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Abstract Pioneering domestic environmental regulation may foster the creation of new eco-industries. These industries could benefit from a competitive advantage in the global market place. This article examines empirical evidence of the impact of domestic renewable energy policies on the export performance of renewable energy products (wind and solar PV). We use a gravity model of international trade with a balanced dataset of 49 (for wind) and 40 (for PV) countries covering the period 1995–2013. The stringency of renewable energy policies is proxied by installed capacities. Our econometric model shows evidence of competitive advantage positively correlated with domestic renewable energy policies, sustained in the wind industry but brief in the solar PV industry. We suggest that the reason for the dynamic difference lies in the underlying technologies involved in the two industries. Highlights • We study how RE promotion policies impact exports of wind and solar-related products. • We estimate a gravity model to explain international trade in RE-related products. • Our data comprise 49 (wind) and 40 (solar PV) countries for the period 1995–2013. • We show evidence of policy-induced competitive advantage in the wind and solar PV industries. • Competitive advantage is sustained in the wind industry but brief in the solar PV industry. [ABSTRACT FROM AUTHOR]

Abstract: The Integrated Global Observing Strategy () argues that further investments in Earth Observation information are required to improve coral reef protection worldwide. The IGOS Strategy does not specify what levels of investments are needed nor does it quantify the benefits associated with better-protected reefs. Evaluating costs and benefits is important for determining optimal investment levels and for convincing policy-makers that investments are required indeed. Few studies have quantitatively assessed the economic benefits of Earth Observation information or evaluated the economic value of information for environmental management. This paper uses an expert elicitation approach based on Bayesian Decision Theory to estimate the possible contribution of global Earth Observation to the management of the Great Barrier Reef. The Great Barrier Reef including its lagoon is a World Heritage Area affected by anthropogenic changes in land-use as well as climate change resulting in increased flows of sediments, nutrients and carbon to the GBR lagoon. Since European settlement, nutrient and sediment loads having increased 5–10 times and the change in water quality is causing damages to the reef. Earth Observation information from ocean and coastal color satellite sensors can provide spatially and temporally dense information on sediment flows. We hypothesize that Earth Observation improves decision-making by enabling better-targeted run-off reduction measures and we assess the benefits (cost savings) of this improved targeting by optimizing run-off reductions under different states of the world. The analysis suggests that the benefits of Earth Observation can indeed be substantial, depending on the perceived accuracy of the information and on the prior beliefs of decision-makers. The results indicate that increasing informational accuracy is the most effective way for developers of Earth Observation information to increase the added value of Earth Observation for managing coral reefs. [Copyright &y& Elsevier]

This article assesses a wide range of alternative proposals for post-2012 international climate policy regimes. We believe that these proposals will serve as a basis for debates about how to configure post-2012 climate policy. The article characterizes and assesses the policy proposals along the lines of five key policy dilemmas. We argue that (1) many proposals have ideas on how to reduce emissions, but fewer have a solution on how to stimulate technical innovation; (2) many proposals formulate climate policy in isolation, while there are fewer proposals that try to mainstream climate policies in other policy areas; (3) many proposals advocate market-based solutions, while fewer realize that there are certain drawbacks to this solution especially at the international level; (4) most proposals have a preference for a UN-based regime, while a more fragmented regime, based on regional and sectoral arrangements may be emerging; and (5) most proposals have ideas about mitigation, but not many have creative ideas on how to integrate mitigation with adaptation. [ABSTRACT FROM AUTHOR]

The article discusses the fair trade and ethical labeling in the clothing, textile and footwear industries. The globalization of the jeans industry has implications for workers and labor unions. Based on a market research, consumers are not willing to pay for clothes or shoes with ethical labelling. Developing countries are skeptical on implementing certification and labeling programs because of the notion that it might affect their exports.

Presents a study which examined the effect of trade liberalization on carbon leakage. Quantitative estimates of carbon leakage under the Kyoto Protocol by means of import tariff reductions agreed to in the Uruguay Round of multilateral trade negotiations; Factors which may weaken the effectiveness of environmental regulations; Assessment of potential bias in previous estimates of carbon leakage.

This article examines stakeholder perspectives on the ‘optimality’ of the climate policy mix in the agri-food sector in the EU using the criteria of environmental effectiveness, cost-effectiveness, and political feasibility. Based on a literature review and selected stakeholder interviews in two Northern (The Netherland and UK) and two Southern EU Member States (Italy and Spain), we conclude that the current policy mix is far from optimal. There are currently no EU-wide policy instruments to address GHG emissions in the agri-food sector, and little Member State level action. A number of initiatives from the private sector (particularly retailers) are present, although they are limited in scope and objectives. Looking forward, three concrete recommendations for improvements may be identified. First, stakeholders identify the need for the development of EU-wide policy instrumentation for GHG abatement from the agri-food sector, to provide a ‘level playing field’ for farmers and other economic agents in the sector. Second, many stakeholders consider it crucial that a holistic, ‘whole supply chain’ in contrast to a ‘piecemeal’ approach is taken. Third, the role of government is considered important, but predominantly in terms of providing a general framework within which more ambitious voluntary approaches could develop. Policy relevance From a policy perspective, this article aims to assist the EU develop more ‘optimal’ climate policies for the agri-food sector by taking into account the views and perspectives of different stakeholders involved in different countries on three main ‘optimality’ criteria, namely, environmental effectiveness, cost-effectiveness, and political feasibility. [ABSTRACT FROM AUTHOR]

A novel integrated hydro-economic modeling framework that links a bottom-up partial equilibrium (engineering) model with a top-down (economic) general equilibrium model is developed for assessing the regional economic impacts of water resources management and infrastructure development decisions in a transboundary river basin. The engineering model is employed first to solve the water allocation problem for a river system in a partial equilibrium setting. The resulting system-wide changes in optimal water allocation are subsequently fed into the general equilibrium model to provide an economy-wide perspective. This integrated hydro-economic modeling framework is illustrated using the Eastern Nile River basin as a case study. The engineering-based stochastic dual dynamic programming (SDDP) model of the Eastern Nile basin is coupled with the computable general equilibrium (CGE) model GTAP-W to assess the economy-wide impacts of the Grand Ethiopian Renaissance Dam (GERD) on the Eastern Nile economies. • A hybrid hydro-economic modeling approach is developed combining existing models. • The value added of the new model is tested on the Grand Ethiopian Renaissance Dam. • Optimal water allocation is simulated using a stochastic-dynamic engineering model. • Results feed into a macro-economic model for a basin and economy-wide perspective. • Integrated modeling increases the credibility of the economy-wide impacts of dams. [ABSTRACT FROM AUTHOR]

The European Union (EU) has developed a strategy to mitigate climate change by cutting greenhouse gas (GHG) emissions and fostering low carbon technologies. However, the risk of implementing unilateral policies is that distortive effects are generated at the global scale affecting world energy prices, international competitiveness and the geographical allocation of carbon intensive production processes. Using a dynamic CGE model, we assess the rate of carbon leakage and adverse impacts on competitiveness in a number of scenarios over the period 2010–2050. According to the model results, we highlight two major issues. First, in the case of a unilateral EU climate policy, carbon leakage and negative effects on competitiveness are quite serious. Anti-leakage measures can only mitigate leakage and adverse economic impacts on competitiveness in a limited way. On the contrary, an optimality analysis addressing the environmental effectiveness, cost-effectiveness and political feasibility of alternative policy solutions reveals that the EU long term decarbonisation strategy by investing in energy efficiency and renewable energy might ensure protection of vulnerable manufacturing activities while enhancing the competitiveness of technologically-advanced industries. [ABSTRACT FROM AUTHOR]

This study aims to improve the estimates of the economic impacts of climate change by developing a river flood risk model CLIMRISK-RIVER and introducing it into an existing climate-economy integrated assessment model (IAM). It operates on a local scale and can project climate change-related river flood damage for various socioeconomic, climate and flood adaptation scenarios. Whereas other IAMs have relied on temperature as a climate change proxy, we show that precipitation is a key variable in projecting river flood damage. The way adaptation is accounted for in our flood damage functions has a large influence on the results, highlighting the relevance of modelling local level adaptation in IAMs. Results presented at different spatial scales demonstrate the relevance of river flood damage functions for estimating the economic impacts of climate change and allows for exploration of the spatial distribution of impacts through local estimates. • Reduced form river flood damage functions predict the output of more complicated models well. • Precipitation, previously unaccounted for in climate-economy IAMs, is a key variable in projecting river flood damage. • River flood adaptation has a large influence on climate-related flood damage and needs tobe modelled explicitly in IAMs. • Local damage estimates show substantial spatial heterogeneity, making them essential in climate impact assessment [ABSTRACT FROM AUTHOR]