multi region input output analysis of co2 emissions embodied in trade the feedback effects energy related co2 emissions embodied in international trade have been widely studied by researchers using the environmental input output framework despite the increasing interest in using the multi regional input output mrio model by researchers few studies have looked into the mechanism of feedback effects we introduce a method called the stepwise distribution of emissions embodied in trade swd eet to reveal how the emissions embodied in trade are absorbed by a country s final demands through a series of allocation steps a country s indirect absorption patterns and its indirect trade balance of emissions from bilateral trade with other countries are also studied based on the proposed method an empirical study using the data of asian economies shows significant differences in the consumption based emission estimates for some economies due to feedback effects through international trade the differences can be largely captured by the first step or the first two steps of the adjustment procedure in the swd eet analysis other findings and some recommendations are also presented

assessing the system and investor value of utility scale solar pv abstract with pressure to reduce greenhouse gas emissions from the energy and other sectors policymakers are increasingly seeking to mobilise investment in renewable electricity with support mechanisms the objective of this paper is to assess the value of utility scale solar pv using a multidisciplinary approach in many cases renewable energy strategies are developed by investors and policymakers on the basis of a relatively narrow analysis of costs however as policies should be designed to maximise societal welfare a wider paradigm is needed in decision making this paper argues for an impact assessment of renewable electricity generation that integrates its value from investor utility policy maker and end user perspectives we propose a multidisciplinary approach to the assessment combining engineering production cost estimation with financial and market analysis of utility scale solar pv in ireland the results show that while from an investor s perspective solar pv generation is and will likely remain so for the foreseeable future relatively expensive in a country with low solar irradiation such as ireland there are benefits for the electricity system in terms of reduced wind curtailment and to a lesser extent co2 emissions this demonstrates why the wider costs and benefits of integrating a renewable electricity technology to the system need to be considered in assessment of renewable policy support mechanism policy makers can then seek to maximise the system benefits while minimising the cost of any policy supports

optimal unemployment insurance for older workers this paper studies the optimal unemployment insurance for older workers in a repeated principal agent model where the search intensity of risk averse workers the agents is not observed by the risk neutral insurance agency the principal when unemployment benefits are the only available tool the insurance agency is not able to induce older workers to search for a job this is because of the short time horizon of workers close to retirement we propose to introduce a pension tax dependent on the length of the unemployment spell we show that this device performs better than a wage tax after re employment first it makes jobs more attractive as they are free of tax second because re employment will be short lived a pension tax is a more powerful incentive than a wage tax and provides more substantial fiscal gains to the agency finally a pension tax allows those workers near retirement who still do not exercise job search to smooth their consumption during their unemployment spell as if they could borrow against their future pension

life cycle equilibrium unemployment this paper extends the job creation job destruction approach to the labor market to take into account a deterministic finite horizon as hirings and separations depend on the time over which investment costs can be recouped the life cycle setting implies age differentiated labor market flows while search by the unemployed falls with age the separation rate is rather u shaped over the life cycle worker heterogeneity in the context of undirected search implies an intergenerational externality which is not eliminated by the hosios condition we show that age specific policies are required to attain the first best allocation

emissions embodied in chinese exports taking into account the special export structure of china abstract quantification of co 2 emissions embodied in china s trade is important for an informed debate on whom to blame for the recent rise in chinese emissions or the calculation of border carbon adjustments applying input output io techniques we calculate these emissions in 1 a standard model 2 a regionally disaggregated model taking into account that export production is concentrated in more advanced and more emission efficient provinces and 3 in a model with export processing taking into account that almost half of the chinese exports rely on a large share of imported intermediates and little domestic value and emissions added we compare year 2007 emissions embodied in chinese exports in a unified framework we also report emissions embodied in chinese imports used for intermediate production of exports by combining calculations for china with data from global io models we find that both a model with 30 provinces 1730 mt co 2 and a model accounting for export processing 1630 mt yield lower chinese emissions embodied in exports compared to the standard model 1782 mt in the regional model emissions are even lower 1522 mt if interprovincial trade is not taken into account

are unemployment and out of the labor force behaviorally distinct labor force states this paper tests the hypothesis that the classifications unemployed and out of the labor force are behaviorally meaningless distinctions this hypothesis is rejected distinct behavioral equations govern transitions from out of the labor force to employment and from unemployment to employment the evidence reported in this paper is broadly consistent with versions of search theory in which unemployment is a state that facilitates the job search process in an appendix we demonstrate that log concavity of the wage offer distribution implies that the exit rate from unemployment is an increasing function of the rate of arrival of job offers

on the importance of the participation margin for labor market fluctuations abstract conventional analyses of labor market fluctuations ascribe a minor role to labor force participation we show by contrast that flows based analyses imply that the participation margin accounts for around one third of unemployment fluctuations a novel stock flow apparatus establishes these facts delivering three further contributions first the role of the participation margin appears robust to adjustments for spurious transitions induced by reporting error second conventional stocks based analyses are subject to a stock flow fallacy neglecting offsetting forces of worker flows on the participation rate third increases in labor force attachment among the unemployed during recessions are a leading explanation for the role of the participation margin

misclassification errors and the underestimation of the us unemployment rate using recent results in the measurement error literature we show that the official u s unemployment rates substantially underestimate the true levels of unemployment due to misclassification errors in labor force status in current population surveys our closed form identification of the misclassification probabilities relies on the key assumptions that the misreporting behaviors only depend on the true values and that the true labor force status dynamics satisfy a markov type property during the period of 1996 to 2009 the corrected monthly unemployment rates are 1 to 4 6 percentage points 25 to 45 higher than the official rates and are more sensitive to changes in business cycles labor force participation rates however are not affected by this correction we also provide results for various subgroups of the u s population defined by gender race and age

impact of renewables deployment on the co2 price and the co2 emissions in the european electricity sector abstract as of 2005 electricity generators in europe operate under the european union emission trading system eu ets at the same time european member states have launched support mechanisms to stimulate the deployment of renewable electricity sources res e res e injections displace co 2 emissions within the sectors operating under the eu ets and they reduce the demand for european union allowances euas thereby reducing the eua price this paper presents the results of an ex post analysis to quantify the impact of res e deployment on the eua price and co 2 emissions in the western and southern european electricity sector during the period from 2007 to 2010 following from an operational partial equilibrium model of the electricity sector this study shows that the co 2 displacement from the electricity sector to other ets sectors due to res e deployment can be up to more than 10 of historical co 2 emissions in the electricity sector the eua price decrease caused by res e deployment turns out to be likely significant

the cyclicality of separation and job finding rates this paper uses cps gross flow data to analyze the business cycle dynamics of separation and job finding rates and to quantify their contributions to overall unemployment variability cyclical changes in the separation rate are negatively correlated with changes in productivity and move contemporaneously with them while the job finding rate is positively correlated with and tends to lag productivity contemporaneous fluctuations in the separation rate explain between 40 and 50 percent of fluctuations in unemployment depending on how the data are detrended this figure becomes larger when dynamic interactions between the separation and job finding rates are considered

cross sectional efficiency and labour hoarding in a matching model of unemployment we study positive and normative aspects of steady state equilibrium in a market where firms of endogenous size experience idiosyncratic shocks and undergo a costly search process to hire their workers the stylized model we propose highlights interactions between job security provisions and sectoral shocks in determining the natural rate of unemployment the allocation of labour and the extent of labour hoarding and rationalizes cross sectional asymmetries of gross employment flows at the firm level in our model where productivity and search costs are dynamically heterogeneous across firms decentralized wage bargains imply important cross sectional inefficiencies which overshadow the static search inefficiencies on which simpler models focus

embodied energy and intensity in china s normal and processing exports and their driving forces 2005 2015 abstract international trade has important impacts on a country s energy consumption this paper first uses the time series 2005 2015 extended input output database to study china s embodied energy and intensity in both normal and processing exports structural decomposition analysis sda is then applied to analyze the driving forces behind the embodiment changes the empirical results show that china s energy embodied in both normal and processing exports first increased in 2005 2008 dropped in 2009 due to the global financial crisis and then rose again after 2009 and finally dropped in 2014 2015 the embodied energy in trade as a percentage of total energy consumption in china was relatively stable before and after the global financial crisis at around 28 over the 2005 2008 period and 22 over the 2009 2015 period the contribution of the aggregate embodied intensity aei of exports to china s aggregate energy intensity dropped from 30 in 2005 to 21 in 2015 among china s trading partners the united states japan and korea together accounted for around half of china s embodied energy and aei in exports in 2005 but their shares dropped to only one third in 2015 energy efficiency improvement played the key role in reducing the embodied energy and intensity in china s exports similar analysis can be applied to other regions and indicators

unemployment and nonemployment heterogeneities in labor market states abstract the determination of how to distinguish between unemployment and nonparticipation is important and controversial the conventional approach employs a priori reasoning together with self reported current behavior this paper employs an evidence based classification of labor force status using information about the consequences of the behavior of the nonemployed we find that marginal attachment defined as desiring work although not searching is a distinct labor market state lying between those who do not desire work and the unemployed furthermore important heterogeneities exist within these nonemployment states two subsets of nonparticipants both engaged in waiting display behavior similar to the unemployed

china s provincial co2 emissions embodied in international and interprovincial trade trades create a mechanism of embodied co2 emissions transfer among regions causing distortion on the total emissions as the world s second largest economy china has a large scale of trade which results in the serious problem of embodied co2 emissions transfer this paper analyzes the characteristics of china s co2 emissions embodied in international and interprovincial trade from the provincial perspective the multi regional input output model is used to clarify provincial co2 emissions from geographical and sectoral dimensions including 30 provinces and 28 sectors two calculating principles production accounting principle and consumption accounting principle munksgaard and pedersen 2001 are applied the results show that for international trade the eastern area accounts for a large proportion in china s embodied co2 emissions the sectors as net exporters and importers of embodied co2 emissions belong to labor intensive and energy intensive industries respectively for interprovincial trade the net transfer of embodied co2 emissions is from the eastern area to the central area and energy intensive industries are the main contributors with the largest amount of direct co2 emissions the eastern area plays an important role in co2 emissions reduction the central and western areas need supportive policies to avoid the transfer of industries with high emissions

china s carbon emissions embodied in normal and processing exports and their driving forces 2006 2012 abstract this paper constructed a time series extended input output dataset 2006 2012 to analyze china s carbon emissions embodied in both normal and processing exports at a detailed 135 sector level the structural decomposition analysis sda was further applied to shed light on the driving forces behind the changes in their embodied emissions over the entire time period this empirical study confirms the importance of using the extended model for analyzing the trade related embodiment especially for processing exports the embodied emissions in both normal and processing exports first increased from 2006 to 2008 then dropped during the global financial crisis 2008 2009 and then rose again after 2009 the embodied emissions as a percentage of total co2 emissions were quite stable before and after the global financial crisis at around 24 over the 2006 2008 period and 18 over the 2010 2012 period from 2006 to 2012 emission intensity played the key role in reducing the embodied emissions around 595 mt co2 while the total export effect contributed the most to the increase in embodied emissions around 552 mt co2 similar analysis can be applied to other indicators such as energy water ghg emissions pollutants and materials

tracing co2 emissions in global value chains abstract this paper integrates two lines of research into a unified conceptual framework trade in value added and embodied emissions in trade this allows both value added and emissions to be systematically traced at the country sector and bilateral levels through various routes in global value chains by combining value added and emissions accounting in a consistent way the potential environmental cost along global value chains can be estimated from different perspectives like production consumption and trade using this unified accounting framework we trace value added and co 2 emissions in global production and trade networks among 41 economies in 35 sectors from 1995 to 2009 based on the world input output database and show how they improve our understanding of the impacts of cross border production sharing on the environment

input output analysis of co2 emissions embodied in trade and the driving forces processing and normal exports in recent years energy related co2 emissions embodied in international trade and the driving forces have been widely studied by researchers using the environmental input output framework most previous studies however do not differentiate different input structures in manufacturing processing exports and normal exports using china as an example this paper exemplifies how implications of results obtained using different export assumptions differ the study posits that the utilization of traditional i o model results in an overestimation of emissions embodied in processing exports and an underestimation in normal exports the estimate of co2 emissions embodied in china s exports drops by 32 when the extended i o model is used the choice of export assumption has more impact on the decomposition results for processing exports the study further highlights that for a country with an export structure similar to china it is meaningful to look into the impact of export assumption in embodied emission studies

evaluating the performance of the search and matching model abstract does the search and matching model fit aggregate u s labor market data while the model has become an important tool of macroeconomic analysis recent literature pointed to some significant failures in accounting for the data this paper aims to answer two questions i does the model fit the data and if so on what dimensions ii does the data fit the model i e what are the data which are relevant to be explained by the model the analysis shows that the model fits certain specifications of the data on many dimensions though not on all this includes capturing the high persistence and high volatility of most of the key variables the negative co variation of unemployment and vacancies and the behavior of the worker job finding rate a key role in this fit is played by the convexity of hiring costs and the stochastic properties of the separation rate the latter is a major component of the rate discounting the future value of the job worker match the paper offers a workable empirically grounded version of the model for the analysis of aggregate u s labor market dynamics

consumption based accounting and the trade carbon emissions nexus abstract this paper considers a recently developed consumption based carbon emissions database from which emissions calculations are made based on the domestic use of fossil fuels plus the embodied emissions from imports minus exports to test directly for the importance of trade in national emissions comparing such consumption based emissions data to conventionally measured territory based emissions data produces several useful conclusions for example most countries are net importers of carbon emissions their consumption based emissions are higher than their territory based emissions also while low and high income countries tend to have the largest ratios of consumption based emissions to territory based emissions the majority of middle income countries have ratios greater than one as well furthermore china alone is responsible for over half the global outflows of carbon via trade the econometric estimations which were robust across income levels determined that i trade was significant for consumption based emissions but not for territory based emissions ii exports and imports offset each other so that exports lower consumption based emissions whereas imports increase them and iii the fossil fuel content of a country s energy mix is more important likely significantly so for territory based emissions than for consumption based emissions and iv domestic fossil fuel prices oil gasoline had a negative impact on territory based emissions but were insignificant for consumption based emissions hence there is a wedge between i the emissions a country is responsible for consumption based emissions and ii the emissions that a country s domestic policies affect territory based emissions so countries should have both an interest and a responsibility to help lower the carbon intensity of energy in countries that are particularly important for global carbon transfers china and india

firm ownership china s export related emissions and the responsibility issue abstract china s co 2 emissions and those embodied in its exports have been extensively studied one often neglected aspect is the prevalence of foreign invested enterprises fies in china s exports for which a substantial portion of benefits return to the investing countries in this paper we revisit china s export related co 2 emission responsibilities by viewing them from a new gross national income perspective using a recently developed environmental input output framework one which distinguishes firms by ownership and trade mode we find that china s co 2 emissions responsibility for each yuan of national income from fie exports is actually higher than that attributable to chinese owned enterprise coe exports the result has a somewhat surprising implication it suggests another source of conflict between china s and global interest in reducing co 2 emissions from a purely chinese as opposed to global standpoint a higher share of exports by coes rather than fies is favorable even though coes emit more co 2 when producing each unit of exports this finding should sound an additional warning to those who still think that global climate change mitigation can be effectively pursued by allocating country by country emissions responsibility

the effects of direct trade within china on regional and national co2 emissions curbing national carbon emissions and clarifying regional carbon reduction responsibility are two challenges faced by china both of which are influenced by interregional trade to exclude the influence of trade balance this paper proposes a methodology to parcel the pollution haven hypothesis into a multi regional input output model applies it to a longer time gap which is made up of two representative periods of chinese economy 1997 2002 and 2002 2007 and clarifies the provincial and sectoral contributions to national emissions we find that 1 embodied co2 emissions first remain relatively stable and then increase sharply for the two periods and the changing trends are mainly determined by the decreasing carbon intensity and the expanding trade scale respectively 2 with the secondary industry as the main contributor regional carbon spillover is mainly concentrated in the coastal provinces but it contributes to an increase of co2 emissions in the central and western regions 3 the coastal and inland provinces contribute to the increase of national carbon emissions through interregional imports and exports respectively but the pollution haven hypothesis is not obvious and is only observed in 2002

upgrading or downgrading china s regional carbon emission intensity evolution and its determinants one of china s major national targets is to environmentally upgrade its economy in this paper we define environmental upgrading as lowering the carbon intensity the disparities among china s regions suggest to examine china s carbon emission performance at the regional level for this purpose we use inter regional input output tables for 2002 2007 and 2012 that distinguish processing exports from ordinary exports the regional emission intensities eis show environmental downgrading in the period 2002 2007 and upgrading during 2007 2012 to identify the determinants of the evolution of regional eis we have employed a multiplicative structural decomposition analysis changes in direct emission coefficients and changes in production technology are found to be the major determinants however next to these standard determinants we also evaluate the effects on the changes in regional eis of changes in inter regional trade and changes in inter regional spillovers changing inter regional trade is found to have increased the ei significantly in western and central regions this suggests that more dirty production was shifted from coastal to inland regions our study yields clear policy recommendations for achieving china s transformation to a low carbon economy c 2020 elsevier b v all rights reserved

co2 abatement from renewables in the german electricity sector does a co2 price help abstract the overlapping impact of the emission trading system ets and renewable energy re deployment targets creates a classic case of interaction effects whereas the price interaction is widely recognized and has been thoroughly discussed the effect of an overlapping instrument on the abatement attributable to an instrument has gained little attention this paper estimates the actual reduction in demand for european union allowances that has occurred due to re deployment focusing on the german electricity sector for the five years 2006 through 2010 based on a unit commitment model we estimate that co 2 emissions from the german electricity sector are reduced by 35 to 60 mtons or 10 to 18 of what estimated emissions would have been without any re policy but with the co 2 price remaining in place at the observed level furthermore we find that the abatement attributable to re injections is greater in the presence of an allowance price than otherwise the same holds for the ets effect in presence of re injection this interaction effect is consistently positive for the german electricity system at least for the considered years and on the order of 0 5 to 1 5 of emissions

driving factors of carbon embodied in china s provincial exports in this paper we use the multi regional input output model mrio and logarithm mean divisia index approach to analyze the changes in china s carbon embodied in exports cee at the national and provincial levels the results indicate that the total cee and the cee of 17 provinces including all eastern provinces decreased between 2007 and 2010 the largest decrease in total cee is caused by an input structural effect which decreases the cee of most of the provinces the technique effect arising from changes in provincial carbon intensities causes the second largest decrease in total cee and it effectively reduces the cee of most of the provinces especially the eastern provinces changes in the export composition of most of the provinces also decrease the provincial cee a change in the provincial distribution of exports decreases the cee in 11 provinces on the one hand and increases the cee in 19 provinces on the other hand a change in export volume increases the cee of each province and the whole country but its total effect is evidently lower than the input structural effect and the technique effect c 2015 elsevier b v all rights reserved

estimating the co2 abatement cost substitute price of avoiding co2 emission spae by renewable energy s feed in tariff in selected countries abstract many renewable energy policies are looking into new incentives to absorb investments by targeting abating co 2 emission and fixing energy price fluctuation feed in tariff fit is a policy for rebating the amount of generated renewable electricity to investor fit is also defined as a co 2 mitigation policy in electricity generation from renewable sources this paper presents a cost benefit survey that estimates the real produced carbon dioxide for electricity generation in selected countries this study introduces the substitute price of avoiding co 2 emission as an indicator the new indicator shows how much is paid for avoiding co 2 by each selected countries through the fit policy for renewable technologies the amount calculated for solar energy is taken as a case in this paper the result confirms that the fit policy reasonably works for solar energy in absorbing investment however the fit policy claims a large portion of liquidity compared with other approaches hence makes this mechanism inept as a co 2 mitigation policy

cost and co2 reductions of solar photovoltaic power generation in china perspectives for 2020 abstract to improve the understanding of the cost and benefit of photovoltaic pv power generation in china we analyze the per kwh cost fossil energy replacement and level of co2 mitigation as well as the cost per unit of reduced co2 of pv power generation in 2020 at the province level three potential pv systems are examined large scale pv lspv building integrated pv bipv and distributed pv systems used in remote rural areas which have very low capacities the results show that in 2020 pv power generation could save 17 4 mtce fossil energy and 46 5 tg co2 compared with 600 mwe coal fired supercritical units also in 2020 the costs of solar electricity could be reduced by approximately 60 as compared to 2010 but would still be 11 74 higher than the current grid prices the pv electricity costs vary significantly among provinces in the economically developed eastern provinces the pv electricity mainly bipv is 0 67 0 86 rmb kwh this rate is close to grid parity owing to high grid prices but the co2 mitigation cost is high 456 693 rmb mg co2 the pv electricity mainly lspv in solar resource rich western provinces has lower cost 0 45 0 75 rmb kwh and lower co2 mitigation cost 172 419 rmb mg co2 but is farther from grid parity due to the low local grid price from a cost effective perspective lspv in the west provinces should be the first priority in pv deployment strategies and should receive strong financial support from the government this study provides a quantitative province specific analysis of pv power generation which can be used to support various pv subsidy policies

input output analysis of co2 emissions embodied in trade competitive versus non competitive imports energy related co2 emissions embodied in international trade have been widely studied by researchers using the environmental input output framework in the literature two different approaches to deal with emissions embodied in a country s imports can be found one of the approaches is based on the assumption of competitive imports while the other is based on the assumption of non competitive imports we show that the implications of the results obtained using different imports assumptions are not the same the approach using the competitive imports assumption gives estimates larger than those obtained using the non competitive import assumption the differences between the two embodiment estimates come from the transition of embodied emissions in china s imports for intermediate consumption to those in china s exports this explains why relatively high estimates of co2 emissions embodied in china s exports are reported in several recent studies appearing in energy policy

sources and flows of china s virtual so 2 emission transfers embodied in interprovincial trade a multiregional input output analysis abstract china faces immense difficulties caused by its domestic regional air pollution caused by atmospheric diffusion of pollutants across administrative boundaries because of the closer interregional economic connections that have formed in this study we focus on the virtual flows of pollutants embodied in interprovincial trade we compared two methods embodied emissions in bilateral trade eebt and the multiregional input output mrio model to determine emission flows for 2002 and 2007 and found that the results between these two approaches differed significantly particularly for the year 2007 this indicates that the choice of the accounting method has obvious impacts on subsequent decisions further analysis based on the mrio method which captures the complete interregional supply chains and is more applicable to consumption based studies showed that the embodied so 2 emissions in interprovincial trade accounted for 27 58 of the total so 2 emissions in china in 2002 and 35 25 in 2007 inner mongolia shanxi and guizhou were the major embodied emission exporting regions with sources mainly from the electricity nonmetal mineral production chemicals and metal smelting sectors the exported emissions mainly ended up in rich provinces including beijing tianjin shanghai and guangdong due to those provinces final demands for products of the construction food production and transport equipment manufacturing sectors furthermore rich provinces were net importers in interprovincial trade with a pollution terms of trade value less than one the results yield important implications for china s air pollution controls emission reduction tasks should be reasonably distributed among provinces to prevent developed provinces from outsourcing more pollution emissions to less developed provinces through interprovincial trade regulation of consumption in developed provinces would help to control national pollution financial and technical support for pollution control should favor the less developed regions

search frictions and labor market participation abstract cross country differences in labor market participation are often larger than differences in unemployment rates the same holds true across demographic groups within a given economy we argue that the interaction between labor force participation decisions and labor market frictions can help us understand these patterns this interaction highlights dynamic aspects of the participation decision in contrast to standard textbook treatments that emphasize static costs and benefits of participation we extend the standard labor market search problem to allow for a third state non participation and assumes that stochastic participation costs precipitate flows into and out of non participation we fully characterize the worker s decision problem and use numerical simulations to demonstrate how participation patterns vary with individual characteristics and with labor market conditions

unemployment insurance takeup rates and the after tax value of benefits the recent decline in the unemployment insurance ui takeup rate has puzzled researchers using administrative data with accurate information on the potential level and duration of benefits we examine whether a separating employee receives ui we find a strong positive effect of the benefit level on takeup and smaller effects of the potential duration and the tax treatment of benefits simulations indicate that the recent inclusion of ui in the income tax base can account for most of the previously unexplained decline in ui receipt

labor market shocks and retirement do government programs matter abstract this paper argues that labor market conditions are an important and often overlooked determinant of retirement transitions in our analysis we examine how the unemployment rate affects retirement and whether the social security ss system and unemployment insurance ui system influence how older workers respond to labor market shocks we use pooled cross sectional data from the march current population survey cps in our analysis we find that downturns in the labor market increase retirement transitions and that the magnitude of this effect is comparable to that associated with moderate changes in financial incentives to retire and to the threat of a health shock facing older workers interestingly retirements only increase in response to an economic downturn once workers become ss eligible suggesting that retirement benefits may help to alleviate the income loss associated with a weak labor market we also estimate the impact of ui generosity on retirement and find little consistent evidence of an effect this suggests that in some ways ss may serve as a more effective form of unemployment insurance for older workers than ui

input output analysis of co2 emissions embodied in trade the effects of sector aggregation abstract energy related co2 emissions embodied in international trade have been widely studied by researchers using the environmental input output analysis framework it is well known that both sector aggregation and spatial aggregation affect the results obtained in such studies with regard to the latter past studies are often conducted at the national level irrespective of country or economy size for a large economy with the needed data studies may be conducted at different levels of spatial aggregation we examine this problem analytically by extending the work of su et al su b huang h c ang b w zhou p 2010 input output analysis of co2 emissions embodied in trade the effects of sector aggregation energy economics 32 1 166 175 on sector aggregation we present a numerical example using the data of china and by dividing the country into eight regions it is found that the results are highly dependent on spatial aggregation our study shows that for a large country like china it is meaningful to look into the effect of spatial aggregation

china s emissions embodied in exports how regional and trade heterogeneity matter abstract trade facilitates the shifts of emissions from one place to another although studies have shown that regionally disaggregated model and model that distinguishes processing exports at national level are necessary to estimate the embodied emissions in china s exports no study evaluates this issue by simultaneously taking both regional and trade heterogeneity into account to fill this gap we re estimate the co2 emissions embodied in china s exports at both regional and industrial level by using the newly developed inter regional input output iriop model that distinguishes processing trade from other trade at regional level results show that comparing to the iriop model the traditional multi regional input output mrio model has overestimated the environmental loss from exports by 14 25 in 2002 and 7 20 in 2012 for different regions the largest bias is found in regions and industries with the highest processing export shares therefore the iriop model gives more accurate accounting on the regional environmental loss due to national exports and thus is important for establishing effective emission mitigation policies

empirical age earnings profiles the human capital earnings function in which earnings are expressed as a quadratic in potential experience is probably the most widely accepted empirical specification in economics in spite of its widespread acceptance the human capital earnings function provides a very poor approximation of the true empirical relationship between earnings and experience the standard formulation understates early career earnings growth by about 30 50 and overstates midcareer growth by 20 50 however simple alternative specifications that fit the data are available

job search and savings wealth effects and duration dependence this article studies a risk averse worker s optimal savings and job search behavior as she moves back and forth between employment and unemployment we show that job search effort is negatively related to wealth under the assumption of additively separable utility consequently job search exhibits positive unemployment duration dependence because wealth is drawn down to smooth consumption as the spell progresses finally given optimal search savings still provide imperfect insurance against income fluctuations precautionary savings are built up during employment spells and run down during unemployment spells but the consumption path will not be perfectly smooth over states

distance to retirement and older workers employment the case for delaying the retirement age this paper presents empirical evidence and a theoretical foundation in favor of the view that the retirement age decision affects older workers employment prior to retirement to the extent that there are search frictions on the labor market the return on jobs is determined by their expected duration the time to retirement is then key to understanding older workers employment countries with a retirement age of 60 are indeed characterized by lower employment rates for workers aged 55 59 based on the french labor force survey we show that the likelihood of employment is significantly affected by the distance to retirement in addition to age and other relevant variables we then extend mccall s job search model by explicitly integrating life cycle features with the retirement decision using simulations we show that the distance effect in interaction with the generosity of unemployment benefits and the depressed demand for older workers explains the low rate of employment just before the eligibility age for the social security pension finally we show that implementing actuarially fair schemes not only extends the retirement age but also encourages a more intensive job search by older unemployed workers jel j22 j26 h55

spatial spillover effects in determining china s regional co 2 emissions growth 2007 2010 abstract this study proposes an alternative input output based spatial structural decomposition analysis to elucidate the importance of domestic regional heterogeneity and inter regional spillover effects in determining china s regional co 2 emissions growth our empirical results based on the 2007 and 2010 chinese inter regional input output tables show that changes in most regions final demand scale final expenditure structure and export scale have positive spatial spillover effects on other regions co 2 emissions growth changes in most regions consumption and export preference help reduce other regions co 2 emissions changes in production technology and investment preferences may exert positive or negative effects on other region s co 2 emissions growth through domestic supply chains for some regions the aggregate spillover effect from other regions may be larger than the intra regional effect in determining regional emissions growth all these facts can significantly help provide a better deeper understanding of the driving forces behind the growth of regional co 2 emissions and can thus enrich the policy implications concerning a narrow definition of carbon leakage through domestic inter regional trade as well as a relevant political consensus about responsibility sharing between developed and developing regions inside china

wage risk and employment risk over the life cycle we specify a structural life cycle model of consumption labour supply and job mobility in an economy with search frictions that allows us to distinguish between different sources of risk and to estimate their effects the sources of risk are shocks to productivity job destruction the process of job arrival when employed and unemployed and match level heterogeneity our model allows for four main social insurance programmes in contrast to simpler models that attribute all income fluctuations to shocks our framework allows us to disentangle the effects of the shocks from the responses to these shocks estimates of productivity risk once we control for employment risk and for individual labour supply choices are substantially lower than estimates that attribute all wage variation to productivity risk increases in productivity risk impose a considerable welfare loss on individuals and induce substantial precautionary saving increases in employment risk have large effects on output and primarily through this channel affect welfare the welfare value of government programs such as food stamps which partially insure productivity risk is greater than the value of unemployment insurance which provides partial insurance against employment risk and no insurance against persistent shocks

unemployment participation and worker flows over the life cycle we estimate and report life cycle transition probabilities between employment unemployment and inactivity for male workers using current population survey monthly files we assess the relative importance of each probability in explaining the life cycle profiles of participation and unemployment rates using a novel decomposition method a key robust finding is that most differences in participation and unemployment over the life cycle can be attributed to the probability of leaving employment and the probability of transiting from inactivity to unemployment while transitions from unemployment to employment the job finding probability play secondary roles we then show that a simple life cycle extension of a three state labor search model with leisure shocks can qualitatively replicate the empirical unemployment and participation life cycle profiles without introducing age or worker heterogeneity in market abilities we conclude that models that seek to explain life cycle work patterns should not ignore transitions to and from inactivity

china s inter regional spillover of carbon emissions and domestic supply chains in this study we apply the inter regional input output model to explain the relationship between china s inter regional spillover of co2 emissions and domestic supply chains for 2002 and 2007 based on this model we propose alternative indicators such as the trade in co2 emissions co2 emissions in trade and the regional trade balances of co2 emissions our results do not only reveal the nature and significance of inter regional environmental spillover within china s domestic regions but also demonstrate how co2 emissions are created and distributed across regions via domestic and global production networks results show that a region sc o2 emissions depend on its intra regional production technology energy use efficiency as well as its position and participation degree in domestic and global supply chains 2013 elsevier ltd all rights reserved

measuring the progress and impacts of decarbonising british electricity abstract britain s ambitious carbon targets require that electricity be immediately and aggressively decarbonised so it is reassuring to report that electricity sector emissions have fallen 46 in the three years to june 2016 their lowest since 1960 this paper analyses the factors behind this fall and the impacts they are having the main drivers are demand falling 1 3 per year due to efficiency gains and mild winters gas doubling its share to 60 of fossil generation due to the carbon price floor and the dramatic uptake of wind solar and biomass which now supply up to 45 of demand accounting conventions also play their part imported electricity and biomass would add 5 and 2 to emissions if they were included the pace of decarbonisation is impressive but raises both engineering and economic challenges falling peak demand has delayed fears of capacity shortage but minimum net demand is instead becoming a problem the headroom between inflexible nuclear and intermittent renewables is rapidly shrinking with controllable output reaching a minimum of just 5 9 gw as solar output peaked at 7 1 gw 2015 also saw britain s first negative power prices the highest winter peak prices for six years and the highest balancing costs

aggregate implications of indivisible labor incomplete markets and labor market frictions this paper analyzes a model that features frictions an operative labor supply margin and incomplete markets we flrst provide analytic solutions to a benchmark model that includes indivisible labor and incomplete markets in the absence of trading frictions we show that the steady state levels of aggregate hours and aggregate capital stock are identical to those obtained in the economy with employment lotteries while individual employment and asset dynamics can be difierent second we introduce labor market frictions to the benchmark model we flnd that the efiect of the frictions on the response of aggregate hours to a permanent tax change is highly non linear we also flnd that there is considerable scope for substitution between voluntary and frictional nonemployment in some situations

on the cyclical behavior of employment unemployment and labor force participation abstract in this paper i evaluate to what extent a real business cycle rbc model that incorporates search and home production decisions can simultaneously account for the observed behavior of employment unemployment and out of the labor force this contrasts with the previous rbc literature which analyzed employment or hours fluctuations either by lumping together unemployment and out of the labor force into a single non employment state or by assuming a fixed labor force once the three employment states are explicitly introduced i find that the rbc model generates highly counterfactual labor market dynamics

two questions about european unemployment a general equilibrium search model makes layoff costs affect the aggregate unemployment rate in ways that depend on equilibrium proportions of frictional and structural unemployment that in turn depend on the generosity of government unemployment benefits and skill losses among newly displaced workers the model explains how before the 1970s lower flows into unemployment gave europe lower unemployment rates than the united states and also how after 1980 higher durations have kept unemployment rates in europe persistently higher than in the united states these outcomes arise from the way europe s higher firing costs and more generous unemployment compensation make its unemployment rate respond to bigger skill losses among newly displaced workers those bigger skill losses also explain why u s workers have experienced more earnings volatility since 1980 and why especially among older workers hazard rates of gaining employment in europe now fall sharply with increases in the duration of unemployment

the measurement of unemployment an empirical approach although the unemployment rate is one of the most widely cited and closely monitored economic statistics the definition and measurement of unemployment remain controversial an important issue is whether non employed persons who display a marginal attachment to the labor force for example those who are available for and desire work but are not searching for work should be classified as unemployed or non participants although this issue has been extensively debated it has never been tested empirically this paper carries out empirical tests of this and related hypotheses using a unique longitudinal data set from canada we find within the marginally attached a waiting group whose behavior indicates that they would be more appropriately classified as unemployed rather than out of the labor force the remainder of the marginally attached exhibit behavior between that of the unemployed and the balance of non participants suggesting that the desire for work among non searchers conveys substantial information about labor force attachment and future employment status our methods also apply to heterogeneity within the unemployed and we investigate behavioral variation linked to differences in job search methods and reasons for entry into unemployment although those using passive job search do exhibit behavior somewhat distinct from active searchers our results reject the practice of classifying passive job searchers as out of the labor force overall our results indicate that the non employed are very heterogeneous so that any single division into unemployment and out of the labor force is unlikely to fully capture the variety of degrees of labor force attachment this abstract was borrowed from another version of this item

life cycle economies and aggregate fluctuations do the implications for business cycle issues change when we switch from studying infinitely lived representative agent models to more sophisticated demographic structures with finitely lived agents this article addresses that question by using a large overlapping generations model that is calibrated to u s demographic properties microeconomic evidence and national income and product accounts the finding is that the answers obtained are basically the same for the two kinds of models the article also explores the relative volatility of hours across age groups an issue that cannot be addressed by using the infinitely lived representative agent abstraction

embodied environmental damage in interregional trade a mrio based assessment within china abstract a new lifelong accountability system for ecological and environmental damage will be established for local officials in china however if this new production based accountability system does not consider the responsibilities of consumers it is likely to aggravate the imbalance of regional development using a multi regional input output model this paper tracked the environmental damage transfers in interprovincial trade trade related damage from four major pollutants was quantified for each province in 2007 the results show that nearly 45 of the environmental damage that occurs at home to meet consumption in other regions can be ascribed to the interprovincial trade flows in china in 2007 the north municipalities the east coast and the south coast where the share of production based environmental damage in relation to the local gdp is lower transferred environmental damage to the developing northwest and central regions to make the local gdp greener via interregional trade leading to inequality in regional development it is suggested that the importance of environmental damage from a consumer perspective should be integrated into the future implementation of the new lifelong accountability system

age dependent employment protection this paper examines the age related design of firing taxes by extending the theory of job creation and job destruction to account for a finite working life time we first argue that the potential employment gains related to employment protection are high for older workers as they are magnified by the proximity to retirement but higher firing taxes for these workers increase job destruction rates for the younger generations furthermore from a normative standpoint when firms cannot ex ante age direct their search the impact of each generation of unemployed workers on the average return on vacancies makes the internalization of the search costs for the other generations imperfect through the ex post nash bargaining process we show that the first best age profile of firing taxes is typically hump shaped partially in contradiction with existing policies in some european countries taking into account the fact that the human capital of older workers is more specific than general tends to exacerbate these results

location matters the impact of renewable power on transmission congestion and emissions abstract many governments offer subsidies for renewable power to reduce greenhouse gas emissions in the power sector however most support schemes for renewable power do not take into account that emissions depend on the location of renewable and conventional power plants within an electricity grid i simulate optimal power flow in a test grid when 4 renewable power plants connect to the grid across 24 potential sites amounting to over 10 000 configurations each configuration is associated with different levels of emissions and renewable power output i find that emission reductions vary by a factor of 7 and that curtailment due to transmission congestion is more likely when renewable power plants are concentrated in an area of the grid with low demand large cost savings could be obtained by allowing subsidies for renewable power to vary across locations according to abatement potential or by replacing subsidies with a price on emissions

econometric modeling of co2 emissions abatement comparing alternative approaches abstract as investments and policies that promote renewable energy re projects in electricity systems are most often grounded on the goal of reducing emissions of greenhouse gases and actual investment and policy decisions are shaped by the estimates of the accrued emissions savings it is crucial that these estimates are as accurate as possible in this paper we compare different econometric models that estimate the amount of carbon abated due to re in terms of their results and their inherent methodological benefits and drawbacks specifically we use the british french and spanish grids as case studies for the application of a selection of econometric models and compare the resulting co2 abatement estimates we find that across the three markets estimates can vary substantially across the different models this can lead to an over or underestimation of the emissions abated by re overall our results highlight the need for choosing econometric specifications that lead to results that are congruent with the operational framework of the examined power systems

the costs of charging plug in electric vehicles pevs within day variation in emissions and electricity prices abstract the social costs of charging plug in electrical vehicles pevs that vary by times of day and by levels of emissions in electricity production are investigated using data available for the sacramento area in the united states for 2013 we estimate marginal emission rates of electricity and marginal price of electricity provided for charging pevs at different times of the day as the marginal emission rates and wholesale electricity price have different daily patterns there is a trade off between emission and charging cost moreover the estimates in the literature of the social costs for the most important emission co2 vary substantially implying that the social cost of charging pevs vary with the assumed cost simulations show that the charging time of lowest social costs for pevs is found to be at midnight if the social cost of co2 is not very high