Climat : papiers de recherche moissonnés (14/02/2017)

Policy- v. Individual Heterogeneity in the Benefits of Climate Change Mitigation: Evidence from a Stated-Preference Survey / A. Alberini, M. Šcasný, A. Bigano. Milan : Fondazione Eni Enrico Mattei, 2016, 33 p. (Nota di Lavoro 80.2016)

The implementation of decarbonization policies depends crucially on the public’s willingness to pay for them. We use stated preference methods to investigate the public’s preferences for such policies. We ask three research questions. First, does the willingness to pay (WTP) for each ton of CO2 emissions reductions depend on the policies and on individual characteristics of the respondents? Second, how extensive is the variation associated with these factors? Third, what factors affect support for or opposition to a carbon tax? Based on the responses to discrete choice experiments from a sample of Italians, we find that the WTP per ton of CO2 ranges between € 6 and 130, depending on whether the public program is based on taxes, incentives, information-based approaches or standards. Further allowing for individual characteristics of the respondents, such as gender or education, and knowledge of climate change, results in a 300% change in WTP, holding the policy instrument the same. We conclude that the variation associated with the policy instrument is approximately of the same order of magnitude as that associated with individual characteristics of the respondents.

Climate Change, Water Scarcity in Agriculture and the Economy-Wide Impacts in a CGE Framework / R. Ponce, R. Parrado, A. Stehr, F. Bosello. Milan : Fondazione Eni Enrico Mattei, 2016, 39 p. (Nota di Lavoro 79.2016)

This paper analyzes the economic impacts of changes in water availability due to climate change. We develop a new modeling approach as an alternative to include water as a production factor within a global CGE model. We tailor the structure of the ICES model to characterize the key features of the world economy with a detailed representation of the agricultural sector. In order to reach this objective, a new database has been built to explicitly consider water endowments, precipitation changes, and unitary irrigation costs. Results suggest different economic consequences of climate change depending on the specific region. Impacts are related to change in crop production, endowment demands, and international trade.

Climate policy design and the competitiveness of the French industry: A computable general equilibrium analysis / Gaëlle Le Treut and Emmanuel Combet. Chaire Modélisation prospective au service du développement durable, Nov. 2016, 53 p. (Working Paper n° 2016-06-24)

The paper proposes a method to keep benefits from both sectorial and general equilibrium analysis. This method has originally been developed to build a hybrid energy-economy Input-Output Table (IOT) at a regional scale but it can be apply for any quantity flows. The approach consists in combining economic and physical data from sectors analysis with monetary input-output data from national accounts within a consistent and comprehensive “hybrid” accounting system. It goes beyond previous disaggregation techniques only based on economic data. We illustrate the procedure with French data, and we analyse the effects of a unilateral French carbon tax reform using a country-scale CGE model, IMACLIM-S. The results show that keeping aggregated heterogeneous industrial sectors can be misleading when exploring distributive consequences of a carbon price policy…

Report on the nationally determined contributions survey conducted by the Nairobi Framework Partnership in 2016 : summary report / Prepared by the St George Regional Collaboration Centre (RCC) on behalf of the Nairobi Framework Partnership (NFP). December 2016, 41 p.

The survey looks at what is required so that countries can implement the nationally determined contributions they have submitted under the Paris Climate Change Agreement. One key finding of the survey is that countries in Asia, Africa and Latin America and the Caribbean urgently need financial support to green their power sectors.

Moving on Towards a Workable Climate Regime / Jaime de Melo. Centre for Economic Policy Research, Jan. 2017, 31 p. (DP11781) ; version accessible :

The Paris Agreement (PA) signed by 175 parties is now a Treaty since a quorum of signatories has been obtained. This Treaty is really the first important step taken to limit temperature increase, as pledges, if sustained and far more ambitious beyond 2030, would drastically limit the projected temperature increase from projections in the absence of measures to limit emissions of greenhouse gases. Contributions however fall short of the intentions to limit temperature increase to the +1.5° to +2° Celsius range since the onset of industrialization. Drawing on recent contributions, this paper reviews where we stand in tackling four challenges ahead: (i) taking fuller cognizance of the accumulating scientific evidence calling for urgent action; (ii) designing an architecture that will render effective the blend of ‘bottom-up’ and ‘top-down’ approaches; (iii) choosing policy options and tackling the slow transition to a low-carbon economy, and; (iv) raising finance and addressing burden sharing.

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