Keigo Akimoto.

Energy Economics, Vol. 26, No. 4, Special Issue, July 2004. pp. 635-653.

We developed an integrated assessment model, DNE21, composed of three sub-models: an energy systems, a macro economic and a climate change model. DNE21 is an optimization model, and its energy supply system is formulated in bottom-up fashion with about 50 kinds of technologies. This paper first describes the model and then presents simulation results. The results indicate that the optimal mitigation strategy against global warming should be comprehensive implementation of the various options, among which energy saving in the end-use sectors is important throughout the 21st century, and CO2 sequestration is after the middle of the century.

James K. Boyce.

Oxford review of economic policy, Vol. 20, No. 1, 2004. pp. 105-128.

Globalization-viewed as a process of economic integration that embraces governance as well as markets-could lead to worldwide convergence toward higher or lower environmental quality, or to environmental polarization in which the 'greening' of the global North is accompanied by the 'browning' of the global South. The outcome will not be dictated by an inexorable logic. Rather it will depend on how the opportunities created by globalization alter balances of power within countries and among them.; Reprinted by permission of Oxford University Press

Sarah Cleveland Fox.

2003, pp. 84.

Scientists have increasingly focused attention on far-reaching environmental threats, such as climate change, ozone depletion, and deforestation, that transcend national boundaries. A new concept, global environmental problems, has entered the public arena, particularly in the area of foreign policy and economic matters. This unit explores the relationship between public policy in the United States and the ecological health of the planet. Students join in the process of assessing global environmental problems, grappling with tough questions that are confronting U.S. policymakers. The unit's framework is four distinct options that allow students to consider a range of alternatives for U.S. policy toward global environmental problems. Exploring a wide-ranging spectrum, students can gain an understanding of the values underlying specific policy recommendations. The Teacher Resource Book contains a day-by-day lesson plan and student activities. The lesson plan begins by introducing students to the concept of global environmental problems. The second day of the lesson plan engages students in a role play that delineates the contrasting perspectives of different regions of the world toward environmental issues. An optional science lesson examines humanity's impact on the global carbon cycle. After studying the scientific causes and international ramifications of global environmental problems, students evaluate U.S. options in the course of a 2-day simulation. They conclude by applying what they have learned to developing their own recommendations for U.S. policy. Teachers may also find the "Alternative Three-Day Lesson Plan" useful. The student text invites students to weigh the significance of global environmental problems in the formulation of U.S. foreign policy. The unit traces the entry of global warming, ozone depletion, population pressures, and other worldwide environmental threats into the sphere of public policy. Students weigh the choices and trade-offs involved in protecting the environment. The first section of the background reading has been designed to introduce students to the most significant global environmental problems, while Parts 2 and 3 explore the economic and political dimensions of the environmental challenges facing the planet. Lists 16 supplementary resources, including Web site addresses. (BT)

M. Germain and V. van Steenberghe.

Environmental and Resource Economics, Vol. 26, No. 3, November 2003 2003. pp. 469-492.

Since the signing of the Kyoto Protocol, future commitments are likely to be framed in terms of tradable quotas. The discussions on the allocation of the quotas among countries will be based--at least partly--on rules corresponding to a certain conception of equity. For instance, allocating quotas in direct proportion to population, in relation to GDP or according to past emissions has been advocated. Taking a long term perspective, we compute such allocations of tradable quotas with a dynamic (closed-loop) model. The total amount of quotas to be distributed at each period corresponds to the world optimal amount of emissions to be realized at each period. We observe that most "equitable" allocation rules do not make the agreement individually rational for every country along the entire time path. We then propose a mechanism which determines allocations of quotas that are as close as possible to any "equitable" allocation while satisfying individual rationality.

Elaine Hartwick and Richard Peet.

Ann.Am.Acad.Pol.Soc.Sci., Vol. 590, No. , Nov 2003. pp. 188-211.

Political pressures exerted by environmental movements have forced governments otherwise committed to neoliberal policies to find reconciliatory policy positions between two contradictory political imperatives - economic growth & environmental protection. This article explores some ideological means of reconciliation, as with notions of sustainable development, which appear to bridge the impassable divide, & some of the institutional means for dealing with contradiction, as with the displacement of political power upward, away from elected national governments & toward international agreements & nonelected global governance institutions. Through these two strategic maneuvers, the authors argue, environmental concern has been ideologically & institutionally incorporated into the global neoliberal hegemony of the late twentieth century. The global capitalist economy can grow, if not with clear environmental conscience, then with one effectively assuaged. This process of neoliberal deflection is illustrated using the case of the General Agreement on Tariffs & Trade & the World Trade Organization. 3 Tables, 15 References. [Copyright 2003 Sage Publications, Inc.].

Jo Kwong.

Society, Vol. 42, No. 2(274), Jan-Feb 2004. pp. 21-28.

A symposium contribution explores alternative perspectives on globalization & the environment & provides an explanation for "conflicts of visions." Attention is drawn to a new set of findings that indicate trade can be good for the environment. As economic activity increases the economy reaches a point at which it can begin making investments to enhance environmental protection. A review of studies that either support or disprove this "Environmental Kuznets Curve" indicates that wealthier countries place greater value on environmental refinements & are more apt to utilize environmentally friendly technologies than poorer or developing countries. The decisive role of institutions in shaping human behavior is discussed. It is noted that institutional arrangements can either help or hinder economic development; countries with the most economic freedom enjoy higher rates of long-term economic growth; & environmental protection is a potential benefit of a transition to market institutions. Suggestions are made for an institutional framework capable of bringing the benefits of globalization in sync with the objectives of enhanced environmental protection. 7 References. J. Lindroth.

Dug Man Lee and Kenneth S. Lyon.

Southern economic journal, Vol. 70, No. 3, Jan 2004. pp. 467-489.

We develop a dynamic integrated modeling approach to identify the effect of global warming on the global timber market. The Timber Supply Model (TSM) 2000, BIOME 3, and Hamburg are used as suitable economic and ecological models. In particular, the TSM 2000 is developed to incorporate important additional components in the global timber market. We estimate dynamic ecological change based on the simulation results of BIOME 3 using Hamburg and linearity assumptions about change in climate and ecosystem. The projected dynamic ecological changes are run through the TSM 2000 to identify the effects of dynamic climate change on the timber market. We simulate a non-climate change base scenario and a climate change scenario of the TSM 2000, and we conclude that global warming has a positive effect on the global timber market through an increase of timber production causing stumpage prices to be lower than they otherwise would have been. In the welfare sense, we also identify that global warming is economically beneficial to society through the global timber market.; Reprinted by permission of Southern Economic Association

Bjorn Lomborg.

2004. pp 648.

Eleven papers present the results of the Copenhagen Consensus project in which expert economists drew on cost-benefit analyses already available in the literature to set priorities among a series of proposals for confronting ten great global challenges. Papers focus on the following ten challenges: climate change, communicable diseases, conflicts and arms proliferation, access to education, financial instability, governance and corruption, malnutrition and hunger, migration, sanitation and access to clean water, and subsidies and trade barriers. For each challenge, authors who are economic specialists within the field describe the dimensions of the challenge; identify between one and five practicable opportunities to address the challenge; and survey the relevant cost-benefit analyses in the literature applicable to the opportunities. Two commentaries and/or alternative perspectives follow each of these papers. A final paper presents the expert panel ranking of more than thirty proposals set out for the panel's consideration. Lomborg is Associate Professor of Statistics at the University of Aarhus. No index.

Maano Ramutsindela.

2004

Examines global-local connections, focusing on global concerns over environmental issues, and local biodiversity; based on case study of the Great Limpopo on the South Africa-Mozambique-Zimbabwe border and the Kgalagadi on the South Africa-Botswana border.

Robert K. Schaeffer.

2003. pp. 379.

The second edition of this book on the effects (political, economic, & environmental) that globalization has had on certain nations & the lives of different groups offers five new chapters. After providing an overview of competing theories of globalization, the impact that certain North American, European, & Asian governments, enterprises, & stock markets have had on the globalization of production is explored. Global consequences of certain nations' decisions to alter monetary exchange rates, the international effects of the US attempt to confront inflation during the 1970s, & the deleterious results of sundry developing countries' investments in European currencies during the same era are addressed. The influence that technological advancements & consumer behavior have had on commodity prices, the ambiguous results produced by certain nations' employment of agricultural technology for resolving hunger problems, & the association between globalization processes on global warming are also covered. Attention is dedicated to international trade agreements; global environmental movements; democracy's future stability; factors responsible for violence & war in the former Yugoslavia; & mafia & drug cartel activities. Implications of globalization processes for women's rights & gender equality are contemplated. J. W. Parker.

Steven Sorrell and Jos Sijm.

Oxford review of economic policy, Vol. 19, No. 3, 2003. pp. 420-437.

The Kyoto Protocol is stimulating the development of emissions-trading schemes at the national and international levels. These are being introduced alongside existing policy instruments such as carbon taxes and negotiated agreements, leading to complex problems of policy interaction. But the topic of policy interaction remains under-researched. This paper aims to improve understanding of such interactions by examining the conditions under which a cap-and-trade scheme for carbon-dioxide emissions may usefully coexist with carbon/energy taxes, support mechanisms for renewable electricity, and policies to promote energy efficiency. The paper argues that each of these instrument combinations may be acceptable, provided they contribute to either improving the static or dynamic efficiency of the trading scheme, or delivering other valued policy objectives. But, since the coexisting instruments may raise overall abatement costs while contributing nothing further to emission reductions, the objectives and trade-offs within the policy mix must be explicit.; Reprinted by permission of Oxford University Press

Tom Tietenberg.

Oxford review of economic policy, Vol. 19, No. 3, 2003. pp. 400-419.

Tradable-permit approaches for rationing access to the commons have been applied to many different types of resources in many different countries. This essay reviews the experience with three main applications of tradable-permit systems - air-pollution control, water supply, and fisheries management - as well as some unique related programmes. The purpose of the review is to draw together what we have learned about tradable permits in practice that might offer some useful insights for the implementation of the three tradable-permit mechanisms that are part of the Kyoto Protocol.; Reprinted by permission of Oxford University Press

Arja H. Turunen-Red and Alan D. Woodland.

Review of international economics, Vol. 12, No. 3, Aug 2004. pp. 321-336.

The paper analyzes environmental tax policy reform using a competitive model of world trade that includes production-generated environmental damage (pollution) and trade tariffs. The authors examine the feasibility of Pareto-improving multilateral reforms of environmental taxes, and show that any environmental tax reform that is mutually welfare-improving when compensating lump-sum transfers are assumed is also welfare-improving when a suitable tariff reform (but no transfers) is combined with the tax changes. Several specific reform proposals are developed. These results expand the feasible set of mutually improving policy proposals for international policy initiatives.; Reprinted by permission of Blackwell Publishers

Daphne Wysham.

2003

Examines international financial institutions and national export credit agencies funding of fossil fuel production rather than renewable energy sources in developing countries, and impact on rising greenhouse gas emissions; recommendations.

ZhongXiang Zhang.

Journal of Policy Modeling, Vol. 26, No. 1, January 2004 2004. pp. 3-19.

This paper investigates the implications of progressively broadening the scope of the market of tradable permits from no emissions trading to full global trading. We start with the no emissions trading case where each Annex I country must individually meet its Kyoto targets. Next, we consider a case where trading of emissions permits is limited to Annex I countries only. We then expand the scope of the market to include all the non-Annex I countries but China. Finally, to investigate the role China plays in bringing down Annex I countries' compliance costs, we further broaden the market to include China into full global trading. Our results clearly demonstrate that the gain of the OECD as a whole increases as the market expands. Our results also show that developing countries themselves benefit from such an expansion too because it not only provides them for additional financial resources, but also helps to cut their baseline carbon emissions by a big margin. By contrast, the former Soviet Union tends to become worse off as the market expands. The potential conflict of interest between the former Soviet Union and developing countries underlines the importance of establishing clear rules of procedure about admitting new entrants before emissions trading begins. Furthermore, our results show that China is expected to emerge as the world's number one host country for clean development mechanism projects, but to materialise such benefits, China faces great challenges in institutional setting and implementation strategy.