in defence of historical accountability for greenhouse gas emissions abstract this commentary argues in defence of equal per capita emissions with historical accountability as a general rule for allocating the right to emit greenhouse gases historical accountability takes into account historical inequalities in per capita emissions implicitly it gives every human being an equal share of the global resource atmosphere independent of place or time three reasons are put forward to argue why historical accountability should be the guiding principle for an international agreement allocating rights of emissions in addition as it has been dismissed by many scholars six arguments are given to refute objections against historical accountability

design and analysis of simulated consumer choice or allocation experiments an approach based on aggregate data the authors integrate concepts in conjoint analysis and discrete choice theory in econometrics to develop a new approach to the design and analysis of controlled consumer choice or resource allocat

the symmetry between controlling pollution by price and controlling it by quantity under ideally competitive conditions both controlling pollution by price using a combined charge subsidy scheme and controlling it by quantity using a marketable permit scheme can achieve short and long run efficiency and also political acceptability provided that both schemes embody the same degree of environmental ownership the resulting full symmetry between control by price and control by quantity a symmetry overlooked in the literature because of the entry exit assumptions automatically made for most subsidy schemes allows a useful practical choice to be made between the two control systems

sharing the burden for climate change mitigation in the canadian federation dividing the burden for greenhouse gas abatement amongst the provinces has proven challenging in canada and is a major factor contributing to canada s poor historic performance on greenhouse gas abatement as the country aims to achieve substantial cuts to emissions over the next decade and by mid century such burden sharing considerations are likely to be elevated in importance this paper uses a calibrated multi region multi sector computable general equilibrium model to compare a number of archetypal rules for sharing the burden of a joint commitment amongst members for the case of greenhouse gas reductions in canada because of the substantial heterogeneity amongst canadian provinces these different burden sharing rules imply signifcantly different relative abatement effort amongst provinces and also signifcantly different welfare implications when emission permits are allocated on an equal per capita basis welfare is increased in ontario british columbia quebec and manitoba and signifcantly reduced in alberta and saskatchewan in contrast when emission permits are allocated based on historic emissions alberta and saskatchewan are made better off and ontario british columbia quebec and manitoba are made worse off we compare these archetypal burden sharing rules to existing provincial emission reduction commitments and find that none of the standard burden sharing rules comes close to existing commitments we argue that the debate on burden sharing of greenhouse gas abatement in canada could be objectified if informed by coherent quantitative analysis such as the one presented here

a dynamic analysis of the marketable permits approach to global warming policy a comparison of spatial and temporal flexibility abstract this paper presents a generalized dynamic model of greenhouse gas emissions trading under constraints on the volume of transactions an empirical version of the model is used to evaluate potentially cost saving flexibility mechanisms joint implementation and clean development mechanism and potentially cost adding restrictions supplementarity of the kyoto protocol the results indicate the greatest gains would stem from extending permit trading spatially among industrialized nations although sizable gains would also emanate from the inclusion of developing countries gains from intertemporal trading banking and borrowing are meager restrictions on the volume of permit purchases have by far the most costly effect when developing countries are incorporated into trading sensitivity tests with respect to differential discount rates across countries and technological change indicate the results are robust

using contests to allocate pollution rights in this paper we advocate a new initial allocation mechanism for a tradable pollution permit market we outline a permit allocation contest pac that distributes permits to firms based on their rank relative to other firms this ranking is achieved by ordering firms based on an observable external action where the external action is an activity or characteristic of the firm that is independent of their choice of emissions in the tradable permit market we argue that this mechanism has a number of benefits over auctioning and grandfathering using this mechanism efficiently distributes permits allows for the attainment of a secondary policy objective and has the potential to be more politically appealing than existing alternatives

the kyoto protocol a review and perspectives international concern about climate change has led to the kyoto protocol negotiated in 1997 which contains legally binding emission targets for industrialized countries to be achieved during the commitment period 2008 2012 while proponents of the protocol celebrate it as a breakthrough in international climate policy opponents criticize that its approach namely setting targets and timetables for emission reductions is seriously flawed this paper provides a critical assessment of the protocols potential performance and discusses amendments to foster its effectiveness and efficiency it concludes that even without any effective emission reductions in the initial commitment period the ratification of kyoto is important for the further policy process of climate protection the kyoto protocol has established a flexible broad based international mechanism that provides a valuable starting point for shaping efficient climate policies in the future

equilibrium characteristics of multinomial logit market share models previous research suggests that a multinomial logit model of market share can be used in optimization or equilibrium analyses of marketing decision making however there are significant problems w

welfare specifications and optimal control of climate change an application of fund the sensitivity of the optimal control of carbon dioxide emissions to the specification of the social welfare function is systematically explored using the fund model increasing risk aversion emphasises climate change damages relative to emission reduction costs but at the same time increases the discount rate of consumption without international co operation the discount rate effect dominates so that optimal control decreases with increasing risk aversion with international co operation optimal control first increases then decreases with increasing risk aversion since climate change falls heaviest on the poor optimal control increases with increasing inequity aversion full fledged intergenerational welfare functions on the one hand emphasise climate change damages but on the other hand place more weight on current poorer generations in fund the two tendencies almost cancel

regional allocation of carbon emission quotas in china evidence from the shapley value method abstract it is an important task for china to allocate carbon emission quotas among regions so as to realize its carbon reduction targets and establish the national cap and trade carbon market meanwhile it is supposed to be cost effective to jointly reduce china s carbon emissions through some collaborative activities among regions then a natural question is how to allocate the quotas among regions in light of the collaboration for this purpose the shapley value method is adopted and the results show that first the regions with higher gdp higher carbon outflow and higher carbon reduction connection should be allocated more carbon quotas moreover when the collaboration is considered the optimal allocation of carbon quotas among regions will change significantly compared to the basic quotas by the entropy method and the central region is allocated the largest proportion of carbon quota among regions which indicates its largest radiation effect besides the collaboration between the central region and northern coast region and that between the central region and the eastern region should be paid close attention these results may provide insightful support for decision makers to promote collaborative carbon reduction and allocate carbon quotas in china

order of entry as a moderator of the effect of the marketing mix on market share order of entry has been demonstrated to have a significant effect on market share a number of explanations for this effect have been suggested in the marketing and strategy literatures to date the market share advantage gained by pioneers has typically been treated as a main effect an automatic regularity treating order of entry as a main effect implies that there is no penalty on the effectiveness of a brand s marketing instruments for late entry and that a late entrant can compensate for being late by dedicating sufficient marketing resources to their product in this study we investigate the influence of order of entry into a market on the effectiveness of a firm s marketing mix decisions by asking the question can followers compensate for not being first by their marketing mix decisions also even if they can compensate for being late does this effort become increasingly more difficult with later entry that is are there asymmetries in the effectiveness of a brand s marketing mix variables that relate to its order of entry into the market or as has been typically assumed to date is order of entry strictly a main effect an asymmetry exists for example if the market response to advertising is different for the first entrant versus the second or third entrant an asymmetry also exists if the effects of say a price change by the first entrant on the second entrant are different than the effects on the third entrant we develop a market share attraction model where the parameters vary as a function of order of entry our main contribution is in modeling the sources of order of entry advantage as asymmetries in the effectiveness of a brand s marketing instruments hence distinct from previous research we explain why there are inherent order of entry effects this paper is potentially of interest to researchers developing market share models and studying the effectiveness of marketing mix variables the substantive implication of our results concern directly academics interested in marketing strategy as well as the practicing marketing strategists we model asymmetries in the market response of early entrants versus late entrants using data from two durables and three nondurables categories with one exception all data sets are established from the inception of the category and hence do not suffer from the possible bias of excluding pioneers who have failed results show that asymmetries in the effectiveness of a brand s marketing mix variables are an essential source of order of entry effects we find that the main effects of order of entry are minimal order of entry effects do not necessarily lead to lower shares but overcoming these effects is not without substantial cost to the late entrant our results support previous research that has demonstrated advantages to early entry in addition we provide guidelines for how late entrants should compete later entry tends to reduce a competitor s price sensitivity suggesting that they not instigate in a price war with earlier entrants in order to gain share order of entry tends to decrease response to quality and to promotion to achieve the same impact on market share later entrants need a bigger change in quality and need to spend more on promotion our data did not support an asymmetric effect on advertising

who should abate carbon emission we review the optimal pattern of carbon emission abatements across countries in a simple multi country world we model explicitly with the model in chichilnisky 4 the fact that the atmosphere is a public good within this framework we establish conditions for it to be necessary for optimality that the marginal cost of abatement be the same in all countries these condition are quite restrictive and amount to either ignoring distributional issues between countries or operating within a framework within which lump sum transfers can be made between countries these results have implications for the use of tradeable emission permits which as normally advocated will lead to the equalization of marginal abatement costs across countries the observation that the atmosphere is a public good implies that we may need to look at a lindahl equilibrium rather than a walrasian equilibrium in tradeable permits

distributional aspects of emissions in climate change integrated assessment models the recent failure of copenhagen negotiations shows that concrete actions are needed to create the conditions for a consensus over global emission reduction policies a wide coalition of countries in international climate change agreements could be facilitated by the perceived fairness of rich and poor countries of the abatement sharing at international level in this paper i use two popular climate change integrated assessment models to investigate the path and decompose components and sources of future inequality in the emissions distribution results prove to be consistent with previous empirical studies and robust to model comparison and show that gaps in gdp across world regions will still play a crucial role in explaining different countries contributions to global warming

the role of technological availability for the distributive impacts of climate change mitigation policy the impacts of the availability of low carbon technologies on the regional distribution of mitigation costs are analyzed in a global multi regional integrated assessment model three effects on regional consumption losses are distinguished domestic measures trade of fossil energy carriers and trade of emission permits key results are i gdp losses and a redirection of investments in the energy system towards capital intensive technologies are major contributions to regional consumption losses ii a devaluation of tradable fossil energy endowments contributes largely to the mitigation costs of fossil fuel exporters iii in case of reduced availability of low carbon technologies the permit market volume and associated monetary redistributions increase the results suggest that the availability of a broad portfolio of low carbon technologies could facilitate negotiations on the permit allocation scheme in a global cap and trade system

the impact of china s carbon allowance allocation rules on the product prices and emission reduction behaviors of ets covered enterprises abstract it is an important task for china to allocate carbon emission allowance to realize its carbon reduction target and establish carbon trading market china has designed several allocation rules within seven pilot regions what influence those rules may cause is closely related with the enthusiasm of emission trading scheme ets covered enterprises participation in carbon market and more importantly with the mechanism design and sustainable development of carbon market for this purpose the multi stage profit model is developed to analyze the ets covered enterprises product prices and emission reduction behaviors under different allocation rules the results show that first under the rules of grandfathering self declaration and auctioning when deciding the optimal product price and optimal carbon emission reduction those enterprises may focus on maximizing current stage profit however under the rule of benchmarking those enterprises may care more about the impact of current decisions on the profit in next stage second the optimal product price policy is positively correlated with the price of the same kind products consumers low carbon awareness and government subsidy finally along with the increase of carbon price consumers low carbon awareness and government subsidy and the decrease of carbon emission cap those enterprises tend to reduce carbon emissions

household equivalence scales and interpersonal comparisons recent papers have used household equivalence scales to construct measures of welfare inequality this procedure rests on an often implicit value judgement namely that if after adjustment for demographic characteristics two households are on the same indifference curve they are equally well off that value judgement is not compelling and there are situations in which it is ethically repugnant this is particularly likely if tastes are functions of past experience and income

optimal intensity targets for greenhouse gas emissions trading under uncertainty uncertainty is an obstacle for commitments under cap and trade schemes for emission permits we assess how well intensity targets where each country s permit allocation is indexed to its future realized gdp can cope with uncertainties in international greenhouse emissions trading we present some empirical foundations for intensity targets and derive a simple rule for the optimal degree of indexation to gdp using an 18 region simulation model of a cooperative global cap and trade treaty in 2020 under multiple uncertainties and endogenous commitments we show that optimal intensity targets could reduce the cost of uncertainty and achieve significant increases in global abatement the optimal degree of indexation to gdp would vary greatly between countries including super indexation in some advanced countries and partial indexation for most developing countries standard intensity targets with one to one indexation would also improve the overall outcome but to a lesser degree and not in all individual cases although target indexation is no magic wand for a future global climate treaty gains from reduced cost uncertainty and the potential for more stringent environmental commitments could justify the increased complexity and other potential downsides of intensity targets

modeling asymmetric competition the effects of the marketing actions of one brand can be distributed among its competitors market shares in a complex manner this paper presents and illustrates methods for modeling brand competition and brand strategies in markets where competitive effects can be differentially and asymmetrically distributed we discuss the empirical specification parameter estimation and competitive strategy implications of the models proposed price and advertising competition among eleven brands of an australian household product is used to illustrate the application of these procedures

carbon dioxide emissions allocation a review carbon dioxide co2 emissions allocation plays a fundamental role in determining reduction responsibility at economy level or emission permits at firm level past decades have seen the development and applications of various methods for co2 emissions allocation this paper provides a literature review of co2 emissions allocation with emphasis on the evolution of allocation methods used it begins with a summary of the most popular allocation principles and criteria that lay a foundation for the development of allocation methods we then classify the existing allocation methods into four groups namely indicator optimization game theoretic and hybrid approaches the main features and findings of past studies are identified and summarized while the fairness principle prevails in earlier studies the efficiency principle has been found to receive increasing attention recently we also present a comparison of the empirical results based on ten popular indicator methods to show how indicator choice affects the allocation results issues related to selecting appropriate methods in co2 emissions allocation are finally discussed further research may be carried out to strike a balance between fairness and efficiency so that the allocation results become more widely acceptable and economically feasible

fair allocation of disputed properties we model problems of allocating disputed properties as generalized exchange economies in which agents have preferences and claims over multiple goods and the social endowment of each good may not be sufficient to satisfy all individual claims in this context we investigate procedural and end state principles of fairness their implications and relations to do so we explore procedural allocation rules represented by a composition of a rights assignment mechanism to assign each profile of claims individual property rights over the endowment and walrasian or other individually rational exchange rule using variants of fairness based on no envy as end state principles we provide axiomatic characterizations of the three focal egalitarian mechanisms known in the literature on rationing problems as constrained equal awards constrained equal losses and proportional mechanisms our results are connected to focal contributions in political philosophy and also provide rationale for market based environ mental policy instruments such as cap and trade schemes and personal carbon trading and moral foundation for the three proposals to allocate ghg emission rights known as the equal per capita sharing the polluter pays principle and the equal burden sharing the victims pay principle

an equilibrium analysis of defensive response to entry using a coupled response function model we determine the optimal response to competitive entry in a market characterized by a market share attraction model the response of an incumbent is limited to changes in prices advertising and distribution expenditures brand positions are assumed to be fixed we also assume that the entrant s position is chosen exogenously and that the sales potential of the market is constant after proving the existence of a unique nash equilibrium we show that the optimal response depends on the relative market share of the incumbents the response by nondominant brands with market shares less than 50 mirrors the prediction by decoupled response function models reduce price advertising and distribution spending for the dominant brand having a market share of 50 the response is to reduce price and increase marketing spending this finding explains previous empirical results that could not be addressed by the decoupled models

on modeling the advertising operations interface under asymmetric competition abstract using a market share attraction structure of advertising competition and following a supermodular game approach this article demonstrates for an asymmetric oligopoly the directional impact of changes in model parameters on the marketing controlled variables of all rivals advertising budgets and the operations controlled variables of all rivals ordered quantities importantly the various changes are examined analytically empirically and numerically in both non dominated and dominated asymmetric oligopolies in this regard the results indicate that firms in a dominated oligopoly one firm of market share larger than or equal to 50 behave differently compared to firms in a non dominated oligopoly each firm of market share less than 50 in response to changes in model parameters furthermore changes in model parameters are investigated in terms of their relative influential impact on a variety of equilibrium measures in this regard the findings indicate that for the analyzed model the marketing parameters exert much more influence on the equilibrium measures than the operations parameters additionally a change in the mode of competition from non cooperation oligopoly to cooperation joint ownership dictates that strong asymmetric firms of favorable marketing and operations parameters continue advertising but at lower levels and weak asymmetric firms of less favorable parameters cease advertising altogether

zero discounting can compensate future generations for climate damage abstract in cost benefit analysis of climate policy there are two main approaches to discounting each with implications conflicting with our moral intuitions thus discounted utilitarianism implies that we hardly need to protect future generations against climate change while classical utilitarianism implies that we should reduce our consumption across the board to benefit future generations the insolubility of the debate derives from the fact that both classical and discounted utilitarianism permit only a single discount rate for all consequences occurring in the same future year while our intuitions clearly do distinguish between consequences depending on whether we cause adverse effects on other people s interests and violate their rights most people share the moral intuition that we ought to refrain from harming others and ought to compensate them if we were unable to prevent harm to regain a reflective equilibrium between such deontological intuitions and economic theory there is a need to accept different discount rates for different situations a zero consumption discount rate in the case of cost benefit analysis of measures to prevent wrongful harm to future generations and standard discounting in all other cases applying a zero consumption discount rate means that future generations are automatically largely compensated for climate damage that remains unmitigated

revealing the political decision toward chinese carbon abatement based on equity and efficiency criteria abstract china s economic reform over the past 30 years has allowed the free market to drive economic development however government still plays a key role in the energy sector by allocating energy conservation and emissions abatement how does the government make an equity decision as a tradeoff to market efficiency this is an unanswered question the purpose of this paper is to illustrate the government s preference toward equity and efficiency using the provincial level co 2 intensity allocation data we investigate the political decision that the government made based on the equity and efficiency criteria we find that the equity index plays a more important role than the efficiency index in determining the co 2 intensity target in addition political factors such as social stability are found to be important factors

reducing conflicts between climate policy and energy policy in the us the important role of the states the absence of us national action on global climate change policy has prompted initiatives by the us congress cities states and regions toward what is likely to become a long term collaborative effort to harmonize national energy and climate policies this upward evolution in the face of a reluctant administration is historically consistent with the development of national legislation on other environmental and social issues in the us at the heart of this movement is the need to resolve conflicts between high intensity use of low cost fossil energy supplies and the dominating impact of carbon dioxide emissions on global climate change us states are among the largest carbon dioxide emitters in the world and play a critical role in supplying and transforming energy as well as consuming it for economic advantage state governments are also likely to have to shoulder some of the cost of potentially extensive climate damages and bear the brunt of the cost of implementing future federal mandates as a result many are taking proactive stances on the development of climate mitigation policy to prepare for accelerate and or guide national policy as us states show leadership on addressing greenhouse gas emissions they also play an important role in forging policies and measures that reduce economic conflict between energy and climate goals a number have launched or completed greenhouse gas mitigation plans and other major policies in the past few years that address these conflicts through 1 finding ways to reduce mitigation costs including the use of incentive based policy instruments 2 promoting an open and democratic policy process that includes major stakeholders 3 promoting equity across socioeconomic groups regions and generations and 4 promoting interregional cooperation the results are promising and suggest that the state arena for climate and energy policy is evolving quickly and constructively toward alternatives that reduce conflict regional efforts are also unfolding along with greater congressional attention to the lessons learned and commitments made by sub federal actions in the next few years many national energy and climate conflicts are likely to be tested and addressed by states among these pennsylvania is likely to be an important player due to its high profile of energy production and potential for leadership

integrated weighting approach to carbon emission quotas an application case of beijing tianjin hebei region abstract the coordinated development of beijing tianjin hebei region has been included in the chinese 12th five year plan as a national strategy accordingly the cooperation of energy saving and environmental protection is an important part at the present stage establishing carbon emission trading market in china is regarded as an effective measure to reduce and control carbon dioxide emission meanwhile it is an important task for government to allocate carbon emission quotas among regions in order to explore the cross provincial carbon trading market mode of china this paper aims to construct a comprehensive index and use the integrated weighting approach to simulate the carbon quota allocation of beijing tianjin hebei region the results show that firstly the indicator of responsibility which is about 0 56 is given relatively more weight among the three indicators by comparison the weights of capacity and potential are 0 13 and 0 30 secondly the provinces with strong economic ability and lower carbon reduction potential may get fewer proportions of carbon emission quotas such as beijing thirdly since undertaking the function transfer and dispersal of beijing and tianjin hebei should have a relatively high carbon emission quotas in the future carbon trading market these results may provide insightful support for decision makers to promote collaborative carbon reduction and allocate carbon quotas in beijing tianjin hebei region of china

tradeable emission permits and the control of greenhouse gases this article reiterates the case for tradeable permits as a global policy option for limiting greenhouse gas emissions and considers the detailed design of a global tradeable permit regime emphasising the importance of the initial assignment of property rights and arguing that the relevant property rights in this case are the rights of every member of the world community to share in a sustainable global atmosphere and climate the allocation of permits should therefore be done on a per capita basis across the world community with the result that rents generated by the process of reducing carbon emissions would accrue to non polluters most of whom live in the south the international transfers of income and wealth implied by the proposed scheme are large but feasible there is therefore a real prospect that an international convention on carbon dioxide emissions could end the debt crisis and finance sustainable development in the south

equitable cost benefit analysis of climate change greenhouse gas emissions and vulnerability to climate change show a strong negative correlation this is the moral issue at the heart of the climate problem however little attention has been paid to this in the literature see banuri et al 1996 for an overview the literature on equity issues in climate change is largely confined to the distribution of emissions reduction targets this literature takes the need to reduce greenhouse gas emissions for granted and takes a parametric approach to the required reductions on the other hand the literature that tries to derive how much emissions abatement is desirable largely ducks the equity issue this paper is an attempt to combine the two problems

technical note simplified estimation procedures for mci models structural transformations of the mci model are presented which make the model easily estimated using dummy variables with widely available regression packages the mci model is empirically shown to provide better predictive power than several other models of similar form but ones which do not produce logically consistent market share estimates

rising inequality changes in the distribution of income and consumption in the 1980s this paper examines changes in the distribution of income and consumption in the united states during the 1980s using data from the current population survey income and consumer expenditure survey consumption we reach three primary conclusions first changes in the distribution of consumption parallel changes in the distribution of income the lowest quintile of the consumption distribution received 0 9 percentage points less of total consumption in 1988 than in 1980 the corresponding decline for income was 0 6 percentage points second broad conclusions concerning recent changes in the consumption distribution are not very sensitive to the exact choice of a measure of family needs under a wide variety of alternative household equivalence scales there is a widening in the consumption distribution in the 1980s third the usc of consumption measures of well being in place of measures based on current money income docs change conclusions concerning the extent of poverty in the united stales using the official federal poverty thresholds we find that the overall consumption poverty rate was three percentage points below the income poverty rate in 1988 comparisons of the poverty rates of the elderly and the non elderly are substantially affected by the choice of poverty measure the consumption poverty rare for the elderly was only 60 percent of the rate for adults and one third of the rate for children in 1988 this abstract was borrowed from another version of this item

has poverty gotten worse iven the major changes now being implemented in programs aimed atalleviating poverty in the united states it is important to have a goodunderstanding of how the extent of poverty has evolved over the lastcouple of decades has poverty gotten worse or have we been gradually winningthe war on poverty there is unanimous agreement that there was a steady and dramatic decreasein the percentage of the u s population in poverty during the 1960s the of cialu s census bureau gures show the poverty rate dropping from 22 4 percent ofthe population in 1959 to 12 6 percent in 1970 with a further decrease to11 1 percent in 1973 the trend since 1973 is not as clear the of cial poverty raterose somewhat during the latter part of the 1970s and then sharply increased dur ing the recession of the early 1980s reaching 15 2 percent in 1983 it then graduallydeclined hitting 12 8 percent in 1989 increased to 15 1 percent in 1993 and thendropped to 13 8 percent in 1995 according to the of cial rate even at the peakof the economic expansion of the late 1980s there was a higher percentage of thepopulation with income below the poverty line than there was 20 years earlier poverty does seem to have gotten worse this conclusion is controversial however because the way in which poverty isbest measured is controversial the of cial poverty scale has been criticized alonga number of dimensions one point of contention is whether people should bede ned as being poor when they are part of a family with

international equity and differentiation in global warming policy ne of the major obstacles to reaching a comprehensive agreement on global warming is the setting of greenhouse gas emission reduction targets for individual countries long standing tensions between industrialized and developing countries have raised the issue of equity in burden sharing moreover individual industrialized nations have pleaded special circumstances and have sought differentiation in their obligations this paper analyzes alternative rules for distributing tradable carbon dioxide emissions permits a non linear programming model which distinguishes between allocation based and outcome based rules is used to analyze the relative welfare outcomes the model is applied to the world body of nations and yields several important policy implications

who should abate carbon emissions an international viewpoint abstract we review the optimal pattern of carbon emission abatements across countries in a simple multi country world we model explicitly with the model in chichilnisky 1993b the fact that the atmosphere is a public good within this framework we establish conditions for it to be necessary for optimality that the marginal cost of abatement be the same in all countries these conditions are quite restrictive and amount to either ignoring distributional issues between countries or operating within a framework within which lump sum transfers can be made between countries these results have implications for the use of tradeable emission permits which as normally advocated will lead to the equalization of marginal abatement costs across countries the observation that the atmosphere is a public good implies that we may need to look at a lindahl equilibrium rather than a walrasian equilibrium in tradeable permits

greenhouse gas emissions trading among pacific rim countries an analysis of policies to bring developing countries to the bargaining table this paper examines the aggregate net costs and individual country cost savings of greenhouse gas emissions trading among pacific rim countries we propose emission permit allocation rules designed to entice developing countries to participate absence of developing country involvement has served as an excuse for the lack by participation by the united states in the first compliance period of the kyoto protocol and may serve as a disincentive to even more countries in subsequent periods our analysis specifies permit allocation rules that could result in no net costs and even cost savings to developing countries for their involvement in the emissions trading market while at the same time providing extensive benefits to industrialized countries through access to lower cost mitigation alternatives

abatement costs of post kyoto climate regimes abstract this article analyses the abatement costs of three post kyoto regimes for differentiating commitments compatible with stabilising atmospheric greenhouse gases concentrations at 550 ppmv co 2 equivalent in 2100 the three regimes explored are 1 the multi stage approach assumes a gradual increase in the number of parties involved who are adopting either emission intensity or reductions targets 2 the brazilian proposal approach i e the allocation or reductions based on countries contribution to temperature increase 3 contraction convergence with full participation in convergence of per capita emission allowances in 2050 the global costs increase up to about 1 of the world gdp ranging from 0 5 to 1 5 depending on baseline scenario and marginal abatement costs four groups of regions can be identified on the basis of similar costs expressed as the percentage of gdp these are 1 oecd regions with average costs 2 fsu the middle east and latin america with high costs 3 south east asia and east asia incl china with low costs and 4 south asia incl india and africa with net gains from emissions trading for most regimes the brazilian proposal approach gives the highest costs for groups 1 and 2 the distribution of costs for the contraction convergence approach highly depends on the convergence year the multi stage approach and contraction convergence convergence year 2050 seem to result in relatively the most even distribution of costs amongst all parties

recovering stockkeeping unit level preferences and response sensitivities from market share models estimated on item aggregates abstract the authors propose a new approach to obtaining stockkeeping unit sku level preferences and response sensitivities the authors distinguish an attribute level model in which the unit of analysis is the market share for an alternative created by aggregation e g colgate toothpaste from a truly disaggregate sku level model and they establish an analytical relationship between parameters that they obtain from the two models the authors show that sku level parameters can be recovered by calculation from estimated attribute level parameters circumventing the need for direct estimation of the more complex sku level model they calibrate the store data market share model using 98 weeks of data for ten brands and 168 skus of toothpaste rather than estimate 168 preference parameters when there is an outside alternative in addition to the 168 inside ones it is only necessary to estimate ten brand preference parameters from which the 168 parameters can be computed as long as share and mar

emission allowances and mitigation costs of china and india resulting from different effort sharing approaches to meet ambitious global climate targets mitigation effort in china and india is necessary this paper presents an analysis of the scientific literature on how effort sharing approaches affect emission allowances and abatement costs of china and india we find that reductions for both china and india differ greatly in time across and within approaches and between concentration stabilisation targets for china allocated emission allowances in 2020 are substantially below baseline projections moreover they may be below 2005 emission levels particularly for low concentration targets below 490 ppm co2 eq effort sharing approaches based on allocating reduction targets lead to relatively lower reductions for china than approaches that are based on allocating emission allowances for 2050 emission allowances for china are 50 80 below 2005 levels for low concentration targets with minor differences between approaches still mitigation costs of china including emissions trading remain mostly below global average according to literature chinese emission allowances peak before 2025 2030 for low concentration targets india s emission allowances show high increases compared to 2005 levels if emission trading is allowed financial revenues from selling credits might compensate mitigation costs in most approaches even for low concentration targets india s emission allowances peak around 2030 2040 for all concentration targets c 2012 elsevier ltd all rights reserved

global environmental risks the need to manage climate risks is not a new it has shaped social institutions for many centuries in medieval england a peasant farmer s land was broken into many widely dispersed parcels economic historians interpret this as a way of hedging climate risk see references in bromley 9 land in different locations would be affected differently by droughts floods and frosts by spreading land holdings over different locations as well as by organizing agricultural cooperatives and buying insurance farmers have managed climate risk for many centuries

selecting permit allocation rules for agricultural pollution control a bargaining solution abstract one of the primary justifications for using transferable permits for pollution control is that they achieve a given level of emission reduction at the lowest cost although the initial allocation of pollution permits may have no impact in terms of efficiency it does have a significant impact on equity in this paper we examine a variety of permit allocation rules for a small catchment in south west england an asymmetric nash bargaining framework is employed to characterise agents co operative behaviour and to explain their likely preferences over permit allocation rules the results indicate that the preferred allocation scheme depends upon the relative bargaining power of the agents furthermore some potential links between ex ante and ex post equity criteria were also discussed

descriptive prescriptive and second best approaches to the control of global greenhouse gas emissions a prescriptive second best approach is developed for determining the control of greenhouse gas emissions in an inter temporal multi region model of the world concerns about inter and intra generational equity are reflected in the rate of time preference and regional weights of a social welfare function choices are narrowed down by the ethical principle of anonymity a third dimension of equity inequality aversion is subject to greater variation the aggressiveness of recommended abatement can be made to bracket results for a common descriptive model by the choice of inequality aversion in this manner the perception of a sharp dichotomy between descriptive and prescriptive approaches is moderated

aggregate consumer behavior and household equivalence scales this article presents estimates of household equivalence scales broken down by demographic characteristics of u s households separate estimates are given by family size age of head region race and urban versus rural residence commodity specific scales are presented for five separate commodity groups energy food consumer goods capital services and other services the estimates are obtained from an econometric model of aggregate consumer behavior the parameters of this model are estimated by combining aggregate time series and individual cross section data

disaggregating energy use cap among china s provinces the 2015 paris climate change negotiations represents the most ambitious worldwide effort to date to combat climate change as the largest energy consumer and carbon emitter china pledges 60 65 cut in carbon intensity below 2005 levels by 2030 to accelerate china s climate efforts china has also committed to cap its primary energy use at 4 8 billion tons of coal equivalent in 2020 this paper proposes an equitable and efficient scheme to disaggregate this national goal among provinces a three step disaggregation procedure is proposed which takes into account the initial allocation national redistribution and inter provincial adjustment first this study allocates the incremental energy quota taking 2010 as the base year second part of the energy quota is set aside by the central government for redistribution purposes while an incremental energy quota index comprising equity and efficiency criteria is used for initial allocation among provinces finally historical efforts and inter provincial energy flows are considered for inter provincial adjustment this disaggregation scheme is flexible and can be easily extended to allocation and management of other resource and environmental targets the empirical findings can assist decision makers in identifying which provinces are likely to over consume the energy quota relative to the proposed allocation and which provinces are likely to perform better in energy conservation moreover the results show that the energy cap set for 2020 is unachievable without further action market based instruments such as an energy allowance trading market are strongly recommended to achieve the energy use target in an equitable and cost effective manner

household equivalence scales theory versus policy researchers agree that household equivalence scales are intended to measure the variation in income needed to bring households of different composition to the same welfare level researchers do not agree however about how the term household welfare is to be defined this article traces the historical and philosophical development of three distinct definitions when the conceptual bases of several popular methods for the estimation of equivalence scales are explored it becomes clear that advances in theoretical rigor have not always worked to bring the literature closer to answering questions of policy concern

the use of linear logit models in marketing research the author discusses the use of the linear logit model in marketing research a brief review of the linear logit model focuses on model formulation estimation evaluation and inference procedures

the allocation of co2 emissions as a claims problem abstract in the context of multilateral negotiations on climate change this paper proposes to use the claims approach as a reasonable and practicable alternative in order to allocate the admissible co2 emissions per region the proposed methodology entails analyze the application of a broad group of theoretical solutions through the establishment of equity and stability criteria to this regard the empirical analyzing combines several co2 world endowments from meinshausen et al 2009 together with claims forecasts associated with the rcp representative concentration pathways scenarios the results obtained indicate that the constrained equal awards and minimal solutions are clearly equity sensitive given that the co2 emission reduction imposed by the constrained equal awards solution on asia and the oecd are very important and considering the better balance between equity and proportionality associated with the min solution it could be that this latter solution would be the most practicable and acceptable

chapter 9 econometric and time series market response models publisher summary marketing has seen a rapid expansion in the widespread use of quantitative methods correlation and regression analysis were among the first techniques used as marketing research emerged as a discipline after world war ii in the early 1970s regression analysis became econometrics simultaneous equation systems could be estimated almost as easily as single regression equations while econometrics as a whole continues to flourish as new and more sophisticated estimation techniques and associated computer software have become available simultaneous equation systems have not become widely prevalent the dynamic structure of marketing variables themselves is addressed in the chapter followed by discussions of leads and lags among marketing variables and the assessment of the direction of causality dynamic properties of sales response functions have been discussed in more detail marketing generalizations that have been uncovered as well as empirical evidence on the shape of the sales response function is reported

allocation of co2 emission permits economic incentives for emission reductions in developing countries the economic impacts on developing regions following a global cap and trade system for carbon dioxide are assessed through the use of an energy economy systems model both an equal per capita allocation and a contraction and convergence allocation with convergence of the per capita emissions by 2050 are shown to offer economic incentive for africa india and probably also latin america to accept binding emissions commitments under a 450 ppm carbon dioxide stabilization scenario the gain for latin america is mainly a result of increased export revenues from sales of bio fuels as a result of the climate policy it is on the other hand unlikely that these allocation approaches would offer an economic incentive for china to join the regime because of its high economic growth present higher per capita emissions than india and africa and more costly mitigation options than latin america a more stringent allocation for developing countries such as contraction with convergence of the per capita emissions by the end of this century is estimated to generate reduced net gains or increased net losses for the developing regions though africa is still expected to gain

irreversibility and uncertainty cause an intergenerational equity efficiency trade off abstract two important policy goals in intergenerational problems are pareto efficiency and sustainability i e intergenerational equity we demonstrate that the pursuit of these goals is subject to an intergenerational equity efficiency trade off our analysis highlights two salient characteristics of intergenerational problems and policy i temporal irreversibility i e the inability to revise one s past actions and ii uncertainty of future consequences of present actions in human environment systems we employ a two non overlapping generations model that combines an intragenerational production decision on the use of circulating capital and a non renewable resource with a negative intergenerational externality as an unforeseen contingency if initially unknown problems become apparent and policy is enacted after irreversible actions were taken policy making faces a fundamental trade off between ex post pareto efficiency and sustainability that is one can achieve either one of these two goals but not both

gaining ground poverty in the postwar united states official measures of poverty in the united states are compiled by the bureau of the census by comparing a household s income level to a prespecified threshold from a theoretical perspective it is more appropriate to evaluate the level of poverty using a consumption based measure of household welfare in this paper i evaluate the level of poverty using expenditure data from the consumer expenditure survey i find that consumption based poverty rates are much lower than those based on income the trend in the poverty rate in the united states is sensitive to the price index and equivalence scales used to adjust the poverty thresholds

reducing conflict in global warming policy the potential of equity as a unifying principle abstract international agreement on global warming mitigation is likely to prove difficult efficiency based policies will result in disparate costs and benefits among nations and thus hinder cooperation this paper suggests that consideration be given to an equitable sharing of the economic impacts of global warming policy acknowledging that there is no universally held concept of equity the policy implications of several alternatives are explored because there is considerable variation in these implications it will be important for decision makers to clarify their preferred concepts of equity during the course of their negotiations on policies to address global warming

reasonable expectations on the prospects for documenting the impact of agricultural research on poverty in ex post case studies abstract the increasing emphasis on poverty alleviation as a motivation for investing in public sector international agricultural research is discussed from the perspective of practitioners engaged in ex post impact evaluation context is largely provided from the experience of the international potato center cip in impact assessment of improved potato and sweet potato technologies the poverty content of 10 cip related success stories of technological change was qualitatively assessed with a checklist of key questions with this admittedly crude method the size of project net present value npv appears to be an informative guide to the magnitude of poverty effects hence projects that generate widespread benefits to many people particularly to net consumers of food crops remain likely to be the most effective vehicles to contribute to poverty alleviation from public sector investments in the improvement of food crops in developing countries

distributive fairness in paying for clean energy infrastructure despite the rapid rise in public expenditure on clean energy infrastructure there has been little discussion about what constitutes a fair distribution of this new spending burden we examine four ethical principles that speak to different notions of fairness in the way this burden can and should be shared and use them to produce three normative criteria for pursuing fairness in the clean energy fiscal policy context we use these criteria to examine the extent to which fairness is being achieved in large clean energy roll out programs in australia california and the united kingdom maintaining a close focus on providing practical guidance for decision makers in similar policy contexts we find that fairness is more achievable when program design explicitly considers which households should pay for the program and which should be exempt when the idea of proportionality guides the distribution of the cost across paying households and when the interests of low income households are protected by ensuring that they share in the benefits of the program for example