissions reduction from combustion of bioenergy and by-products from sawtimber and pulpwood. |
| Keywords: | Climate; Bioenergy; Efficiency; Environment; Forests; Network |
| JEL: | D20 D21 D22 D24 |
| Date: | 2019–10–03 |
| URL: | http://d.repec.org/n?u=RePEc:hhs:slucer:2019_012&r=all |
| By: | Gersbach, Hans; Riekhof, Marie-Catherine |
| Abstract: | We introduce an international technology treaty ("Tech Treaty") that couples the funding of research for a more advanced abatement technology with an international emissions permit market. While each country decides on domestic permit issuance, a fraction of these permits is auctioned by an international agency. Auction revenues scale up license revenues for the innovators of abatement technologies. We show that such a treaty increases innovations and decreases emissions under plausible conditions compared to an emissions trading system without additional technology agreement. Finally, we discuss how a Tech Treaty may inspire next steps in existing technology programs. |
| Keywords: | Climate Change Mitigation - Technology Promotion - R&D - International Emissions Permit Markets - International Treaty - Externalities |
| JEL: | H23 O31 Q54 |
| Date: | 2019–10 |
| URL: | http://d.repec.org/n?u=RePEc:cpr:ceprdp:14033&r=all |
| By: | Marion Davin (CEE-M - Centre d'Economie de l'Environnement - Montpellier - FRE2010 - INRA - Institut National de la Recherche Agronomique - UM - Université de Montpellier - CNRS - Centre National de la Recherche Scientifique - Montpellier SupAgro - Institut national d’études supérieures agronomiques de Montpellier); Mouez Fodha (CES - Centre d'économie de la Sorbonne - UP1 - Université Panthéon-Sorbonne - CNRS - Centre National de la Recherche Scientifique, PSE - Paris School of Economics); Thomas Seegmuller (AMSE - Aix-Marseille Sciences Economiques - EHESS - École des hautes études en sciences sociales - AMU - Aix Marseille Université - ECM - Ecole Centrale de Marseille - CNRS - Centre National de la Recherche Scientifique) |
| Abstract: | This article analyzes the impacts of debt relief on production and pollution. We develop a two-country overlapping generations model with environmental externalities, public debts and perfect mobility of assets. Pollutant emissions arise from production, but agents may invest in pollution mitigation. Could debt relief be an efficient tool to encourage less developed countries to engage in the fight against climate change? We consider a decrease of the debt of the poor country balanced by an increase of the richer country's debt. We show that debt relief makes it possible to engage poor countries in the process of pollution abatement. Capital, environmental quality and welfare can increase in both countries. This result relies on the environmental sensitivity and the discount factor in the poor country relative to the rich one: the greater they are the more beneficial the debt relief is. |
| Keywords: | Pollution,Abatement,Overlapping generations,Public debt,Capital market integration |
| Date: | 2019–10 |
| URL: | http://d.repec.org/n?u=RePEc:hal:cesptp:halshs-02303265&r=all |
| By: | Ha-Hyun Jo (Yonsei Univ); Hae-Dong Kim (Yonsei Univ) |
| Abstract: | handled by domestic research and give an improvement of those through recent energy poverty indicators capturing the multifaceted notion. There are five main problems in the previous energy poverty indicators in Korea. First of all, it is the absence of macro indicators and they do not take into consideration the effect of energy efficiency. Energy poverty’s main drivers including energy efficiency are widely recognized. But there are only few studies to capture the multidimensional concept of energy poverty. So the goal of this paper is to contribute to develop the notion of energy poverty by comparing the various multidimensional indicators and to propose how to capture the multifaceted nature for the indicators. |
| Keywords: | energy poverty, energy poverty indicators, residual income, energy efficiency, macro indicator |
| Date: | 2019–10 |
| URL: | http://d.repec.org/n?u=RePEc:yon:wpaper:2019rwp-149&r=all |
| By: | Alain Zaetta (CEA-DEN - CEA-DEN Cadarache - CEA - Commissariat à l'énergie atomique et aux énergies alternatives); Bruno Fontaine (CEA-DEN - CEA-DEN Cadarache - CEA - Commissariat à l'énergie atomique et aux énergies alternatives); Pierre Sciora (CEA-DEN - CEA-DEN Cadarache - CEA - Commissariat à l'énergie atomique et aux énergies alternatives); Romain Lavastre (CEA-DEN - CEA-DEN Cadarache - CEA - Commissariat à l'énergie atomique et aux énergies alternatives); Robert Jacqmin (CEA-DEN - CEA-DEN Cadarache - CEA - Commissariat à l'énergie atomique et aux énergies alternatives); Vincent Pascal (CEA-DEN - CEA-DEN Cadarache - CEA - Commissariat à l'énergie atomique et aux énergies alternatives); Michel Pelletier (CEA-DEN - CEA-DEN Cadarache - CEA - Commissariat à l'énergie atomique et aux énergies alternatives); Gérard Mignot (CEA-DEN - CEA-DEN Cadarache - CEA - Commissariat à l'énergie atomique et aux énergies alternatives); Aurélien Jankowiak (CEA-DEN - CEA-Direction de l'Energie Nucléaire - CEA - Commissariat à l'énergie atomique et aux énergies alternatives) |
| Abstract: | Generation-IV sodium fast reactors (SFR) will only become acceptable and accepted if they can safely prevent or accommodate reactivity insertion accidents that could lead to the release of large quantities of mechanical energy, in excess of the reactor containment's capacity. The CADOR approach based on reinforced Doppler reactivity feedback is shown to be an attractive means of effectively preventing such reactivity insertion accidents. The accrued Doppler feedback is achieved by combining two effects: (i) introducing a neutron moderator material in the core so as to soften the neutron spectrum; and (ii) lowering the fuel temperature in nominal conditions so as to increase the margin to fuel melting. This study shows that, by applying this CADOR approach to a Generation-IV oxide-fuelled SFR, the resulting core can be made inherently resistant to reactivity insertion accidents, while also having increased resistance to loss-of-coolant accidents. These preliminary results have to be confirmed and completed to meet multiple safety objectives. In particular, some margin gains have to be found to guarantee against the risk of sodium boiling during unprotected loss of supply power accidents. The main drawback of the CADOR concept is a drastically reduced core power density compared to conventional designs. This has a large impact on core size and other parameters. |
| Date: | 2019–01 |
| URL: | http://d.repec.org/n?u=RePEc:hal:journl:cea-02071114&r=all |
| By: | Degiannakis, Stavros; Filis, George; Panagiotakopoulou, Sofia |
| Abstract: | This paper investigates the time-varying relationship between economic/financial uncertainty and oil price shocks in the US. A structural VAR (SVAR) model and a time-varying parameter VAR (TVP-VAR) model are estimated, using six indicators that reflect economic and financial uncertainty. The findings of the study reveal that static frameworks (SVAR) do not show the full dynamics of the oil price shocks effects to the US economic/financial uncertainty. This is owing to the evidence provided by the time-varying framework (TVP-VAR), which convincingly shows that uncertainty responses to the three oil price shocks are heterogeneous both over time and over the different oil price shocks. In particular, uncertainty responses seem to experience a shift in the post global financial crisis period. Thus, the conventional findings that economic fundamentals response marginally, positively or negatively to supply-side, aggregate demand and oil specific demand shocks, respectively, do not necessarily hold at all periods. Rather, they are impacted by the prevailing economic conditions at each time period. The findings are important to policy makers and investors, as they provide new insights on the said relationships. |
| Keywords: | Economic policy uncertainty, financial uncertainty, realized volatility, oil price shock, SVAR, TVP-VAR, US. |
| JEL: | C32 C51 G15 Q40 |
| Date: | 2018 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:96271&r=all |
| By: | Iorember, Paul Terhemba; Usman, Ojonugwa; Jelilov, Gylych |
| Abstract: | The study investigates the asymmetric effects of renewable energy consumption (REC), trade openness (TOP) and GDP per capita (GDP) on environmental quality in Nigeria and South Africa using the Non-linear Autoregressive Distributed Lag (NARDL) model from 1990Q1-2014Q4. To ensure this, the Zivot-Andrews unit root test and nonlinear ARDL cointegration tests are employed. The empirical results based on the NARDL found that REC, TOP and GDP have asymmetric effects on environmental quality in Nigeria and South Africa in the long-run and the short-run dynamics. Specifically, the long-run effect of a negative change in REC and GDP is stronger than that of a positive change of the same magnitude. Similarly, the effect of a positive change in TOP is stronger than the negative change. The results of the short run for Nigeria indicates that the effect of a negative change in REC and GDP is stronger than that of the positive change, while the effect of a positive change in TOP is stronger than its negative change. For South Africa, the positive change in REC and GDP is stronger than the negative change while for TOP the negative change is stronger than the positive change. The policy implications of the findings are carefully discussed in the text. |
| Keywords: | Renewable energy consumption; Trade openness; Economic Growth; Environmental quality; Asymmetric effects |
| JEL: | Q2 Q4 Q43 Q5 Q56 |
| Date: | 2019 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:96333&r=all |
| By: | Shahbaz, Muhammad; Mateev, Miroslav; Abosedra, Salaheddin; Nasir, Muhammad Ali; Jiao, Zhilun |
| Abstract: | This paper explores the effect of education and transportation infrastructure on foreign direct investment for the French economy over the period of 1965-2017. Economic growth, financial development and electricity consumption are also considered as additional determinants of foreign direct investment. In so doing, the SOR unit root test is applied in order to examine unit root properties of variables in the presence of sharp and smooth structural breaks in the series. To examine the presence of cointegration between the variables, the bootstrapping ARDL cointegration test is applied. The empirical results show the presence of cointegration between the variables. Education and transportation add to foreign direct investment. Financial development declines foreign direct investment. The relationship between electricity consumption (economic growth) and foreign direct investment is bidirectional. The nonlinear relationship between education (transportation infrastructure) and foreign direct investment is U-shaped. |
| Keywords: | FDI, Transport Infrastructure, Education, Financial Development, Energy Consumption, Bootstrapping ARDL |
| JEL: | E0 |
| Date: | 2019–10–01 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:96371&r=all |
| By: | Milan Straka; Pasquale De Falco; Gabriella Ferruzzi; Daniela Proto; Gijs van der Poel; Shahab Khormali; \v{L}ubo\v{s} Buzna |
| Abstract: | The availability of charging infrastructure is essential for large-scale adoption of electric vehicles (EV). Charging patterns and the utilization of infrastructure have consequences not only for the energy demand, loading local power grids but influence the economic returns, parking policies and further adoption of EVs. We develop a data-driven approach that is exploiting predictors compiled from GIS data describing the urban context and urban activities near charging infrastructure to explore correlations with a comprehensive set of indicators measuring the performance of charging infrastructure. The best fit was identified for the size of the unique group of visitors (popularity) attracted by the charging infrastructure. Consecutively, charging infrastructure is ranked by popularity. The question of whether or not a given charging spot belongs to the top tier is posed as a binary classification problem and predictive performance of logistic regression regularized with an l-1 penalty, random forests and gradient boosted regression trees is evaluated. Obtained results indicate that the collected predictors contain information that can be used to predict the popularity of charging infrastructure. The significance of predictors and how they are linked with the popularity are explored as well. The proposed methodology can be used to inform charging infrastructure deployment strategies. |
| Date: | 2019–10 |
| URL: | http://d.repec.org/n?u=RePEc:arx:papers:1910.02498&r=all |
| By: | Chatziantoniou, Ioannis; Degiannakis, Stavros; Delis, Panagiotis; Filis, George |
| Abstract: | We consider spillovers between oil price volatility and key uncertainty indicators. Adding to existing studies, we extend the applicability of the spillover index beyond economic inference, by generating forecasts of oil price volatility. Findings suggest that spillover effects do not contain significant predictive information. This in turn, raises critical questions regarding the usefulness of the spillover index for such task. However, it is critical to collect further evidence for the support of our findings. |
| Keywords: | Uncertainty, oil price volatility, forecasting, spillover effects |
| JEL: | C22 C32 C53 Q47 |
| Date: | 2019 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:96266&r=all |
| By: | Piccirilli, Marco (Center for Mathematical Economics, Bielefeld University); Schmeck, Maren Diane (Center for Mathematical Economics, Bielefeld University); Vargiolu, Tiziano (Center for Mathematical Economics, Bielefeld University) |
| Abstract: | In this paper we introduce an additive two-factor model for electricity futures prices based on Normal Inverse Gaussian Lévy processes, that fulfills a no-overlapping-arbitrage (NOA) condition. We compute European option prices by Fourier transform methods, introduce a specific calibration procedure that takes into account no-arbitrage constraints and fit the model to power option settlement prices of the European Energy Exchange (EEX). We show that our model is able to reproduce the different levels and shapes of the implied volatility (IV) profiles displayed by options with a variety of delivery periods. |
| Keywords: | Volatility Smile, Overlapping Delivery Periods, Arbitrage, Additive Models, Power Options, FFT |
| Date: | 2019–10–07 |
| URL: | http://d.repec.org/n?u=RePEc:bie:wpaper:625&r=all |
| By: | Sriket, Hongsilp; Suen, Richard M. H. |
| Abstract: | This paper re-examines the possibility of endogenous long-term economic growth in neoclassical models with non-renewable resources. Instead of using a Cobb-Douglas production function as in most existing studies, we consider a general class of production functions in which physical capital is functionally separable from labour and natural resources. It is shown that if the elasticity of substitution between labour and resources is identical to one, then long-term economic growth is endogenous. But if this elasticity is bounded above or below by one, as suggested by empirical evidence, then long-term economic growth is determined a priori by an exogenous technological factor. |
| Keywords: | Non-Renewable Resources; Endogenous Growth; Elasticity of Substitution. |
| JEL: | O13 O41 Q32 |
| Date: | 2019–09–27 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:96243&r=all |
| By: | Frondel, Manuel |
| Abstract: | Jede CO2-Bepreisung bringt höhere Kostenbelastungen für die Verbraucher mit sich, da dieses Instrument ansonsten keine Wirkung entfalten könnte. Ein vielversprechender Ansatz, um dennoch eine breite Akzeptanz für ein solches Klimaschutzinstrument zu gewinnen, könnte darin liegen, die aus einer CO2-Bepreisung resultierenden Einnahmen wieder vollständig an die Verbraucher zurückzugeben und so zu signalisieren, dass es nicht um das Erschließen einer zusätzlichen staatlichen Einnahmequelle, sondern ausschließlich um Klimaschutz geht. Dabei sind notwendigerweise die Anreizwirkungen und die soziale Treffsicherheit der konkreten Kompensationsmaßnahmen gegeneinander abzuwägen. Vor diesem Hintergrund diskutiert dieser Artikel drei Alternativen zur Rückverteilung der zusätzlichen staatlichen Einnahmen: a) eine pauschale Pro-Kopf-Rückerstattung für private Haushalte, b) die Senkung der Stromkosten durch (i) die Steuerfinanzierung der Industrieausnahmen bei der EEG-Umlage und (ii) die Senkung der Stromsteuer und c) gezielte Zuschüsse für besonders betroffene Verbraucher, etwa in Form einer Erhöhung des Wohngelds. Am treffsichersten im Hinblick auf die Kompensation bedürftiger Haushalte wäre die dritte Alternative. Mit den restlichen Mitteln könnte die Stromsteuer reduziert werden, um so insbesondere diejenigen Verbraucher zu entlasten, die kein Wohngeld beantragen, obwohl ihre finanzielle Situation sie dazu berechtigen würde. Wenngleich es gute Gründe sowohl für eine Pro-Kopf-Rückerstattung als auch für eine Stromsteuersenkung gibt, hat eine Stromsteuersenkung mehrere Vorteile gegenüber einer Pro-Kopfpauschale, insbesondere im Hinblick auf die Sektorkopplung und die Transaktionskosten des Rückverteilungsaufwands, welche bei einer Stromsteuersenkung vernachlässigbar wären. |
| Keywords: | CO2-Steuer,Pro-Kopf-Pauschale,Stromsteuer |
| JEL: | H23 Q41 Q54 |
| Date: | 2019 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:rwimat:130&r=all |
| By: | Germà Bel (GiM, Dept.Política Econòmica i Estruct. Econòmica Mundial Universidad de Barcelona. Av. Diagonal, 690, 08034 Barcelona, Spain); Jordi J. Teixidó (GiM, Departament d'Econometria, Estadística i Economia Aplicada, Universitat de Barcelona. Av. Diagonal 690 Torre 6, planta 3, Of. 6306) |
| Abstract: | We empirically assess how both between-country inequality and within-country inequality relate to climate policy ambition as defined by NDC pledges of the Paris Agreement (COP21). We exploit the difference between high and low ambition targets submitted by parties to construct a climate policy ambition index. We find that both inequalities shape countries’ pledges: First, low income countries tend to be more ambitious in setting their pledges when external support is received. Second, within-country inequality is associated with (i) lower mitigation ambition in low and middle-low-income countries, and with (ii) higher mitigation ambition, although non statistically significant, for upper-high and high-income countries. Despite we cannot claim any causal mechanism, our results are discussed in terms of climate policy being a superior good in rich countries and elites benefiting from emitting economic activities in poorer countries |
| Keywords: | Climate Policy, Inequality, Paris Agreement, COP21, INDC JEL classification:F53, O57, P16, Q58 |
| Date: | 2019–09 |
| URL: | http://d.repec.org/n?u=RePEc:ira:wpaper:201915&r=all |
| By: | Sergio Tirado Herrero; Luis Jiménez Meneses; José Luís López Fernández |
| Abstract: | Se calcula que hay millones de personas afectadas por la pobreza energética en España, segúnindicadores del Observatorio Europeo de Pobreza Energética (EPOV) elaborados por laAsociación de Ciencias Ambientales (ACA). Hasta abril de 2019, la única medida de alcanceestatal para combatir esta problemática ha sido el bono social de electricidad, una rebaja paliativadel precio regulado de la electricidad para consumidores vulnerables. El trabajo analiza laevolución de este instrumento y hace una revisión de aspectos críticos del marco político ynormativo actual (Real Decreto-ley 15/2018 y Estrategia Nacional de Pobreza Energética 2019-2024) desde una perspectiva de justicia energética y derecho a la energía. Presenta también unaevaluación cuantitativa de la cobertura potencial y efectividad real de criterios de asignación delbono social eléctrico basados en los ingresos del hogar. El trabajo concluye que, frente al doblereto de una transición energética ambiental y socialmente justa, es necesaria la sustituciónprogresiva de enfoques asistenciales o reactivos (como los bonos sociales) por una política queafronte las causas estructurales de la pobreza energética y la emergencia climática. |
| Date: | 2019–10 |
| URL: | http://d.repec.org/n?u=RePEc:fda:fdaeee:eee2019-33&r=all |
| By: | Radek Stefanski (University of St Andrews) |
| Abstract: | We estimate the effect of giant oil and gas discoveries on bilateral real exchange rates. The size and plausibly exogenous timing of such discoveries make them ideal for identifying the effects of a resource boom on prices. We find that a giant discovery with the value of 10% of a country's GDP appreciates the real exchange rate by 1.5% within 10 years following the discovery. Importantly, a significant part of the appreciation occurs before production starts and the appreciation is driven by the non-traded component of the real exchange rate. Moreover, we show that labor reallocates from the traded goods sector to the non-traded goods sector leading to changes in labor productivity in the respective sectors. Our findings provide direct evidence on the channels central to the theories of the Dutch disease and the Balassa-Samuelson effect. |
| Date: | 2019 |
| URL: | http://d.repec.org/n?u=RePEc:red:sed019:101&r=all |