environmental economics research papers

However, the NOX Budget Program has since undergone several program modifications, including slight changes to the program name.). Pigou, A. C. (1920). Oxford Review of Economic Policy, 6(1), 17-33. Field, B. C., & Field, M. K. (2006). Retrieved January 18, 2009, from http:// www.pewclimate.org/docUploads/Sept%2023%20PR_0.pdf. Pollution, property, and prices: An essay in policy-making and economics. In the case of environmental policy development, insufficient evidence pertaining to the benefit that environmental goods provide to society could easily skew the results of a cost-benefit analysis against environmental protection. This lack of a market makes it difficult to determine the value that environmental goods hold for society; although the market price of a jar of peanut butter or a can of soup signal the value they hold for consumers, there is no price attached to environmental goods that can provide such a signal. However, in general, it is best to randomly survey a large number of individuals because this will decrease the likelihood that strategic bias will undermine the overall results of the survey. Washington, DC: Island Press. Mitchell, R. C., & Carson, R. T. (1989). Term Paper on Environmental Economics: Environmental economics is the science about the rational and effective use of the natural resources and the science about the juridical protection of the natural environment. Its goal is to reduce greenhouse gas emissions by 15% (as compared with 2005 emissions levels) by the year 2020 (Western Climate Initiative, n.d.). This regulatory framework is consistent with the command-and-control framework described previously. Unfortunately, because the fundamental assumption of the Coase Theorem (costless negotiation) often falls short, this theorem is not commonly applicable as a real-world solution. Paper topics include environmental management, resources and conservation, agriculture, global issues, institutional issues, and other topics. Command and control is a type of environmental regulation that allows policy makers to specifically regulate both the amount and the process by which a firm is to reduce emissions. This method is particularly useful in determining the value of environmental goods that individuals have yet to experience or may never actually experience themselves. Washington, DC: Resources for the Future. This would save the parents money (as compared with their health care costs), and the firm may find itself more than compensated for the increased costs that a reduction in emissions can bring. Though there are many recent cases in which researchers have used revealed preferences methods, Eban Goodstein (2008) provided a particularly useful example of the way in which this method has been used in a real-world setting. This bias exists even in quasi-experimental estimates and arises from the way researchers define individual-level pollution exposure. Of course, because the amount of the tax (or subsidy) must equal the value of the external environmental damage (or benefit) in order to correct for market inefficiencies, the valuation techniques detailed previously are crucial in the development of a sound tax policy. According to Jean-Philippe Barde (2000), the Environmental Protection Agency implemented a program in response to this requirement that was expected to result in a significant cost savings (20%-50%) as compared with other types of regulation. This process is often referred to as internalizing an externality. This form of environmental regulation is very common and allows policy makers to regulate goods where a market-based approach is either not possible or not likely to be popular. This result is expected to hold regardless of whether the polluter has the right to pollute or the average affected bystander has a right to a clean environment. Cost-benefit analysis: An ethical critique. The theory of environmental policy (2nd ed.). With information bias, hypothetical bias, and starting point bias, respondents unintentionally misrepresent the value that they hold for an environmental good. Kolstad, C. D. (2000). Though a clean kitchen may be valued by all individuals living in the apartment, the person that decides to finally wash the dishes and scrub the kitchen floor is not fully compensated for providing value not only to himself or herself but also to the apartment as a whole. We’re also proud to announce the McKinsey Institute for Black Economic Mobility, which will research the issues, convene stakeholders, and work to convert research findings into real-world impact. Economics and the environment (5th ed.). Those firms able to reduce their emissions for the lowest possible cost benefit from this type of regulation. Environmental economics explains the role that externalities play in excessive environmental degradation because the failure of markets to capture the full value of environmental goods consistently results in the overproduction of those goods that can damage the environment and an underprovision of those goods that improve environmental quality. As for the parents, if the sum of money more than compensates the health care costs they face with higher pollution levels, they may also find themselves preferring the negotiated outcome. In H. Folmer & H. L. Gabel (Eds. For example, respondents have been surveyed to determine the value they would place on increased air visibility in places such as the White Mountains (located in New Hampshire) and the Grand Canyon (located in Arizona). It also allows the surveyor to use experimental techniques that mimic the conditions that respondents would face in a real-world situation. Apply to our International Master's Programmes or the Bachelor’s Programme in Science before 15 Jan 2021 at 15:00 (UTC+2). The results of this program, as reported by the Environmental Protection Agency, have included a reduction in sulfur dioxide emissions (as compared with 1990 levels) of over 5 million tons, a reduction in nitrogen oxide emissions (as compared with 1990 levels) of over 3 million tons, and nearly 100% program compliance (EPA, 2004). If it is the parents, instead, that have a right to clean, safe air for their children (this is more typically the case), then the firm could offer the parents a sum of money in exchange for allowing a higher level of pollution in the area. For these reasons, as well as for other reasons that are covered later in this research paper, economists have long endeavored to develop methods of accurately determining the value of environmental goods to society. ), Principles of environmental and resource economics: A guide for students and decision-makers (2nd ed., pp. ), Principles of environmental and resource economics: A guide for students and decision-makers (2nd ed., pp. In addition, solutions relying on government enforcement are less possible when it comes to global climate change. Helpful comments on a previous version were provided by Lori Bennear and Nathaniel Keohane. Crocker, T. D. (1965). This research paper outlines the basic concepts in environmental economics, including the ways in which environmental economists might estimate the value society holds for the natural environment. As long as the sum offered is less than the cost of reducing emissions, the firm will be better off. Valuing the environment. The environmental economics focuses on finding solutions to environmental damage problems caused by economic activities. They have ... both development and environmental economics. In the United States, local grocery markets are at the center of a large tax system aimed at reducing environmental degradation: the deposit-refund system. This would, in effect, undermine the value that society holds for environmental goods and could possibly lead policy makers to believe that certain environmental regulations are not worth the costs they impose on society when, in fact, they are. In cases such as these, revealed preferences may not be the preferred method of valuation. Further, contingent valuation methods have been used to determine the value of old-growth forest preservation in the face of industrial expansion (Hagen, Vincent, & Welle, 1992). Because of the interdisciplinary nature of environmental economics, the discipline constantly presses forward in many directions. Cheltenham, UK: Edward Elgar. Arrow, K. J., Cropper, M. L., Eads, G. C., Hahn, R. W., Lave, L. B., Noll, R. G., et al. This is because environmental goods, such as clean air and clean water, are commonly viewed as priceless and not subject to economic consideration. Baltimore: Johns Hopkins University Press. Through this method of regulation, pollution permits are issued to firms in an industry where a reduction in emissions is desired. For example, using the revealed preferences method to determine the value that society holds for the survival of an endangered species would pose a tremendous challenge. London: Macmillan. This particular revealed preferences method is referred to as the hedonic approach (Kolstad, 2000). Because of this, the assessment of appropriate damages, fines, or both, in cases such as this often depends on the careful valuation of varying aspects of the environment. To some, it may seem unethical to try to place a dollar value on the natural environment. In 1920, Arthur C. Pigou (1920) developed a taxation method for dealing with the goods suffering from externalities. Defending cost-benefit analysis: Replies to Steven Kelman. One such agreement, known as the Western Climate Initiative, was developed in February 2007. ), The economics of pollution (pp. Environmental Research Paper Topics Case Studies. Paper topics include environmental management, resources and conservation, agriculture, global issues, institutional issues, and other topics. These papers are either authored by NCEE economists or produced with funding from NCEE. Ronald Coase developed the Coase Theorem in 1960, which, although not necessarily a regulatory framework, paved the way for incentive-driven, or market-based, regulatory systems. How does subsidized water in the arid west (or elsewhere) affect the environment? Once the market inefficiency relating to a particular environmental good is understood, policy makers can correct for this inefficiency by employing any number of policy instruments. With information bias, respondents lack enough information to form an accurate response. For example, in the wake of the Kyoto Protocol, there have been regional agreements that have been formed that have a reduction in greenhouse emissions as a primary goal. As was discussed in the previous section, individual consumers will often purchase goods with an environmental component to make up for their inability to directly purchase environmental goods, thus revealing the value they hold for certain aspects of environmental quality. Environmental and natural resource economics. Environmental economics: A theoretical inquiry. Using surveys to value public goods: The contingent valuation method. Economic instruments for environmental regulation. In this example, if the legal framework in society gave the firm the right to produce pollution, the parents with sick children could possibly consider the amount they are spending on medical bills and offer a lesser sum to the firm in exchange for a reduced level of pollution. Toronto, Ontario, Canada: University of Toronto Press. Encompassing the traditional economics research paper topics as well as those that economists have only more recently addressed, this list will meet the needs of several types of readers. For example, someone may buy a cabin on a lake in order to enjoy not only the home itself but also the pristine environment that comes with such a purchase. Economics, Ecological 9. Valuation techniques are useful not only in cost-benefit analysis or in cases of extreme environmental damage but also in the more subtle cases of environmental degradation that occur as a result of market failure. Unlike the other types of response bias that can occur in a contingent valuation survey, strategic bias occurs as respondents intentionally try to manipulate the outcome of a survey. In H. Wolozin (Ed. Unfortunately, in the case of environmental goods, markets often fail to produce an efficient result because it is rare that any one individual can incur the full benefit (or cost) of a particular level of environmental quality. Tietenberg, T. H. (2007). Job Market Gains Associated with Environmental Research Profitability Associated with Environmental Policy Research Below is a sample essay written about one of the topics above, so that you have a better understanding of what you have to do for your next assignment writing on environmental economics. Below are some of the best research paper topics in environmental economics. These values allow policy analysts to consider the impact that a proposed public policy might have on the natural environment. Markets for clean air: The U.S. However, even firms for which it is very costly to reduce pollution experience a cost savings through this type of regulation because they are able to purchase pollution permits at a price that is less than or equal to the cost they would face if they were required to reduce emissions. Economics is able not only to identify the reasons that individuals choose to degrade the environment beyond what is most beneficial to society, but also to assist policy makers in developing environmental policy that will provide an efficient level of environmental quality. In terms of local, regional, and national environmental issues, the application of currently available corrective instruments is quite feasible. New York: Oxford University Press. (2003). Environmental economics research paper topics. 3 (2001): 173-195. 1, pp. However, the relationship between economics and the environment could not be more natural. Further, through corrective instruments developed by economists such as Pigou (1920), Coase (1960), and Dales (1968), environmental economics has provided society with innovative solutions to excessive environmental degradation resulting from market failure. New York: John Wiley. 61-86). Also reviewed are the means of environmental policy, that is, the choice of specific policy instruments, featuring an examination of potential criteria for assessing alternative instruments, with focus on cost-effectiveness. connecting words to use in essays; essay on the berlin conference. Hurricane Katrina. To warrant publication in JEEM papers should address new empirical findings that are of interest to a … The economics of welfare. For example, in an attempt to comply with the provisions of the Kyoto Protocol, which was implemented to control greenhouse gas emissions, the European Union has established a carbon dioxide permit market aimed at reducing greenhouse gases (Keohane & Olmstead, 2007). As countries deal with issues such as water quality, air quality, open space, and global climate change, the methodologies developed in environmental economics are key to providing efficient, cost-effective solutions. ), Handbook of environmental economics (Vol. The ability to pdf environmental economics research papers manage pedagogically, we need to represent visually what such a claim. A Selection Of The Best Research Paper Topics In Environmental Economics. However, despite its simple concept, the contingent valuation method carries with it a host of complex problems that must be taken into account for the results of a survey to be considered credible. However, an evaluation of the value of regulated environmental goods as well as the proposed regulatory instruments is still the topic of ongoing research. These range from local water quality issues to the reduction of greenhouse gas emissions. Collective choice and welfare. The Exxon Valdez oil spill is an example of a case in which contingent valuation provided a useful tool of valuation (Goodstein, 2008). Acid Rain Program. New York: HarperCollins. Coase, R. H. (1960). This sample environmental issues research paper on environmental economics features: 4800 words (approx. In K. G. Maler & J. Vincent (Eds. For example, parents may be required to pay higher health care costs related to pollution-induced asthma among children because of an increase in industrial activity in their neighborhood. Environmental economics and policy (5th ed.). Papers received after the deadline may have to be excluded from the Special Section but may be considered as conventional submissions to the journal. Benefits of preserving old-growth forests and the spotted owl. This week, we published new research on five attributes of successful coalitions—ideas that can help make sure that the $66 billion pledged achieves maximum impact. Chernobyl 4. This means that there is likely to be more emphasis placed on voluntary compliance. Catherine Wolfram is the Cora Jane Flood Professor of Business Administration at the University of California, Berkeley Haas School of Business. Regulation, 39-43. These problems usually stem from one or more of the following: information bias, strategic bias, hypothetical bias, and starting point bias (Tietenberg, 2007). Moving to markets in environmental regulation: Lessons from twenty years of experience. New York: McGraw-Hill. Hagen, D. A., Vincent, J. W., & Welle, P. G. (1992). Free Market Environmentalism 13. Freeman, A. M., III. Discover the benefits of choosing the University of Helsinki and join us in our efforts to bring hope for the globe. This is because environmental goods commonly suffer from the presence of externalities or a lack of property rights. This means that some firms will not be able to pollute as much as they would like, and they will be forced to either reduce emissions or purchase permits from another firm in the industry (Barde, 2000). Issue Date November 2007. Economism 11. The economics of natural resources, in turn, focuses on the extraction of natural resources (all goods not reproducible by man) and the impact … Washington, DC: Resources for the Future. According to the Coase Theorem, in the face of market inefficiencies resulting from externalities, private citizens (or firms) are able to negotiate a mutually beneficial, socially desirable solution as long as there are no costs associated with the negotiation process (Coase, 1960). Baumol, W., & Oates, W. (1988). It’s not enough to write well on just any old topic when it comes to a research paper in economics. DeLong, J. V, Solow, R. M., Butters, G., Calfee, J., Ippolito, P., & Nisbet, R. A. Some of these changes include the introduction of new taxes, such as Finland’s implementation of the 1990 carbon tax; other changes involve using tax revenue to increase environmental quality, such as Denmark’s use of tax revenue to fund investment in energy-saving technologies (Barde, 2000). In addition to working papers, the NBER disseminates affiliates’ latest findings through a range of free periodicals — the NBER Reporter, the NBER Digest, the Bulletin on Retirement and Disability, and the Bulletin on Health — as well as online conference reports, video lectures, and interviews. However, goods that suffer from positive externalities provide more value to individuals in society than is taken into account by those providing these goods. This research paper outlines the basic concepts in environmental economics, including the ways in which environmental economists might estimate the value society holds for the natural environment. Study for the world at one of the world’s top 1% research universities. Amsterdam: Elsevier Science. Finally, starting point bias results when respondents are influenced by the set of responses made available to them by the contingent valuation survey. The extent to which individual responses to household surveys are protected from discovery by outside parties depends... © 2020 National Bureau of Economic Research. Environmental and natural resource economics (6th ed.). 1. Topics are extremely important and can make or break your entire assignment. These papers are either authored by NCEE economists or produced with funding from NCEE. The policy implications of work done by environmental economists are far-reaching. We appreciate Environmental Economics Research Paper Essayempire that you have chosen our cheap essay service, and will Environmental Economics Research Paper Essayempire provide you with high-quality and low-cost custom essays, research papers, term papers, speeches, book reports, and other academic assignments for sale. In fact, according to Barry Field and Martha Field (2006), contingent valuation methods have been used to determine the amount respondents would be willing to pay for a myriad of environmental goods. The problem of social cost. 5-5 stars based on 127 reviews My goals in my life essay. The Editorial Board Environmental and Resource Economics The Official Journal of the European Association of Environmental and Resource Economists Environmental economics provides a set of tools that are crucial in understanding today’s most pressing environmental problems. Hetch Hetchy 5. Stavins, R. N. (2003). On Revesz and Stavins ( 2005 ) ( 4th ed. ) willing to return bottles cans! 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