Efnisyfirlit

• Cover
• Half-Title
• Title
• Copyright
• Contents
• Preface
  • New to this Edition
  • An Overview of the Book
• Acknowledgments
• PART I INTRODUCTION TO THE FIELD OF ENVIRONMENTAL AND NATURAL RESOURCE ECONOMICS
  • 1 Visions of the Future
    • Introduction
      • The Self-Extinction Premise
        • Example 1.1 A Tale of Two Cultures
    • Future Environmental Challenges
      • The Climate Change Challenge
      • The Water Accessibility Challenge
        • Example 1.2 Climate Change and Water Accessibility: The Linkage
      • The Just Transition Challenge
    • The Policy Context
    • How Will Societies Respond?
      • The Role of Economics
        • Debate 1.1 Ecological Economics versus Environmental Economics
      • The Use of Models
    • The Road Ahead
      • Example 1.3 Experimental Economics: Studying Human Behavior in a Laboratory and in the Field
      • Some Overarching Questions to Guide our Investigation
      • An Overview of the Book
    • Summary
    • Discussion Questions
    • Self-Test Exercise
    • Notes
    • Further Reading
  • 2 The Economic Approach: Property Rights, Externalities, and Environmental Problems
    • Introduction
    • The Human–Environment Relationship
      • The Economic Approach
        • Example 2.1 Economic Impacts of Reducing Hazardous Pollutant Emissions from Iron and Steel Foundries
    • Economic Efficiency
      • Static Efficiency
    • Property Rights
      • Property Rights and Efficient Market Allocations
      • Efficient Property Rights Structures
      • Producer’s Surplus, Scarcity Rent, and Long-Run Competitive Equilibrium
    • Externalities as a Source of Market Failure
      • The Concept Introduced
      • Types of Externalities
        • Example 2.2 Shrimp Farming Externalities in Thailand
      • Alternative Property Right Structures and the Incentives They Create
      • Public Goods
        • Example 2.3 Public Goods Privately Provided: The Nature Conservancy
    • Imperfect Market Structures
      • Asymmetric Information
      • Government Failure
    • The Pursuit of Efficiency
      • Judicial Liability Rules
      • Legislative and Executive Regulation
        • Example 2.4 Can Eco-Certification Make a Difference? Organic Costa Rican Coffee
    • Summary
    • Discussion Questions
    • Self-Test Exercises
    • Notes
    • Further Reading
  • 3 Evaluating Trade-Offs: Benefit-Cost Analysis and Other Decision-Making Metrics
    • Introduction
    • Normative Criteria for Decision Making
      • Evaluating Predefined Options: Benefit-Cost Analysis
      • Finding the Optimal Outcome
      • Relating Optimality to Efficiency
      • Comparing Benefits and Costs across Time
      • Dynamic Efficiency
    • Applying the Concepts
      • Pollution Control
        • Example 3.1 Does Reducing Pollution Make Economic Sense? Evidence from the Clean Air Act
      • Estimating Benefits of Carbon Dioxide Emission Reductions
        • Example 3.2 Using the Social Cost of Capital: The DOE Microwave Oven Rule
        • Example 3.3 Revisiting the Social Cost of Carbon: Just How High Should it Be?
    • Issues in Benefit Estimation
      • Debate 3.1 What Is the Proper Geographic Scope for the Social Cost of Carbon?
    • Approaches to Cost Estimation
    • The Treatment of Risk
    • Distribution of Benefits and Costs
    • Choosing the Discount Rate
      • Example 3.4 The Importance of the Discount Rate
      • Debate 3.2 Discounting over Long Time Horizons: Should Discount Rates Decline?
      • Divergence of Social and Private Discount Rates
    • A Critical Appraisal
      • Example 3.5 Is the Two for One Rule a Good Way to Manage Regulatory Overreach?
    • Other Decision-Making Metrics
      • Cost-Effectiveness Analysis
      • Impact Analysis
    • Summary
    • Discussion Questions
    • Self-Test Exercises
    • Notes
    • Further Reading
  • 4 Valuing the Environment: Methods
    • Introduction
    • Why Value the Environment?
      • Debate 4.1 Should Humans Place an Economic Value on the Environment?
    • Valuation
      • Types of Values
      • Classifying Valuation Methods
      • Stated Preference Methods
      • Contingent Valuation Method
        • Debate 4.2 Willingness to Pay versus Willingness to Accept: Why So Different?
      • Choice Experiments
        • Example 4.1 Leave No Behavioral Trace: Using the Contingent Valuation Method to Measure Passive-Use Values
        • Example 4.2 Careful Design in Contingent Valuation: An Example of WTP to Protect Brown Bears
        • Example 4.3 The Value of U.S. National Parks
      • Revealed Preference Methods
        • Example 4.4 Using the Travel-Cost Method to Estimate Recreational Value: Beaches in Minorca, Spain
    • Benefit Transfer and Meta-Analysis
    • Using Geographic Information Systems to Enhance Valuation
    • Challenges
      • Example 4.5 Using GIS to Inform Hedonic Property Values: Visualizing the Data
      • Example 4.6 Valuing the Reliability of Water Supplies: Coping Expenditures in Kathmandu Valley, Nepal
      • Debate 4.3 Distance Decay in Willingness to Pay: When and How Much Does Location Matter?
    • Valuing Human Life
      • Debate 4.4 What Is the Value of a Polar Bear?
      • Debate 4.5 Is Valuing Human Life Immoral?
      • Example 4.7 Using the Value of Statistical Life to Inform Policy: COVID-19
    • Damage Assessments: Loss of Ecosystem Services
    • Summary: Nonmarket Valuation Today
    • Discussion Question
    • Self-Test Exercises
    • Notes
    • Further Reading
  • 5 Dynamic Efficiency and Sustainable Development
    • Introduction
    • A Two-Period Model
    • Defining Intertemporal Fairness
    • Are Efficient Allocations Fair?
      • Example 5.1 The Alaska Permanent Fund
    • Applying the Sustainability Criterion
      • Example 5.2 Nauru: Weak Sustainability in the Extreme
    • Implications for Environmental Policy
    • Summary
    • Discussion Question
    • Self-Test Exercises
    • Notes
    • Further Reading
    • Appendix: The Simple Mathematics of Dynamic Efficiency
  • 6 Depletable Resource Allocation: The Role of Longer Time Horizons, Substitutes, and Extraction Cost
    • Introduction
    • A Resource Taxonomy
      • Terms
    • Efficient Intertemporal Allocations
      • The Two-Period Model Revisited
      • The N-Period Constant-Cost Case
      • Transition to a Renewable Substitute
      • Increasing Marginal Extraction Cost
      • Exploration and Technological Progress
        • Example 6.1 Historical Example of Technological Progress in the Iron Ore Industry
    • Market Allocations of Depletable Resources
      • Appropriate Property Rights Structures
      • Environmental Costs
        • Example 6.2 The Green Paradox
    • Summary
    • Discussion Question
    • Self-Test Exercises
    • Notes
    • Further Reading
    • Appendix: Extensions of the Constant-Extraction-Cost Depletable Resource Model: Longer Time Horizons and the Role of an Abundant Substitute
      • The N-Period, Constant-Cost, No-Substitute Case
      • Constant Marginal Cost with an Abundant Renewable Substitute
• PART II ECONOMICS OF POLLUTION CONTROL
  • 7 Economics of Pollution Control: An Overview
    • Introduction
    • A Pollutant Taxonomy
    • Defining the Efficient Allocation of Pollution
      • Stock Pollutants
      • Fund Pollutants
    • Market Allocation of Pollution
    • Efficient Policy Responses
    • Cost-Effective Policies for Uniformly Mixed Fund Pollutants
      • Defining a Cost-Effective Allocation
    • Cost-Effective Pollution Control Policies
      • Debate 7.1 Should Developing Countries Rely on Market-Based Instruments to Control Pollution?
    • Cost-Effective Policies for Nonuniformly Mixed Surface Pollutants
      • The Single-Receptor Case
      • Policy Approaches for Nonuniformly Mixed Pollutants
      • The Many-Receptors Case
    • Other Policy Dimensions
      • The Revenue Effect
        • Example 7.1 The Swedish Nitrogen Oxide Charge
        • Example 7.2 RGGI Revenue: The Maine Example
      • Responses to Changes in the Regulatory Environment
      • Instrument Choice under Uncertainty
    • Summary
    • Discussion Questions
    • Self-Test Exercises
    • Notes
    • Further Reading
    • Appendix: The Simple Mathematics of Cost-Effective Pollution Control
      • Policy Instruments
  • 8 Stationary-Source Local and Regional Air Pollution
    • Introduction
      • Conventional Pollutants
      • The Regulatory Policy Framework
    • The Efficiency of the Command-and-Control Approach
      • Debate 8.1 Does Sound Policy Require Targeting New Sources via the New Source Review?
      • Example 8.1 Do Uniform Ambient Air Quality Standards Provide Just Protection for all U.S. Residents?
      • Debate 8.2 The Particulate and Smog Ambient Standards Controversy
    • Cost-Effectiveness of the Traditional Regulatory Approach
    • Air Quality
    • Market-Based Approaches
      • Example 8.2 Japan’s Pollution-related Health Damage Compensation System
      • Example 8.3 The U.S. Sulfur Allowance Program in Retrospect
      • Example 8.4 Controlling SO2 Emissions in the United States and Germany: A Comparison
      • Co-Benefits and Co-Costs
    • Summary
      • Example 8.5 Technology Diffusion in the Chlorine-Manufacturing Sector
    • Discussion Questions
    • Self-Test Exercises
    • Notes
    • Further Reading
  • 9 Water Pollution: Managing Water Quality for Rivers, Lakes, and Oceans
    • Introduction
    • Nature of Water Pollution Problems
      • Types of Waste-Receiving Water
      • Sources of Contamination
      • Types of Pollutants
        • Debate 9.1 Toxics in Fish Tissue: Do Fish Consumption Advisories Change Behavior?
      • Traditional Water Pollution Control Policy
    • The U.S. Experience
      • Early Legislation
      • Subsequent Legislation
        • Example 9.1 The Challenges of Estimating the Benefits of Water Pollution Policy
        • Example 9.2 Effluent Trading for Nitrogen in Long Island Sound
      • The Clean Water Rule
    • The European Experience
      • European Water Framework Directive
    • The Developing Country Experience
      • Example 9.3 Economic Incentives for Water Pollution Control: The Case of Colombia
    • Ocean Pollution
      • Oil Spills
      • Ocean Dumping
      • Ocean Trash
        • Debate 9.2 To Ban or Not to Ban: The Unintended Consequences of Plastic Bag Policies
      • Oil Spills—Tankers and Offshore Drilling
    • An Overall Assessment
      • Example 9.4 Deepwater Horizon BP Oil Spill–Estimating the Damages
    • Summary
    • Discussion Questions
    • Self-Test Exercises
    • Notes
    • Further Reading
  • 10 Toxic Substances and Environmental Justice
    • Introduction
    • Nature of Toxic Substance Pollution
      • Toxic Substance Health Effects
    • Policy Issues
      • Example 10.1 The Arduous Path to Managing Toxic Risk: Bisphenol A
    • Market Allocations and Toxic Substances
      • Occupational Hazards
        • Example 10.2 Susceptible Populations in the Hazardous Workplace: An Historical Example
      • Product Safety
      • Third Parties
        • Example 10.3 Private Judicial Remedies for Managing Toxic Risk: The Case of PFAS
    • Environmental Justice and the Siting of Hazardous Waste Plants
    • History
    • Environmental Justice Research and the Emerging Role of GIS
    • The Economics of Site Location
      • Example 10.4 Which Came First–The Toxic Facility or the Minority Neighborhood?
    • Environmental Justice in Canada and Europe
    • Programs to Improve Information
      • Proposition 65
        • Example 10.5 Regulating through Mandatory Disclosure: The Case of Lead
    • Europe’s Approach to Toxic Substance Management
    • Summary
    • Discussion Questions
    • Self-Test Exercises
    • Notes
    • Further Reading
• PART III CLIMATE SECTION
  • 11 Climate Change I: The Nature of the Challenge
    • Introduction
      • The Science of Climate Change: The Basics
    • Quantifying the Intensity of the Threats
      • Tipping Points and Fat Tails
        • Example 11.1 The Permafrost Thaw Tipping Point
      • Dealing with Uncertainty
    • Broad Strategies
    • The Evolution of Targets
    • Economic Insights on Targets and Timing
    • Getting There: The Economics of International Climate Agreements
    • The Precedent: Reducing Ozone-Depleting Gases
    • Summary
    • Discussion Question
    • Self-Test Exercise
    • Notes
    • Further Reading
  • 12 Climate Change II: The Role of Energy Policy
    • Introduction
    • Future Pathways
      • Energy Efficiency
        • Example 12.1 On-Bill Financing in Hawai‘i: Solving the Up-Front Cost Problem
        • Example 12.2 Energy Efficiency: Rebound and Backfire Effects
      • Fuel Switching
      • Beneficial Electrification
      • The Potential Role for Nuclear Energy
    • The Role of Policy in Transitioning to Renewables
      • Policy Design Issues
        • Example 12.3 The Relative Cost-Effectiveness of Renewable Energy Policies in the United States
      • Transition Complexities
      • Example 12.4 Negative Prices in the Energy Industry
      • Dealing with Intermittent Sources
      • Integrating Distributed Energy Sources
        • Example 12.5 Thinking Outside of the Box: The Boothbay Pilot Project
        • Example 12.6 The Economics of Solar Microgrids in Kenya
    • Access to Critical Resources
    • Summary
    • Discussion Questions
    • Self-Test Exercises
    • Note
    • Further Reading
  • 13 Climate Change III: Carbon Pricing
    • Introduction
    • Carbon Pricing and Emissions Mitigation Policy
      • Forms of Carbon Pricing
      • Carbon Offset Markets
        • Example 13.1 Air Capture and Storage as an Offset
        • Debate 13.1 Are Offsets Helpful or Harmful in Efforts to Reduce the Climate Threat?
    • Carbon Markets and Taxes: How have these Approaches Worked in Practice?
      • Cost Savings
      • Economic Impacts
    • The Sufficiency of Carbon Pricing: Meeting the Goals?
      • Protecting Trade-Vulnerable Industries
      • Using the Revenue: Possibilities and Experience
    • Uncertainty-Decreasing Hybrid Carbon Pricing Designs
      • Emissions Trading Program Hybrids
      • Carbon Tax Hybrids
    • Providing Context: A Brief Look at Four Illustrative Carbon Pricing Programs
      • Output-Based Carbon Pricing Systems
    • Policy Design and the Just Transition
    • Controversy: The Morality of Emissions Trading
      • Debate 13.2 Is Global Greenhouse Gas Trading Immoral?
    • Summary
    • Discussion Questions
    • Self-Test Exercises
    • Notes
    • Further Reading
  • 14 Climate Change IV: Adaptation: Floods, Wildfires, and Water Scarcity
    • Introduction—The Role of Adaptation Policy
      • Adaptation and Mitigation—Complements or Substitutes?
    • Climate Adaptation: Flood Risks—Storms, Sea Level Rise, and Storm Surges
      • Flood Insurance in the United States
        • Example 14.1 Enhancing Resilience against Natural Disasters with Flood Insurance
      • Proactive versus Reactive Adaptation Strategies
      • Flood Insurance around the World
      • Rethinking Flood Insurance
        • Example 14.2 Shoreline Stabilization and Beach Renourishment: Buying Time
      • Managed Retreat: Buyouts
      • Prioritizing among Adaptation Options in the Presence of Ethical Boundaries
      • Information as an Adaptive Strategy
        • Example 14.3 What to Expect when you Are Expecting a Hurricane: Hurricane Exposure and Birth Outcomes
    • Climate Adaptation: Wildfire Risk and Management
      • Example 14.4 Mandatory Adaptation Benefits Homeowners AND their Neighbors?
    • Climate Adaptation: Managing Water Shortages
      • The Efficient Allocation of Scarce Water
      • Municipal Water Pricing
        • Example 14.5 The Cost of Conservation: Revenue Stability versus Equitable Pricing
      • Full Cost Recovery Pricing
      • Desalination and Wastewater Recycling
        • Example 14.6 Moving Rivers or Desalting the Sea? Costly Remedies for Water Shortages
    • Roles for Public and Private Institutions
    • Summary
    • Discussion Questions
    • Self-Test Exercises
    • Notes
    • Further Reading
  • 15 Transportation: Managing Congestion and Pollution
    • Introduction
    • Subsidies and Externalities
      • Implicit Subsidies
      • Externalities
    • Consequences
    • The U.S. and E.U. Policy Approaches
      • Example 15.1 Monitoring and Enforcement: The Volkswagen Experience
    • Transportation Pricing
      • Fuel Taxes
      • Congestion Pricing
        • Example 15.2 Zonal Mobile-Source Pollution-Control Strategies: Singapore
        • Example 15.3 Sacrificing Efficiency for Acceptability? Congestion Charges in Practice
        • Example 15.4 New York City’s Congestion Pricing Plan: Will it Really Reduce Congestion?
      • Fuel-Economy Standards: The U.S. Approach
        • Debate 15.1 CAFE Standards or Fuel Taxes?
        • Example 15.5 Fuel-Economy Standards When Fuel Prices Are Falling vs. Rising
      • Gas Guzzler Tax
      • Fuel-Economy Standards in the European Union
        • Example 15.6 Car-Sharing: Better Use of Automotive Capital?
      • Fuel-Economy Standards in Other Countries
      • External Benefits of Fuel-Economy Standards
    • Other Transportation Policies
      • Private Toll Roads
      • Parking Cash-Outs
      • Bike-Sharing Programs
      • Pricing Public Transport
      • Feebates
      • Zero-Emission Vehicles and Tax Credits for Electric Vehicles
        • Example 15.7 Modifying Car Insurance as an Environmental Strategy
      • Accelerated Retirement Strategies
        • Example 15.8 The Cash-for-Clunkers Program: Did it Work?
        • Example 15.9 Counterproductive Policy Design
    • Summary
    • Discussion Question
    • Self-Test Exercises
    • Notes
    • Further Reading
• PART IV NATURAL RESOURCE ECONOMICS
  • 16 Ecosystem Services: Nature’s Threatened Bounty
    • Introduction
    • The State of Ecosystem Services
    • Economic Analysis of Ecosystem Services
    • Demonstrating the Value of Ecosystem Services
    • The Value of Coral Reefs
      • Example 16.1 The Value of Protecting Coral Reefs in the Coral Triangle and Mesoamerica
    • Valuing Supporting Services: Pollination
      • Example 16.2 Valuing Pollination Services: Two Illustrations
    • Valuing Supporting Services: Forests and Coastal Ecosystems
    • Challenges and Innovation in Ecosystem Valuation
    • Institutional Arrangements and Mechanisms for Protecting Nature’s Services
      • Payments for Environmental Services (PES)
        • Debate 16.1 Paying for Ecosystem Services or Extortion? The Case of Yasuni National Park
        • Example 16.3 Trading Water for Beehives and Barbed Wire in Bolivia
      • Tradable Entitlement Systems
        • Example 16.4 Reducing Emissions from Deforestation and Forest Degradation (REDD): A Twofer?
        • Debate 16.2 Tradable Quotas for Whales?
      • Ecotourism
        • Debate 16.3 Does Ecotourism Provide a Pathway to Sustainability?
        • Example 16.5 Payments for Ecosystem Services–Wildlife Protection in Zimbabwe
        • Example 16.6 On the Error of Ignoring Ecosystem Services: The Case of Wolf Recovery in the United States
    • Poverty and Debt
      • Debt-for-Nature Swaps
      • Extractive Reserves
      • The World Heritage Convention
      • Royalty Payments
        • Example 16.7 Does Pharmaceutical Demand Offer Sufficient Protection to Biodiversity?
        • Example 16.8 Trust Funds for Habitat Preservation
    • The Special Problem of Protecting Endangered Species
      • Conservation Banking
        • Example 16.9 Conservation Banking: The Gopher Tortoise Conservation Bank
      • The Agglomeration Bonus
      • Safe Harbor Agreements
      • Preventing Invasive Species
        • Example 16.10 The Changing Economics of Monitoring and its Role in Invasive Species Management
    • Moving Forward
    • Summary
    • Discussion Questions
    • Self-Test Exercises
    • Notes
    • Further Reading
  • 17 Common-Pool Resources: Commercially Valuable Fisheries
    • Introduction
    • Efficient Allocations—Bioeconomics Theory
      • The Biological Dimension
      • Static Efficient Sustainable Yield
      • Dynamic Efficient Sustainable Yield
    • Appropriability and Market Solutions
    • Public Policy toward Fisheries
      • Example 17.1 Harbor Gangs of Maine and Other Informal Arrangements
      • Raising the Real Cost of Fishing
      • Taxes
      • Perverse Incentives? Subsidies
      • Catch Share Programs
        • Example 17.2 The Relative Effectiveness of Transferable Quotas and Traditional Size and Effort Restrictions in the Atlantic Sea Scallop Fishery
        • Debate 17.1 ITQs or TURFs? Species, Space, or Both?
    • Aquaculture
    • Subsidies and Buybacks
      • Debate 17.2 Aquaculture: Does Privatization Cause More Problems Than it Solves?
    • Exclusive Economic Zones—The 200-Mile Limit
    • Marine Protected Areas and Marine Reserves
    • Enforcement—Illegal, Unreported, and Unregulated Fish Stocks
      • Debate 17.3 Bluefin Tuna: Difficulties in Enforcing Quotas for High-Value Species
    • Summary
    • Discussion Questions
    • Self-Test Exercises
    • Notes
    • Further Reading
    • Appendix: The Harvesting Decision: Fisheries
  • 18 Forests: Storable, Renewable Resources
    • Introduction
    • Characterizing Forest Harvesting Decisions
      • Special Attributes of the Timber Resource
      • The Biological Dimension
      • The Economics of Forest Harvesting
      • Extending the Basic Model
    • Sources of Inefficiency
      • Perverse Incentives for the Landowner
      • Perverse Incentives for Nations
        • Debate 18.1 Is Firewood a Carbon-Neutral Fuel?
    • Sustainable Forestry
      • Public Policy
        • Example 18.1 Producing Sustainable Forestry through Certification: Is it Working?
      • Forestry Offsets (Credits)
    • Summary
    • Discussion Questions
    • Self-Test Exercises
    • Notes
    • Further Reading
    • Appendix: The Harvesting Decision: Forests
  • 19 Land: A Locationally Fixed, Multipurpose Resource
    • Introduction
    • The Economics of Land Allocation
      • Land Use
      • Land-Use Conversion
      • The Ethanol Story
      • The Role of Irrigation
      • The Rise of Organic Food
    • Sources of Inefficient Use and Conversion
      • Sprawl and Leapfrogging
      • Incompatible Land Uses
      • Undervaluing Environmental Amenities
        • Debate 19.1 Should Landowners Be Compensated for “Regulatory Takings”?
      • The Influence of Taxes on Land-Use Conversion
      • Market Power
        • Debate 19.2 What Is a “Public Purpose”?
      • Special Problems in Developing Countries
    • Innovative Market-Based Policy Remedies
      • Establishing Property Rights
      • Transferable Development Rights
        • Example 19.1 Controlling Land Development with TDRs in Practice
      • Conservation Easements
      • Development Impact Fees
      • Real Estate Tax Adjustments
    • Summary
    • Discussion Question
    • Self-Test Exercises
    • Notes
    • Further Reading
• PART V SUSTAINABLE DEVELOPMENT
  • 20 Sustainable Development: Meeting the Challenge
    • Introduction
    • The Basic Elements of Sustainable Development
    • The Sufficiency of Market Allocations in Attaining Just, Sustainable Outcomes
      • Market Imperfections
    • The Evolution of the Sustainable Development Concept
    • The Current Sustainable Development Vision in Practice
      • Debate 20.1 What Role Should Nuclear Power Play in our Energy Future?
    • The Evolution of Sustainable Development Metrics
    • Enter Donut Economics
    • Meeting the Challenges
      • The Intergenerational Challenge
        • Example 20.1 Metropolitan Tokyo’s Cap-and-Trade Program for Buildings
      • The Intragenerational Challenge
    • The Evolving Roles of Technology, the Business Community, and Nongovernmental Organizations
      • Example 20.2 The Effects of an Unconditional Cash Transfer System in Kenya
    • Summary
    • Discussion Questions
    • Self-Test Exercise
    • Notes
    • Further Reading
• Answers to Self-Test Exercises
• Glossary
• Index

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