{"title":"Heat and humidity on early-life outcomes: Evidence from Mexico","authors":"Yumin Hong","doi":"10.1016/j.jeem.2024.103082","DOIUrl":"10.1016/j.jeem.2024.103082","url":null,"abstract":"<div><div>I provide evidence on the detrimental effect of in utero exposure to heat and humidity on children’s health at birth in a middle-income country, Mexico. Humidity affects the body’s ability to regulate heat via perspiration and may thus exacerbate the adverse effects of high temperatures. I link temperature and humidity exposure during pregnancy to individual outcomes regarding 25 million births and stillbirths from 2008 through 2021 using Mexican administrative records. The results show that high wet-bulb temperatures adversely affect birth outcomes. Specifically, each additional day per month with a wet-bulb temperature above 24°C (equivalent to about 40°C at 25% humidity) reduces birth weight by 1.21% and increases the likelihood of preterm birth by 2%. I find that the combined effects of humidity and high temperature on birth outcomes are greater than that of high temperature alone, suggesting that the damaging effects of high temperature can be underestimated when humidity is not accounted for. I also present evidence that the adverse effects of heat on health at birth can be mitigated by adopting air conditioning.</div></div>","PeriodicalId":15763,"journal":{"name":"Journal of Environmental Economics and Management","volume":"129 ","pages":"Article 103082"},"PeriodicalIF":5.5,"publicationDate":"2024-11-26","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"142743536","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"The dynamic effects of weather shocks on agricultural production","authors":"Cédric Crofils , Ewen Gallic , Gauthier Vermandel","doi":"10.1016/j.jeem.2024.103078","DOIUrl":"10.1016/j.jeem.2024.103078","url":null,"abstract":"<div><div>This paper proposes a new methodological approach using high-frequency data and local projections to assess the impact of weather on agricultural production. Local projections capture both immediate and delayed effects across crop types and growth stages, while providing early warnings for food shortages. Adverse weather shocks, such as excess heat or rain, consistently lead to delayed downturns in production, with heterogeneous effects across time, crops, and seasons. We build a new index of aggregate weather shocks that accounts for the typical delay between event occurrence and economic recognition, finding that these shocks are recessionary at the macroeconomic level, reducing inflation, production, exports and exchange rates.</div></div>","PeriodicalId":15763,"journal":{"name":"Journal of Environmental Economics and Management","volume":"130 ","pages":"Article 103078"},"PeriodicalIF":5.5,"publicationDate":"2024-11-26","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"142757506","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Compensating against fuel price inflation: Price subsidies or transfers?","authors":"Odran Bonnet , Étienne Fize , Tristan Loisel , Lionel Wilner","doi":"10.1016/j.jeem.2024.103079","DOIUrl":"10.1016/j.jeem.2024.103079","url":null,"abstract":"<div><div>Compensating agents against substantial and sudden shocks requires both targeting tax policies and taking behavioral responses into account. Based on transaction-level data from France, this article exploits quasi-experimental variation provided by 2022 fuel price inflation and excise tax cuts. After disentangling anticipation from price effects, we estimate a price elasticity of fuel demand of −0.31, on average, which varies little with respect to income and location but substantially decreases with fuel spending, in absolute value. Using targeted transfers only achieves imperfect compensation, yet a budget-constrained policy-maker seeking to alleviate excessive losses relative to income prefers income-based transfers to price subsidies.</div></div>","PeriodicalId":15763,"journal":{"name":"Journal of Environmental Economics and Management","volume":"129 ","pages":"Article 103079"},"PeriodicalIF":5.5,"publicationDate":"2024-11-25","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"142744183","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"A general equilibrium approach to carbon permit banking","authors":"Loick Dubois , Jean-Guillaume Sahuc , Gauthier Vermandel","doi":"10.1016/j.jeem.2024.103076","DOIUrl":"10.1016/j.jeem.2024.103076","url":null,"abstract":"<div><div>We study the general equilibrium effects of carbon permit banking during the transition to a climate-neutral economy by 2050. To this end, we develop an environmental dynamic stochastic general equilibrium model, in which the business sector is regulated by a generic emission trading system (ETS). Firms are authorized to transfer unused permits from one period to the next (banking), but the reverse direction (borrowing) is prohibited. Allowing for positive banking gives firms the opportunity to smooth their permit demand along the business cycle. Applications inspired by recent European Union-ETS regulations underscore the critical role of permit banking in shaping policy outcomes. For example, the 2023 cap reform would result in a more significant reduction in both permit banking and carbon emissions, as well as a 40<span><math><mtext>%</mtext></math></span> to 50<span><math><mtext>%</mtext></math></span> increase in the carbon price compared to pre-reform projections, without substantial additional GDP loss by 2060. Importantly, forgetting about permit banking when assessing cap policies would lead to both a significant underestimation of the total macroeconomic effects and an inaccurate representation of the carbon emission trajectory.</div></div>","PeriodicalId":15763,"journal":{"name":"Journal of Environmental Economics and Management","volume":"129 ","pages":"Article 103076"},"PeriodicalIF":5.5,"publicationDate":"2024-11-22","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"142701341","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Unintended environmental consequences of anti-corruption strategies","authors":"Elías Cisneros , Krisztina Kis-Katos","doi":"10.1016/j.jeem.2024.103073","DOIUrl":"10.1016/j.jeem.2024.103073","url":null,"abstract":"<div><div>High agricultural profits motivate politicians to collude with local elites and ignore illegal conversion of natural forests. Fighting corruption through fiscal audits can improve local governance in general but may also unintentionally intensify such collusion and rent extraction activities within the less scrutinized forestry sector. This paper highlights such unintended consequences of a federal anti-corruption strategy in Brazil by documenting the causal effects of randomized fiscal audits on deforestation dynamics, a non-targeted outcome. Between 2003 and 2011, public audits of federal funds increased deforestation by about 10% in municipalities of the Brazilian Amazon within the first three years after the audit. The audits triggered forest loss, especially during election years, in municipalities governed by first-term mayors who managed to win re-elections afterwards, and in places with a high share of cattle ranching, indicating potential collusion between local politicians and the agricultural sector.</div></div>","PeriodicalId":15763,"journal":{"name":"Journal of Environmental Economics and Management","volume":"128 ","pages":"Article 103073"},"PeriodicalIF":5.5,"publicationDate":"2024-11-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"142657507","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Blowin’ in the wind: Long-term downwind exposure to air pollution from power plants and adult mortality","authors":"Shinsuke Tanaka","doi":"10.1016/j.jeem.2024.103072","DOIUrl":"10.1016/j.jeem.2024.103072","url":null,"abstract":"<div><div>We estimate the causal effects of long-term exposure to air pollution emitted from fossil fuel power plants on adult mortality. We leverage quasi-experimental variation in daily wind patterns, which is further instrumented by the county orientation from the nearest power plant. We find that the county’s fraction of days spent downwind of plants within 20 miles in the last 10 years is associated with increased mortality from COVID-19 through the third peak in mortality in January 2021. This effect is more pronounced in fenceline communities with high poverty rates, low health insurance coverage, and low educational attainment.</div></div>","PeriodicalId":15763,"journal":{"name":"Journal of Environmental Economics and Management","volume":"128 ","pages":"Article 103072"},"PeriodicalIF":5.5,"publicationDate":"2024-11-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"142571508","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Emanuele Campiglio , Alessandro Spiganti , Anthony Wiskich
{"title":"Clean innovation, heterogeneous financing costs, and the optimal climate policy mix","authors":"Emanuele Campiglio , Alessandro Spiganti , Anthony Wiskich","doi":"10.1016/j.jeem.2024.103071","DOIUrl":"10.1016/j.jeem.2024.103071","url":null,"abstract":"<div><div>Access to finance is a major barrier to clean innovation. We incorporate a financial sector in a directed technological change model, where research firms working on different technologies raise funding from financial intermediaries at potentially different costs. We show that, in addition to a rising carbon tax and a generous but short-lived clean research subsidy, optimal climate policies include a clean finance subsidy directly aimed at reducing the financing cost differential across technologies. The presence of an endogenous financing experience effect induces stronger mitigation efforts in the short-term to accelerate the convergence of heterogeneous financing costs. This is achieved primarily through a carbon price premium of 39% in 2025, relative to a case with no financing costs.</div></div>","PeriodicalId":15763,"journal":{"name":"Journal of Environmental Economics and Management","volume":"128 ","pages":"Article 103071"},"PeriodicalIF":5.5,"publicationDate":"2024-11-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"142552749","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Labor market impacts of eco-development initiatives in protected areas","authors":"Anca Balietti , Sreeja Jaiswal , Daniel Schäffer","doi":"10.1016/j.jeem.2024.103070","DOIUrl":"10.1016/j.jeem.2024.103070","url":null,"abstract":"<div><div>Eco-development seeks to balance economic development with biodiversity conservation, enhancing the effectiveness of protected area management. This paper examines the labor market impacts of eco-development initiatives implemented in the protected areas of the Western Ghats, India, a significant biodiversity hotspot facing intense socio-economic pressures. Our findings show that eco-development has substantially altered labor market outcomes in villages within and surrounding protected areas, resulting in a higher share of non-farm employment. This shift is marked by a reduction in year-round work and an increase in seasonal employment. These effects appear to stem from the specific types of jobs created by eco-development and the changes in land use patterns it promotes, such as a higher proportion of forested land and increased reliance on rainfed agriculture over irrigated farming. Descriptive evidence also suggests that, despite improvements in literacy, the affected villages experience lower consumption levels and higher poverty rates.</div></div>","PeriodicalId":15763,"journal":{"name":"Journal of Environmental Economics and Management","volume":"128 ","pages":"Article 103070"},"PeriodicalIF":5.5,"publicationDate":"2024-10-16","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"142534663","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Combining private and common property management: The impact of a hybrid ownership structure on grassland conservation","authors":"Min Liu , Pengfei Liu , Kaixing Huang","doi":"10.1016/j.jeem.2024.103069","DOIUrl":"10.1016/j.jeem.2024.103069","url":null,"abstract":"<div><div>This study finds that a hybrid property structure, where private ownership and communal ownership coexist, outperforms pure private or pure public ownership in terms of grassland conservation after a grassland tenure reform in China. The tenure reform of privatization replaced public ownership gradually and led to a significant 5.4% increase in grassland quality on average. The grassland quality increase is twice as large for private grassland with additional access to public grassland compared to those without such access. Interestingly, public grassland quality did not decline, indicating sustainable utilization by herders. These findings are consistent with the literature which suggests that a properly structured hybrid ownership arrangement could benefit from the positive effects of grassland privatization while mitigating the negative impacts of natural disasters. We further provide empirical support and show that the gains from public grassland access are substantially larger when there are adverse climatic shocks. Our study provides important policy implications for property rights and sustainable grassland management under more frequent climate events.</div></div>","PeriodicalId":15763,"journal":{"name":"Journal of Environmental Economics and Management","volume":"128 ","pages":"Article 103069"},"PeriodicalIF":5.5,"publicationDate":"2024-10-04","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"142419276","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Paul E. Carrillo , Ivette Contreras , Carlos Scartascini
{"title":"Turn off the faucet: Can individual meters reduce water consumption?","authors":"Paul E. Carrillo , Ivette Contreras , Carlos Scartascini","doi":"10.1016/j.jeem.2024.103065","DOIUrl":"10.1016/j.jeem.2024.103065","url":null,"abstract":"<div><div>When consumption of water and other utilities is measured collectively for many households and the payment of such services is equally shared among members of the group, individuals may use more than what is socially optimal. In this paper, we evaluate how the installation of individual meters affects water consumption. Using administrative data from the public water utility company in Quito, Ecuador, and an event study approach, it is estimated that water consumption decreases by about 20% as a result of the introduction of individual metering. The effect is large and economically significant: in order to obtain the same effect using the price mechanism in Quito, prices would have to increase by at least 66%. Individual water metering could be a useful tool to curve down consumption in both developing and developed countries.</div></div>","PeriodicalId":15763,"journal":{"name":"Journal of Environmental Economics and Management","volume":"128 ","pages":"Article 103065"},"PeriodicalIF":5.5,"publicationDate":"2024-10-04","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"142419278","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}