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on Energy Economics |
| By: | Németh-Durkó, Emilia |
| Abstract: | The present study explores the relationship between economic growth, electricity consumption, carbon emissions and urbanization in Hungary over the period of 1974-2014. We use three-step model for testing stationarity, cointegration and causality in VECM framework. First, we employ ARDL bounds testing methodology to investigate the long run relationship among the series in the presence of structural breaks. Secondly, to overcome the issue of different integrated order of variables, we applied Toda-Yamamoto procedure to test causality. Our results indicate the existence of long run relationships. The impact of electricity consumption and urbanization are positive on carbon emissions and statistically significant in the long run. The empirical results show that bidirectional causality is running from electricity consumption to economic growth. We further found evidence in the case of bidirectional causality between carbon emissions and economic growth. The causality analysis validates conservation hypothesis meaning that electricity consumption, economic growth and urbanization Granger cause carbon emissions. We conclude that increasing electricity consumption is an indicator of economy growth in Hungary therefore economic policy and energy policy interrelating coordination are vital for maintaining sustainable development. |
| Keywords: | energy, economic growth, Granger causality, Toda-Yamamoto approach, energy policy, ARDL, conservation hypothesis |
| JEL: | Q40 Q54 Q56 R11 |
| Date: | 2021–09–08 |
| URL: | http://d.repec.org/n?u=RePEc:cvh:coecwp:2021/05&r= |
| By: | Mostafa Abdelrashied; Dikshita Bhattacharya |
| Abstract: | This paper provides an overview of the status of the electricity market in the region, indicating the nexus between electricity consumption with population growth and GDP. It also analyzes the policy portfolio in different countries, indicating some of the in-action policies' effectiveness and recommended alternatives. World Bank datasets were used for the analysis between 2000 and 2014. We found that the MENA region is at an early stage for renewable energy with a high potential for solar energy, making it attractive for investors. However, the high dependency on oil for consumption and exporting might not provide a prosperous environment for renewable technologies to grow. Therefore, a greater focus on decoupling economic growth from energy consumption will have a long-lasting impact on fiscal revenues for net-oil exporting countries. Moreover, the consequences of the decoupling will allow more renewables penetration in the current energy mix enabling many countries to reach their Paris Agreement goals. For short-term energy policy actions, starting a subsidy reform towards the final repeal of subsidies is a must as these measures relate to all end-use sectors and impact fiscal stability in many countries. With its 1.65GW Benban Solar Park in Aswan, Egypt has shown an example of shifting from subsidizing fossil fuel products to commissioning renewable projects to get closer to its Paris Agreement targets. |
| Date: | 2021–09 |
| URL: | http://d.repec.org/n?u=RePEc:arx:papers:2109.02129&r= |
| By: | Margaux Escoffier (IFPEN - IFP Energies nouvelles - IFPEN - IFP Energies nouvelles, EconomiX - UPN - Université Paris Nanterre - CNRS - Centre National de la Recherche Scientifique); Emmanuel Hache (IFPEN - IFP Energies nouvelles - IFPEN - IFP Energies nouvelles, EconomiX - UPN - Université Paris Nanterre - CNRS - Centre National de la Recherche Scientifique, IRIS - Institut de Relations Internationales et Stratégiques); Valérie Mignon (EconomiX - UPN - Université Paris Nanterre - CNRS - Centre National de la Recherche Scientifique, CEPII - Centre d'Etudes Prospectives et d'Informations Internationales - Centre d'analyse stratégique); Anthony Paris (LEO - Laboratoire d'Économie d'Orleans - UO - Université d'Orléans - Université de Tours - CNRS - Centre National de la Recherche Scientifique, EconomiX - UPN - Université Paris Nanterre - CNRS - Centre National de la Recherche Scientifique) |
| Abstract: | This paper investigates the determinants of solar photovoltaic (PV) deployment in the electricity mix for a panelof OECD and BRICS countries from 1997 to 2016 by paying particular attention to the impact of oil market con-ditions. Relying on a nonlinear, regime-switching specification, we show that rising oil prices stimulate PV de-ployment only if their growth rate exceeds 6.7% per annum. Although wefind that various other determinantsmatter—with the influence of some of them depending on the situation on the oil market—public policies playa crucial role. |
| Keywords: | Solar photovoltaic,Renewables deployment,Oil prices,Panel smooth transition regression. |
| Date: | 2021–05 |
| URL: | http://d.repec.org/n?u=RePEc:hal:journl:hal-03339134&r= |
| By: | Elena Georgarakis; Thomas Bauwens; Anne-Marie Pronk; Tarek AlSkaif |
| Abstract: | While the potential for peer-to-peer electricity trading, where households trade surplus electricity with peers in a local energy market, is rapidly growing, the drivers of participation in this trading scheme have been understudied so far. In particular, there is a dearth of research on the role of non-monetary incentives for trading surplus electricity, despite their potentially important role. This paper presents the first discrete choice experiment conducted with prosumers (i.e. proactive households actively managing their electricity production and consumption) in the Netherlands. Electricity trading preferences are analyzed regarding economic, environmental, social and technological parameters, based on survey data (N = 74). The dimensions most valued by prosumers are the environmental and, to a lesser extent, economic dimensions, highlighting the key motivating roles of environmental factors. Furthermore, a majority of prosumers stated they would provide surplus electricity for free or for non-monetary compensations, especially to energy-poor households. These observed trends were more pronounced among members of energy cooperatives. This suggests that peer-to-peer energy trading can advance a socially just energy transition. Regarding policy recommendations, these findings point to the need for communicating environmental and economic benefits when marketing P2P electricity trading platforms and for technical designs enabling effortless and customizable transactions |
| Date: | 2021–09 |
| URL: | http://d.repec.org/n?u=RePEc:arx:papers:2109.02452&r= |
| By: | Meier, Felix D.; Quaas, Martin F. |
| Abstract: | This paper introduces endogenous technological change in a Hotelling-Herfindahl model of natural resource use to study the recent developments in the U.S. natural gas industry. We consider optimal forward-looking technology investments, and study implications for the order of extraction of conventional and shale gas, and a backstop technology, and characterize the development of gas prices. We find that technology investments increase during the extraction of conventional gas. Once production shifts towards shale gas, investments decline. Consistent with current trends, our theory explains how gas prices can follow a U-shaped path. The calibrated model suggests that U.S. shale gas production continues to grow and prices continue to decrease until 2050. We analytically and numerically show that the introduction of a carbon tax would reduce technology investments, and thus could drastically change the temporal patterns of U.S. shale gas extraction. The forward-looking behaviour of firms is crucial for such an effect, which does not occur in models that treat the improvement in extraction technology as an unanticipated shock to the industry. |
| Keywords: | shale gas,endogenous technological change,optimal order of extraction,natural gas prices,extraction costs,renewable backstop,optimal transition,carbon tax |
| JEL: | D25 Q30 Q55 |
| Date: | 2021 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:ifwkie:240207&r= |
| By: | Simshauser, P.; Billimoria, F.; Rogers, C. |
| Abstract: | Australia’s National Electricity Market experienced significant growth in variable renewable energy (VRE) investment commitments over the period 2016-2021. A subset of projects experienced material entry frictions which stemmed from inadequate network hosting capacity. In this article we examine the development of non-regulated Renewable Energy Zones (REZ) as a means by which to help guide forward market commitments and produce greater coordination between generation and transmission plant investments. Using an optimisation model comprising 1500MW of transmission network infrastructure, we explore various definitions of a ‘fully subscribed REZ’ given the portfolio benefits associated with complementary wind and solar plant in Southern Queensland. We also examine the conditions by which various proponents would sponsor a non-regulated REZ. When maximising output forms the objective function, full subscription is achieved by developing ~3400MW of solar and wind in roughly equal proportions, accepting that some level of curtailment is an economic result. Conversely, full subscription in which the combined cost of the REZ and VRE plant is minimised is achieved at ~1800MW of VRE. If maximising net cashflows forms the objective function, VRE plant development is complicated by the dynamic nature of spot prices. Specifically, in early stages of VRE development solar is preferred but as its market share rises and value of output falls, wind investments dominate holding technology costs constant. |
| Keywords: | Renewable Energy Zones, renewable generation, transmission investment |
| JEL: | D25 D80 G32 L51 Q41 |
| Date: | 2021–09–15 |
| URL: | http://d.repec.org/n?u=RePEc:cam:camdae:2164&r= |
| By: | Hobbie, Hannes; Mehlem, Jonas; Wolff, Christina; Weber, Lukas; Flachsbarth, Franziska; Möst, Dominik; Moser, Albert |
| Abstract: | Integrating increasing shares of weather-dependent renewable energies into energy systems while maintaining high levels of security of supply constitutes a challenge for network utilities. Obtaining the goal of large shares of renewable-based generation sources on electricity supply requires an effective operation of electricity grids and efficient coordination among grid operators. Therefore, detailed modelling of grid operation has increasingly become important in recent years. Methods for modelling the operation of (extra) high-voltage grids are undergoing persistent enhancements in academia and energy industries. Existing approaches vary in data granularity and computational methods. Moreover, assumptions on technical details in grid models vary. Differences in input data and modelling methods likely have an impact on simulation results. This paper aims to identify the most relevant differences present in grid simulation models and methods for studying congestion management in a European context. Differences are studied based on a comparison of grid simulation models from eight German energy modelling institutions. The effects of model parameterization and formulation on congestion management results are further investigated with three different case studies focusing on outage simulation, line-constraint relaxation and the modelling of cross-border measures applying selected grid simulation models. Results indicate that data parametrization can have large impacts on model results about congestion management volumes and geographic distribution of necessary measures. Model key parameters must be calibrated thoroughly. The findings of this research will assist future grid modelers and power system planners in efficiently simulating congestion management and increases the validity and explorative power of grid simulation models. |
| Keywords: | Transmission grid,Sustainable development,Renewable energies,Model comparison,Congestion management,Optimal power flow |
| JEL: | Q40 |
| Date: | 2021 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:esprep:240928&r= |
| By: | Weisser, Christoph; Lenel, Friederike; Lu, Yao; Kis-Katos, Krisztina; Kneib, Thomas |
| Abstract: | Access to electricity is typically the main benefit associated with solar panels, but in economically less developed countries, where access to electricity is still very limited, solar panel systems can also serve as means to generate additional income and to diversify income sources. We analyze high-frequency electricity usage and repayment data of around 70,000 households in Tanzania that purchased a solar panel system on credit, in order to (1) determine the extent to which solar panel systems are used for income generation, and (2) explore the link between the usage of the solar system for business purposes and the repayment of the customer credit that finances its purchase. Based on individual patterns of energy consumption within each day, we use XGBoost as a supervised machine learning model combined with labels from a customer survey on business usage to generate out-of-sample predic- tions of the daily likelihood that customers operate a business.We find a low average predicted business probability; yet there is considerable variation across households and over time. While the majority of households are predicted to use their system primarily for private consumption, our findings suggest that a substantial proportion uses it for income generation purposes occasionally. Our subsequent statistical analysis regresses the occurrence of individual credit delinquency within each month on the monthly average predicted probability of business-like electricity usage, relying on a time-dependent proportional hazards model. Our results show that customers with more business-like electricity usage patterns are significantly less likely to face repayment difficulties, suggesting that using the system to generate additional income can help to alleviate cash constraints and prevent default. |
| Keywords: | Rural electrification,Off-grid energy,High-frequency electricity usage data,Solar panels,Tanzania,Risk management,Credit default,Big Data,Supervised machinelearning,Time-dependent proportional hazards model,XGBoost |
| Date: | 2021 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:cegedp:428&r= |
| By: | Dorian Carloni; Terry Dinan |
| Abstract: | Putting a price on emissions of carbon dioxide, either by taxing them or by establishing a cap- and-trade program, is one policy that lawmakers could consider to address climate change. Although such a policy could encourage cost-effective reductions in emissions throughout the economy, lawmakers have expressed concern about whether it would disproportionately affect lower-income households. Determining the distributional effects—that is, the effects on households at different income levels—of a policy that would price carbon emissions (referred to in |
| JEL: | H00 H20 H23 |
| Date: | 2021–09–13 |
| URL: | http://d.repec.org/n?u=RePEc:cbo:wpaper:57399&r= |
| By: | G\"uray Kara; Asgeir Tomasgard; Hossein Farahmand |
| Abstract: | The authors provide a comprehensive overview of flexibility characterization along the dimensions of time, spatiality, resource, and risk in power systems. These dimensions are discussed in relation to flexibility assets, products, and services, as well as new and existing flexibility market designs. The authors argue that flexibility should be evaluated based on the dimensions under discussion. Flexibility products and services can increase the efficiency of power systems and markets if flexibility assets and related services are taken into consideration and used along the time, geography, technology, and risk dimensions. Although it is possible to evaluate flexibility in existing market designs, a local flexibility market may be needed to exploit the value of the flexibility, depending on the dimensions of the flexibility products and services. To locate flexibility in power grids and prevent incorrect valuations, the authors also discuss TSO-DSO coordination along the four dimensions, and they present interrelations between flexibility dimensions, products, services, and related market designs for productive usage of flexible electricity. |
| Date: | 2021–09 |
| URL: | http://d.repec.org/n?u=RePEc:arx:papers:2109.03000&r= |
| By: | Acharya, Tri D.; Jenn, Alan T.; Miller, Marshall R.; Fulton, Lew M. |
| Abstract: | Researchers at UC Davis developed “Spatial Transportation Infrastructure, Energy, Vehicles, and Emissions (STIEVE),” an optimization model for hydrogen refueling stations in California. The model uses inputs from the California Statewide Travel Demand Model (CSTDM) and other sources to determine heavy-duty vehicle travel demand across the state, and the corresponding, localized energy demand. The model then determines which of the transportation analysis zones (areas based on census geography used to replicate areas of trip origins and destinations) delineated by the CSTDM are optimal areas for refueling stations and the number of stations needed in each zone to meet demand while minimizing costs. The final step is a suitability analysis that identifies each station’s specific location within a designated transportation analysis zone, based on a determined footprint for the refueling station. |
| Keywords: | Engineering |
| Date: | 2021–09–01 |
| URL: | http://d.repec.org/n?u=RePEc:cdl:itsdav:qt2qw8464c&r= |
| By: | Robert Ialenti |
| Abstract: | We assess how rising exports of US liquefied natural gas (LNG) affect the convergence of natural gas prices worldwide. Using standard principal component analysis and cointegrating techniques, we show that the degree of co-movement between global benchmark prices for natural gas has strengthened since the United States began the large-scale export of LNG in 2016. At the same time, we find that global natural gas prices do not yet adhere to the relative law of one price. Our results also suggest that issues related to storage access in Alberta between 2017 and 2019 have limited price co-movements between major benchmarks for natural gas in the United States and Canada. In addition, we use vector error correction models to show that natural gas prices in Europe and Asia respond negatively to increased exports of US LNG. These results may have implications for the development of future LNG export capacity in Canada. |
| Keywords: | International topics; Market structure and pricing |
| JEL: | C32 F15 K41 L95 |
| Date: | 2021–09 |
| URL: | http://d.repec.org/n?u=RePEc:bca:bocadp:21-14&r= |
| By: | Pamela E. Ofori (University of Insubria, Varese, Italy); Daryna Grechyna (University of Granada, Spain) |
| Abstract: | Despite the established link between oil rent fluctuations and remittances received, its plausible joint effect on economic growth in Sub-Saharan Africa (SSA) remains unexplored. To fill this gap, first, we determine whether natural resource rent (composed of oil rent, forest rent and natural gas rent) reduces economic growth in SSA. Second, we examine whether positive macroeconomic signals such as remittances mitigate the negative effect of oil rents on economic growth in a sample of 43 SSA countries spanning 1990-2017. We employ the pooled ordinary least squares, fixed-effects and random-effects, and generalized method of moments. The resulting empirical evidence established are; (1) there is a positive impact of forest rent on economic growth whilst oil rent and natural gas rent have a negative impact on economic growth (2) there is a positive marginal and net effect on economic growth from the interaction between remittances and oil rent. Also, the unconditional effect of remittances on growth is positive. We further perform a threshold analysis to establish a critical ground that could also influence economic growth positively. This threshold is crucial because below these critical mass remittance inflows mitigate the negative incidence of oil rent on economic growth and above the threshold, negative oil rent on growth is completely nullified. This is relevant for policy implications because policymakers are provided with actionable levels of remittances which are easily attainable in sampled countries. |
| Keywords: | Remittances, Natural resource rent, oil rent, Economic growth, Sub-Saharan Africa |
| Date: | 2021–01 |
| URL: | http://d.repec.org/n?u=RePEc:exs:wpaper:21/056&r= |
| By: | Pamela E. Ofori (Department of Economics, University of Insubria); Daryna Grechyna (University of Granada, Spain) |
| Abstract: | Despite the established link between oil rent fluctuations and remittances received, its plausible joint effect on economic growth in Sub-Saharan Africa (SSA) remains unexplored. To fill this gap, first we determine whether natural resource rent (composed of oil rent, forest rent and natural gas rent) reduces economic growth in SSA. Second, we examine whether positive macroeconomic signals such as remittances mitigate the negative effect of oil rents on economic growth in a sample of 43 SSA countries spanning 1990-2017. We employ the pooled ordinary least squares, fixed-effects and random-effects, and generalized method of moments. The resulting empirical evidence established are; (1) There is a positive impact of forest rent on economic growth whilst oil rent and natural gas rent have a negative impact on economic growth. (2) There is a positive marginal and net effect on economic growth from the interaction between remittances and oil rent. Also, the unconditional effect of remittances on growth is positive. We further perform a threshold analysis to establish a critical ground that could also influence economic growth positively. This threshold is crucial because above these critical mass remittance inflows mitigate the negative incidence of oil rent on economic growth and below the threshold negative oil rent on growth is completely nullified. This is relevant for policy implications because policy makers are provided with actionable levels of remittances which are easily attainable in sampled countries. |
| Keywords: | Remittances, Natural resource rent, oil rent, Economic growth, Sub-Saharan Africa. |
| Date: | 2021–01 |
| URL: | http://d.repec.org/n?u=RePEc:agd:wpaper:21/056&r= |
| By: | Tii N. Nchofoung (University of Dschang, Cameroon); Elvis Dze Achuo (University of Dschang, Cameroon); Simplice A. Asongu (Yaoundé, Cameroon) |
| Abstract: | This study aims to empirically verify the effects of natural resource rents on inclusive human development in developing countries. The results from the IV Tobit regression show that natural resource rents have a positive direct effect on inclusive human development in developing countries and that this relationship varies by regional groupings, income levels, level of development and export structure. Looking at the transmission mechanisms, when the interactive variables of governance and environmental quality is introduced, the modulating channel through governance exerts a robust negative synergy effect in the sample of developing countries and positive synergy effects for Africa and low-income countries. When the interactive variable of CO2 emissions is introduced for Africa, a negative net effect of natural resource rents on inclusive human development is obtained. This was up to a policy threshold of 25.4412 of CO2 emissions when the negative effect is nullified. For Asia and the Latin America and Caribbean, a positive net effect is obtained. This is up to a CO2 emissions threshold of 29.038 and 3.6752 respectively, when the positive effect is nullified. Besides, the high income and the upper-middle income countries produce a negative net effect of resource rents on inclusive human development through CO2 modulation, with up to positive CO2 emission thresholds of 37.9365 and 23.6257 respectively. Policy implications are highlighted. In summary, contingent on engaged specificities, where conditional effects are negative, negative thresholds for complementary policies have been provided and in scenarios where conditional impacts are positive, actionable positive thresholds have been provided. |
| Keywords: | Resource Rents, Inclusive Human Development, Institutional Quality, Environmental Quality. |
| JEL: | P48 O11 C23 |
| Date: | 2021–01 |
| URL: | http://d.repec.org/n?u=RePEc:abh:wpaper:21/025&r= |
| By: | Sosson Tadadjeu (University of Dschang , Cameroon); Henri Njangang (University of Dschang , Cameroon); Simplice A. Asongu (Yaoundé, Cameroon); Brice Kamguia (University of Dschang, Cameroon) |
| Abstract: | This paper contributes to the literature by investigating the effect of natural resources on under-five mortality in a sample of 50 African countries over the period 1996 to 2018. We also examine the extent to which governance shapes the relationship between natural resources and under-five mortality. Our results show that natural resources have increased under-five mortality. Resource rents also have detrimental effects on child mortality by age, gender, and the three major causes of infant mortality from infectious diseases. However, an extended analysis of different types of natural resources suggests that point resources (such as oil, natural gas and mineral rents) increase under-five mortality, in contrast to the diffuse resources (such as forest rent). We also find that governance mitigates the positive effect of natural resources on child mortality. Corresponding governance policy thresholds that should be attained in order to reverse the positive effects of natural resources on child mortality are provided. We thus suggest an increase in the funds allocated to the health sector from resource rents and encourage efforts to improve governance standards in sampled countries. |
| Keywords: | Natural resources; Child mortality; Governance; Africa |
| JEL: | J13 O55 Q33 Q34 Q38 |
| Date: | 2021–01 |
| URL: | http://d.repec.org/n?u=RePEc:abh:wpaper:21/027&r= |
| By: | Jean-Charles Hourcade; Dipak Dasgupta; F. Ghersi (CIRED - Centre International de Recherche sur l'Environnement et le Développement - 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 - Université Paris-Saclay - CNRS - Centre National de la Recherche Scientifique) |
| Abstract: | In this paper, we examine how to trigger a wave of low-carbon investments compatible with the wellbelow 2°C target of the Paris Agreement in the current post-pandemic context of increasing private and public debt. We argue that one major obstacle to catalyzing global excess savings at sufficient scale and speed on climate mitigation, and to 'greening' economic recovery packages, lies in the upfront risks of low-carbon investment. We then explain why public guarantees should be the preferred risk-sharing instrument to overcome that obstacle. We outline the basic principles of a multilateral sovereign guarantee mechanism able to maximize the leverage effect of public funds and massively redirect global savings towards low-carbon investments, with the double benefit of bridging the infrastructure investment gap in developing countries and reducing tension between developed and developing countries around accelerated funding for low-carbon transitions. We carry out numerical simulations demonstrating how the use of guarantees from AAA-rated sovereigns, calibrated on an agreed-upon 'social value of carbon', is compatible with public-budget constraints of developed countries. In summary, the use of such guarantee mechanisms provides a new form of 'where flexibility', which could turn real-world heterogeneity into a source of reciprocal gains for both developed and developing countries, and contribute to meeting the USD 100 billion + pledge of the Paris Agreement. Key policy insights Catalyzing excess world savings through low-carbon investments (LCIs) would secure a safer and fairer economic recovery from the COVID-19 crisis and avoid locking developing countries into carbon-intensive pathways. Public policy instruments focused on creation of public guarantees can reduce the up-front financial risks associated with LCIs, mobilize private money and increase the leverage of public finance. A multi-sovereign guarantee mechanism would yield financial support from developed to developing countries in cash grant equivalent and equity inflows two to four times higher than the 'USD 100 billion and more' commitment of the Paris Agreement, and provide greater confidence in meeting this commitment equitably and effectively with benefits for all. |
| Keywords: | Climate finance,Public guarantees,De-risking,Low-carbon investment,Post-COVID recovery,100 billion + pledge |
| Date: | 2021 |
| URL: | http://d.repec.org/n?u=RePEc:hal:journl:hal-03336193&r= |
| By: | Abdel Sater, Rita; Perona, Mathieu (CEPREMAP); huillery, elise; Chevallier, Coralie |
| Abstract: | While indoor air pollution is one of the leading causes of morbidity and mortality worldwide, its sources and impacts are largely misunderstood by the public. In a randomized controlled trial including 281 households in France, we test two interventions aimed at raising households' awareness of indoor pollutants and ultimately improving indoor air quality. While both generic and personalised information increase awareness, only personalised information is successful in shifting behaviour and decreasing indoor air pollution - by 20% compared to the control group. Heterogeneous treatment effects show that this effect is concentrated on the most polluted households at baseline. |
| Date: | 2021–09–09 |
| URL: | http://d.repec.org/n?u=RePEc:osf:socarx:kw3tn&r= |
| By: | Clémence Christin (CREM - Centre de recherche en économie et management - UNICAEN - Université de Caen Normandie - NU - Normandie Université - UR1 - Université de Rennes 1 - UNIV-RENNES - Université de Rennes - CNRS - Centre National de la Recherche Scientifique); Jean-Philippe Nicolaï (EconomiX - UPN - Université Paris Nanterre - CNRS - Centre National de la Recherche Scientifique); Jérôme Pouyet (THEMA - Théorie économique, modélisation et applications - CNRS - Centre National de la Recherche Scientifique - CY - CY Cergy Paris Université, ESSEC Business School - Essec Business School) |
| Abstract: | This paper examines, under imperfect competition, the effect of a cap-and-trade system on industry profits and the interaction between cap-and-trade system and the evolution of the market structure, both depending on the type of abatement technologies used by firms. Two extreme types are considered: end-of-pipe abatement technology-meaning, filtration and other mechanisms that are largely independent of production decisionsand process-integrated technology, which entails integrating cleaner or more energy-efficient methods into production. This paper prescribes that the distribution of free allocation should depend on the kind of abatement technologies. Finally, a reserve of pollution permits for new entrants is justified when the industry uses a process-integrated abatement technology, while a system with a preemption right may be justified in the case of end-of-pipe abatement technology. |
| Keywords: | cap-and-trade system,imperfect competition,end-of-pipe abatement,process-integrated abatement,reserve for entrants |
| Date: | 2021–08–30 |
| URL: | http://d.repec.org/n?u=RePEc:hal:wpaper:hal-03328947&r= |
| By: | Hongzhen Ni; Jing Zhao; Xiujian Peng; Glyn Wittwer; Genfa Chena |
| Abstract: | This paper uses SinoTERM, a dynamic multi-regional computable general equilibrium model (CGE) of the Chinese economy, to analyze the economic impact of large hydropower development projects. The model features regional labor market dynamics and an electricity subdivision module with substitutability between various types of electricity generation. The results suggest that hydropower development will boost economic growth in the project region. Most sectors in the project region will benefit from the hydropower development while some sectors will suffer a loss in output because of the substantial increase in real wages. Neighboring regions also benefit as a result of increased electricity supply in the operational phase of the proposed hydropower station. The impact of the hydropower development project on the national GDP as a whole is relatively small although positive. However, because of the long lag between the construction and operational phases, the hydropower development project will result in a national welfare loss measured by real household consumption and net foreign liability. Therefore, the project could only be justified if net environmental benefits outweigh this loss. |
| Keywords: | dynamic CGE model, hydropower development, multiple regions, economic impacts, electricity subdivision module, China |
| JEL: | C68 O13 R58 |
| Date: | 2021–09 |
| URL: | http://d.repec.org/n?u=RePEc:cop:wpaper:g-320&r= |
| By: | Laté Lawson (BETA - Bureau d'Économie Théorique et Appliquée - UNISTRA - Université de Strasbourg - UL - Université de Lorraine - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement); Roberto Martino (BETA - Bureau d'Économie Théorique et Appliquée - UNISTRA - Université de Strasbourg - UL - Université de Lorraine - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement); Phu Nguyen-Van (BETA - Bureau d'Économie Théorique et Appliquée - UNISTRA - Université de Strasbourg - UL - Université de Lorraine - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement) |
| Abstract: | Existing studies disjointly addressed the environmental convergence and environmental Kuznets curve hypotheses, though these research lines are theoretically interconnected. This paper proposes a unified empirical methodology to simultaneously investigate both hypotheses, relying on a semiparametric dynamic panel data model that accounts for regressor endogeneity. The approach, when applied to CO2 emissions in 106 countries, suggests that there is no global level evidence supporting the environmental Kuznets hypothesis, while a convergence process is taking place. Our results imply that current international agreements have not been sufficiently binding to globally curb CO2 emissions, especially in high-income countries, as aimed by Sustainable Development Goals. |
| Keywords: | CO2 emissions |
| Date: | 2020–12 |
| URL: | http://d.repec.org/n?u=RePEc:hal:journl:hal-03098130&r= |
| By: | Bertram, Christine; Quaas, Martin; Reusch, Thorsten B.H.; Vafeidis, Athanasios T.; Wolff, Claudia; Rickels, Wilfried |
| Abstract: | Carbon sequestration and storage in mangroves, salt marshes and seagrass meadows is an essential coastal ‘blue carbon’ ecosystem service for climate change mitigation. Here we offer a comprehensive, global and spatially explicit economic assessment of carbon sequestration and storage in three coastal ecosystem types at the global and national levels. We propose a new approach based on the country-specific social cost of carbon that allows us to calculate each country’s contribution to, and redistribution of, global blue carbon wealth. Globally, coastal ecosystems contribute a mean ± s.e.m. of US$190.67 ± 30 bn yr−1 to blue carbon wealth. The three countries generating the largest positive net blue wealth contribution for other countries are Australia, Indonesia and Cuba, with Australia alone generating a positive net benefit of US$22.8 ± 3.8 bn yr−1 for the rest of the world through coastal ecosystem carbon sequestration and storage in its territory. |
| Keywords: | Climate-change mitigation,Economics,Marine biology |
| Date: | 2021 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:ifwkie:240209&r= |
| By: | Nathan Ratledge; Gabe Cadamuro; Brandon de la Cuesta; Matthieu Stigler; Marshall Burke |
| Abstract: | In many regions of the world, sparse data on key economic outcomes inhibits the development, targeting, and evaluation of public policy. We demonstrate how advancements in satellite imagery and machine learning can help ameliorate these data and inference challenges. In the context of an expansion of the electrical grid across Uganda, we show how a combination of satellite imagery and computer vision can be used to develop local-level livelihood measurements appropriate for inferring the causal impact of electricity access on livelihoods. We then show how ML-based inference techniques deliver more reliable estimates of the causal impact of electrification than traditional alternatives when applied to these data. We estimate that grid access improves village-level asset wealth in rural Uganda by 0.17 standard deviations, more than doubling the growth rate over our study period relative to untreated areas. Our results provide country-scale evidence on the impact of a key infrastructure investment, and provide a low-cost, generalizable approach to future policy evaluation in data sparse environments. |
| Date: | 2021–09 |
| URL: | http://d.repec.org/n?u=RePEc:arx:papers:2109.02890&r= |
| By: | Antonin Pottier (CIRED - Centre International de Recherche sur l'Environnement et le Développement - 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 - Université Paris-Saclay - CNRS - Centre National de la Recherche Scientifique); Marc Fleurbaey (PSE - Paris School of Economics - ENPC - École des Ponts ParisTech - ENS Paris - École normale supérieure - Paris - PSL - Université Paris sciences et lettres - UP1 - Université Paris 1 Panthéon-Sorbonne - CNRS - Centre National de la Recherche Scientifique - EHESS - École des hautes études en sciences sociales - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement, CNRS - Centre National de la Recherche Scientifique); Aurélie Méjean (CIRED - Centre International de Recherche sur l'Environnement et le Développement - 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 - Université Paris-Saclay - CNRS - Centre National de la Recherche Scientifique); Stéphane Zuber (PSE - Paris School of Economics - ENPC - École des Ponts ParisTech - ENS Paris - École normale supérieure - Paris - PSL - Université Paris sciences et lettres - UP1 - Université Paris 1 Panthéon-Sorbonne - CNRS - Centre National de la Recherche Scientifique - EHESS - École des hautes études en sciences sociales - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement, CES - Centre d'économie de la Sorbonne - UP1 - Université Paris 1 Panthéon-Sorbonne - CNRS - Centre National de la Recherche Scientifique, CNRS - Centre National de la Recherche Scientifique) |
| Abstract: | We develop an integrated assessment model with endogenous population dynamics accouting for the impact of global climate change on mortality through five channels (heat, diarrhoeal disease, malaria, dengue, undernutrition). An age-dependent endogenous mortality rate, which depends linearly on global temperature increase, is introduced and calibrated. We consider three emission scenarios (business-as-usual, 3°C and 2°C scenarios) and find that the five risks induce deaths in the range from 160,000 per annum (in the near term) to almost 350,000 (at the end of the century) in the business-as-annual. We examine the number of life-years lost due to the five selected risks and find figures ranging from 5 to 10 millions annually. These numbers are too low to impact the aggregate dynamics and we do not find significant feedback effects of climate mortality to production, and thus emissions and temperature increase. But we do find interesting evolution patterns. The number of life-years lost is constant (business-as-usual) or decreases over time (3°C and 2°C). For the stabilisation scenarios, we find that the number of life-years lost is higher today than in 2100, due to improvements in generic mortality conditions, the bias of those improvements towards the young, and an ageing population. From that perspective, the present generation is found to bear the brunt of the considered climate change impacts. |
| Keywords: | Mortality risk,Integrated assessment model,Endogenous population,Impacts,Climate change |
| Date: | 2020–12–09 |
| URL: | http://d.repec.org/n?u=RePEc:hal:wpaper:halshs-03048602&r= |
| By: | Antonin Pottier (CIRED - Centre International de Recherche sur l'Environnement et le Développement - 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 - Université Paris-Saclay - CNRS - Centre National de la Recherche Scientifique); Marc Fleurbaey (PSE - Paris School of Economics - ENPC - École des Ponts ParisTech - ENS Paris - École normale supérieure - Paris - PSL - Université Paris sciences et lettres - UP1 - Université Paris 1 Panthéon-Sorbonne - CNRS - Centre National de la Recherche Scientifique - EHESS - École des hautes études en sciences sociales - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement, CNRS - Centre National de la Recherche Scientifique); Aurélie Méjean (CIRED - Centre International de Recherche sur l'Environnement et le Développement - 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 - Université Paris-Saclay - CNRS - Centre National de la Recherche Scientifique); Stéphane Zuber (PSE - Paris School of Economics - ENPC - École des Ponts ParisTech - ENS Paris - École normale supérieure - Paris - PSL - Université Paris sciences et lettres - UP1 - Université Paris 1 Panthéon-Sorbonne - CNRS - Centre National de la Recherche Scientifique - EHESS - École des hautes études en sciences sociales - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement, CES - Centre d'économie de la Sorbonne - UP1 - Université Paris 1 Panthéon-Sorbonne - CNRS - Centre National de la Recherche Scientifique, CNRS - Centre National de la Recherche Scientifique) |
| Abstract: | We develop an integrated assessment model with endogenous population dynamics accouting for the impact of global climate change on mortality through five channels (heat, diarrhoeal disease, malaria, dengue, undernutrition). An age-dependent endogenous mortality rate, which depends linearly on global temperature increase, is introduced and calibrated. We consider three emission scenarios (business-as-usual, 3°C and 2°C scenarios) and find that the five risks induce deaths in the range from 160,000 per annum (in the near term) to almost 350,000 (at the end of the century) in the business-as-annual. We examine the number of life-years lost due to the five selected risks and find figures ranging from 5 to 10 millions annually. These numbers are too low to impact the aggregate dynamics and we do not find significant feedback effects of climate mortality to production, and thus emissions and temperature increase. But we do find interesting evolution patterns. The number of life-years lost is constant (business-as-usual) or decreases over time (3°C and 2°C). For the stabilisation scenarios, we find that the number of life-years lost is higher today than in 2100, due to improvements in generic mortality conditions, the bias of those improvements towards the young, and an ageing population. From that perspective, the present generation is found to bear the brunt of the considered climate change impacts. |
| Keywords: | Mortality risk,Integrated assessment model,Endogenous population,Impacts,Climate change |
| Date: | 2020–12–09 |
| URL: | http://d.repec.org/n?u=RePEc:hal:ciredw:halshs-03048602&r= |
| By: | Kreil, Agnes S.; Stauffacher, Michael |
| Abstract: | Demand for air travel must be reduced to align the aviation sector with international climate agreements. In line with this necessity, as well as motivated by the notion that academia has a responsibility to foster sustainable development, some academic institutions have begun reducing greenhouse gas emissions associated with their members’ air travel. Based on an online survey from early 2021, this article summarizes the practices of 35 academic institutions in Western Europe and the US that are committed to achieving such reductions. It aims to facilitate the exchange of knowledge between these institutions, thus creating a basis for informed development of future projects. A new classification of policy measures in this area is applied in this article, which reveals that policy activity focuses on low-coercive measures that encourage substituting air travel with virtual communication technology and ground-based transportation. The findings further indicate that the collection of data on air travel is an essential but challenging precursor to policy action. The discussion shows that these findings are consistent with country-specific analyses of academic institutions’ policy documents. The need for continued action to reduce emissions related to air travel, including ongoing investments in virtual communication, after the COVID-19 pandemic is emphasized. We also discuss potential acceptance of more coercive policy measures and suggest tackling the systemic effects of institutional internationalization strategies by including private travel needs engendered by international recruitment efforts in institutions’ calculations of travel emissions. |
| Date: | 2021–09–08 |
| URL: | http://d.repec.org/n?u=RePEc:osf:socarx:bzrfq&r= |
| By: | Andr\'es Ram\'irez-Hassan; Alejandro L\'opez-Vera |
| Abstract: | We provide a novel inferential framework to estimate the exact affine Stone index (EASI) model, and analyze welfare implications due to price changes caused by taxes. Our inferential framework is based on a non-parametric specification of the stochastic errors in the EASI incomplete demand system using Dirichlet processes. Our proposal enables to identify consumer clusters due to unobserved preference heterogeneity taking into account, censoring, simultaneous endogeneity and non-linearities. We perform an application based on a tax on electricity consumption in the Colombian economy. Our results suggest that there are four clusters due to unobserved preference heterogeneity; although 95% of our sample belongs to one cluster. This suggests that observable variables describe preferences in a good way under the EASI model in our application. We find that utilities seem to be inelastic normal goods with non-linear Engel curves. Joint predictive distributions indicate that electricity tax generates substitution effects between electricity and other non-utility goods. These distributions as well as Slutsky matrices suggest good model assessment. We find that there is a 95% probability that the equivalent variation as percentage of income of the representative household is between 0.60% to 1.49% given an approximately 1% electricity tariff increase. However, there are heterogeneous effects with higher socioeconomic strata facing more welfare losses on average. This highlights the potential remarkable welfare implications due taxation on inelastic services. |
| Date: | 2021–09 |
| URL: | http://d.repec.org/n?u=RePEc:arx:papers:2109.07646&r= |
| By: | Nguyen, Minh-Hoang |
| Abstract: | The resource curse, also known as the paradox of plenty or the poverty paradox, is the phenomenon of countries with an abundance of natural resources (such as fossil fuels and certain minerals) having less economic growth, less democracy, or worse development outcomes than countries with fewer natural resources.[1] There are many theories and much academic debate about the reasons for, and exceptions to, these adverse outcomes. Most experts believe the resource curse is not universal or inevitable, but affects certain types of countries or regions under certain conditions.[2][3] ***** For archiving purpose only ***** |
| Date: | 2021–09–07 |
| URL: | http://d.repec.org/n?u=RePEc:osf:osfxxx:36uyb&r= |
| By: | Schwanitz, Valeria Jana |
| Abstract: | Integrated Assessment Models of Global Climate Change are an established tool to explore possible pathways of climate change mitigation and adaptation. The models are a quantitative backbone for IPCC reports. But can the models be trusted? This manuscript discusses how the models can be scrutinized and where limits to model validation exist. |
| Date: | 2021–09–04 |
| URL: | http://d.repec.org/n?u=RePEc:osf:socarx:63yd8&r= |
| By: | Reinhard Ellwanger, Stephen Snudden (Wilfrid Laurier University) |
| Abstract: | Macroeconomic series are often aggregated from higher-frequency data. We show that this seemingly innocent feature has far-reaching consequences for the predictability of such series. First, the series are predictable by construction. Second, conventional tests of predictability are less informative about the data-generating process than frequently assumed. Third, a simple improvement to the conventional test leads to a sizeable correction, making it necessary to re-evaluate existing forecasting approaches. Fourth, forecasting models should be estimated with end-of-period observations even when the goal is to forecast the aggregated series. We highlight the relevance of these insights for forecasts of several macroeconomic variables. |
| Keywords: | Forecasting and Prediction Methods, Interest Rates, Exchange Rates, Asset Prices, Oil Prices, Commodity Prices |
| JEL: | C1 C53 E47 F37 G17 Q47 |
| Date: | 2021 |
| URL: | http://d.repec.org/n?u=RePEc:wlu:lcerpa:bm0127&r= |
| By: | Jin, Zhangfeng |
| Abstract: | This paper investigates whether and how China's adoption of Soviet-aided industrialization programs in the 1950s has affected its long-run innovation. Focusing on 156 major industrial projects aided by the Soviet Union, combined with an instrumental variable approach, I find that the adoption of these programs substantially discourages local firms to innovate in the long run. A causal mediation analysis of instrumental variable settings shows that the negative effect is entirely driven by local firms' lower intensity of incentive pay. This evidence suggests disadvantages of Soviet-aided industrialization programs for long-run innovation due to firms adopting incentive-incompatible management technology. |
| Keywords: | Soviet Aid,Technology Transfers,Incentive Pay,Innovation,China |
| JEL: | O10 O30 L20 M52 |
| Date: | 2021 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:glodps:932&r= |
| By: | Tom Krebs (Universitaet Mannheim); Janek Steitz (Agora Energiewende) |
| Abstract: | Die vorliegende Studie schaetzt den oeffentlichen Finanzbedarf fuer Klimainvestitionen, die zum Erreichen des 2030-Klimaziels der Bundesregierung im Zeitraum 2021-2030 verwirklicht werden muessen. Die Analyse orientiert sich – wo moeglich – am Technologiepfad des Szenarios KN2045 von Prognos et al (2021) und verwendet einen Bottom-up-Ansatz, der basierend auf existierenden Studienergebnissen die oeffentlichen Finanzbedarfe zur Modernisierung des Kapitalstocks fuer die einzelnen Sektoren und Investitionsarten ermittelt. Der Finanzbedarf fuer Bundesinvestitionen (z.B. Deutsche Bahn) betraegt 90 Milliarden Euro und der Finanzbedarf fuer kommunale Klimainvestitionen (z.B. ÖPNV) wird auf 170 Milliarden Euro geschaetzt. Der Finanzbedarf fuer oeffentliche Klimainvestitionen von Bund, Laendern und Kommunen belaeuft sich somit insgesamt auf 260 Milliarden Euro (26 Milliarden Euro jaehrlich). Darueber hinaus besteht ein oeffentlicher Finanzbedarf zur Foerderung privater Investitionen (z.B. energetische Sanierung) von rund 200 Milliarden Euro (20 Milliarden Euro jaehrlich), wenn als Foerdersaetze die aktuellen Werte (teils sinkend) laufender Foerderprogramme angesetzt werden. Der oeffentliche Finanzbedarf fuer alle drei Komponenten der Klimainvestitionen (Bundesinvestitionen, kommunale Investitionen, Foerderung privater Investitionen) belaeuft sich im Zeitraum 2021- 2030 auf insgesamt etwa 460 Milliarden Euro (46 Milliarden Euro jaehrlich) und ist damit groeßer als in existierenden Studien angenommen. Der Bedarf entspricht rund 6,3 Prozent der gesamtwirtschaftlichen Bruttoinvestitionen oder 1,3 Prozent des Bruttoinlandsproduktes im Jahr 2019 und erscheint der Groeße der Herausforderung angemessen. Aus Bundessicht belaeuft sich der Finanzbedarf fuer Klimainvestitionen im Zeitraum 2021-2030 auf insgesamt 290 Milliarden Euro unter der Praemisse, dass die Finanzierung der Bundesinvestitionen und die Foerderung privater Investitionen im Wesentlichen eine Bundesaufgabe, die Finanzierung kommunaler Investitionen hingegen hauptsaechlich eine Aufgabe der Laender und Kommunen ist. Die Bundesregierung hat mit dem Klimaschutzprogramm, dem Konjunkturprogramm und dem Klimaschutz-Sofortprogramm (letzteres ist bisher nur eine Ankuendigung) bereits Finanzmittel fuer Klimainvestitionen im Zeitraum 2021-2025 bereitgestellt, die sich – zusammen mit relevanten europaeischen Mitteln – auf rund 80 Milliarden Euro belaufen. |
| Keywords: | Klima, Klimaneutralitaet, oeffentliche Investitionen, oeffentlicher Finanzbedarf |
| JEL: | H23 H54 L52 L95 L98 Q41 Q42 Q54 |
| Date: | 2021–09 |
| URL: | http://d.repec.org/n?u=RePEc:agz:wpaper:2103&r= |
| By: | Matthew Agarwala (Bennett Institute for Public Policy, University of Cambridge); Matt Burke (Sheffield Business School, Sheffield Hallam University); Patrycja Klusak (University of East Anglia); Kamiar Mohaddes (Judge Business School, University of Cambridge); Ulrich Volz (SOAS); Dimitri Zenghelis (Unviersity of Cambridge) |
| Keywords: | Sovereign debt, climate change, net zero, transition risk, productivity |
| Date: | 2021–09 |
| URL: | http://d.repec.org/n?u=RePEc:anj:wpaper:008&r= |
| By: | Subodh Dubey; Ishant Sharma; Sabyasachee Mishra; Oded Cats; Prateek Bansal |
| Abstract: | Due to the unavailability of prototypes, the early adopters of novel products actively seek information from multiple sources (e.g., media and social networks) to minimize the potential risk. The existing behavior models not only fail to capture the information propagation within the individual's social network, but also they do not incorporate the impact of such word-of-mouth (WOM) dissemination on the consumer's risk preferences. Moreover, even cutting-edge forecasting models rely on crude/synthetic consumer behavior models. We propose a general framework to forecast the adoption of novel products by developing a new consumer behavior model and integrating it into a population-level agent-based model. Specifically, we extend the hybrid choice model to estimate consumer behavior, which incorporates social network effects and interplay between WOM and risk aversion. The calibrated consumer behavior model and synthetic population are passed through the agent-based model for forecasting the product market share. We apply the proposed framework to forecast the adoption of autonomous vehicles (AVs) in Nashville, USA. The consumer behavior model is calibrated with a stated preference survey data of 1,495 Nashville residents. The output of the agent-based model provides the effect of the purchase price, post-purchase satisfaction, and safety measures/regulations on the forecasted AV market share. With an annual AV price reduction of 5% at the initial purchase price of $40,000 and 90% of satisfied adopters, AVs are forecasted to attain around 85% market share in thirty years. These findings are crucial for policymakers to develop infrastructure plans and manufacturers to conduct an after-sales cost-benefit analysis. |
| Date: | 2021–09 |
| URL: | http://d.repec.org/n?u=RePEc:arx:papers:2109.06169&r= |
| By: | Diego Rodríguez Rodríguez |
| Abstract: | El objetivo de este trabajo es ofrecer un análisis detallado de la estructura y previsible evolución de los costes y precios de la electricidad, así como una discusión de los aspectos más relevantes a estos efectos del funcionamiento de los mercados asociados. También se discuten y analizan algunas propuestas avanzadas por el Gobierno y otros actores para responder a la intensa preocupación social por el aumento de los precios mayoristas y su repercusión sobre la factura de los consumidores. En relación con los costes regulados, el trabajo analiza entre otras cuestiones la evolución previsible de los costes de las redes, el régimen de retribución específica renovable y la evolución de la deuda eléctrica, que en su conjunto deberían presentar una evolución favorable a medio plazo. Se abordan también algunas cuestiones relativas al diseño marginalista del mercado eléctrico, la posibilidad de extraer parte de los windfall profits ligados al aumento del precio de los derechos de emisión de CO2 y la gestión del uso hidroeléctrico del agua, entre otras. Entre las propuestas que se formulan se incluyen la de una actualización más rápida de la retribución específica de las renovables para adaptarla a la evolución de los precios reales, así como una reducción drástica del impuesto especial sobre la electricidad. En un plazo un poco más dilatado debería abordarse la traslación completa de los sobrecostes extrapeninsulares a los Presupuestos Generales del Estado y, por supuesto, abordar de forma definitiva la reforma de la fiscalidad de los consumos energéticos con el fin de evitar las distorsiones causadas por la acumulación de instrumentos fiscales y parafiscales |
| Date: | 2021–09 |
| URL: | http://d.repec.org/n?u=RePEc:fda:fdaeee:eee2021-28&r= |
| By: | Zsolt Darvas; Guntram B. Wolff |
| Abstract: | This paper was prepared for the informal ECOFIN meeting in Ljubljana on 10/11 September 2021. The authors thank Klaas Lenaerts for his excellent research assistance and colleagues at Bruegel (Grégory Claeys, Maria Demertzis, André Sapir, Jean Pisani-Ferry and Simone Tagliapietra) for their feedback and suggestions. The additional public investment need required to meet the European Union’s climate goals is between 0.5 percent and 1 percent of GDP annually during this... |
| Date: | 2021–09 |
| URL: | http://d.repec.org/n?u=RePEc:bre:polcon:44540&r= |
| By: | David Martimort (PSE - Paris School of Economics - ENPC - École des Ponts ParisTech - ENS Paris - École normale supérieure - Paris - PSL - Université Paris sciences et lettres - UP1 - Université Paris 1 Panthéon-Sorbonne - CNRS - Centre National de la Recherche Scientifique - EHESS - École des hautes études en sciences sociales - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement, EHESS - École des hautes études en sciences sociales); Guillaume Pommey (Università degli Studi di Roma Tor Vergata [Roma]); Jerome Pouyet (THEMA - Théorie économique, modélisation et applications - CNRS - Centre National de la Recherche Scientifique - CY - CY Cergy Paris Université, ESSEC Business School - Essec Business School) |
| Abstract: | Modern airports provide commercial services to passengers in addition to aeronautical services to airlines. We analyze how the airport's market power impacts the pricing of services when the airport also invests in the quality of its infrastructure. There is a need to regulate the airport and the optimal regulation can be implemented with a price-cap and a subsidy scheme targeted to the investment. The choice between a single-till and a dual-till approach does change neither the optimal regulation nor its implementation. We also investigate the consequences on the optimal regulation of the nature of the airport-airline relationship and of the observability of investment. |
| Keywords: | airports,regulation,commercial services,investment |
| Date: | 2021–08–30 |
| URL: | http://d.repec.org/n?u=RePEc:hal:wpaper:hal-03328394&r= |