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REFERENCE LINKING PLATFORM OF KOREA S&T JOURNALS
> Journal Vol & Issue
Environmental and Resource Economics Review
Journal Basic Information
Journal DOI :
Korean Resource Economics Association
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Volume & Issues
Volume 24, Issue 4 - Dec 2015
Volume 24, Issue 3 - Sep 2015
Volume 24, Issue 2 - Jun 2015
Volume 24, Issue 1 - Mar 2015
Selecting the target year
Sustainability and International Environmental Agreements
Lin, Yu-Hsuan ;
Environmental and Resource Economics Review, volume 24, issue 2, 2015, Pages 251~281
DOI : 10.15266/KEREA.2015.24.2.251
This paper examines the perceptions of sustainability, which is conceptualised as cross-generational social preferences, on the formation of international environmental agreements (IEAs) in a two-stage game in two periods. There are two scenarios are considered: myopic and sustainable development scenarios. The myopic scenario assumes the decision makers only concern the present welfare. Whilst the scenario of sustainable development has two characters: cross-generational fairness and altruism. When both are taken into account, a coalition will be expanded. The numerical example indicates that the marginal cost of the total emissions is the crucial factor for the formation of IEAs. Only when the marginal cost is low, a sustainable system can be succeeded. While, the technological advancement may lead to a more efficient production per unit of emissions, it also encourages countries to emit more in total and have a lower level of welfare. The results confirm the importance of sustainability to IEAs. The lesson learnt from this study is: when decision makers are myopic, the system is unsustainable even if an IEA is formed. Only when the perception of sustainability is considered, the system could be sustainable. Regardless of the existence of IEAs, international environmental conventions shall not neglect the fundamental goal to pursue sustainable development.
Estimating the Consumer`s Value of Creating Shared Value Strategy of Company Considering Biodiversity
Park, Sujeong ; Min, Sun Hyung ; Im, Jeongbin ; Kim, Hong Sok ;
Environmental and Resource Economics Review, volume 24, issue 2, 2015, Pages 283~309
DOI : 10.15266/KEREA.2015.24.2.283
Nagoya Protocol came into effect October of 2014. For Korean companies to follow Nagoya Protocol with ease, this research conducts the survey to figure out consumers` additional willingness to pay for bio-diversity. The hypothesis that the bio-diversity label will make an impact on willingness to pay through emotional value, conditional value, and epistemic value is based on consumption value theory. The survey is conducted for two product categories; first one is utilitarian product (milk) and the other one is hedonic product (cosmetics). The analysis result shows the bio-diversity label on both product categories incur additional willingness to pay. Especially, expectation on effectiveness of bio-diversity label increases the additional willingness to pay on biodiversity label. This implies for easy following on Nagoya Protocol, the education and promotion of bio-diversity is need to increase consumers` additional willingness to pay, which can be the attraction for companies to obey the Nagoya Protocol.
Market Structure and Pricing Behavior in the Korean Transportation Fuel Market
Moon, Choon-Geol ;
Environmental and Resource Economics Review, volume 24, issue 2, 2015, Pages 311~342
DOI : 10.15266/KEREA.2015.24.2.311
We evaluate two main rationales of massive policy intervention of Lee Administration in the Korean transportation fuel market: high market share of domestic refineries, perceived by the Administration as the result of high market concentration, and asymmetry in price adjustment, perceived as the result of collusion. Domestic refineries, huge in capacity and located at seaports, maintain international competitiveness in price. Considering market openness offering preferential treatment to importers, they set domestic prices competitively on the basis of MOPS prices. Yet, the price competitiveness of domestic refineries is so high that they are able to sustain high market share. We confirm that the Korean before-tax consumer prices of gasoline and diesel are lower than Japan`s and the weighted averages of 27 EU countries by as much as 159KRW and 21KRW per liter in the case of gasoline and 170KRW and 63KRW in the case of diesel. Price asymmetry is caused by diverse economic and managerial reasons and, as FTC (2005) states, price asymmetry does not immediately imply exercise of market power or collusion. We analyzed price asymmetry in Korea, Japan and 14 EU countries, and found asymmetry in Korea and 11 EU countries in the case of gasoline and in Korea and 8 EU countries in the case of diesel.
Relationship Between Climate Change and Total Factor Productivity
Choi, Young Jun ; Park, Hyun Yong ;
Environmental and Resource Economics Review, volume 24, issue 2, 2015, Pages 343~363
DOI : 10.15266/KEREA.2015.24.2.343
This study is to analyze the effects of climate change on national total factor productivity. Changes in temperature and rainfalls which are the representative climate variables are used as main factors to measure climate change. Not only average values of the variables but those highest values are used as independent variables in the model, in order to consider the characteristic pattern of recent climate change, the high volatilities. The OLS results are corresponding to previous literature that average temperature has a negative relationship with productivities while average rainfalls have a positive relationship. However, the results of panel analysis contradict the argument of the negative relationship between average temperature and productivities since human beings can adapt the climate change. Therefore adaptation capacity is important to forecast the effects of climate changes on economies.
An Analysis of the Price Elasticity of Electricity Demand and Price Reform in the Korean Residential Sector Under Block Rate Pricing
Jo, Ha-Hyun ; Jang, Min-Woo ;
Environmental and Resource Economics Review, volume 24, issue 2, 2015, Pages 365~410
DOI : 10.15266/KEREA.2015.24.2.365
Block-rate structures are widely used in utility-pricing, including the Korean residential electricity sector. In the case of the current pricing structure, Korean citizens are highly concerned about incurring excessive electricity costs. For these reasons, there have been many discussions concerning mitigation of the strict pricing structure. Existing studies on the residential electricity demand function under block-rate structure have the following three issues - the consumer`s budget constraint is non-linear, perceived price under block-rate structure is uncertain, block-rate structure has endogeneity in the price variable. In this context, this paper estimates the residential electricity demand function using micro-level household expenditure data and simulates the impact of alternative block-pricing schedules.
A Decomposition Analysis of Energy Productivity Change in Korean Manufacturing Industries: A Distance Function Approach
Kim, Kwang-Uk ; Hwang, Seok-Joon ;
Environmental and Resource Economics Review, volume 24, issue 2, 2015, Pages 411~433
DOI : 10.15266/KEREA.2015.24.2.411
This paper decomposed energy productivity changes across 14 Korean manufacturing industries into 5 components, technological catch-up(EC), technological progress(TC), and changes in labor-energy ratio(LC), capital-energy ratio(KC) and energy mix(EMC). Then we also figured out the possible relationship between energy productivity change and export growth rate across the industries. It is found that (1) technological progress, changes in capital-energy ratio and energy mix contribute to energy productivity growth in Korea during the sample period, (2) technological progress is the primary driving forces for energy productivity growth, (3) increase in export growth rate had a positive impact on energy productivity growth excepting a part of energy-intensive industries.
Measuring Benefits of Providing Water for Environmental Improvement in Yeongdok Ohsip River: Considering Protest Bids and Distance-Decay Function in the Application of CVM
Eom, Young Sook ;
Environmental and Resource Economics Review, volume 24, issue 2, 2015, Pages 435~461
DOI : 10.15266/KEREA.2015.24.2.435
Recently, Korean development Institute includes water for environmental improvement as an additional water demand category in water resources development project. In response to this change, this paper is to measure benefits of providing additional water in Yeondok Ohsip River by applying contingent valuation method. This study extended the conventional CVM design by incorporating distance variable into WTP function of dichotonomous choice responses and treated protest bids by estimating sample-selection models. The empirical analysis exhibited that more than 30% of respondents were categorized as protest bids and the mean of WTP from sample selection models were three times higher than that of the whole sample. In addition, the distance variable had significantly negative impact on sample WTP regardless of variables forms, and the geographical market area were more 400km, which implies that beneficiaries of water service would the households from the whole nation.