eco labelling consequences in general equilibrium a graphical assessment international environmental groups propose to implement new standards of forest management through programs that certify producers who meet criteria to enhance biodiversity or sustainability these producers could earn an eco label that identifies their products for consumers we consider whether a market economy might generate feedbacks that produce undesirable side effects as consumers respond to price changes while the general case is ambiguous the theoretical framework shows the potential that certification may lead to a reallocation of land toward less ecologically sustainable uses with the possibility of sufficient impact to diminish global biodiversity or sustainability of forest products

modelling the transport sector fuel demand for developng economies abstract this paper concentrates on the transport sector of six developing countries with similar common denominators namely turkey thailand pakistan morocco tunisia and malaysia by using standard econometric techniques we analyse the evolution of oil demand for road transport in these countries in relation to independent variables such as income population price of gasoline and diesel etc unlike the treatment in the present literature on the subject gasoline and diesel consumption are estimated separately due to the high share of diesel in the total transport sector consumption on the basis of the estimation over the period 1970 1990 on a country by country basis we forecast the demand for these six countries until 2010 the results of this study indicate that the transport sector will be the driving force for energy and oil demand as part of economic growth in these developing countries its share in the future energy market structure is expected to grow consequently the pricing policies of oil products in this sector have a crucial role for shaping rational economic and energy strategies within the framework of rising environmental concern

relative versus absolute income joy of winning and gender brain imaging evidence in this paper we study the role of absolute versus relative income using functional magnetic resonance imaging fmri while being scanned in two adjacent mri scanners pairs of subjects had to simultaneously perform a simple estimation task that entailed monetary rewards for correct answers we show that a variation in the comparison subject s payment affects blood oxygenation level dependent bold responses in the ventral striatum this brain region is engaged in the prediction and registration of primary rewards such as food delivery as well as more abstract forms of rewards like money in particular we show that activation in the ventral striatum increases in absolute income and for a given level of absolute income decreases in lower relative income using a male and a female sample allows us to study whether the perception of relative and absolute incomes is gender specific we find that the effects of absolute and relative incomes are strong and relatively similar for both genders finally we analyze the importance of joy of winning i e the impact of outperforming another subject our results suggest that the mere fact of outperforming the other subject positively affects reward related brain areas

estimation on oil demand and oil saving potential of china s road transport sector national social science foundation of china 12zd059 ministry of education 10gbj013 national natural science foundation of china 71203186 fundamental research funds for the central universities 2010221051 national science foundation for disting

the demand for gasoline abstract sufficient time must be allowed to elapse to assess fully the response of gasoline demand to price changes hitherto empirical work on the subject has generally not examined the period beyond 1975 moreover the extant time series studies concentrate almost exclusively on the usa this study extends both the observation period and the country coverage a vehicle stock adjustment model is estimated via its reduced form without explicit consideration of the vehicle stock itself however the estimation procedure incorporates the structure by way of constraints on the parameters cross section analysis offers additional evidence concerning the truly long run price elasticity the results suggest that there is no need to resort to elaborate models to explain adequately gasoline demand gasoline demand exhibits a long run price elasticity near unity with time lags exceeding six years while there is tentative evidence that the duration of these lags is not fixed

short and long run demand for energy in mexico a cointegration approach abstract the objective of this paper is to estimate the demands for the different types of energy consumption for the mexican economy over the period 1965 2001 these demands are modeled as a function of output and the own real price the johansen j econ dynamics control 12 1988 231 procedure and the likelihood ratio tests indicate the existence of long run and stable relationships between each type of energy demand and income with the exception of the industrial sector where the cointegrating vector also includes the relative prices the weak exogeneity tests indicate that energy consumption and income do not reject the null hypothesis of weak exogeneity when relative prices are weak exogenous the final econometric models show that relative prices in the short run are relevant in all cases with the exception of the residential sector these results indicate that in mexico the demand for energy is fundamentally driven by income and that the effect of the relative prices is basically concentrated on the short run with the exception of the industrial sector which also shows a long term price impact the strong dependence of energy consumption with respect to income and the price inelastic response indicates that it is necessary to introduce strong measures to decouple energy consumption from output in order to obtain sustainable economic growth in mexico

demand for gasoline in kuwait an empirical analysis using cointegration techniques abstract this paper estimates the demand for gasoline in kuwait for the period 1970 1989 using a cointegration and error correction model ecm it is found that gasoline demand is inelastic with respect to price in the short and long run and while it is elastic in the long run gasoline demand is inelastic with respect to income in the short run this suggests that gasoline demand response to income changes is higher in the long run than in the short run furthermore gasoline consumption adjusts towards its long run level with about 52 of the adjustment occurring in the first year

how not to sell nuclear weapons we consider situations where a sale affects the ensuing interaction between potential buyers these situations are modeled by assuming that an agent who does not acquire the object for sale incurs an identity dependent externality we construct a revenue maximizing auction for the seller we observe that 1 outside options and participation constraints are endogenous 2 the seller extracts surplus also from agents who do not obtain the auctioned object 3 the seller is better off by not selling at all while obtaining some payments if externalities are much larger than valuations

eco labeling and horizontal product differentiation this paper investigates the impact of eco labels on the abatement of emissions in a market with horizontal product differentiation a distinction is made between an end of pipe abatement method and a clean technology approach in the former case underinvestment is likely to occur even if the marginal willingness to pay for abatement of consumers is equal to the social marginal benefit of abatement the level of abatement depends on the number of firms and on the number of consumers for a large market with few firms overinvestment in abatement is also possible clean technology abatement achieves a first best level regardless of market size if all consumers have a marginal willingness to pay for abatement equal to its social benefit

spatial interactions in multiple use forestry and substitution and wealth effects for the single stand abstract forestry models often ignore spatial relationships between forest stands this paper isolates the effects of stand interactions in multiple use forestry through a straightforward extension of the single stand model effects of stand interactions decompose into wealth and substitution effects and may cause time varying patterns of resource use for a forest stand simulations illustrate that a stand s role even in steady state may alternate an emphasis on timber with an emphasis on nontimber optimal management plans differ substantially depending on whether the manager values nonmarket goods from neighboring stands the model offers insights for improving heuristic forest level optimization models in current usage

estimating energy conservation potential in china s energy intensive industries with rebound effect abstract the energy consumption of china s six most energy intensive sub industries is about half of the total national energy consumption and accounts for more than 70 of industrial energy consumption in recent years these six industries are capital and energy intensive and have a great impact on the energy consumption of china so they are directly related to the achievement of the energy conservation goal in the 13th five year plan this paper investigates the influential factors of energy consumption in the industries by employing the cointegration method and estimates the possible energy conservation potential considering energy rebound effect the results show that gdp and the scale of industries are the deterministic factors increasing energy consumption while r d intensity decreases it energy price has little impact on energy consumption the average energy rebound effect is calculated using the latent variable approach and the result is 90 75 considering energy rebound effect the energy conservation potential of china s energy intensive industries is 14 18 26 54 million tons of standard coal equivalent in 2020 and 44 64 80 72 million tons of standard coal equivalent in 2030

labour and environmental standards the lemons problem in international trade policy environmental and labour standards have become an important international trade issue this article examines and ranks alternative trade policy responses available to an importing country with concerns over such standards while a full import embargo may sometimes be preferable to allowing unrestricted access to unlabeled noconforming imports a partial embargo that allows imports which demonstrably conform to the standard is always a better policy and labeling solutions which separate conforming and non conforming imports are typically better still consequently full import embargoes based on non conformity with labour or environmental standards are poor policy choices and should generally remain prohibited by wto rules

peer effects and incentives in a multi agent setting individuals often compare own performance with that of their peers these comparisons influence agents incentives and lead to a noncooperative game even if the agents have to complete independent tasks i show that depending on the interplay of the peer effects agents efforts are either strategic complements or strategic substitutes but the informativeness principle always applies i solve for the optimal monetary incentives that complement the peer effects in case of limited liability the principal may prefer to implement inefficiently large efforts although agents earn positive rents that increase in the respective agent s effort level

price elasticity block tariffs and equity of natural gas demand in china investigation based on household level survey data abstract on the basis of a newly established database from the chinese residential energy consumption survey this paper estimates the price elasticity of natural gas demand for the households and investigates the factors that affect residential natural gas consumption in china to address the endogeneity problems the non residential natural gas price has been adopted as the instrumental variable for residential natural gas price results demonstrate that the natural gas demand of chinese households respond significantly to price change with an overall price elasticity coefficient of 0 898 in the meanwhile 1 increase in family members would cause 0 159 rise in natural gas demand and household in the south consumes 28 8 more natural gas than that in the north recognizing the heterogeneity of residential natural gas price elasticity for different households quantile regression technique has further been applied to analyze the distributional effect of natural gas consumption the simulation suggests that the gini coefficient drops from 0 49 to 0 40 after introducing an increasing block tariff scheme to replace the original flat tariff system confirming a price reform has potential to improve the energy equity situation by reshaping the energy consumption pattern

electricity demand analysis using cointegration and arima modelling a case study of turkey in the early 2000s the republic of turkey has initiated an ambitious reform program in her electricity market which requires privatization liberalization as well as a radical restructuring the most controversial reason behind or justification for recent reforms has been the rapid electricity demand growth that is to say the whole reform process has been a part of the endeavors to avoid the so called energy crisis using cointegration analysis and autoregressive integrated moving average arima modelling the present article focuses on this issue by both providing an electricity demand estimation and forecast and comparing the results with official projections the study concludes first that consumers respond to price and income changes is quite limited and therefore there is a need for economic regulation in turkish electricity market and second that the current official electricity demand projections highly overestimate the electricity demand which may endanger the development of both a coherent energy policy in general and a healthy electricity market in particular

willingness to pay for environmental practices implications for eco labeling consumer survey data collected in former west and east berlin after the unification of germany are used to address the issue of willingness to pay wtp for foods produced with techniques consistent with environmental stewardship results show differences in the wtp between residents of the two former german states attributed to area of residence residents of eastern city districts were generally less willing to pay a premium for foods produced with environmental friendly methods which suggests that marketing of such foods will be more successful in western districts unless educational efforts can be used to bridge the gap in the stated wtp

an empirical analysis of energy demand in namibia abstract using a unique database of end user local energy data and the recently developed autoregressive distributed lag ardl bounds testing approach to cointegration we estimate the long run elasticities of the namibian energy demand function at both aggregated level and by type of energy electricity petrol and diesel for the period 1980 2002 our main results show that energy consumption responds positively to changes in gdp and negatively to changes in energy price and air temperature the differences in price elasticities across fuels uncovered by this study have significant implications for energy taxation by namibian policy makers we do not find any significant cross price elasticities between different fuel types

price and income elasticities of disaggregated import demand results from uecms and an application this paper presents an empirical analysis of the demand for maize milk powder butter and rice imports in cyprus using annual time series data covering the period 1975 1994 none of these products is produced in cyprus and all the necessary quantities are imported to meet domestic demand the primary objective of the paper is to derive long run price and income elasticities of import demand that can be used to analyse the impact of various policies such as the adoption of the common agricultural policy cap when and if the republic of cyprus joins the european union eu in so doing the paper takes on board some recent developments in time series econometrics the cointegration test used the bounds test is a recent test and is based on the estimation of an unrestricted error correction model uecm parsimonious models were derived using hendry s general to specific approach the estimated elasticities were subsequently used to quantify some of the implications for cyprus had the cap been ope

can ecolabeling schemes preserve the environment a three stage game of production technology signal and price competition is developed to study the impact of eco labeling in a duopoly model of vertical product differentiation the production technology and the subsequent pollution level are non observable by consumers the only way to inform consumers about the environmental quality of the product is to stick an ecolabel on it however a polluting firm may also usurp the ecolabel by incurring a certain cost by assuming that consumers are altruistic and willing to pay for environmental quality we show that ecolabels can reduce the pollution level finally and importantly under restrictive conditions on labeling cost ecolabeling can constitute to some extent an environmentally effective and economically efficient policy however ecolabeling cannot alone internalize the whole negative externality until the optimum point

an estimation of u s gasoline demand a smooth time varying cointegration approach abstract in this paper the u s gasoline demand from 1976 to 2008 is estimated using a time varying cointegrating regression we find that price elasticity increased rapidly during the late 1970s and then decreased until 1987 after a relatively small scaled increase decrease cycle from 1987 to 2000 the price elasticity rose again after 2000 the time varying change of the elasticities may be explained by the proportion of gasoline consumption to income and fluctuation of the degree of necessity the result of the error correction model shows that a deviation from a long run equilibrium is corrected quickly and the welfare analysis illustrates there may be a gain by shifting the tax scheme from income tax to gasoline tax

on the taxation of polluting products in a differentiated industry this paper studies the provision of environmental quality in an imperfectly competitive market it uses a vertical differentiation model in which the free entry equilibrium results in an under provision of quality the following main results are obtained first a commodity tax may have a significant impact on the market structure in this setting it tends to increase the number of active firms second through its impact on market structure a commodity tax may be welfare improving even though quality creates a positive externality third a commodity tax may bring about an equilibrium that is arbitrarily close to a pareto efficient allocation

modelling and forecasting the demand for coal in china in contrast with developed countries coal is the major energy source of china in view of its importance this paper attempts to analyse and forecast the country s demand for coal as it moves towards the next century to do this we have applied three different methods to contrast their performances in fitting the chinese data engle granger s error correction model hendry s error correction model and hendry s general to specific approach it is found that the engle granger approach outperforms the other two in terms of having the smallest ex post forecast errors using the engle granger approach the model predicts that the chinese economy will experience a 5 shortage in the year 2000

interdependent preferences and the competitive wage structure this article shows by example that when workers care about relative income and are free to choose their coworkers the equilibrium distribution of wages within firms must be less dispersed than the corresponding distribution of marginal products an implicit market for within firm status is shown to produce welfare gains by sorting workers among firms in accordance with how much they are willing to pay for high rank the resulting equilibrium pareto dominates allocations in which each worker is paid his marginal product

conspicuous consumption and political regimes evidence from east and west germany abstract this paper investigates the influence of political regimes on the relative importance of conspicuous consumption we use the division of germany into the communist gdr and the democratic frg and its reunification in 1990 as a natural experiment relying on household data that are representative for germany our empirical results strongly indicate that conspicuous consumption is relatively more important in east germany significantly although we find some convergence a considerable gap in conspicuous consumption expenditures remains even 18 years after the german reunification

the future of uk final user energy demand anticipation of final user energy demand is central to suppliers and policy makers plans recent developments in dynamic econometrics such as the cointegration approach have enabled energy modellers to study long run relationships between demand and its determinants principally economic activity and real prices the purpose of this paper is to present the seecem output elasticity estimates and forecasts using the cointegration approach as well as the methodology and analysis underlying them as economic activity is expected to grow in all but the iron and steel sector the long run relationships indicate that most sectors will increase overall fuel use up to the year 2000 despite weak but potentially volatile world oil prices and given stable environmental policies average real oil prices should remain broadly constant except in the transport sector economic activity elasticities and increased competition in supply industries imply that natural gas and electricity are likely to take an increasing share of final user requirements at the expense of petroleum products and coal this gradual and continued shift towards cleaner fuels is likely to ameliorate adverse environmental consequences resulting from the overall growth in final user fuel demand

do women shy away from competition do men compete too much we examine whether men and women of the same ability differ in their selection into a competitive environment participants in a laboratory experiment solve a real task first under a noncompetitive piece rate and then a competitive tournament incentive scheme although there are no gender differences in performance men select the tournament twice as much as women when choosing their compensation scheme for the next performance while 73 percent of the men select the tournament only 35 percent of the women make this choice this gender gap in tournament entry is not explained by performance and factors such as risk and feedback aversion only playa negligible role instead the tournament entry gap is driven by men being more overconfident and by gender differences in preferences for performing in a competition the result is that women shy away from competition and men embrace it

tournaments without prizes evidence from personnel records we use a quasi experimental research design to study the effect of giving workers feedback on their relative performance the setting is a firm in which workers are paid piece rates and where for exogenous reasons management begins to reveal to workers their relative position in the distribution of pay and productivity we find that merely providing this information leads to a large and long lasting increase in productivity that is costless to the firm our findings are consistent with the interpretation that workers incipient concerns about their relative standing are activated by information about how they are performing relative to others this paper was accepted by olav sorenson organizations

gain loss framing in interdependent choice abstract framing influences choice however little is known about the underlying mechanisms behind framing effects we study gain loss framing in binary modified dictator games subjects choose the selfish option more often in the loss frame compared to the gain frame recording visual fixations with eye tracking we find that dictators focus more on their own outcomes when facing losses this suggests that losses to the own outcome are weighted more than losses to another player

demand for gasoline in the gcc an application of pooling and testing procedures the structure of gasoline demand in the gcc countries was analysed the aim was to estimate price and income elasticities both for the short and long run it was found that gasoline demand is inelastic with respect to both price and income for both the short and long run when gcc countries were divided into two groups based on their pricing policies it was found that the group with the free market approach and higher reliance on market forces gave larger price elasticities and smaller income elasticities in both the short run and long run

gasoline prices gasoline consumption and new vehicle fuel economy evidence for a large sample of countries abstract countries differ considerably in terms of the price drivers pay for gasoline this paper uses data for 132 countries for the period 1995 2008 to investigate the implications of these differences for the consumption of gasoline for road transport to address the potential for simultaneity bias we use both a country s oil reserves and the international crude oil price as instruments for a country s average gasoline pump price we obtain estimates of the long run price elasticity of gasoline demand of between 0 2 and 0 5 using newly available data for a sub sample of 43 countries we also find that higher gasoline prices induce consumers to substitute to vehicles that are more fuel efficient with an estimated elasticity of 0 2 despite the small size of our elasticity estimates there is considerable scope for low price countries to achieve gasoline savings and vehicle fuel economy improvements via reducing gasoline subsidies and or increasing gasoline taxes

spreading versus concentrating damages environmental policy in the presence of nonconvexities abstract this paper examines the role of nonconvexities in externality control from a policy perspective nonconvexities can arise from a number of sources and can significantly alter the optimal solution to an externality problem for instance it may be socially desirable to concentrate externality damages in one area and prohibit them in another rather than spread the effects of the externality across a number of sites if this solution is optimal a pollution tax will not achieve the social optimum but a system of marketable permits will

an empirical analysis of gasoline demand in denmark using cointegration techniques abstract danish time series data covering the period 1948 1991 are used in order to estimate short run and long run elasticities in gasoline demand a cointegration test for a stable long run relationship between the variables in the model proves to be positive showing a smaller value of the long run price elasticity than often quoted in empirical studies of gasoline demand finally an error correction model is estimated

cointegration and the demand for gasoline since the early 1970s there has been a worldwide upsurge in the price of energy and in particular of gasoline therefore demand functions for energy and its components like gasoline have received much attention however since confidence in the estimated demand functions is important for use in policy and forecasting following amarawickrama h a hunt l c 2008 electricity demand for sri lanka a time series analysis energy economics 33 724 739 this paper estimates the demand for gasoline is estimated with five alternative time series techniques with data from fiji estimates with these alternative techniques are very close and thus increase our confidence in them we found that gasoline demand is both price and income inelastic

empirical assessment of the determinants of road energy demand in greece this paper attempts to cast light on the determinants of road energy demand in greece for this purpose we used cointegration techniques and vector autoregression var analysis in order to capture short run and long run dynamics for gasoline and diesel demand respectively from the empirical analysis that covers the period 1978 2003 we find that in the long run gasoline energy demand appears to be price and income inelastic while diesel demand appears to be price inelastic and income elastic we also found that the absence of close substitutes in the road sector denotes the low level of energy switching in greece

efficient multiple use forestry may require land use specialization considered at the landscape scale economically efficient multiple use of forests may require land use specialization if managers attempt to satisfy legitimate multiple use demands from society by managing all lands for all outputs both commodity and amenity values of the forest may be inappropriately supplied and management inputs may be inefficiently deployed these results run counter to some of the prescriptions called new forestry

the production of eco labels eco labeling is a market based technique for conveying information about consumers demands for environmental protection most criticisms of eco labeling have concentrated on demand side issues the potential for firms or countries to use eco labels to manipulate market power and the difficulty of creating credible labels in this paper we argue that fundamental problems also arise on the production side specifically we argue that both increasing returns to scale and complexities in production imply that it will be possible to market only a small percentage of environmental attributes through the use of eco labels we present evidence for our hypotheses from a detailed survey of 100 randomly selected consumer products

the demand for gasoline in south africa an empirical analysis using co integration techniques abstract using the recently developed autoregressive distributed lag ardl bound testing approach to co integration suggested by pesaran et al pesaran m h shin y smith r j bounds testing approaches to the analysis of level relationships journal of applied econometrics 2001 16 3 289 326 we empirically analyzed the long run relationship among the variables in the aggregate gasoline demand function over the period 1978 2005 our study confirms the existence of a co integrating relationship the estimated price and income elasticities of 0 47 and 0 36 imply that gasoline demand in south africa is price and income inelastic

are there increasing returns to pollution abatement empirical analytics of the environmental kuznets curve in pesticides abstract according to the environmental kuznets curve ekc hypothesis economic growth and the reduction of environmental degradation are compatible goals an inverted u shaped relationship between economic performance and environmental pollution suggests that empirically an economy is associated with smaller levels of pollution after some threshold income point one potential explanation for the empirical evidence of an ekc is increasing returns to pollution abatement where the abatement efficiency rises with an increase in the scale of abatement doubling the clean up efforts more than doubles the abatement of pollution as this efficiency gain makes abatement less expensive pollution might fall as more abatement is undertaken this study tests the hypothesis that there are increasing returns to abating pollution empirical evidence on environmental risks in the us agricultural sector since 1970 support the existence of increasing returns in addition i estimate the productivity of pollution abatement using refined empirical productivity measurement methods and explicitly control the level of technology the results show the importance of including an environmental productivity variable in the ekc framework

short and long run elasticities of gasoline demand in india an empirical analysis using cointegration techniques abstract in developing countries like india consumption of petroleum products has implications on its balance of payments economic growth and fiscal deficit gasoline is one of the prime petroleum products in this paper the relationship between gasoline demand national income and price of gasoline is empirically examined using cointegration and error correction techniques the time frame of the analysis is from 1972 1973 to 1993 1994 it has been found that gasoline demand is likely to increase significantly for a given increase in the gross domestic product the increase will be larger in the long run 2 682 than in the short run 1 178 gasoline demand is relatively inelastic to price changes both in the long and short terms the error correction model has shown that gasoline demand adjusts to their respective long run equilibrium at a relatively slow rate with about 28 of adjustment taking place in the first year

disappointment aversion and social comparisons in a real effort competition we present an experiment to investigate the source of disappointment aversion in a sequential real effort competition specifically we study the contribution of social comparison effects to the disappointment aversion previously identified in a two person real effort competition gill d and v prowse a structural analysis of disappointment aversion in a real effort competition american economic review 102 2012 469 503 to do this we compare social and asocial versions of the gill and prowse experiment where the latter treatment removes the scope for social comparisons if disappointment aversion simply reflects an asymmetric evaluation of losses and gains we would expect it to survive in our asocial treatment alternatively if losing to or winning against another person affects the evaluation of losses gains as we show would be theoretically the case under asymmetric inequality aversion we would expect treatment differences we find behavior in social and asocial treatments to be similar suggesting that social comparisons have little impact in this setting unlike in gill and prowse we do not find evidence of disappointment aversion jel c91 d12 d81 d84

energy use for economic growth a trivariate analysis from tunisian agriculture sector abstract following the importance of energy in the agrarian economies the investigation of the causal relationship between energy consumption in agriculture sector and economic growth has a fundamental role in implementing suitable policies this paper examines the causal relationship between energy consumption and agricultural value added controlling for trade openness in tunisia from 1980 to 2007 the relationship is investigated at aggregated as well as disaggregated components of energy consumption including oil and electricity using granger s technique it is shown that various results are obtained regarding the direction of causality between competing variables nevertheless the most common finding suggest that trade openness and both aggregated and disaggregated energy consumption granger causes agricultural value added therefore the energy led growth and trade led growth hypotheses are supported in the tunisian agriculture sector an important policy implication resulting from this study is that energy can be considered as a limiting factor to agriculture value added and therefore shocks to energy supply would have a negative impact onto agriculture performance furthermore trade liberalization seems to be a stimulus factor to the tunisian agriculture development

clean evidence on peer effects we study subjects who were asked to fill letters into envelopes with a remuneration independent of output in the pair treatment two subjects worked at the same time in the same room and peer effects were possible in the single treatment subjects worked alone and peer effects were ruled out we find evidence of peer effects in the pair treatment because the standard deviations of output are smaller within pairs than between pairs moreover average output is higher in the pair treatment thus peer effects raise productivity finally low productivity workers are the most sensitive to the behavior of peers

short run long run and cross elasticities of gasoline demand in brazil gasoline is one of the most important of the oil derived products its importance is closely related to its participation in the value of imports of many countries and in a number of cases it is one of the determinants of their balance of payment deficit fiscal deficit and economic growth as opposed to most nations brazil has had a gasoline substitute since 1985 alcohol many studies have tried to estimate the income and price elasticities of the demand for gasoline in several countries this paper extends previous studies by estimating the cross price elasticity between gasoline and alcohol our findings indicate that alcohol is an imperfect substitute for gasoline even in the long run as a consequence the need for a new fuel substitution must be initiated long before petroleum reserves vanish

the causality between energy consumption and economic growth in turkey abstract this paper applies the causality test to examine the causal relationship between primary energy consumption ec and real gross national product gnp for turkey during 1970 2006 we employ unit root tests the augmented dickey fuller adf and the philips perron pp johansen cointegration test and pair wise granger causality test to examine relation between ec and gnp our empirical results indicate that the two series are found to be non stationary however first differences of these series lead to stationarity further the results indicate that ec and gnp are cointegrated and there is bidirectional causality running from ec to gnp and vice versa this means that an increase in ec directly affects economic growth and that economic growth also stimulates further ec this bidirectional causality relationship between ec and gnp determined for turkey at 1970 2006 period is in accordance with the ones in literature reported for similar countries consequently we conclude that energy is a limiting factor to economic growth in turkey and hence shocks to energy supply will have a negative impact on economic growth

adaptation anticipation and social interaction in happiness an integrated error correction approach abstract adaptation anticipation and social reference effects on happiness are strongly interrelated phenomena however in the existing empirical literature these phenomena are mainly studied in isolation from each other therefore using soep panel data for the years 1984 2007 this study offers an integrated investigation of the implications of these three phenomena for the dynamics of individual life satisfaction i focus on the short and long run effects of income and social reference income but i control for similar dynamics with respect to a large set of control variables gmm estimates for instrumented income variables in an error correction model indicate an insignificant future income effect a significant and positive current income effect and an insignificant long run income effect on life satisfaction with significant hedonic adaptation social reference income has a significant negative and strong impact in the long run but not in the short run consequently increasing own income and reference income by the same percentage tends to have an insignificant effect in the long term but a significant and positive effect in the short term adaptation to an income shock and reinforcement of a reference income shock take place for more than 90 within three years on the basis of these results a more comprehensive explanation of the easterlin paradox than those given in the literature is presented

electricity consumption and economic growth evidence from turkey abstract this study investigates the causal relationship between electricity consumption and real gdp in turkey during the period of 1950 2000 both of the series were found to be a stationary process around a structural break by the zivot and andrews test thus two different methodologies have been employed to test the granger non causality the dolado lutkepohl test using the vars in levels and the standard granger causality test using the detrended data both tests have yielded a strong evidence for unidirectional causality running from the electricity consumption to the income this implies that the supply of electricity is vitally important to meet the growing electricity consumption hence to sustain the economic growth in turkey

measuring future grandparents preferences for equality and relative standing individuals aversion to risk and inequality and their concern for relative standing are measured through experimental choices between hypothetical societies it is found that on average individuals are both fairly inequality averse and have a strong concern for relative income the results are used to illustrate welfare consequences based on a utilitarian swf and a modified crra utility function it is shown that the social marginal utility of income may then become negative even at income levels that are far from extreme

progressive taxation in a tournament economy abstract not enough is known about the responsiveness of individuals in particular those who work under different incentives to changes in marginal tax rates we ask whether changes in tax rates are less distortionary for workers engaged in a contest to examine this potential rationale for a more progressive tax code we first model the effort decisions of workers faced with progressive taxation under tournaments and piece rates because of the difficulty identifying any distortion that may be induced by the tax code in naturally occurring data we then report on the results of a real effort experiment based on this model consistent with a behavioral approach to public finance we find that competitive tournament workers are less sensitive and hint in our discussion at the possible welfare benefits of progressive taxation in tournament economies

road transport energy demand in australia a cointegration approach abstract a cointegration framework is used to examine the short run and long run characteristics of energy demand in the australian road transport sector a lagged endogenous equation based on a partial adjustment process is proposed and estimated results indicate that energy demand output and real energy prices are integrated of order 1 and cointegrated the long run output and price elasticities of energy demand are estimated to be 0 52 and 0 12 respectively causality tests ervealed a bidirectional causality path between output and energy demand and a unidirectional path from energy consumption to prices no other causality paths between output prices and energy demand are detected the short run output elasticity of energy demand is estimated to be 0 25 based on an error correction model the short run price elasticity is found to be insignificant the inertia parameter is 0 48 corresponding to 95 of the demand adjustment occurring after five periods the results are compared with previous findings and the variations are partially attributed to the structural changes in the road transport sector in the 1980s some of which are discussed

exploring the relationship between agricultural electricity consumption and output new evidence from turkish regional data abstract this study investigates the relationship between agricultural electricity consumption and agricultural output for a panel of 12 regions of turkey for the period 1995 2013 in order to reveal the possible heterogeneity between regions empirical analyses are conducted for the whole panel data and two sub groups within the panel data namely coastal regions and non coastal regions the results from several panel unit root tests indicate that electricity consumption and output are stationary process at their levels for overall panel and the two specific groups by using the ols with regional fixed effects this study finds that coefficient estimate of electricity consumption on output is statistically significant and positive for overall regions coastal regions and non coastal regions in addition the results from the dumitrescu hurlin granger causality test show that there is unidirectional causality running from agricultural output to electricity consumption for non coastal regions and there is bidirectional causality between agricultural electricity consumption and output for overall panel and coastal regions findings and policy implications are further discussed

green business and blue angels this paper presents a model of a monopolist svoluntary overcompliance with legal environmentalstandards under asymmetric information about thefirm s environmental impacts the key assumptions are the existence of quality premia for environmentalsoundness a positive but imperfect degree ofmonitoring and adaptive consumer expectations conditions necessary for overcompliance to arise in aprofit maximizing equilibrium are derived the effectsof a third party eco labeling system are analyzed itis shown that the existence of an independent labelingauthority increases the likelihood of overcomplianceto be profit maximizing moreover firms might have anincentive to lobby for the introduction of such asystem the effect of consumers risk preferences andan instrument for preventing greenwash companieslying about their environmental performance is alsodiscussed

reduction potential of co2 emissions in china s transport industry newhuadu business school research fund china sustainable energy program g 1311 19436 ministry of education 10 jbg 013 national social science foundation of china 71203186

promotions and incentives the case of multistage elimination tournaments promotions play an important role for the provision of incentives in firms we analyze incentives in multistage elimination tournaments with controlled laboratory experiments in our two main treatments we compare a two stage tournament to a one stage tournament subjects in the two stage treatment provide excess effort in the first stage both with respect to nash predictions and compared to the strategically equivalent one stage tournament additional control treatments confirm that excess effort in early stages is a robust finding and suggest that above equilibrium effort might be driven by limited degrees of forward looking behavior and subjects deriving nonmonetary value from competing

energy consumption and gdp in turkey is there a co integration relationship energy consumption and gdp are expected to grow by 5 9 and 7 annually until 2025 in turkey this paper tries to unfold the linkage between energy consumption and gdp by undertaking a co integration analysis for turkey with annual data over the period 1970 2003 the analysis shows that energy consumption and gdp are co integrated this means that there is a possibly bi directional causality relationship between the two we establish that there is a unidirectional causality running from gdp to energy consumption indicating that energy saving would not harm economic growth in turkey in addition we find that energy consumption keeps on growing as long as the economy grows in turkey

genuine saving and positional externalities much evidence suggests that people are concerned with their relative consumption yet positional externalities have so far been ignored in savings based indicators of sustainable development this

performance in competitive environments gender differences even though the provision of equal opportunities for men and women has been a priority in many countries large gender differences prevail in competitive high ranking positions suggested explanations include discrimination and differences in preferences and human capital in this paper we present experimental evidence in support of an additional factor women may be less effective than men in competitive environments even if they are able to perform similarly in non competitive environments in a laboratory experiment we observe as we increase the competitiveness of the environment a significant increase in performance for men but not for women this results in a significant gender gap in performance in tournaments while there is no gap when participants are paid according to piece rate this effect is stronger when women have to compete against men than in single sex competitive environments this suggests that women may be able to perform in competitive environments per se

emotions in tournaments abstract we introduce a concept of emotions that emerge when agents compare their own performance with the performances of other agents assuming heterogeneity among the agents the interplay of emotions and incentives is analyzed within the framework of rank order tournaments which are frequently used in practice tournaments seem to be an appropriate starting point for this concept because a tournament induces incentives by making agents compare themselves with their opponents we identify certain conditions under which the principal benefits from emotional agents furthermore the concept of emotions is used to explain the puzzling findings on the oversupply of effort in experimental tournaments

a co integration analysis of the price and income elasticities of energy demand in turkish agriculture abstract agriculture has an important role in every country s development particularly the contribution of agriculture to development and competitiveness is increasing with agricultural productivity growth productivity in turn is closely associated with direct and indirect use of energy as an input therefore the importance of energy in agriculture cannot be denied as one of the basic inputs to the economic growth process following the importance of energy in turkish agriculture this study aims to estimate the long and short run relationship of energy consumption agricultural gdp and energy prices via co integration and error correction ecm analysis annual data from 1970 to 2008 for diesel and electricity consumptions are utilized to estimate long run and short run elasticities according to ecm analysis for the diesel demand model the long run income and price elasticities were calculated as 1 47 and 0 38 respectively for the electricity demand model income and price elasticities were calculated at 0 19 and 0 72 respectively in the long run briefly in turkey support for energy use in agriculture should be continued in order to ensure sustainability in agriculture increase competitiveness in international markets and balance farmers income