Search results for "Non-renewable resource"
showing 7 items of 7 documents
On Capturing Rent from a Non-Renewable Resource International Monopoly: A Dynamic Game Approach
2005
In this paper we model the case of an international non-renewable resource monopolist as a dynamic game between a monopolist and n importing countries governments, and we investigate whether a tariff on resource imports can be advantageous for the consumers of the importing countries when the monopolist sets the price and the importing countries governments act in a non-cooperative way. We find that a tariff is advantageous for the consumers even when there is not commitment to the trade policy although the part of the rent that can be reaped by the importing countries decreases substantially with the number of importing countries. The optimality of the tariff in our dynamic game is explain…
- STRATEGIC PIGOUVIAN TAXATION, STOCK EXTERNALITIES AND POLLUTING NON-RENEWABLE RESOURCES
2001
This paper extends Wirl and Dockner¿s (1995) model designed to analyze the long-term bilateral interdependence between a resource exporting cartel and a coalition of resource importing country governments. Firstly, depletion effects are introduced into the analysis of the intertemporal properties of a pigouvian tax. Secondly, the feedback Stackelberg equilibria are computed. The results show that the dynamics of the tax depends critically on the level of the marginal environmental damage. Moreover, they also show that the tax defined by the Markov-perfect Nash equilibrium is a neutral pigouvian tax in the sense that it only corrects the market inefficiency caused by the stock externality. H…
Adjustment costs, uncertainty, and the theory of investment: the case of non-renewable natural resources
1992
Abstract This paper examines the effects of mineral price and extraction cost uncertainty on the investment program of a competitive resource-extracting industry that faces convex costs of adjustment. The results show that depletion of mineral reserves will slow down if the marginal adjustment cost function is concave or linear, whereas the effect will be ambiguous if the function is convex.
An Integrated Assessment Model on Local Aptitudes for Green-Energy Self-sustainability
2018
The Encyclical Letter Laudato Si of the Holy Father Francis on “Care for our Common Home” holds human society responsible for the achievement of a fairer world, through research into solutions to environmental problems and a moderate and efficient use of nonrenewable resources. It recalls that energy usage is one of the major factors of environmental pressure and shares the crucial questions of current European and international energy policies. In Italy, for the electric sector, energy policy requires the increase of energy production by renewable sources and the development of a transmission grid able to support a diffused and non-programmed production of electrical energy (a smart grid),…
Fen peat in environmentally friendly technologies
2018
Abstract Using peat as an energy source is currently incompatible with Environmental Policy Strategy of Latvia and 2030 Climate and Energy Package of European Union. The European Commission is looking at cost-efficient ways to make European economy more climate-friendly and less energy consuming. Although, fen peat alongside raised bog peat is categorized as fossil fuel, it is not traditionally used as fuel or growth substrate or for any other significant purposes in reasonable amounts. Large areas of fens are neglected where fen peat is slowly mineralizing and emitting greenhouse gases, such as carbon dioxide and methane, that are ones of the main triggers for the Climate Change. Thus, to …
On Capturing Oil Rents with a National Excise Tax Revisited
2004
In this paper the scope of Bergstrom’s (1982) results is studied. Moreover, his analysis is extended assuming that extraction cost is directly related to accumulated extractions. For the case of a competitive market it is found that the optimal policy is a constant tariff if extraction is costless. However, with depletion effects, the optimal tariff must ultimately be decreasing. For the case of a monopolistic market the results depend crucially on the kind of strategies the importing country governments can play and on whether the monopolist chooses the price or extraction rate. For a price-setting monopolist it is shown that the importing countries cannot use a tariff to capture monopoly …
Efficiency in the Use of Natural Non-renewable Resources and Environmental Federalism in Italy. Evidence from Regional Management of Mining and Quarr…
2013
The separation of powers and responsibilities has evolved over time in Italy given that political ideals have been pushing towards a greater decentralization for the last twenty years. Under environmental federalism issues, an interesting case of study - capable of being empirically treated - is the attribution of power to the Regional governments over the management of mining and quarrying. This process, however, -- started in the ’70s with the Presidential Decree N. 616 of 1977. By examining Regional Laws, this paper highlights how the policy makers have a misleading perception of the real value of raw mineral resources domestically extracted and that these seem closer to common goods rat…