efficiency and information aggregation in auctions the tension between allocative efficiency and information aggregation is explored in the context of an auction k identical objects of unknown quality are auctioned off to n bidders whose tastes affect their valuation of an object of given quality bidders receive a signal about the quality of the objects the k highest bidders get an object and pay a price equal to the k first highest bid we find conditions under which in the limit objects are allocated efficiently to those with the highest tastes and price converges in probability to the value of an object to the marginal taste type

how renewable energy consumption lower global co2 emissions evidence from countries with different income levels significant difference in the emission renewables nexus across countries with different income levels is frequently ignored in previous studies to empirically investigate whether the effect of renewable energy consumption on carbon dioxide co2 emissions differs across countries with different income levels the emission growth renewables nexus for a global panel of 120 countries and four income based subpanels over the period 1995 2015 is examined fully considering the potential cross sectional dependence and slope heterogeneity a series of econometric techniques allowing for cross sectional dependence and slope heterogeneity is utilised cross sectional dependence and slope heterogeneity are confirmed for the global panel as well as for all four subpanels only for the global panel high income subpanel and upper middle income subpanel is the environmental kuznets curve ekc hypothesis valid renewable energy consumption has a negative effect on co2 emissions but its effect is not significant the mitigation effect may be obscured by higher economic growth and increasing non renewable energy consumption the global panel and four subpanels provide mixed directionality of causality among the variables suggesting that for various income based subpanels significant differences exist in the effect of renewable energy consumption on co2 emissions especially highlighting in various direct and indirect influencing paths between renewable energy consumption and co2 emissions

information aggregation in common value auctions a key question in information economics and finance is whether prices aggregate information in a competitive environment that is when agents are endowed with private information does competition lead in the limit to prices which would occur if all information were public this paper examines the asymptotic properties of prices in common value auctions when the number of bidders becomes large the main idea in this paper is to separate the issue of information aggregation from the issue of revenue efficiency we also distinguish between the amount of information prices contain and the degree to which prices approximate the asset s value using this approach we get a simple characterization of the limiting distribution of prices we are not only able to answer whether prices converge to the asset s value but also get an explicit form for the limiting distribution prices converge to the expected value of the asset conditional on the information possessed by what we call the pivotal bidder this provides insights on how the auction format and the information structure influence the limiting behavior of prices it shows that the limiting distribution of prices can be derived from the statistical properties of certain order statistics this lets us abstract from the specific equilibrium bidding strategies for example we show that while the first and second price auction have different equilibrium strategies they share a similar limiting distribution of prices these auctions yield different limiting distributions from auctions such as the english auction or kn auction our

how urbanization affects co2 emissions in malaysia the application of stirpat model we investigate the impact of urbanization on co2 emissions by applying the stochastic impacts by regression on population affluence and technology stirpat in the case of malaysia over the period of 1970q1 2011q4 empirically after testing the integrating properties of the variables using the unit root test we applied the bayer hanck combined cointegration approach to examine the cointegration relationship between the variables further we tested the robustness of the long run relationship in the presence of structural breaks using ardl bounds testing approach the causal relationship between the variables is investigated by applying the vecm granger causality test our results validate the existence of cointegration in the presence of structural breaks the empirical results exposed that economic growth is a major contributor to co2 emissions besides energy consumption raises emissions intensity and capital stock boosts energy consumption trade openness leads affluence and hence increases co2 emissions more importantly we find that the relationship between urbanization and co2 emissions is u shaped i e urbanization initially reduces co2 emissions but after a threshold level it increases co2 emissions the causality analysis suggests that the urbanization granger causes co2 emissions

dynamics and determinants of energy intensity in the service sector a cross country analysis 1980 2005 we present a detailed analysis of energy intensity developments across 23 service sectors in 18 oecd countries over the period 1980 2005 we find that the shift towards a service economy has contributed to lower overall energy intensity levels in the oecd but this contribution would have been considerably larger if the service sector had realized the same degree of energy efficiency improvements as the manufacturing sector in most oecd countries energy intensity levels in services tend to decrease relatively slow especially after 1995 if we control this trend for the impact of structural changes within the services sector by means of a decomposition analysis we find that in about one third of the oecd countries energy intensity levels in services have increased over time the impact of structural changes on aggregate energy intensity dynamics in services has increased considerably after 1995 highlighting a relatively poor energy efficiency performance within a wide range of service sectors we show that the introduction of information and communication technology ict plays a potentially important role here using panel data regression analysis we find a limited role for energy prices in explaining variation in energy productivity while climate conditions clearly impact energy productivity

decentralized trading strategic behaviour and the walrasian outcome for a market with a finite number of agents pairwise matching and bargaining it is shown that even when the market is frictionless the equilibrium is not necessarily competitive it depends on the amount of information agents use if their behaviour is conditioned only on the sets of agents present and the time the competitive solution is the unique subgame perfect equilibrium if agents have full information and condition their behaviour on some of it there are also noncompetitive equilibria in which behaviour depends on specific information such as the identity of the trading partner and past events

the role of collateral in credit markets with imperfect information abstract the paper analyzes the structure of credit market equilibrium under imperfect information collateralization and credit rationing are compared as alternative means to cope with problems of adverse selection and moral hazard it is shown that lenders may use collateral as a self selection and incentive mechanism rationing occurs only if the borrowers collaterizable wealth is too small to allow perfect sorting or to create sufficiently strong incentives whenever there is rationing in an equilibrium some borrowers are charged the maximum amount of collateral

is there a turning point in the relationship between income and energy use and or carbon emissions abstract we analyze the effect of fuel mix model specification and the level of development on the presence and size of a turning point in the relationship between income and energy use and or carbon emissions the results indicate that fuel mix the specification for income and the level of economic development affect conclusions about whether there is a turning point in the relationship between economic activity and energy use and carbon emissions including fuel shares generally reduces the size of a turning point that is estimated from a panel that includes observations from both oecd and non oecd nations but this result varies according to the level of development for oecd nations there is limited support for a turning point in the relationship between income and per capita energy use and or carbon emissions for non oecd nations there is no turning point in the relationship between income and either energy use or carbon emissions instead the relationship is positive together the results indicate that forecasters and policy makers should not depend on a turning point in the relationship between income and energy use or carbon emissions to reduce either

assessing the green economy in china an improved framework abstract theses on china s low carbon economy focus on the driving forces of carbon emissions energy carbon efficiency and the carbon economy nexus meanwhile comprehensive frameworks that assess china s green economy and also analyze its driving forces are lacking this paper constructs a green productivity index based on the global malmquist luenberger productivity index to evaluate the development of the low carbon economy in china a panel vector auto regression model is adopted to further analyze the endogenous interactions and dynamic relationships among aspects of the green economy and its influencing factors empirical results show that china has seen a balanced development of green economic growth in 2000 2016 achieved in a series of clear stages to maintain the sustainable growth of the low carbon economy in the future china must rely more on technological progress this research also makes some important discoveries that have not been found in previous studies the impact of china s industrial structure and energy consumption structure on the green economy are short term having a duration of impact of approximately four years finally we provide an assessment of provincial green economy development and describe the corresponding policy implications

technological change and the rebound effect in the stirpat model a critical view abstract technological change is key to understand the explanatory variables behind environmental impacts in the context of the stirpat stochastic impacts by regression on population affluence and technology model an adequate representation and analysis of the significance of the technology variable t in the stirpat model becomes crucial even more if one aims to better understand underlying processes such as the environmental rebound effect e re a critical review of the application of the stirpat model has been conducted to understand the diversity and value of the variables scopes assumptions statistical approaches and the environmental impacts commonly studied the findings highlight that despite the multiple applications and the high potential of the stirpat model inconclusive results and or knowledge gaps remain notably 1 a geographical imbalance in the scope of studies 2 the almost exclusive focus on carbon emissions 3 a lack of agreement on the choice of data additional explanatory variables and regression models 4 a lack of consensus on how to approximate t and 5 a lack of explicit analyses of the e re our findings are useful to both policymakers and academics for method design further research and policy evaluation

the contribution of energy use and financial development by source in climate change mitigation process a global empirical perspective abstract the danger of climate change has over the years become a reality in the public domain while efforts to mitigate climate change involve energy mix energy efficiency and cleaner technology financial development has also been considered as an important factor indicator of financial development may draw fdi and advanced degree of research and development which can accelerate economic growth and hence affect dynamism of environmental performance this study examines the impacts of energy use and financial development indicators by source in the environment growth energy model for 90 countries categorized on the basis of income possession over the period 1980 2014 the study applies the panel analysis that accounts for cross sectional dependence and heterogeneity of series used in the estimation results from panel dynamic ordinary least squares dols show that in all the categories of countries fossil fuel energy use and gdp per capita are found to be the major drivers of co2 emissions though fossil fuel energy use possesses the bigger elasticities population however displays a sign contrary to expectation regarding economic theory in high income countries renewable energy and financial development on the other hand are capable of reducing co2 emissions however the magnitude of the long run elasticity of co2 emissions with respect to renewable energy use and financial development are much greater in the models with m2 gdp than the model with m2 reserve especially in the high income countries policies should be geared towards stimulating investments in renewable energy technology there is need to develop robust financial systems to lend financial credence to research institutes to work towards producing energy that have less carbon or are carbon free

what stirpat tells about effects of population and affluence on the environment abstract in the literature on the application of stirpat to environmental impacts of population and affluence the parameter estimates differ from study to study one example is the effect of population size on co 2 emissions which is concluded to be very close to 1 in some studies e g york et al 2003 while far from 1 in others e g shi 2003 what can explain these differences in results in the present paper i offer an alternative model equivalent to stirpat which explicitly specifies the different role of technology t in stirpat from ipat by the alternative model i conclude that different functional forms of stirpat can be one explanation for the difference among estimates in the studies on environmental impacts of population and affluence the alternative model can also help to determine which factors to be added in stirpat

ownership consolidation and product characteristics a study of the us daily newspaper market this paper develops a structural model of newspaper markets to analyze the effects of ownership consolidation taking into account not only firms price adjustments but also the adjustments in newspaper characteristics a new dataset on newspaper prices and characteristics is used to estimate the model the paper then simulates the effect of a merger in the minneapolis newspaper market and studies how welfare effects of mergers vary with market characteristics it finds that ignoring adjustments of product characteristics causes substantial differences in estimated effects of mergers jel g32 l13 l82 m37 do mergers affect product characteristics standard merger analyses typically study price effects only and ignore changes in product characteristics this paper endogenizes both it is likely that firms would adjust the features of their products after a merger ignoring this aspect of firm decisions in a merger analysis can lead to a bias in estimated welfare effects specifically i study how ownership consolidation affects product characteristics and welfare in the us daily newspaper market the newspaper market provides an ideal environment for analyzing the effect of mergers on product features for both econometric and economic reasons first of all individual newspapers often circulate in local markets there is substantial variation in demographics and ownership structure across these markets this variation is crucial for this study secondly the characteristics of newspapers are obviously important for welfare for example after an ownership consolidation do newspaper publishers improve or diminish the content quality do they enlarge or shrink the local news ratio do they increase or decrease content variety to address these questions i set up a structural model of the us daily newspaper

auctions actions and the failure of information aggregation we study a market where k identical and indivisible objects are allocated using a uniform price auction where n k bidders each demand one object before the auction each bidder receives an informative but imperfect signal about the state of the world the good that is auctioned is a common value object for the bidders and a bidder s valuation for the object is determined jointly by the state of the world and an action that he chooses after winning the object but before he observes the state we show that there are equilibria where the auction price is completely uninformative about the state of the world and aggregates no information even in an arbitrarily large auction in the equilibrium that we construct because prices do not aggregate information agents have strict incentives to acquire costly information before they participate in the market also market statistics other than price such as the amount of rationing and bid distributions contain extra information about the state our findings sharply contrast with past work which shows that large auctions aggregate information when there is no ex post action

economic development and co2 emissions a nonparametric panel approach we examine the empirical relation between co2 emissions per capita and gdp per capita during the period 1960 1996 using a panel of 100 countries relying on the nonparametric poolability test of baltagi et al baltagi b h hidalgo j li q 1996 a nonparametric test for poolability using panel data journal of econometrics 75 345 367 we find evidence of structural stability of the relationship we then specify a nonparametric panel data model with country specific effects estimation results show that this relationship is upward sloping nonparametric specification tests do not reject monotonicity but do reject the polynomial functional form which leads to the environmental kuznets curve in several studies

environment and development is there a kuznets curve for co2 emissions this article re examines the relationship between growth in per capita income and environmental degradation using econometric techniques appropriate for smooth transition regressions with panel data this is a more intuitive and flexible methodology than the polynomial models widely used in the literature and it can reconcile some of the mixed results found previously the methodology is applied to carbon dioxide emissions from nonoecd countries over the period 1971 to 1997 although there is no evidence of environmental kuznets curve we find two regimes namely a low income regime where emissions accelerate with economic growth and a middle to high income regime associated with a deceleration in environmental degradation

an econometric study of co2 emissions energy consumption income and foreign trade in turkey abstract this study attempts to empirically examine the dynamic causal relationships between carbon emissions energy consumption income and foreign trade in the case of turkey using the time series data for the period 1960 2005 this research tests the interrelationship between the variables using the bounds testing to cointegration procedure the bounds test results indicate that there exist two forms of long run relationships between the variables in the case of first form of long run relationship carbon emissions are determined by energy consumption income and foreign trade in the case of second long run relationship income is determined by carbon emissions energy consumption and foreign trade an augmented form of granger causality analysis is conducted amongst the variables the long run relationship of co2 emissions energy consumption income and foreign trade equation is also checked for the parameter stability the empirical results suggest that income is the most significant variable in explaining the carbon emissions in turkey which is followed by energy consumption and foreign trade moreover there exists a stable carbon emissions function the results also provide important policy recommendations

assessing the energy saving effect of urbanization in china based on stochastic impacts by regression on population affluence and technology stirpat model abstract the rapid urbanization process has posed great challenges to china s energy system this paper uses the stochastic impacts by regression on population affluence and technology stirpat model to evaluate the energy saving effect of china s urbanization based on provincial panel data the results suggest that 1 the urbanization induces the energy consumption with a notable negative energy saving effect 2 the heterogeneity of urbanization impact on energy consumption is analyzed in different stages of urbanization showing that the energy saving effect of urbanization follows a u shaped path 3 considering the heterogeneity of the energy saving effect of urbanization at different income levels the energy saving effect increases with income level the outcome may draw a causation picture on the relationship between energy consumption and urbanization in addition an in depth causation analysis on energy inefficiency of china s urbanization is carried out and policy recommendations are put forward accordingly

is there an ekc between economic growth and smog pollution in china new evidence from semiparametric spatial autoregressive models abstract although china has achieved rapid economic growth it suffers from severe smog conditions determining how to promote cleaner production and environmental sustainability is of great significance in clarifying the relationship between income and pollutants within an extension of the stochastic impacts by regression on population affluence and technology stirpat framework the effects of economic growth on pm2 5 contamination are explicitly investigated based on a recent large sample of 249 chinese cities in 2015 from a nonlinear spatial perspective this study marks the first attempt at comprehensively exploring the nexus between the selected variables and pm2 5 emissions using semiparametric spatial autoregressive models which overcome the misspecification issues of conventional parametric models to avoid the limitations of a single method this study also applies different estimation techniques such as the spatial lag model slm the spatial autoregressive model with spatial autoregressive disturbances sarar two stage least squares regression 2slsr quantile regression qr and nonparametric regression npr the results reveal that pm2 5 pollutants show strong positive characteristics of spatial spillover the results also suggest that there is a significant inverted u shaped relationship between economic growth and pm2 5 concentrations which confirms the environmental kuznets curve ekc hypothesis additionally the empirical findings highlight the influence that the population density industrialization urbanization and traffic development factors have on increasing pm2 5 emissions in contrast technological innovation and green coverage do not play important roles in reducing pm2 5 concentrations the distribution of pm2 5 concentrations displays apparent geographical features to provide an in depth understanding of these impacts marginal analysis is performed to distinguish the local and neighbouring effects of determinants on pm2 5 pollution

price inference in small markets this paper investigates the effects of market size on the ability of price to aggregate traders private information to account for heterogeneity in correlation of trader values a gaussian model of double auction is introduced that departs from the standard information structure based on a common fundamental shock the paper shows that markets are informationally efficient only if correlations of values coincide across all bidder pairs as a result with heterogeneously interdependent values price informativeness may not increase monotonically with market size as a necessary and sufficient condition for the monotonicity price informativeness increases with the number of traders if the implied reduction in the absolute value of an average correlation statistic of an information structure is sufficiently small

information aggregation in dynamic markets with strategic traders this paper studies information aggregation in dynamic markets with a finite number of partially informed strategic traders it shows that for a broad class of securities information in such markets always gets aggregated trading takes place in a bounded time interval and in every equilibrium as time approaches the end of the interval the market price of a separable security converges in probability to its expected value conditional on the traders pooled information if the security is non separable then there exists a common prior over the states of the world and an equilibrium such that information does not get aggregated the class of separable securities includes among others arrow debreu securities whose value is 1 in one state of the world and 0 in all others and additive securities whose value can be interpreted as the sum of traders signals

why did the energy intensity fall in china s industrial sector in the 1990s the relative importance of structural change and intensity change there have been a variety of studies investigating the relative importance of structural change and real intensity change to the change in china s energy consumption in the 1980s however no detailed analysis to date has been done to examine whether or not the increased energy efficiency trend in the 1980s still prevailed in the 1990s this article has filled this gap by investigating the change in energy consumption in china s industrial sector in the 1990s based on the data sets of value added and end use energy consumption for the 29 industrial subsectors and using the newly proposed decomposition method of giving no residual our results clearly show that the overwhelming contributor to the decline in industrial energy use in the 1990s was the decline in real energy intensity indicating that the trend of real energy intensity declines in the 1980s at the 2 digit level was still maintained in the 1990s this conclusion still holds even if we lower the growth rate dramatically in line with the belief that the growth rate of china s gdp may be overestimated

market provision of broadcasting a welfare analysis this paper presents a theory of the market provision of broadcasting and uses it to address the nature of market failure in the industry advertising levels may be too low or too high depending on the nuisance cost to viewers the substitutability of programs and the expected benefits to advertisers from contacting viewers market provision may allocate too few or too many resources to programming and these resources may be used to produce programs of the wrong type monopoly ownership may produce higher social surplus than competitive ownership and the ability to price programming may reduce social surplus

dynamic matching and bargaining games a general approach this paper presents a new characterization result for competitive allocations in quasilinear economies this result is informed by the analysis of non cooperative dynamic search and bargaining games such games provide models of decentralized markets with trading frictions a central objective of this literature is to investigate how equilibrium outcomes depend on the level of the frictions in particular does the trading outcome become walrasian when frictions become small existing specifications of such games provide divergent answers the characterization result is used to investigate what causes these differences and to generalize insights from the analysis of specific search and bargaining games

the loser s curse and information aggregation in common value auctions we consider an auction in which k identical objects of unknown value are auctioned off to n bidders the k highest bidders get an object and pay the k 1st bid bidders receive a signal that provides information about the value of the object we characterize the unique symmetric equilibrium of this auction we then consider a sequence of auctions a r with n r bidders and k r objects we show that price converges in probability to the true value of the object if and only if both k r and n r k r i e both the number of objects and the number of bidders who do not receive an object go to infinity

voting behavior and information aggregation in elections with private information we analyze two candidate elections in which voters are uncertain about the realization of a state variable that affects the utility of all voters each voter has noisy private information about the state variable we show that the fraction of voters whose vote depends on their private information goes to zero as the size of the electorate goes to infinity nevertheless elections fully aggregate information in the sense that the chosen candidate would not change if all private information were common knowledge equilibrium voting behavior is to a large extent determined by the electoral rule i e if a candidate is required to get at least x percent of the vote in order to win the election then in equilibrium this candidate gets very close to x percent of the vote with probability close to one finally if the distribution from which preferences are drawn is uncertain then elections will generally not satisfy full information equivalence and the fraction of voters who take informative action does not converge to zero

equilibrium in a market with sequential bargaining this paper considers a market where pairs of agents who are interested in carrying out a transaction are brought together by a stochastic process and upon meeting initiate a bargaining process over the terms of the transaction the basic bargaining problem is treated with the strategic approach the paper derives the steady state equilibrium agreements analyzes their dependence on market conditions such as the relative numbers of agents of different types and discusses their relations with the competitive equilibrium outcome and other results in the search equilibrium literature this paper considers a market that operates in the following way pairs of agents who have mutual interest in carrying out a transaction are brought together by a stochastic process when two agents meet they initiate a bargaining process over the terms of the transaction if two agents reach an agreement a transaction takes place and they leave the market of course the bargaining positions and hence the agreement reached in any particular meeting will be affected by the conditions prevailing in the market these will include the chances that each of the negotiating parties have of meeting other partners in the event that the agreement in the current negotiations is delayed also the expected length of time required to achieve an alternative transaction and the expected behavior of alternative partners the study of such a market mechanism is of interest for two reasons firstly it captures some realistic aspects of the trade in certain specific markets e g asset markets such as housing and some labor markets secondly it contributes to an understanding of the micro mechanisms of price formation and their role in shaping market outcomes in both cases the features studied are largely neglected in the traditional market equilibrium analyses the related literature includes the articles by diamond 4 5 diamond and maskin 6 mortensen 8 9 and zusman and bell 13 these articles consider markets of the type described above in which transactions are concluded at pairwise meetings of agents the major difference between our work and these articles is in the approach to the basic bargaining problem in the cited articles it is assumed that a meeting is concluded with an instantaneous agreement which divides the associated surplus in an arbitrary predetermined way when the surplus is assumed to be divided equally the division rule is in fact nash s axiomatic bargaining solution in contrast the present paper treats the basic bargaining problem with the strategic approach see rubinstein 19 which constitutes an attempt to look into the bargaining black box this approach explicitly models the time dimension of the bargaining process describes in detail the bargaining procedure and justifies the agreement as a perfect equilibrium in

chicken and egg competition among intermediation service providers we analyze a model of imperfect price competition between intermediation service providers we insist on features that are relevant for informational intermediation via the internet the presence of indirect network externalities the possibility of using the nonexclusive services of several intermediaries and the widespread practice of price discrimination based on users identity and on usage efficient market structures emerge in equilibrium as well as some specific form of inefficient structures intermediaries have incentives to propose non exclusive services as this moderates competition and allows them to exert market power we analyze in detail the pricing and business strategies followed by intermediation services providers copyright 2003 by the rand corporation

sources of production inefficiency and productivity growth in china a global data envelopment analysis abstract the current mode of production in china is extensive and inefficient and has caused great stress on both resources and the environment this paper focuses on analyzing the sources of production inefficiency and productivity growth in china here a developed slacks based measure is utilized to decompose production inefficiency into three components input inefficiency economic output inefficiency and environmental inefficiency furthermore by applying a method based on global data envelopment analysis we take a further step to analyze the key factors responsible for the change of environmental productivity during 2003 2011 from the point of view of technical progress productive scale and management level the results show that redundancy in energy and labor inputs and excessive emission of sulfur dioxide chemical oxygen demand and ammonia nitrogen are the main sources of production inefficiency in china during the sample period the efficiency in all inputs and environmental emissions has improved except for capital input efficiency which had a decreasing trend further analysis shows that the overall environmental productivity in china has begun to follow an ascending path technical progress is the most powerful contributor to china s productivity growth while the decreases in scale and management efficiency are the two main obstacles preventing productivity improvement

bidder solicitation adverse selection and the failure of competition we study a common value first price auction in which the number of bidders is endogenous the seller auctioneer knows the value and solicits bidders at a cost the number of bidders which is unobservable may thus depend on the true value therefore being solicited conveys information this solicitation effect may soften competition and impede information aggregation under certain conditions there is an equilibrium in which the seller solicits many bidders yet the resulting price is not competitive and fails to aggregate any information more broadly these ideas are relevant for markets with adverse selection in which informed traders initiate contacts

the environmental kuznets curve ekc theory part a concept causes and the co2 emissions case abstract the main purpose of this study is to capture the main features of the environmental kuznets curve ekc concept according to the ekc theory the process of economic growth is expected eventually to limit the environmental degradation created in the early stages of development the ekc concept leads many researchers from the early 1990s to assume that each economy should focus on its growth and any environmental problems will be eventually eliminated by the process of economic growth several studies attempt to test empirically the ekc hypothesis using data on many countries and examining various types of environmental degradation while other studies examine the underlying factors that may drive such a relationship this article reviews the evolution of the ekc concept and the possible causes of an ekc pattern like the distribution of income the international trade pollution haven hypothesis structural changes technical progress and improvements in energy efficiency institutions and governance and consumer preferences as co2 emissions are a pollutant with global effects several studies deal with the possible ekc pattern for co2 emissions and these studies are discussed separately the various critiques on the ekc concept are reviewed in the second article of this work

dynamic relationship among environmental regulation innovation co2 emissions population and economic growth in oecd countries a panel investigation abstract promoting green innovation and regulating emissions through carbon pricing are the two fundamental driving forces of climate change policies on carbon abatement however the existing body of empirical evidence focusing on these inter linkages is rather meager such evidence is also inconclusive in the context of the organization for economic co operation and development oecd countries this study therefore examines the effects of environmental regulation and innovation on the carbon emission reduction of oecd countries during the period 1999 2014 on the basis of the stochastic impacts by regression on population affluence and technology stirpat model this study also develops a new model called stochastic impacts by regression on population affluence regulation and technology stirpart to extend the analysis on the evaluation of factors influencing carbon emissions in addition the effects of environmental regulations and environmentally friendly technologies are empirically tested by using panel fixed effects random effects and generalized method of moments gmm models with the driscoll kraay corrected robust standard errors that tackle cross sectional dependence and time and panel fixed effects results indicate that a 1 increase in environmentally friendly patent reduces carbon emissions by 0 017 and a 1 increase in environmental tax revenue per capita reduces carbon emissions by 0 03 for oecd countries the current contribution aims to optimize market based instruments such as patents and carbon pricing for the implementation of efficient and cost effective climate change policies

manipulated electorates and information aggregation we study information aggregation with a biased election organizer who recruits voters at some cost voters are symmetric ex ante and prefer policy a in state a and policy b in state b but the organizer prefers policy a regardless of the state each recruited voter observes a private signal that is imperfectly informative about the unknown state but does not learn the size of the electorate in contrast to existing results for large elections there are equilibria in which information aggregation fails as the voter recruitment cost disappears a perfectly informed organizer can ensure that policy a is implemented independent of the state by appropriately choosing the number of recruited voters in each state

estimating market power in a two sided market the case of newspapers the newspaper industry is a two sided market the readers market and the advertising market are closely linked by inter market network externalities we estimate market power in the italian newspaper industry by building a structural model which encompasses a demand estimation

on the informational inefficiency of discriminatory price auctions we analyze bidding behavior in large discriminatory price auctions where the number of objects is a non trivial proportion of the number of bidders bidders observe private signals that are affiliated with the common value we show that the average price in the auction is biased downward from the expected value of the objects even in the competitive limit in particular we show that conditional on relatively low signals bidders bid the expected value of the objects conditional on their information and winning while bids at higher signals flatten out and are below the expected value conditional on winning

toward a strategic foundation for rational expectations equilibrium a step toward a strategic foundation for rational expectations equilibrium is taken by considering a double auction with n buyers and m sellers with interdependent values and affiliated private information if there are sufficiently many buyers and sellers and their bids are restricted to a sufficiently fine discrete set of prices then generically there is an equilibrium in nondecreasing bidding functions that is arbitrarily close to the unique fully revealing rational expectations equilibrium of the limit market with unrestricted bids and a continuum of agents in particular the large double auction equilibrium is almost efficient and almost fully aggregates the agents information

the rebound effect microeconomic definitions limitations and extensions abstract the rebound effect results in part from an increased consumption of energy services following an improvement in the technical efficiency of delivering those services this increased consumption offsets the energy savings that may otherwise be achieved if the rebound effect is sufficiently large it may undermine the rationale for policy measures to encourage energy efficiency the nature and magnitude of the rebound effect is the focus of long running dispute with energy economics this paper brings together previous theoretical work to provide a rigorous definition of the rebound effect to clarify key conceptual issues and to highlight the potential consequences of various assumptions for empirical estimates of the effect the focus is on the direct rebound effect for a single energy service indirect and economy wide rebound effects are not discussed beginning with khazzoom s original definition of the rebound effect we expose the limitations of three simplifying assumptions on which this definition is based first we argue that capital costs form an important part of the total cost of providing energy services and that empirical studies that estimate rebound effects from variations in energy prices are prone to bias second we argue that energy efficiency should be treated as an endogenous variable and that empirical estimates of the rebound effect may need to apply a simultaneous equation model to capture the joint determination of key variables third we explore the implications of the opportunity costs of time in the production of energy services and highlight the consequences for energy use of improved time efficiency the influence of time costs on the rebound effect and the existence of a parallel rebound effect with respect to time each of these considerations serves to highlight the difficulties in obtaining reliable estimates of the rebound effect and the different factors that need to be controlled for we discuss the implications of these findings for econometric studies and argue that several existing studies may overestimate the magnitude of the effect

estimating the rebound effect in us manufacturing energy consumption abstract the energy price shocks of the 1970s are usually assumed to have increased the search for new energy saving technologies where eventual gains in energy efficiencies will reduce the real per unit price of energy services and hence the consumption of energy will rise and partially offset the initial reduction in the usage of energy sources this is the rebound effect which is estimated for the us manufacturing sector using time series data applying the dynamic ols method dols when allowing for asymmetric price effects the rebound effect is found to be approximately 24 for the us manufacturing sector

socioeconomic driving forces and scenario simulation of co2 emissions for a fast developing region in china abstract guangdong is one of china s fastest developing provinces and thus faces the challenge of reducing co2 emissions whilst fostering economic growth in order to advance the goal of developing a low carbon economy in china this study explored influencing factors change trends and reduction potential in relation to co2 emissions in guangdong province using a provincial dataset covering the period 1995 to 2014 we used extended stirpat stochastic impacts by regression on population affluence and technology model and the technique of ridge regression in order to identify key influencing factors behind guangdong s co2 emissions we also forecasted emission trends and estimated reduction potential in the period 2015 2030 our empirical results indicate that economic development population growth urbanization fixed asset investment and industrialization level all positively affected co2 emissions during the period studied while the impacts of energy consumption structure and technology progress were found to be negative scenario simulations reveal that the aggregate co2 emissions of guangdong province will increase continuously up to 2030 under all of the twenty scenarios developed and tested in this study despite this we argue that the potential for emission reduction remains large an optimal scenario was identified after cross sectional comparison our analysis casts new light on the importance of exploring socioeconomic determinants and reduction potential in relation to emissions in order to plan for rapidly developing regions like guangdong the empirical findings have significant implications for the chinese government in implementing policy measures in order to promote low carbon development

examining the determinants and the spatial nexus of city level co2 emissions in china a dynamic spatial panel analysis of china s cities abstract china now the world s top co2 emitter is facing increasingly pressure to instigate energy saving and emission reduction measures as a result great attention is being paid to the driving forces behind co2 emissions in china literature has to date however tended to exclude the city level due to a scarcity of energy statistics at that scale using gis technology and dynamic spatial panel data models and aided by spatiotemporal modeling that integrates remote sensing data and statistical data this study identifies the determinates and the spatial nexus of co2 emissions at china s city level the results show that the co2 emissions of all of china s cities increased between 1992 and 2013 with the highest co2 emission levels occurring in eastern rather than western or central china in addition an obvious spatial agglomeration effect was observed in city level co2 emissions highlighting the influence cities exert on their neighbors our empirical results also emphasize the influence that factors such as economic growth population the industrialization level capital investment and population density all exert in relation to raising co2 emissions as such the study found little evidence in support of the ekc hypothesis these results further imply that if china persists in its current development pattern the estimated factors will inevitably lead to increased co2 emissions in the long term road density and the traffic coupling factor were in contrast both found to exert strong influences to the mitigation of co2 emissions as such improving the coupling degree between the urban spatial structure of a city and its traffic organization could play an important role in reducing co2 emissions our findings merit attention from chinese policy makers as they shed new light on the path toward developing low carbon cities

economic growth and greenhouse gas emissions abstract recent empirical research has examined the relationship between certain indicators of environmental degradation and income concluding that in some cases an inverted u shaped relationship which has been called an environmental kuznets curve ekc exists between these variables unfortunately this inverted u shaped relationship does not hold for greenhouse gas emissions one explanation of the absence of ekc like behavior in greenhouse gas emissions is that greenhouse gases are special pollutants that create global not local disutility but the international nature of global warming is not the only reason that prevents de linking greenhouse gas emissions from economic growth the intergenerational nature of the negative impact of greenhouse gas emissions may have also been an important factor preventing the implementation of greenhouse gas abatement measures in the past in this paper we explore the effect that the presence of intergenerational spillovers has on the emissions income relationship we use a numerically calibrated overlapping generations model of climate economy interactions we conclude that 1 the intertemporal responsibility of the regulatory agency 2 the institutional capacity to make intergenerational transfers and 3 the presence of intergenerationally lagged impact of emissions constitute important determinants of the relationship between economic growth and greenhouse gas emissions

direct rebound effect on urban residential electricity use an empirical study in china abstract though improving energy efficiency is an important approach to decrease the energy consumption the rebound effect caused by technology progress negatively affects the effectiveness of energy efficiency policies this paper empirically investigates direct rebound effect of urban residential electricity use in china using china s 30 provincial government panel data from1996 to 2010 we build a co integration equation and a panel error correction model to analyze the direct rebound effect the results indicate that an obvious rebound effect in the chinese urban residential electricity consumption does exist specifically the long term rebound effect is 0 74 while the short term rebound effect is 0 72 therefore the rebound effect significantly impairs functions of energy efficiency policies for this reason chinese government should take the rebound effect into consideration when formulating energy policies

impact of urbanization growth on malaysia co2 emissions evidence from the dynamic relationship abstract urbanization is a phenomenon of economic and social modernization investigating the link between urbanization growth and co2 emissions is necessary and helpful for malaysia to achieve its pollution reduction targets ecological modernization and augmented cobb douglas production theories are used in order to gain the best understanding of interaction between co2 emissions and urbanization for the 1971 2015 period this study aims to examine the relationships among co2 emissions urbanization growth energy consumption gdp domestic investment and financial development the f bounds test and vecm granger causality are utilized the dynamic relationship among variables and the inverted u shaped relationship between co2 emissions and urbanization in the long run are examined the elasticity of co2 urbanization is found positive elastic in the early stage of urbanization but it turns to negative inelastic at the higher urbanization stage furthermore the unidirectional causality from urbanization to co2 emissions in the short run are at a 1 percent level of significance and the bidirectional causality between co2 emissions and urbanization is at a 5 percent level of significance in the long run also we captured bidirectional causality among energy consumption domestic investment gdp co2 emissions and unidirectional causality from financial development to co2 emissions at least at a 5 percent level of significance these findings could support policymakers in managing urbanization development and considering clean investment and other green aspects for urban sustainable development which can save many people from natural disaster

impact of corruption in public sector on environmental quality implications for sustainability in brics and next 11 countries abstract this study investigates the impact of corruption in public sector on carbon emissions in presence of energy use segregation following the environmental kuznets curve ekc framework the study has been carried out for brazil russia india china south africa brics and next 11 countries over the period of 1990 2017 along with the finding of inverted n shaped ekc for both the cases we find that incidents of corruption enhance environmental degradation by reducing the positive impact of renewable energy consumption on environmental quality and increasing the negative impact of fossil fuel consumption this study has also divulged that the corruptive practices are more prone in case of the countries where the development is mature and institutionalization is more stringent based on these findings we suggest that environmental policies should take account of the corruption and thereby making the policies more robust and effective

is more information always better a case in credit markets this paper studies the impact of behavioral and non behavioral information contained in consumer credit reports on the credit market a repeated game of incomplete information between a borrower and a sequence of lenders is considered lenders beliefs regarding the borrower s type depend on the borrower s historical loan performance and other informative signals it is established that for low beliefs strategic defaults occur in equilibrium as the borrower defaults on his loans despite having the ability to repay them further as the ancillary signals become increasingly informative of the borrower s type the range of beliefs over which strategic defaults occur expands this increase in strategic defaults highlights an unintended negative effect of allowing informative signals to influence beliefs on the upside the informative signals allow lenders to learn the borrower s type more quickly

the impact of urbanization on co2 emissions evidence from developing countries abstract this paper analyzes the impact of urbanization on co2 emissions in developing countries from 1975 to 2003 it contributes to the existing literature by examining the effect of urbanization taking into account dynamics and the presence of heterogeneity in the sample of countries the results show an inverted u shaped relationship between urbanization and co2 emissions indeed the elasticity emission urbanization is positive for low urbanization levels which is in accordance with the higher environmental impact observed in less developed regions among our contributions is the estimation of a semi parametric mixture model that allows for unknown distributional shapes and endogenously classifies countries into homogeneous groups three groups of countries are identified for which urbanization s impact differs considerably for two of the groups a threshold level is identified beyond which the emission urbanization elasticity is negative and further increases in the urbanization rate do not contribute to higher emissions however for the third group only population and affluence but not urbanization contribute to explain emissions the differential impact of urbanization on co2 emissions should therefore be taken into account in future discussions of climate change policies

decoupling co2 emission and economic growth in china is there consistency in estimation results in analyzing environmental kuznets curve china is one of the highest growth economies in the world and it has experienced a significant rise in energy consumption and greenhouse gas emissions in recent decades its economic growth heavily depends on fossil fuels of coal and oil which led to huge amount of greenhouse gas emissions this study logically analyzes the nexus of co2 emissions economic growth and energy consumption by decoupling greenhouse gas emission of co2 and economic growth to provide more conclusive evidence on the phenomenon of the environmental kuznets curve ekc over the period 1970 2015 to achieve the objective of consistency in the estimation results the study applies different estimation techniques such as ardl auto regressive distributed lag model fmols fully modified ordinary least squares dols dynamic ordinary least squares and impulse response and variance decomposition in addition the business as usual inverted u shaped relationship between gdp per capita and an economy related co2 emission is hypothesized the result supports the environmental kuznets curve ekc hypothesis from different techniques the turning point hovers around 744665 the estimation result indicates that china ekc turning point shows some inconsistencies when compared to other turning points obtained from different studies the inconsistency of the ekc turning point is attributed to the sensitivity of the result to different data source variables selection different pollutants and scope of the data although the ekc turning point of this present research differs from other china ekc turning points it gives a clear policy roadmap on the pursuance of long run economic growth in favour of environmental quality besides significance of the turning point lies with the need to explore other structural policies such as articulated demographic and energy policies rather than passively waiting for the arrival of the inflexion point one interesting findings of the analysis is the consistency of the estimation results from the different estimation techniques

information aggregation in a prediction market for climate outcomes abstract two forms of uncertainty in climate policy are the wide range of estimated marginal costs and uncertainty over credibility of rival information sources we show how a recently proposed solution to the first problem also helps address the second the policy is an emissions tax tied to average temperatures coupled with permits that exempt the emitter from paying the tax in a future year it has been shown that the resulting tax path will be correlated with future marginal damages it has been conjectured that the permit prices will yield unbiased forecasts of the climate which if true would address the second uncertainty we confirm the conjecture by describing a trading mechanism that converges on unbiased forecasts if traders are risk neutral risk aversion slows down but does not prevent convergence we also show that the forecasts are more likely to be sufficient statistics the stronger the consensus on climate science

exploring the relationship between energy usage segregation and environmental degradation in n 11 countries numerous studies regarding the economic growth environmental pollution link have struggled to determine the effects of various forms of energy consumption on environmental degradation particularly in the context of emerging economies this study examines the environmental kuznets curve ekc for co2 emissions in n 11 countries during 1990 2014 by segregating three forms of energy consumption renewable biomass and non renewable urbanization and trade openness are additional explanatory variables that are used in the empirical framework using the generalized moments method gmm the empirical evidence confirms the presence of an n shaped relationship between economic growth and environmental degradation for n 11 countries this study analyzed the interaction effects among trade openness biomass consumption and economic growth these interactions had a negative impact on co2 emissions levels of n 11 countries suitable policy recommendations have been provided based on the detailed results

a semi parametric analysis of two sided markets an application to the local daily newspapers in the usa summary this paper considers an empirical semiparametric model for two sided markets contrary to existing empirical literature on two sided markets we specify network effects and probability distribution functions of net benefits of the two sides nonparametrically we then estimate the model by nonparametric instrumental variables regression for local daily newspapers from the usa we show that semiparametric specification is supported by the data and the network effects are neither linear nor monotonic with a numerical illustration we demonstrate that the mark up of the newspaper on each side changes drastically with the nonlinearly specified network effects from the case with linear network effects copyright 2015 john wiley sons ltd

the effectiveness of energy efficiency improvement in a developing country rebound effect of residential electricity use in south korea abstract the government of south korea considers an energy efficiency improvement policy an effective economic measure for climate change like many other governments but it is unaware of any rebound effect the unexpected result of energy efficiency improvement so the rebound effect of residential electricity use in south korea was estimated using two different scales in this paper at the macro level the rebound effect was estimated indirectly by using price elasticity and at the micro level the rebound effect of individual home appliances was estimated directly by using a non linear relationship between energy efficiency and energy use at the macro level the long and short term results of rebound effect were estimated at 30 and 38 respectively also at the micro level the rebound effect of air conditioners was 57 70 while refrigerators showed only a composite of rebound and income effects finally there was no backfire effect and efficiency improvement brought energy reduction in conclusion these suggest that rebound effect is an important factor that the government of south korea must consider when planning its energy efficiency improvement policy

an introduction to the theory of rational expectations under asymmetric information every good economics textbook contains the cliche that market prices provide signals which facilitate the allocation of resources to their best use in a world not subject to random shocks consumers and producers when faced with competitive prices need look no further than their own preferences or production technology to be able to make a decision they need give no thought to the tastes endowments or technology of other agents however in a world subject to random shocks this is no longer the case agents are faced with the problem of forecasting future states of nature and more importantly of forecasting the impact of these states on the actions of other agents rational expectations theories provide a model of how agents make those forecasts in a world subject to random shocks it will be the case that agents acquire or at least attempt to acquire information about the future realization of the shocks it will in general be the case that different agents have access to different information the fact that information is dispersed throughout the economy has the potential to cause a misallocation of resources relative to what would be the case if all agents knew everything an efficient allocation of resources will in general require the transfer of information from consumers who have some information about their future demands to producers who can take current actions to mitigate avoidable scarcities or surpluses though many classical and neo classical writers emphasize the informational role of prices the standard marshallian or walrasian model of competitive equilibrium does not involve prices transferring information across traders the purpose of this paper is to show that rational expectations models are radically different from walrasian models in an economy where traders have diverse information this is demonstrated by showing that unlike what occurs in a walrasian equilibrium of an economy with heterogeneous information if there is a complete set of insurance markets and utility is additively separable over time then there exists a rational expectations equilibrium which gives consumers the same allocation as if each consumer has access to all of the economy s information this implies that under the above assumptions a central planner with all the economy s information could not pareto dominate the competitive allocation achieved when traders have diverse information and rational expectations this paper makes no attempt to survey the literature on rational expectations the reader is referred to shiller 1978 barro 1981 for a survey of macroeconomics and rational expectations and radner 1980 for a survey of the microeconomics and mathematical theory of rational expectations this paper will however try to outline the evolution of the rational expectations concept from a notion of optimal forecasting to a virtually complete departure from the walrasian model of equilibrium the rest of this section is devoted to a discussion of pre rational expectations ideas

decentralized trading with private information the paper studies how asset prices are determined in a decentralized market with asymmetric information about asset values we consider an economy in which a large number of agents trade two assets in bilateral meetings a fraction of the agents has private information about the asset values we show that over time uninformed agents can elicit information from their trading partners by making small offers this form of experimentation allows the uninformed agents to acquire information as long as there are potential gains from trade in the economy as a consequence the economy converges to a pareto efficient allocation

impact of urbanization on energy related co2 emission at different development levels regional difference in china based on panel estimation abstract we examined the influence of urbanization on co2 emission at different development levels employing the stochastic impacts by regression on population affluence and technology stirpat model on provincial panel data from 1995 to 2013 for china to investigate regional differences based on development levels in the effects of urbanization on co2 emission we divided the 29 provinces of china into three regions according to their per capita real gdp at constant value 1990 100 the panel estimation for the whole dataset and the three regions showed an inverted u relationship between urbanization and co2 emission in the major regions of china specifically the effects of urbanization vary significantly across the regions in region 2 and region 3 a threshold level was identified beyond which the emission urbanization elasticity was negative and further increases in the urbanization rate did not contribute to higher emissions however in region 1 only population and affluence rather than urbanization were significant factors affecting co2 emissions in addition the results did not confirm the environmental kuznets curve relationship between income and co2 emission where co2 emission increases monotonically with income we propose a series of policy implications based on these outcomes to help realize emission reduction targets better

how urbanization affects energy use in developing countries abstract this paper identifies mechanisms whereby urbanization affects energy consumption industrialization and urbanization accompany each other during economic development but urbanization exerts a number of independent influences on energy use it permits economies of scale in production but requires more transportation food must be transported to urbanized populations and relatively smaller agricultural populations must modernize entailing considerable increases in agricultural energy use in cities a number of production activities which were domestically provided in rural areas using human or animal energy shift to sources outside the household using modern energy sources the largest single source of change in energy use is personal transportation passenger transport in cities is heavily weighted towards fuel using modes particularly as incomes increase to assess the overall impact a regression analysis of 59 developing countries for 1980 is conducted holding constant per capita income and the extent of industrialization the elasticity of energy consumption per capita and per dollar of gdp is between 0 35 and 0 48

pricing decisions of the newspaper monopolist in nearly every city in the united states there is only one daily newspaper of general interest given the prevalence of monopoly it seems anomalous that newspapers are typically sold well below cost compaine 5 19 for example reports that sales revenue is only 28 7 percent of total cost moreover it appears that price is below marginal cost since the sales revenue does not cover the cost of the ink and paper used in producing the newspaper 2 if the newspaper publisher were selling only newspapers he or she would be in dire straits but in reality the publisher has two products to sell the newspaper itself and advertising space within the newspaper although very few newspaper customers are also purchasers of advertising space there is an important interaction between the circulation of the newspaper and the sale of advertising space the higher the circulation of the newspaper the greater the demand for advertising and the more advertising there is in the newspaper the greater the circulation of the newspaper 3 as a consequence the publisher has a more complicated pricing problem since the prices of advertising space and of the newspaper have feedback effects upon one another in the next section of this paper we shall derive the publisher s optimal prices for advertising space and for the newspaper under fairly general conditions one purpose of this analysis is to show that there are two meaningful measures of demand elasticity in section iv we discuss some of the associated empirical problems that this poses and relate this to two existing newspaper demand studies

rates of information aggregation in common value auctions we study the rates at which transaction prices aggregate information in common value auctions under the different information structures in wilson rev econ stud 44 1977 511 and pesendorfer and swinkels econometrica 65 1997 1247 we consider uniform price auctions in which k identical objects of unknown value are auctioned to n bidders where both n and k are allowed to diverge to infinity and k n converges to a number in 0 1 the wilson assumptions lead to information aggregation at a rate proportional to n k but the price aggregates information at a rate proportional to n k in the ps setting we also consider english auctions and investigate whether the extra information revealed in equilibrium improves convergence rates in these auctions

efficiency of large double auctions we consider large double auctions with private values values need be neither symmetric nor independent multiple units may be owned or desired participation may be stochastic we introduce a very mild notion of a little independence we prove that all nontrivial equilibria of auctions that satisfy this notion are asymptotically efficient for any alpha 0 inefficiency disappears at rate 1 n 2 alpha