international direct real estate investment a review of the literature this paper provides a critical review of research on international direct real estate investment issues to date no review article has explored the various findings of studies completed on the benefits of international real estate diversification in the past 10 years the quantity and variety of work have increased dramatically the paper is organised by how investing in a real estate asset is analysed in a mixed asset portfolio context or a real estate only portfolio context a fourth section focuses on research that has explored currency risk one of the prevailing risks associated with international investing the last section provides conclusions about the research and offers ideas for future research in this growing area of real estate investment

the inverted pyramid a neo ricardian view on the economy environment relationship abstract in ecological economics natural resources which may contribute only a small amount to gdp are viewed as fundamental to the functioning of the economy they are sometimes pictured as sitting at the base of an inverted pyramid with the rest of the economy balanced on top of them in this paper we show that when prices are set by markup a standard heterodox assumption then the inverted pyramid picture of the economy emerges naturally in a neo ricardian model we demonstrate the use of the model with brief applications to biophysical economics the paper is one of a growing number that use heterodox macroeconomics to address questions in ecological economics

primary energy demand in japan an empirical analysis of long term trends and future co2 emissions abstract this paper examines the long run relationship between energy demand gnp and the real energy price in japan using data covering 1887 2001 it is found that if an underlying energy demand trend is appropriately incorporated the resulting econometric model produces a long run income elasticity of about unity and a long run price elasticity of about 0 2 the estimated model is utilised to forecast energy consumption and co 2 emissions up to 2012 it is shown that given current economic conditions and policies there is considerable uncertainty about whether japan will be able to meet its kyoto target by reducing co 2 emissions in 2008 2012 to the 1990 level it is shown that this uncertainty depends on the strength of the economy and leaves the japanese government with a difficult policy dilemma if there is a resurgence in growth to something near the annual average growth rate since the early 1980s a considerable effort will be required in order to meet its kyoto target requiring not only using the kyoto mechanisms but also additional tougher domestic policies and measures such as emissions capping r d incentives and education for energy conservation in addition to a pricing and tax policy

the induced innovation hypothesis and energy saving technological change we develop a methodology for testing hicks s induced innovation hypothesis by estimating a product characteristics model of energy using consumer durables augmenting the hypothesis to allow for the ine uence of government regulations for the products we explored the evidence suggests that i the rate of overall innovation was independent of energy prices and regulations ii the direction of innovation was responsive to energy price changes for some products but not for others iii energy price changes induced changes in the subset of technically feasible models that were offered for sale iv this responsiveness increased substantially during the period after energy efficiency product labeling was required and v nonetheless a sizable portion of efficiency improvements were autonomous

global warming and energy demand list of tables list of figures list of contributors preface 1 global warming and energy elasticities terry barker paul ekins and nick johnstonepart 1 estimating long term energy elasticities 2 alternative approaches to estimating long run energy demand elasticities an application to asian developing countries ron smith and m hashem pesaran 3 a survey of international energy elasticities neil manning and jago atkinson 4 long run demand elasticities for gasoline thomas sterner and mikael franzen 5 responses of energy demand in uk manufacturing to the energy price increases of 1973 and 1979 80 alan ingham 6 elasticities for oecd aggregate final energy demand lakis vouyoukas 7 modelling uk energy demand derek hodgson and keith millerpart ii energy the economy and greenhouse gas abatement 8 endogenous technological progress in fossil fuel demand laurence boone stephen hall david kemball cook and clare smith 9 uk energy price elasticities and their implications for long term co2 abatement terry barker 10 price elasticity and market structure overcoming obstacles to ensure energy efficiency tim jackson 11 rethinking the use of energy elasticities stefan p schleicher 12 revisiting the costs of co2 abatement paul ekins 13 asymmetrical price elasticities of energy demand michael grubb14 conclusions terry barker paul ekins and nick johnstone bibliography index

why market valuation indifferent indexing works using market values for indexing gives more portfolio weight to the stocks with positive price errors and less portfolio weight to the stocks with negative price errors market valuation indifferent indexing such as equal weighting or weighting by number of employees number of customers or sales relies on averaging over hundreds of stocks to give equal weight to the two groups

structural change in europe s gas markets three scenarios for the development of the european gas market to 2020 abstract against the background of the european union s gas directive and the emergence of new players and markets in europe s gas sector this paper explores how company actions could shape the future for the gas industry starting with an examination of company strategies this paper develops three scenarios for the future a gradual transformation scenario where a single european gas market develops that is essentially oligopolistic in nature a vertical integration scenario where upstream and downstream gas companies merge to form a vertically integrated gas supplier and a pull the plug scenario where the current market structure decomposes into a competitive market these scenarios are examined in terms of their impact on gas prices demand and the distribution of gas rent along the supply chain the paper highlights the fact that the eu s gas directive is not sufficient for the introduction of competition into europe s gas markets but that company actions will be the key determinant and they may favour alternative market structures

assessing energy price induced improvements in efficiency of capital in oecd manufacturing industries to assess how capital stocks adapt to energy price changes it is necessary to account for the impacts on different vintages of capital and to account separately for price induced and autonomous improvements in the energy efficiency of capital stock the results of econometric analysis for five manufacturing industries in 19 oecd countries between 1990 and 2005 indicate that higher energy prices resulted in smaller energy use due to both improved energy efficiency of capital stock and reduced demand for the energy input the investment response to energy prices varied considerably across manufacturing industries being more significant in energy intensive sectors the results of policy simulations indicate that a carbon tax can deliver significant reductions in energy consumption in the medium run with modest declines in energy using capital stock

consumption of electricity in punjab structure and growth electricity has played a pivotal role in the development of punjab economy of late there has been a steep rise in the demand for electricity in the state the present study undertakes a holistic view of growth of demand for electricity in the state the technique applied is multiple regression and secondary data is used for the purpose of analysis the study concludes that demand for electricity in the state is price inelastic but income elastic for majority of consuming sectors an important policy implication thereof is that price hike will be ineffective in regulating and managing demand unless price is varied in an hourly basis therefore the state has to resort to other demand side management dsm measures such as improving efficiency of electricity use and its conservation considering the high income elasticity of electricity demand sufficient electricity generating capacity needs to be created since demand is expected to grow at an accelerated rate in future this calls for a comprehensive electricity policy the study further concludes that in the long run price demand as well as income demand relationship in case of electricity is likely to remain uncertain especially in the post reform era

the implications of the historical decline in us energy intensity for long run co2 emission projections this paper analyzes the influence of the long run decline in us energy intensity on projections of energy use and carbon emissions to the year 2050 we build on our own recent work which decomposes changes in the aggregate us energy gdp ratio into shifts in sectoral composition structural change and adjustments in the energy demand of individual industries intensity change and identifies the impact on the latter of price induced substitution of variable inputs shifts in the composition of capital and embodied and disembodied technical progress we employ a recursive dynamic computable general equilibrium cge model of the us economy to analyze the implications of these findings for future energy use and carbon emissions comparison of the simulation results against projections of historical trends in gdp energy use and emissions reveals that the range of values for the rate of autonomous energy efficiency improvement aeei conventionally used in cge models is consistent with the effects of structural changes at the sub sector level rather than disembodied technological change even so our results suggest that us emissions may well grow faster in the future than in the recent past

complementing empirical evidence on global recycling and trade of waste paper this comment provides a critical analysis of van beukering and bouman s world development 29 2001 1717 article on global paper recycling and trade we first question their notion that developin

projecting the energy pathway using a methodological sequence the case of mexico abstract the relationship between primary energy and economic development tends to be positive however it is a complex relationship for emerging economies we use the energy pathway ep method to 1 examine this relationship 2 introduce its behavioural taxonomy and 3 propose a hybrid methodological sequence that allows to examine the historical context and to forecast the ep we apply our methodology to the mexican case an emerging economy that has had both energy intensive and energy productivity periods and changes in its development model the study was conducted by using data of a 52 year old path and explored the path may have from 2018 onwards our results are as follows first the pathway shows nine behavioural possibilities second we found that the mexican ep responds to structural changes we conclude that for the years following 2018 mexico s path will have a disturbance the main objective will be to avoid unwanted behaviour the key is to improve the relationships among the government the private sector and international agreements in order to continue the sequence of the theory on the relations between energy and development more studies are needed under a systematic analytical framework applied to both other countries and comparative studies

sustainable energy prices and growth comparing macroeconomic and backcasting scenarios how do results from the sustainability research world of backcasting relate to the macroeconomic scenarios used for policy evaluation and planning the answer is that they don t mostly they come

economic convergence and climate policy abstract this paper addresses the relevance of the economic convergence hypotheses between the developing and the developed world in international greenhouse gas ghg emissions negotiations the results are based on a two region the oecd and the rest of the world row neo classical growth model with exogenous technical progress different technological diffusion patterns and a set of geophysical relationships that consider an environmental externality linked to ghg emissions a game framework is taken into account in the model to capture the strategic interactions between agents the outcome of the negotiations seems indeed to depend on the economic convergence hypotheses faster economic growth of the row countries would encourage them to further mitigate carbon emissions

the economics of climate change impacts a la stern novel and nuanced or rhetorically restricted abstract the stern report conducts an estimation of greenhouse gas control costs weighed against the benefits of avoiding damages at the global scale as i show stern and colleagues are aware of the limits to cba although they chose to ignore the considerable literature on the subject the many contributions by ecological economists and especially work specific to the enhanced greenhouse effect various problems are raised or mentioned in the report including strong uncertainty incommensurability plural values non utilitarian ethics rights distributional inequity poverty and treatment of future generations how then can this report acknowledging so many of those aspects of climate change that render cba an unsuitable tool for generating policy recommendations go ahead to conduct a global cba and make policy recommendations i explain how issues are suppressed and sidelined in a careful and methodical manner with the pretence they have been addressed by state of the art solutions meanwhile the authors maintain allegiance to an economic orthodoxy which perpetuates the dominant political myth that traditional economic growth can be both sustained and answer all our problems besides perpetuating myths this diverts attention away from alternative approaches away from ethical debates over harming the innocent the poor and future generations and away from the fundamental changes needed to tackle the very real and serious problems current economic systems pose for environmental systems

international co2 emissions control an analysis using ceta abstract this paper explores issues of international cooperation in co2 emission control we consider three cases selfish in which region 1 controls optimally given its own damage costs and region 2 does not control altruistic in which region 1 controls optimally given total worldwide damage costs while region 2 does not control and optimal in which regions 1 and 2 exercise jointly optimal control of emissions and region 1 pays region 2 to participate we find that neither region gains much in the selfish case but both regions are better off in the optimal case than in the altruistic case though region 1 s benefits are negative in both these cases

ownership occupation and risk a view of the city of london office market office returns in the city of london are more volatile than in other uk markets this volatility may reflect fluctuations in capital flows associated with changing patterns of ownership and the growing linkage between real estate and financial markets in the city using current and historical data patterns of ownership in the city are investigated they reveal that overseas ownership has grown markedly since 1985 that owners are predominantly fire sector firms and that there are strong links between ownership and occupation this raises concerns about future volatility and systemic risk in a market strongly influenced by the cyclical behaviour and shocks of the international financial system

competitiveness and exemptions from environmental taxes in europe a number of european countries have introduced a variety of environmental taxes a common characteristic of their implementation is the inclusion of exemptions and tax relief in particular for some sectors of manufacturing industry this paper analyses the pattern and motivation of exemptions as they have developed in western european countries making clear the difference between the nominal and effective tax rates once the exemptions have been taken into account the principal motivation for exemptions relates to concern about competitiveness while particular environmentally intensive sectors may have some grounds for concern even these might be able to achieve cost effective environmental improvements such that their competitive position is not over disadvantaged while for an economy structured like the uk s an environmental tax plus rebate scheme sometimes called an ecological tax reform would be likely to yield benefits in terms of competitiveness the exemptions usually run counter to the environmental economic logic of using environmental taxes to internalise social costs and give economic signals that are based on the full costs of production and they are likely to increase the costs of achieving a given level of emission reduction with little justification for them also on the grounds of competitiveness it would therefore be undesirable on both economic and environmental grounds for them to remain a feature of the implementation of environmental taxes in the future

representing induced technological change in models for climate policy analysis induced technological change itc whereby the relative price effects of reducing greenhouse gas emissions stimulate innovation that mitigates the cost of abatement is both tantalizing to decision makers and challenging to represent in the computational economic and engineering models used to analyze climate change policy this overview reconciles the divergent views of technology and technological change within different types of models elucidates the theoretical underpinnings of itc introduces the reader to the techniques of their practical implementation and evaluates the implications for models results

fundamentally flawed indexing fundamental indexers argue that capitalization weighting is an inferior investment strategy because it necessarily invests more in overvalued stocks and less in undervalued stocks this article shows that this claim is false capitalization weighting does not by itself create a performance drag

estimation of embodied co2 emissions by general equilibrium model abstract this study estimates the extent to which embodied co2 emissions are increased or reduced when a socioeconomic structural change occurs embodied co2 emissions were estimated by input output models i o models and a general equilibrium model ge model and the respective results were compared the embodied co2 emissions differ greatly depending on the assumptions of the total system the embodied co2 emissions obtained by i o models are much larger than those obtained by the ge model in some cases the total co2 emissions increase even if less intermediate inputs are required owing to technological improvement it is shown that taking i o type embodied emissions alone into consideration is insufficient for the estimation of policy effects careful consideration is necessary to effectively reduce emissions when production and consumption are interconnected in a complex way

energy innovations ghg emissions nexus fresh empirical evidence from oecd countries abstract this study explores the impact of improvements in energy research development erd on greenhouse gas ghg emissions using environmental kuznets curve hypothesis for 28 oecd countries over the period of 1990 2014 in doing so we have employed a panel data where public budget in energy research development and demonstration erd d has transformed into a finite inverted v lag distribution model developed by de leeuw 1962 this model considers that energy innovation accumulates in time and presents empirical evidence how energy innovation contributes in reducing energy intensity and environmental pollution as well our results indicate that energy innovation measures require lapses of time to reach their full effect i e innovation applied to measures for environmental correction does not reach its whole effect immediately requiring instead a certain amount of time to pass innovation policies have recommended for improving environmental quality

co2 emissions control comparing policy instruments we use a global model to compare the economic performance of three policy instruments for controlling co2 emissions period specific emission limits limit policy period specific taxes tax policy and a cumulative emissions limit cumulative limit policy with known costs and benefits of control tax and limit policies are equivalent and either is better than a cumulative limit policy with uncertain benefits of emission reduction tax and limit policies are equivalent however with uncertain costs of emission reduction a tax policy may be better a cumulative limit policy may occasionally perform well under uncertainty but this is not generally the case

international office investment in global cities the production of financial space and systemic risk lizieri c and pain k international office investment in global cities the production of financial space and systemic risk regional studies the paper explores the relationships between uk commercial real estate and regional economic development as a foundation for the analysis of the role of real estate investment in local economic development linkages between economic growth development real estate performance and investment allocations are documented long run regional property performance is not the product of long run economic growth and weakly related to indicators of long run supply and demand changes in regional portfolio weights seem driven by neither market performance nor underlying fundamentals in the short run regional investment shifts show no clear leads or lags with market performance

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

a cost effective approach to attracting low income countries to international emissions trading theory and experiments the cost effectiveness of the kyotoprotocol and any similar non global treatywould be enhanced by attracting additionalcountries to international emissions tradingand achieving this as soon as possible incontrast to what is heard in most of thedebate such an enlargement is here taken to beattained with the new participants atleast to begin with being fullycompensated this paper focuses on twoforms of compensation that can be used toattract poor countries to participate inemissions trading the theoretical aswell as experimental evidence suggests that ifpoor countries are more risk averse than richcountries partial compensation in terms offinancial transfers is more cost effective thanrelying solely on compensation in kind emission quotas as has been the case so far using money for partial compensation would alsoreduce the risk for hot air allocations andthe ensuing political obstacles tocost effectiveness that such allocations tendto create

forecast errors in iea countries energy consumption every year energy policy of iea countries includes a forecast of the energy consumption in the member countries forecasts concerning the years 1985 1990 and 1995 can now be compared to the actual values the second oil crisis resulted in big positive forecast errors the oil price drop in 1986 did not have a similar opposite effect a correction for economic growth reduces forecast errors during the second oil crisis but not elsewhere industry has a relatively big positive forecast error while transportation has a negative forecast error even when the forecast error is small the results are not so nice because the small value is often the sum of large positive and negative errors almost no significant correlation is found between forecast errors in the 3 years correspondingly no significant correlation coefficient is found between forecast errors in the 3 main energy sectors therefore a relatively small forecast error is not caused by a relatively small forecast error in all 3 sectors

economic growth trade and energy implications for the environmental kuznets curve abstract the environmental kuznets curve ekc hypothesis asserts that pollution follows an inverted u path with respect to economic growth the ekc has been explained in terms of structural changes in the composition of economic output and increased environmental regulation at higher income levels while some authors have incorporated the impact of trade policy orientation on the ekc the impact of the actual movement between countries of goods that embody pollution has not been considered this paper attempts to econometrically quantify the effect using pooled cross country and time series data the ekc hypothesis is examined with respect to commercial energy consumption the source of many serious environmental problems it was found that while both industrializing and industrialized countries have added to their energy requirements by exporting manufactured goods the growth has been substantially higher in the former at the same time industrialized countries have been able to reduce their energy requirements by importing manufactured goods exports of manufactured goods by industrialized countries has thus been an important factor in generating the upward sloping portion of the ekc and imports by industrialized countries have contributed to the downward slope

induced innovation and energy prices this paper uses u s patent data from 1970 to 1994 to study the impact of energy prices on energy efficient innovations theories of technological change have focused both on demand side factors which spur innovative activity by increasing the value of new innovations and supply side factors such as scientific advancements that make new innovations possible data on demand side factors are easily obtained but data on supply side factors that influence innovation are not readily available this paper uses patent citations as a measure of the usefulness of the existing base of scientific knowledge citations to previous patents are used to construct productivity estimates which measure the usefulness of the existing stock of knowledge to inventors in a given energy field for any given year these estimates are then combined with data on demand side factors to estimate a model of induced innovation in energy technologies the results indicate that both energy prices and the supply of knowledge have strongly significant positive effects on innovation the paper concludes with a discussion of the implication of this work for environmental policy

us long term energy intensity backcast and projection energy intensity of the economy is often modeled as being determined by the combined effect of a fixed price elasticity of demand and an exogenously specified fixed technical change parameter denoted as the autonomous energy efficiency improvement aeei typically the aeei rate is set to 0 5 1 5 improvement per annum here we study historic aggregate energy intensity trends for the us from 1954 to 1994 we show that the historic trends are inconsistent with an autonomous model of improved energy efficiency especially when the model is used to inform policies that impact energy prices as an alternative we propose a model of price induced efficiency in which aggregate energy intensity trends respond to changes in energy prices beyond price elasticity of demand e our exercise reveals that the aggregate price elasticity of energy demand of the us economy has declined by roughly 15 over the past four decades but beyond this decline bringing our simulations and historical data into close correspondence requires to change sign before and after 1974 before 1974 after accounting for price elasticity of demand the economy was growing less energy efficient after 1974 after accounting for the price elasticity of demand the economy was growing more energy efficient furthermore since 1984 the rate of energy efficiency gain has been declining when projections of long term energy use are compared those with a price induced energy efficiency formulation generate significantly more price sensitive energy use and emissions trajectories when in the business as usual scenario energy prices are expected to be rising climate policies involve lower shadow carbon prices with than with aeei formulations in scenarios where energy prices are relatively flat energy intensity rises leading to co2 emissions far higher than standard business as usual projections utilizing aeei assumptions

an empirical approach to urban land monopoly a case study of the city of barranquilla colombia in this paper we focus on the role and economic effect of land ownership and land monopoly in emerging urban environments land monopoly in conventional economics is a theoretical impossibility

international money supply and real estate risk premium the case of the london office market abstract the main purpose of this study is to deeply investigate the determinants of the risk premium for the central london market between q2 2002 and q3 2015 using a vector autoregression var model we shed new light on the role of central banks in the historical level of the commercial real estate risk premium indeed since the global financial crisis gfc central banks have used unconventional monetary policies increasing the quantity of money available in the economy and creating structural changes therefore we have described the link between monetary policies and real estate using a theoretical is lm mundell fleming framework for a small open economy with a flexible exchange rate to empirically explore this phenomenon we have constructed a monetary index adapted to the office market we find that throughout the whole period 2002 2015 the vacancy rate the employment in services the ftse 100 the new monetary index and the autoregressive parameter are the main determinants of the historical risk premium however this result hides the complex realities of different sub periods finally we study the structural changes introduced by the monetary policy using a structural var model and impulse response function

buying greenhouse insurance the economic costs of carbon dioxide emission limits in recent years a growing concern that the increasing accumulation of greenhouse gases will lead to undesirable changes in global climate has resulted in a number of proposals both in the united states and internationally to set physical targets for reducing greenhouse gas emissions but what will these proposals cost based on the authors earlier ground breaking work buying greenhouse insurance outlines a way to think about greenhouse effect decisions under uncertainty it describes an insightful model for determining the economic costs of limiting carbon dioxide emissions produced by burning fossil fuels and provides a solid analytical base for rethinking public policy on the farreaching issue of global warming manne and richels present region by region estimates of the costs that would underlie an international agreement using a computer model known as global 2100 they analyze the economic impacts of limiting c02 emissions under alternative supply and conservation scenarios the results clearly indicate that a reduction in emissions is not the sole policy response to potential climate change following a summary of the greenhouse effect its likely causes and possible consequences manne and richels take up issues that concern the public at large they provide an overview of global 2100 look at how the u s energy sector is likely to evolve under businessas usual conditions and under carbon constraints and describe the concept of greenhouse insurance they consider possible global agreements including an estimate of benefits that might result from trading in an international market in emission rights they conclude with a technical description directed toward modeling specialists alan manne is professor of operations research at stanford university richard richels is director of the energy analysis and planning department at the electric power research institute

finance business property and urban and regional development halbert l henneberry j and mouzakis f finance business property and urban and regional development regional studies compared with other factors of production the supply of business property and its role in urban and regional development has received comparatively little attention traditional analyses assume that the supply of such property responds to demand in a relatively unproblematic way however there is evidence that institutional structures and processes in the property and capital markets have produced regional imbalances in the quantity quality and price of business accommodation benefiting some places and handicapping others such imbalances are present to different degrees internationally and their characteristics and causes are similarly varied the special issue addresses this gap in knowledge

underlying trends and seasonality in uk energy demand a sectoral analysis this paper demonstrates the importance for energy demand modelling of allowing for trends and seasonal effects that are stochastic in form inherent underlying trends may be non linear and reflect not only technical progress which usually produces greater energy efficiency but also other factors such as changes in consumer tastes and the economic structure that may be working in the opposite direction using quarterly unadjusted data for various sectors in the uk it is shown that unless energy demand models are formulated so as to allow for stochastic trends and seasonals estimates of price and income elasticities could be seriously biased

the impact of learning by doing on the timing and costs of co2 abatement abstract a particular ceiling on atmospheric co 2 concentrations can be maintained through a variety of emission pathways over the past decade there has been considerable debate over the characteristics of a least cost pathway some have suggested that a gradual departure from the emissions baseline will be the most cost effective because it reduces the pressure for premature retirement of the existing capital stock and it provides valuable time to develop low cost low carbon emitting substitutes others counter that a major flaw in analyses that support this line of reasoning is that they ignore learning by doing lbd in this paper we examine the impact of lbd on the timing and costs of emissions abatement with regard to timing we find that including learning by doing does not significantly alter the conclusions of previous studies that treated technology cost as exogenous the analysis supports the earlier conclusion that for a wide range of stabilization ceilings a gradual transition away from the no policy emissions baseline is preferable to one that requires substantial near term reductions we find that the major impact of including learning by doing is on the costs of emission abatement depending upon the sensitivity of costs to cumulative experience lbd can substantially reduce the overall costs of emissions abatement

technological change in economic models of environmental policy a survey this paper provides an overview of the treatment of technological change in economic models of environmental policy numerous economic modeling studies have confirmed the sensitivity of mid and long run climate change mitigation cost and benefit projections to assumptions about technology costs in general technical progress is considered to be a noneconomic exogenous variable in global climate change modeling however there is overwhelming evidence that technological change is not an exogenous variable but to an important degree endogenous induced by needs and pressures hence some environmenteconomy models treat technological change as endogenous responding to socio economic variables three main elements in models of technological innovation are i corporate investment in research and development ii spillovers from r d and iii technology learning especially learning by doing the incorporation of induced technological change in different types of environmental economic models tends to reduce the costs of environmental policy accelerates abatement and may lead to positive spillover and negative leakage

the secondary circuit of capital reconsidered globalization and the u s real estate sector1 the author examines the u s real estate sector to show how the state shapes global real estate flows and networks of activity through the creation and control of liquid resources the analysis focuses on the role of state laws and regulations in the expansion of the mortgage backed securities markets and the development of real estate investment trusts reits these institutional developments represent a series of ad hoc state efforts to delocalize residential and commercial property and embed real estate financing within global capital markets rather than viewing globalization as weakening the state the author argues that the u s state s capacity to influence the degree and development of liquidity is a powerful mechanism of globalization

why fundamental indexation might or might not work some proponents of fundamental indexation claim that the strategy is based on a new theory in which market prices of stocks deviate from fair values a key assumption in this approach is that fundamental weights are unbiased estimators of fair value weights that are statistically independent of market values this article demonstrates that except in trivial cases this assumption is internally inconsistent because the sources of the errors are also determinants of market values the article shows under what conditions fundamental weights are better or worse estimators of fair value weights than are market value weights thereby demonstrating that the new theory is merely a conjecture a formula is developed for the value bias inherent in fundamental weighting and two approaches to combining fundamental and market values are discussed

industrial companies demand for electricity evidence from a micropanel abstract the paper presents a micro econometric analysis of industrial companies demand for electricity previous studies on electricity consumption in the industrial sector have relied on aggregate data or cross section observations here we present an econometric study on electricity demand based on a panel of 2949 danish companies followed from 1983 to 1996 it is found that estimators of electricity demand that take account of the panel structure fixed effect models yield considerably lower price and production elasticities compared to estimators that do not like cross section models it is also investigated how various company characteristics like size type of industrial sub sector and electricity intensity in production influence price and production elasticities it appears that companies with a high electricity intensity also have a high own price elasticity

the financialization of business property and what it means for cities and regions halbert l henneberry j and mouzakis f the financialization of business property and what it means for cities and regions regional studies the papers in the special issue examine the strategies and practices of investors and their relations with other actors involved in the production of business property although the globalization of these activities has occurred largely in the last 10 20 years it has prompted marked changes in the geography of commercial property investment international capital has flowed to a limited number of favoured locations but because of the spatial fixity of real property local actors and institutions remain an important influence on investment decisions this poses challenges for urban development and regeneration policies that depend on private investment capital

empirical analysis of energy management in danish industry abstract in this article we examine energy management practice in the danish manufacturing industry the paper addresses the following to what extent is energy management put into practice in danish industry from which sources does danish industry obtain its information about making improvements in energy management based upon the results of a telephone survey covering 304 danish industrial firms and by use of our definition of the minimum requirements for energy management we concluded that between 3 and 14 practice energy management inspiration to manage energy comes from many different sources but the electricity utilities emerge as the main source of inspiration this leads to a presentation of a statistical model synthesising two types of energy management and two potential avenues that can lead to improved energy management one size fits all is not appropriate when giving incentives for firms to practice improved energy management possible variations between industrial sectors are addressed

dynamics of energy technologies and global change technological choices largely determine the long term characteristics of industrial society including impacts on the natural environment however the treatment of technology in existing models that are used to project economic and environmental futures remains highly stylized based on work over two decades at iiasa we present a useful typology for technology analysis and discuss methods that can be used to analyze the impact of technological changes on the global environment especially global warming our focus is energy technologies the main source of many atmospheric environmental problems we show that much improved treatment of technology is possible with a combination of historical analysis and new modeling techniques in the historical record we identify characteristic l such network e ects yield high barriers to entry even for superior competitors these simple observations allow three improvements to modeling of technological change and its consequences for global environmental change one is that the replacement of long lived infrastructures over time has also replaced the fuels that power the economy to yield progressively more energy per unit of carbon pollution from coal to oil to gas such replacement has d they also include endogenous generation of s we show that doing so can yield projections with lessened environmental impacts without necessarily incurring negative e ect on the economy arriving on that path by the year 2100 depends on intervening actions such as incentives to promote greater diversity in technology and lower barriers to entry for new infrastructures that could accelerate historical trends of decarbonization 1999 elsevier science ltd all rights reserved

emission trading under the kyoto protocol effects on fossil fuel markets under alternative regimes abstract the consequences of the kyoto protocol for the fossil fuel markets depend on which policy instruments are used in order to reach the emission targets this paper uses a numerical model to assess the significance of international emissions trading for the oil coal and gas markets three different trading regimes are compared particular attention is devoted to the eu proposal about limits on acquisitions and transfers of emission permits we find that the eu proposal will be non binding for buyers of emission permits but will significantly constrain the sale of emission permits from eastern europe the eu proposal will increase the level of abatement in annex b countries and will cause a sharp increase in the price of permits compared to the free trade equilibrium