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  • 1. Acar, Sevil
    et al.
    Söderholm, Patrik
    Brännlund, Runar
    Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE). Umeå University, Faculty of Social Sciences, Umeå School of Business and Economics (USBE).
    Convergence of per capita carbon dioxide emissions: implications and meta-analysis2018In: Climate Policy, ISSN 1469-3062, E-ISSN 1752-7457, Vol. 18, no 4, p. 512-525Article in journal (Refereed)
    Abstract [en]

    There is a rich empirical literature testing whether per capita carbon dioxide emissions tend to converge over time and across countries. This article provides a meta-analysis of the results from this research, and discusses how carbon emissions convergence may be understood in, for instance, the presence of international knowledge spillovers and policy convergence. The results display evidence of either divergence or persistent gaps at the global level, but convergence of per capita carbon dioxide emissions between richer industrialized countries. However, the results appear sensitive to the choice of data sample and choice of convergence concept, e.g. stochastic convergence versus β-convergence. Moreover, peer-reviewed studies have a higher likelihood of reporting convergence in carbon dioxide emissions compared to non-refereed work.

  • 2.
    Adom, Philip Kofi
    Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE). University of Agricultural Sciences (SLU), Umeå, Sweden; Department of Banking and Finance, University of Professional Studies, Accra, Ghana.
    The transition between energy efficient and energy inefficient states in Cameroon2016In: Energy Economics, ISSN 0140-9883, E-ISSN 1873-6181, Vol. 54, p. 248-262Article in journal (Refereed)
    Abstract [en]

    I use a two-state (energy efficient/inefficient) Markov-switching dynamic model to study energy efficiency in Cameroon in a novel manner, employing yearly data covering 1971 to 2012. I find that the duration of an energy inefficient state is about twice as long as an energy efficient state, mainly due to fuel subsidies, low income, high corruption, regulatory inefficiencies, poorly developed infrastructure and undeveloped markets. To escape from an energy inefficient state a broad policy overhaul is needed. Trade liberalization and related growth policies together with the removal of fuel subsidies are useful, but insufficient policy measures; the results suggest that they should be combined with structural policies, aiming at institutional structure and investment in infrastructure. (C) 2015 Elsevier B.V. All rights reserved.

  • 3.
    Amjadi, Golnaz
    et al.
    Umeå University, Faculty of Social Sciences, Umeå School of Business and Economics (USBE), Economics. Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE).
    Lundgren, Tommy
    Umeå University, Faculty of Social Sciences, Umeå School of Business and Economics (USBE), Economics. Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE).
    Persson, Lars
    Umeå University, Faculty of Social Sciences, Umeå School of Business and Economics (USBE), Economics. Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE).
    The Rebound Effect in Swedish Heavy Industry2018In: Energy Economics, ISSN 0140-9883, E-ISSN 1873-6181, Vol. 71, p. 140-148Article in journal (Refereed)
    Abstract [en]

    Energy efficiency improvement (EEI) benefits the climate and matters for energy security. The potential emission and energy savings due to EEI may however not fully materialize due to the rebound effect. In this study, we measure the size of the rebound effect for fuel and electricity within the four most energy intensive sectors in Sweden: pulp and paper, basic iron and steel, chemical, and mining. We use a detailed firm-level panel data set for 2000–2008 and apply Stochastic Frontier Analysis (SFA) for measuring the rebound effect. We find that neither fuel nor electricity rebound effects fully offset the potential energy and emission savings. Among the determinants, we find CO2 intensity and fuel/electricity share to be useful indicators for identifying firms with higher or lower rebound effect within each sector.

  • 4. Amjadi, Golnaz
    et al.
    Lundgren, Tommy
    Persson, Lars
    Umeå University, Faculty of Social Sciences, Umeå School of Business and Economics (USBE), Economics. Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE).
    Zhang, Shanshan
    The rebound effect in the Swedish heavy industry2017Report (Other academic)
    Abstract [en]

    Energy efficiency improvement (EEI) benefits the climate and matters for energy security. The potential emission and energy savings due to EEI may however not fully materialize due to the rebound effect. In this study, we measure the size of rebound effect for the two energy types fuel and electricity within the four most energy intensive sectors in Sweden – pulp and paper, basic iron and steel, chemical, and mining. We use a detailed firm-level panel data set for the period 2000-2008 and apply Stochastic Frontier Analysis (SFA) for measuring the rebound effect. We find that both fuel and electricity rebound effects do not fully offset the potential for energy and emission savings. Furthermore, we find CO2 intensity and fuel and electricity share as the two main determinants of rebound effect in Swedish heavy industry. Our results seems to imply that it matters both to what extent and where to promote EEI, as the rebound effect varies between sectors as well as between firms within sectors. 

  • 5.
    Angelov, Angel G.
    et al.
    Umeå University, Faculty of Social Sciences, Umeå School of Business and Economics (USBE), Statistics.
    Ekström, Magnus
    Umeå University, Faculty of Social Sciences, Umeå School of Business and Economics (USBE), Statistics.
    Kriström, Bengt
    Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE). Department of Forest Economics, Swedish University of Agricultural Sciences.
    Nilsson, Mats E.
    Gösta Ekman Laboratory, Department of Psychology, Stockholm University.
    Testing for stochastic dominance: Procedures with four hypothesesManuscript (preprint) (Other academic)
  • 6.
    B. Krishnamurthy, Chandra Kiran
    Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE). Umeå University, Faculty of Social Sciences, Umeå School of Business and Economics (USBE), Economics. The Beijer Institute of Ecological Economics, The Royal Swedish Academy of Sciences.
    Optimal management of groundwater under uncertainty: a unified approach2017In: Environmental and Resource Economics, ISSN 0924-6460, E-ISSN 1573-1502, Vol. 67, no 2, p. 351-377Article in journal (Refereed)
    Abstract [en]

    Discrete-time stochastic models of management of groundwater resources have been extensively used for understanding a number of issues in groundwater management. Most models used suffer from two drawbacks: relatively simplistic treatment of the cost of water extraction, and a lack of important structural results (such as monotonicity of extraction in stock and concavity of the value function), even in simple models. Lack of structural properties impede both practical policy simulation and clarity of understanding of the resulting models and the underlying economics. This paper provides a unifying framework for these models in two directions; first, the usual cost function is extended to encompass cases where marginal cost of pumping depends on the stock and second, the analysis dispenses with assumptions of concavity of the objective function and compactness of the state space, using instead lattice-theoretic methods. With these modifications, a comprehensive investigation of which structural properties can be proved in each of the resulting cases is carried out. It is shown that for some of the richer models more structural properties may be proved than for the simpler model used in the literature. This paper also introduces to the resource economics literature an important method of proving convergence to a stationary distribution which does not require monotonicity in stock of resource. This method is of interest in a variety of renewable resource model settings.

  • 7.
    B. Krishnamurthy, Chandra Kiran
    et al.
    Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE). Umeå University, Faculty of Social Sciences, Umeå School of Business and Economics (USBE), Economics.
    Cioffi, Francesco
    University of Rome ‘La Sapienza’, Italy.
    Lall, Upmanu
    Columbia University, New York.
    Rus, Ester
    Thames Water Innovation Centre, Reading, UK.
    Space-time Structure of Extreme Precipitation in Europe over the last CenturyArticle in journal (Refereed)
  • 8.
    B. Krishnamurthy, Chandra Kiran
    et al.
    Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE). Umeå University, Faculty of Social Sciences, Umeå School of Business and Economics (USBE), Economics.
    Kriström, Bengt
    SLU Umeå.
    A cross-country analysis of residential electricity demand in 11 OECD-countries2015In: Resources and Energy Economics, ISSN 0928-7655, E-ISSN 1873-0221, Vol. 39, p. 68-88Article in journal (Refereed)
    Abstract [en]

    We provide consistent, cross-country estimates of price and income elasticity for households in 11 OECD countries. Using survey data from 2011 on annual consumption of electricity and sample-derived average electricity price, we provide country-specific price elasticity estimates and average income elasticity estimates. For most countries in our sample, we find strong price responsiveness, with elasticities varying (in absolute value) between 0.27 for South Korea and 1.4 for Australia, and higher than 0.5 for most countries. Exploiting the presence of many attitudinal indicators in the dataset, we provide evidence that non-price related factors to affect energy demand; in particular, households' self-reported energy savings behaviour reduces demand between 2 and 4%. In contrast, we find very weak income responsiveness, with income elasticities varying from 0.07 to 0.16 and no evidence for heterogeneity across the countries in our sample. Our results regarding price elasticity are in contrast with those of many existing studies which find low-to-moderate price responsiveness, and adds to a few recent studies indicating more policy space for demand reduction than previously thought.

  • 9.
    B. Krishnamurthy, Chandra Kiran
    et al.
    Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE). Umeå University, Faculty of Social Sciences, Umeå School of Business and Economics (USBE). The Beijer Institute of Ecological Economics, Royal Swedish Academy of Sciences, Stockholm, Sweden.
    Kriström, Bengt
    Determinants of the Price-Premium for Green Energy: Evidence from an OECD Cross-Section2016In: Environmental and Resource Economics, ISSN 0924-6460, E-ISSN 1573-1502, Vol. 64, no 2, p. 173-204Article in journal (Refereed)
    Abstract [en]

    Using data from a survey of households in 11 OECD countries, this paper investigates the determinants of preferences for a completely green residential electricity system. Three important questions are addressed: (i) how much are households willing to pay to use only renewable energy? (ii) does willingness-to-pay (WTP) vary significantly across household groups and countries? and (iii) what drives the decision to enter the (hypothetical) market for green energy and, given entry, what drives the level of WTP? The analysis here differs from previous studies on green energy in two ways: first, data and analyses are comparable across countries and second, a comprehensive attempt is made to understand 0 WTP, and to accommodate-using a censored quantile regression (CQR) framework-unobserved heterogeneity. The survey data indicate a low WTP, at 11-12 % of current electric bill. This study also addresses a key question: how important is income for understanding WTP, relative to more "attitudinal" determinants? The effect of income overall appears ambiguous, with Tobit-like models indicating that income is not significant while the CQR indicates that income exerts a significant effect near the center of the distribution of WTP. Across all frameworks used, a key determinant of WTP appears to be environmental attitudes, particularly membership in an environmental organization.

  • 10.
    Berck, Peter
    et al.
    Department of Agricultural and Resource Economics, University of California, Berkley, CA, USA.
    Brännlund, Runar
    Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE). Umeå University, Faculty of Social Sciences, Department of Economics.
    Spindell Berck, Cyndi
    Attorney and Public Policy Analyst, Berkeley, CA, USA.
    Green regulations in California and Sweden2011In: Journal of Natural Resources Policy Research, ISSN 1939-0459, E-ISSN 1939-0467, Vol. 3, no 1, p. 49-61Article in journal (Refereed)
    Abstract [en]

    California and Sweden are both leaders in green regulations and actions. In both there is a substantial political base for environmental regulation, yet the path to regulation in these two political entities is quite different. California emphasizes command and control regulations while Sweden makes heavy use of taxes. We show that both underlying economic factors and the constraints of the larger systems in which these economies are embedded contribute to their choice of control methods.

  • 11. Boman, Mattias
    et al.
    Mattsson, Leif
    Ericsson, Göran
    Kriström, Bengt
    Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE). Swedish Univ Agr Sci SLU, CERE, S-90183 Umea, Sweden.
    Moose Hunting Values in Sweden Now and Two Decades Ago: The Swedish Hunters Revisited2011In: Environmental and Resource Economics, ISSN 0924-6460, E-ISSN 1573-1502, Vol. 50, no 4, p. 515-530Article in journal (Refereed)
    Abstract [en]

    This paper is based on two national contingent valuation studies dealing with the extent and economic values of hunting in Sweden. The first valuation study was conducted in 1987 and the second in 2006. Both the game resource and the hunter community have undergone changes in the two decades covered by the surveys. An important purpose of the latter survey was to repeat relevant parts of the former one, which created a rare opportunity to compare valuations covering a very long time span. Moose hunting value and its determinants were compared between the two studies, showing that significant changes have taken place. Our analysis suggests caution in using results from old contingent valuation studies for e.g. benefits transfer exercises.

  • 12.
    Bostedt, Göran
    Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE).
    John Rawls i klimatekonomiska analyser.2018In: Ekonomisk Debatt, ISSN 0345-2646, Vol. 5, p. 86-89Article, book review (Refereed)
  • 13.
    Bostedt, Göran
    et al.
    Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE).
    Brännlund, Runar
    Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE). Umeå University, Faculty of Social Sciences, Department of Economics.
    Rationality, fairness and the cost of distrust2012In: The Journal of Socio-Economics, ISSN 1053-5357, E-ISSN 1879-1239, Vol. 41, no 4, p. 345-349Article in journal (Refereed)
  • 14.
    Bostedt, Göran
    et al.
    Umeå University, Faculty of Social Sciences, Umeå School of Business and Economics (USBE), Economics.
    Brännlund, Runar
    Umeå University, Faculty of Social Sciences, Umeå School of Business and Economics (USBE), Economics.
    Carlén, Ola
    SLU.
    Gisselman, Fredrik
    Persson, Lars
    Umeå University, Faculty of Social Sciences, Umeå School of Business and Economics (USBE), Economics. Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE).
    Fiskefria områden ur ett samhällsekonomiskt perspektiv: En empirisk studie2016Report (Other academic)
  • 15.
    Bostedt, Göran
    et al.
    Umeå University, Faculty of Social Sciences, Umeå School of Business and Economics (USBE), Economics.
    Brännlund, Runar
    Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE).
    Carlén, Ola
    SLU.
    Gisselman, Fredrik
    Enetjärn Natur AB.
    Persson, Lars
    Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE).
    Fiskefria områden ur ett samhällsekonomiskt perspektiv: En empirisk studie.2016Report (Other academic)
  • 16.
    Bostedt, Göran
    et al.
    Umeå University, Faculty of Social Sciences, Umeå School of Business and Economics (USBE), Economics. Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE). SLU.
    Brännlund, Runar
    Umeå University, Faculty of Social Sciences, Umeå School of Business and Economics (USBE), Economics. Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE).
    Carlén, Ola
    SLU.
    Persson, Lars
    Umeå University, Faculty of Social Sciences, Umeå School of Business and Economics (USBE), Economics. Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE).
    Fiskefria områden ur ett samhällsekonomiskt perspektiv: en konceptuell analys2016Report (Other academic)
    Abstract [sv]

    Huvudsyftet med föreliggande rapport är att på ett övergripande och konceptuellt plan beskriva innebörden av en samhällsekonomisk nytto- och kostnadsanalys, eller samhällsekonomisk bedömning, och hur en sådan kan och bör genomföras för att analysera samhällsnyttan av fiskefria områden. Vidare syftar rapporten till att exemplifiera vilken typ av empiriska data och metoder som finns tillgängliga för en sådan analys med hjälp av den fritidsfiskeundersökning som årligen görs i regi av Hav och Vattenmyndigheten.

  • 17.
    Bostedt, Göran
    et al.
    Umeå University, Faculty of Social Sciences, Umeå School of Business and Economics (USBE), Economics.
    Lundgren, Tommy
    Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE).
    Accounting for Cultural Heritage - A Theoretical and Empirical Exploration with Focus on Swedish Reindeer Husbandry.2010In: Ecological Economics, ISSN 0921-8009, E-ISSN 1873-6106, Vol. 69, p. 651-657Article in journal (Refereed)
  • 18.
    Bostedt, Göran
    et al.
    Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE).
    Zabel, Astrid
    Berner Fachhochschule.
    Ekvall, Hans
    SLU.
    Policies for Forest Landscape Management: a Conceptual Approach with an Empirical Application for Swedish Conditions2018In: Forest Policy and Economics, ISSN 1389-9341, E-ISSN 1872-7050, Vol. 86, p. 13-21Article in journal (Refereed)
    Abstract [en]

    Habitat loss and habitat fragmentation are major factors leading to forest biodiversity decline. This paper discusses landscape planning as strategy to improve connectivity in a landscape with a heterogeneous distribution of ecologically valuable areas across land owners. A tax-fund system is proposed, that following the principle of common but differentiated responsibility, tries to spread the burden of conservation equally across land owners while optimizing the environmental outcome. Design options of such a tax-fund system are discussed along the lines of a simple theoretical model. Financial effects of a tax-fund system are computed for a small model landscape set in Sweden. Two design questions stand out as particularly important. The first is whether the policy is intended to be self-sustained among the land owners or if the budget can be supplemented by general tax money. The second is whether the land owners or the relevant authority select the stands for conservation set-aside.

  • 19. Bostian, Moriah
    et al.
    Färe, Rolf
    Grosskopf, Shawna
    Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE). Department of Economics, Oregon State University, Corvallis, OR, USA.
    Lundgren, Tommy
    Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE).
    Environmental investment and firm performance: a network approach2016In: Energy Economics, ISSN 0140-9883, E-ISSN 1873-6181, Vol. 57, p. 243-255Article in journal (Refereed)
    Abstract [en]

    This study examines the role of investment in environmental production practices for both environmental performance and energy efficiency over time. We employ a network DEA approach that links successive production technologies through intertemporal investment decisions with a period by period estimation. This allows us to estimate energy efficiency and environmental performance separately, as well as productivity change and its associated decompositions into efficiency change and technology change. Incorporating a network model also allows us to account for both short-term environmental management practices and long-term environmental investments in each of our productivity measures. We apply this framework to a panel of detailed plant-level production data for Swedish manufacturing firms covering the years 2002-2008.

  • 20. Bostian, Moriah
    et al.
    Färe, Rolf
    Grosskopf, Shawna
    Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE). Umeå University, Faculty of Social Sciences, Umeå School of Business and Economics (USBE), Economics. Department of Economics, Oregon State University, USA.
    Lundgren, Tommy
    Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE). Umeå University, Faculty of Social Sciences, Umeå School of Business and Economics (USBE), Economics.
    Network Representations of Pollution-Generating Technologies2017In: International Review of Environmental and Resource Economics, ISSN 1932-1465, E-ISSN 1932-1473, Vol. 11, no 3, p. 193-231Article in journal (Refereed)
    Abstract [en]

    We update developments on modeling technology including unintended outputs and show how these can, at least to a large extent, be incorporated in a network model framework. Recently there have been efforts to specify more detailed models which include multiple functions to separately capture intended and unintended products. Yet another recent strand of the recent literature has also explicitly tried to include a material balance condition in the model. We see this general evolution as beginning with what might be called a black box technology, with inputs entering the box, and good and bad outputs exiting the box. The more sophisticated models can be thought of as filling in the black box with the more detailed processes involved with production, prevention and abatement, with production accompanied by undesirable byproducts subject to legal regulations and laws of nature. This can be modeled as a network within the black box.

  • 21. Bostian, Moriah
    et al.
    Färe, Rolf
    Grosskopf, Shawna
    Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE). Department of Economics, Oregon State University, Corvallis, OR, USA.
    Lundgren, Tommy
    Weber, William L.
    Time substitution for environmental performance: The case of Swedish manufacturing2018In: Empirical Economics, ISSN 0377-7332, E-ISSN 1435-8921, Vol. 54, no 1, p. 129-152Article in journal (Refereed)
    Abstract [en]

    We extend recent advances in time substitution modeling to a directional distance function framework, in order to examine the environmental performance of firms in Sweden's pulp and paper industry for the years 2002-2008. Our data allow us to estimate the optimal reallocation of environmental investments, expenditures and energy use to simultaneously maximize production output and minimize emissions in the years immediately before and after the implementation of the European Union Emissions Trading Scheme. We find some evidence of overall productivity decline when considering both emissions and output objectives, due primarily to technological decline, and that cumulative dynamic inefficiency outweighs static inefficiency. A comparison of optimal investment with observed investment indicates that firms could have improved their performance by reallocating environmental investments to early periods and production-oriented investment to later periods.

  • 22.
    Broberg, Thomas
    et al.
    Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE).
    Berg, Charlotte
    Samakovlis, Eva
    The economy-wide rebound effect from improved energy efficiency in Swedish industries–A general equilibrium analysis2015In: Energy Policy, ISSN 0301-4215, E-ISSN 1873-6777, Vol. 83, p. 26-37Article in journal (Refereed)
    Abstract [en]

    The objective of this paper is to analyse the rebound effect from increased efficiency in industrial energy use in Sweden. Energy efficiency improvements can have significant micro- and macroeconomic effects that hamper the positive effect on real energy savings. To assess the size of the overall rebound effect in the Swedish economy, we apply a computable general equilibrium model. The results show that the economy-wide rebound effect depends on a number of factors, e.g. the extent of the energy efficiency improvement, how the labour market is modelled as well as whether the increase in energy efficiency is combined with a cost or not. We find that the rebound effect following a five per cent increase in energy efficiency in the Swedish industry lies in the 40-70 per cent range. When energy efficiency is only improved in energy-intensive production, the rebound effect becomes even higher. These findings are in line with the results in the literature.

  • 23.
    Broberg, Thomas
    et al.
    Umeå University, Faculty of Social Sciences, Umeå School of Business and Economics (USBE), Economics. Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE).
    Brännlund, Runar
    Umeå University, Faculty of Social Sciences, Umeå School of Business and Economics (USBE), Economics. Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE).
    Kazukauskas, Andrius
    Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE). Umeå University, Faculty of Social Sciences, Umeå School of Business and Economics (USBE).
    Persson, Lars
    Umeå University, Faculty of Social Sciences, Umeå School of Business and Economics (USBE), Economics. Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE).
    Vesterberg, Mattias
    Umeå University, Faculty of Social Sciences, Umeå School of Business and Economics (USBE), Economics. Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE).
    An electricity market in transition: demand flexibility and preference heterogeneity2015Report (Other academic)
    Abstract [en]

    In a recent report to the Swedish Energy Markets Inspectorate (Broberg et al., 2014) consumer behavior and consumer flexibility concerning energy use were analyzed. Two main conclusions were drawn. First, electricity consumption follows a regular pattern over the day, week, and year, which to a large extent reflects household living patterns and climate variations over the year. Second, the average household needs a substantial economic compensation to voluntarily reschedule its electricity use away from peak demand hours. The required compensations were found to be far higher than the economic incentives households face today when exposed to real-time pricing. In addition, it was found that households are more flexible in the use of electricity for heating than in the use of electrical appliances. Finally, households were found to be more flexible during the morning peak hours than during the evening hours. These findings led to the overall conclusion that both the possibilities and incentives are such that we cannot expect any substantial change in energy use patterns from technical reforms that creates incentives for demand response in line with the current price variation on the wholesale market for electricity.

    In the above-mentioned report we also analyzed people’s attitudes towards information dissemination. We concluded that many households do not wish to have their electricity use scrutinized by experts and other households. We found that people, on average, required a compensation to allow such information sharing. Again, new technologies open for various demand response policies, although it does not necessarily imply substantially higher demand flexibility. New technologies need to be combined with consumer interest to be successful in a market economy.

    The overall objective of the current report is to further scrutinize consumer behavior and flexibility. The first part focuses on Swedish households’ choice of electricity supplier contracts. Specifically, we analyze what types of households choose a fixed price contract. 1 The choice of contract implicitly reveals a consumer’s flexibility since a fixed price contract works as an insurance against price variation. So, by studying what type of households chose a fixed price contract we are able to infer on which type of households are relatively inflexible. This part of the analysis is policy relevant since it touches on the question of what to expect from real-time pricing reforms. A central question is whether a household who uses relatively more electricity is more likely to have a fixed price contract. If this is the case, future access to real-time pricing and a greater price variation may not be a guarantee for a substantial increase in demand response as important consumers (from a policy perspective) are more likely to insure against such circumstances. From this perspective the market for price insurances (fixed price contracts) is a market for inflexibility.

    While the analysis above considers the effectiveness of future energy policies to promote demand response, it is also relevant to study the question of how the peak demand problem may develop over time. This question is explicitly addressed in the current report by studying how consumer behavior varies across income levels. The existing literature suggests that electricity consumption is positively related to income, although the income elasticity 2 is fairly small. However, almost all studies concerning income effects have studied aggregate electricity use on monthly or yearly basis. The present study departs from the existing literature by studying how daily household electricity use patterns vary across income levels. This approach is novel since it allows us to analyze how the peak load problem may develop in the future as a result of higher income levels, which is commonly expected.

    By studying the choice of electricity contracts and by estimating hourly income elasticities, the report approach demand flexibility in an indirect way. In the third analysis of the report we address these issues again, although with a somewhat more direct approach. The choice experiment part in Broberg et al. (2014), which focused on the economic incentives needed in order to change people’s energy consumption in a predefined way, is now deepened. The focus is on how socio-economic factors such as e.g. age, gender, education and income may explain preference heterogeneity among the Swedish population. Energy related factors such as living conditions and heating systems are also considered in the analysis. This analysis will inform us about what types of households are inclined to reschedule their energy use when given relatively small economic incentives, and what household’s that are relatively inflexible and thus require large compensations to change their behavior. We also study preference heterogeneity regarding information dissemination in purpose of anonymous peer comparisons.

    In the final part of the report we deepen our analysis of households’ demand for information about their own and others electricity use. Besides creating incentives for demand response, new technologies included in the smart grid concept also make it possible for policy makers to use tailored information to help consumers to use energy more efficiently. A number of studies highlight inefficiencies in the households’ use of energy (see e.g. Broberg and Kazukauskas, 2014). One highlighted reality is that people seem to pay little attention to energy issues. Of course, if people pay little attention to the price of electricity, the effectiveness of policy measures that work through the pricechannel is limited. In this part of the report we address four basic questions of great relevance for energy efficiency policies worldwide. The questions are (1) What knowledge do people have about the marginal cost of electricity use in terms of everyday electrical appliances? (2) Are the cost perceptions biased and in what direction? (3) Do inattention to energy issues play a significant role in this bias? (4) Do households want information that may help them de-bias their perceptions about energy costs and use?

    The report is structured such that section 2 gives a brief background on the issues analyzed in the report. The following sections correspond to the issues outlined in the introduction. Section 7 works to tie the analyses together and conclude our results

  • 24.
    Broberg, Thomas
    et al.
    Umeå University, Faculty of Social Sciences, Umeå School of Business and Economics (USBE). Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE).
    Brännlund, Runar
    Umeå University, Faculty of Social Sciences, Umeå School of Business and Economics (USBE). Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE).
    Kazukauskas, Andrius
    Umeå University, Faculty of Social Sciences, Umeå School of Business and Economics (USBE). Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE).
    Persson, Lars
    Umeå University, Faculty of Social Sciences, Umeå School of Business and Economics (USBE), Economics. Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE).
    Vesterberg, Mattias
    Umeå University, Faculty of Social Sciences, Umeå School of Business and Economics (USBE). Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE).
    En elmarknad i förändring: är kundernas flexibilitet till salu eller ens verklig?2014Report (Other academic)
    Abstract [sv]

    I rapporten ”En elmarknad i förändring – Är kundernas flexibilitet till salu eller ens verklig?” tittar en forskargrupp vid Centrum för Miljö- och Naturresursekonomi (CERE) vid Handelshögskolan, Umeå Universitet på konsumenternas nuvarande och framtida roll på elmarknaden. Rapporten är beställd av Energimarknadsinspektionen.

  • 25. Broberg, Thomas
    et al.
    Brännlund, Runar
    Persson, Lars
    Umeå University, Faculty of Social Sciences, Umeå School of Business and Economics (USBE), Economics. Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE).
    Consumer preferences and soft load control on the Swedish electricity market2017Report (Other academic)
    Abstract [en]

    The main purpose of the present report is to present the results of the project "The electricity customer, a new power on the electricity market?" The main purpose of the project is to estimate lost values due to various restrictions on household electricity consumption, which gives us "prices" of schematic reductions in power through behavioral adaptations among Swedish households. Another purpose is to estimate households' costs for short power outages, which gives a "price" of a targeted disconnection of electricity. The willingness of households to adjust their electricity consumption is governed by several factors - both economic and non-economic. An additional objective is therefore to analyze the extent to which households are willing to adapt for non-economic reasons, for example, to facilitate the integration of renewable electricity production such as solar and wind power.

    To achieve the objectives of the project, we analyze household habits and preferences for electricity usage in connection with daily demand peaks during winter time in Sweden. We have chosen an empirical approach where households are subjected to choose between hypothetical electricity contracts where different types of restrictions in the use of large-scale household appliances are included. The different characteristics of the agreements or contracts relate to (1) maximum power usage in watts, (2) the duration of the restriction, (3) number of occasions of restriction and (4) the ability to change the selection of which electrical appliances to be used during the restriction.

    In addition to the above-mentioned approach, we also study how this relates to other electricity usage (e.g. heating, lighting, TV, etc.). This is done by asking households for compensation requirements to accept full power outages, i.e. black-outs. By studying the difference in compensation requirements between the "soft" limitation and the black-outs, the value of different loads can be estimated.

    The results reveal that households on average require a compensation of SEK 2000 - 3700 depending on the severity of electricity consumption constraint. Depending on how we define the potential loss in potential electricity usage for different scenarios, the results can be translated to be between SEK 20 and 40 per kWh. In the case of total power outages, the valuation is significantly higher and corresponds to SEK 3000 to 4600. This can in turn be translated to the equivalent of SEK 400 - 600 per kWh. The results thus indicate a significant difference between the value of the load in a soft control DSM program, and the remaining load (e.g. heating, lighting and TV). Compared to previous literature on the value of lost load, VOLL, our estimates fall in the higher range, especially compared to Swedish studies. We believe this is in line with the context outlined in the present study with rather many occasions of disruptions at the peak demand hour.

    The results also show that a pro-environmental cheap talk make people more likely to opt into a DSM program with load controlled at many occasions. It did not, however, make people see more lenient on hard load controls in general.

    An immediate policy implication from the results is that specific policies aiming at stimulating behavioral changes probably are very ineffective and/or costly. As a result, policies to affect demand response should focus on automatization and passive response. A related policy implication is that it is far from obvious that demand response is always more cost effective than supply response, i.e., increasing production of electricity. 

  • 26.
    Broberg, Thomas
    et al.
    Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE). Umeå University, Faculty of Social Sciences, Umeå School of Business and Economics (USBE), Economics.
    Egüez, Alejandro
    Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE). Umeå University, Faculty of Social Sciences, Umeå School of Business and Economics (USBE), Economics.
    Blame it on the owner – Ownership and energy performance of multi-dwelling buildings2018In: Energy Economics, ISSN 0140-9883, E-ISSN 1873-6181, Vol. 72, p. 108-119Article in journal (Refereed)
    Abstract [en]

    In this paper, we investigate the energy efficiency of multi-dwelling buildings in Sweden to find out whether the type of ownership matters. More specifically, we investigate whether rental apartment buildings are less energy efficient than cooperative apartment buildings and whether public ownership has a negative impact on energy efficiency. A conceptual framework is presented to illustrate that such differences could be explained by the split incentives problem and deviations from profit maximizing interests. The empirical analysis is based on a unique dataset that combines data from energy performance certificates with ownership data on residential units. The results indicate that cooperative apartment buildings are significantly more energy efficient than buildings with rental apartments. The results also indicate that publicly owned buildings have somewhat lower energy performance than privately owned ones.

  • 27.
    Broberg, Thomas
    et al.
    Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE).
    Kazukauskas, Andrius
    Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE).
    Inefficiencies in Residential Use of Energy: A Critical Overview of Literature and Energy Efficiency Policies in the EU2015In: International Review of Environmental and Resource Economics, ISSN 1932-1465, E-ISSN 1932-1473, Vol. 8, no 2, p. 225-279Article in journal (Refereed)
    Abstract [en]

    A rather large literature argues that firms and households do not always improve energy efficiency by investing in new technology even if it would be cost-effective to do so. In this paper, we review the theoretical and empirical literature on the so-called energy efficiency gap and provide a rationale for policymakers to act to improve energy efficiency. By eliminating market failures, welfare can be improved in a broad sense, including both environmental quality and material welfare. We also discuss social 'nudges' as examples of policy instruments that do not directly target any market failure in energy markets but that still may have a significant impact on energy use. Although we acknowledge the existence of the energy efficiency gap, we argue that the gap in general is overestimated as parts of it can be explained by heterogeneity in preferences and thus explained by rational choices.

  • 28.
    Broberg, Thomas
    et al.
    Umeå University, Faculty of Social Sciences, Umeå School of Business and Economics (USBE), Economics. Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE).
    Persson, Lars
    Umeå University, Faculty of Social Sciences, Umeå School of Business and Economics (USBE), Economics. Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE).
    Is our everyday comfort for sale?: Preferences for demand management on the electricity market2015Report (Other academic)
    Abstract [en]

    In a European perspective, the electricity markets have been experiencing major changes via deregulation, new technologies and changes in the production mix. Together with the daily and seasonal peak hours on the demand side, the changing markets put pressure on increased flexibility to handle and sustain balance in the grid systems. This paper focuses on the demand side and analyzes preferences related to demand management of Swedish households energy use. Preferences are analyzed within the framework of choice experiments and people are faced with hypothetical electricity contracts. The respondents reveal their preferences for attributes related to external control of heating, household electricity and information dissemination (integrity). The results show that people put a substantial value on not being controlled, illustrated by compensations up to thousands of SEK for accepting a contract characterized by external control of energy use in various dimensions. In addition, the results show that household composition, age, gender and income play a role for the perceived discomfort from the external control and information dissemination. 

  • 29.
    Broberg, Thomas
    et al.
    Umeå University, Faculty of Social Sciences, Umeå School of Business and Economics (USBE), Economics. Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE).
    Persson, Lars
    Umeå University, Faculty of Social Sciences, Department of Economics. Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE).
    Is our everyday comfort for sale?: preferences for demand management on the electricity market2016In: Energy Economics, ISSN 0140-9883, E-ISSN 1873-6181, Vol. 54, p. 24-32Article in journal (Refereed)
    Abstract [en]

    In a European perspective, the electricity markets have been experiencing major changes via deregulation, new technologies and changes in the production mix. Together with the daily and seasonal peak hours on the demand side, the changing markets put pressure on increased flexibility to handle and sustain balance in the grid systems. This paper focuses on the demand side and analyzes preferences related to demand management of Swedish households' energy use. In a web-based choice experiment respondents were faced with three hypothetical electricity contracts. The choices of preferred contracts revealed preferences for attributes related to external control of heating, household electricity and information dissemination (integrity). The results show that people put a substantial value on not being controlled, illustrated by compensations up to thousands of SEK for accepting a contract characterized by external control of energy use in various dimensions. In addition, the results show that household composition, age, gender and income play a role for the perceived discomfort from the external control and information dissemination. 

  • 30.
    Brännlund, Runar
    Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE). Umeå University, Faculty of Social Sciences, Department of Economics.
    Fiskefria områden ur ett samhällsekonomiskt perspektiv: En empirisk studie2016Report (Other academic)
  • 31.
    Brännlund, Runar
    Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE). Umeå University, Faculty of Social Sciences, Department of Economics.
    Kostnader och intäkter i Sverige av långsiktiga klimatförändringar – en litteraturöversikt2017Report (Other academic)
  • 32.
    Brännlund, Runar
    et al.
    Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE). Umeå University, Faculty of Social Sciences, Umeå School of Business and Economics (USBE).
    Amin, Karimu
    Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE). Umeå University, Faculty of Social Sciences, Umeå School of Business and Economics (USBE).
    Patrik, Söderholm
    Convergence in carbon dioxide emissions and the role of growth and institutions: a parametric and non-parametric analysis2017In: Environmental Economics and Policy Studies, ISSN 1432-847X, E-ISSN 1867-383X, Vol. 19, no 2, p. 359-390Article in journal (Refereed)
    Abstract [en]

    This paper examines convergence of per capita carbon dioxide (CO2) emission for a panel of 124 countries taking into account the impact of economic growth and the quality of government institutions. The analysis builds on both parametric and non-parametric panel data techniques, and we examine the β-convergence hypothesis in a neoclassical growth model setting with institutional quality as one of the independent variables influencing both emissions and output growth. The results reveal evidence in support of β-convergence of per capita CO2 emissions for the global sample, and for the sub-samples comprising OECD versus non-OECD countries and high- versus low-income countries, respectively. There is, however, heterogeneity in β-convergence and it tends to vary with the level of the initial per capita CO2 emissions. We also report evidence of a negative direct effect of institutional quality on growth in per capita CO2emissions, especially for the global and high-income samples. However, institutional quality also promotes economic growth, thus generating a positive indirect effect on emissions growth. Overall the empirical results suggest a positive net effect of institutional quality on growth in per capita CO2 emissions in the global sample. Finally, the non-parametric approach reveals some evidence of bias in the parametric approach, in particular in the case of the estimates for the convergence parameter at either end of the distribution.

  • 33.
    Brännlund, Runar
    et al.
    Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE). Umeå University, Faculty of Social Sciences, Department of Economics.
    Boisvert, Richard N.
    Cornell University, USA.
    The Use of Biomass to Produce Electricity2011In: EuroChoices, ISSN 1478-0917, E-ISSN 1746-692X, Vol. 10, no 3, p. 26-30Article in journal (Refereed)
    Abstract [en]

    The use of biomass to produce electricity has received much less attention than biofuels in the EU and the US. However, the production of bioelectricity has been increasing, especially in Europe. Bioelectricity has an advantage over some other renewable sources, such as wind or solar, in maintaining the ability of generators to respond more easily to fluctuating electricity demand. However, with current prices for other primary fuels there is limited availability of biomass supplies at prices generators are willing to pay. Bioelectricity production is influenced by policies for promoting the use of renewable energy and other policies, such as those relating to greenhouse gas emissions. Various incentive schemes are in place in the EU and US, such as feed-in tariffs that guarantee favourable purchase prices for renewables, and Renewable Portfolio Standards (RPS) requiring that renewables constitute minimum percentages of electricity generation or Green Certificates which promote the use of renewables. The future development of bioelectricity will be determined by the form and magnitude of policy incentives and by prices for fossil fuels. Feedstock availability will only be assured if there are coordinated efforts at regional and local levels to develop the transportation and other infrastructure needed to create well-functioning biomass markets.

  • 34.
    Brännlund, Runar
    et al.
    Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE). Umeå University, Faculty of Social Sciences, Department of Economics.
    Broberg, Thomas
    Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE).
    Persson, Lars
    Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE).
    Consumer Preferences and Soft Load Control on the Swedish Electricity Market2017Report (Other academic)
  • 35.
    Brännlund, Runar
    et al.
    Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE).
    Carlén, Ola
    SLU.
    Lundgren, Tommy
    Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE).
    Marklund, Per-Olov
    Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE).
    The Costs and Benefits of Intensive Forest Management2012In: Journal of Benefit-Cost Analysis, ISSN 2152-2812, Vol. 3, no 4Article in journal (Refereed)
    Abstract [en]

    This paper presents an approach for studying the socio-economic benefits and costs (CBA) of the introduction of intensified management measures in forestry. Besides from valuation of changes in timber production, assessments of different types of externalities are included in the assessment. The model is exemplified with the use of data from a Swedish governmental study undertaken in 2009 which present impacts on the Swedish forest sector if intensified management measures are applied on environmentally low-valued land and abandoned agricultural lands. The CBA shows that intensified management measures typically are private financially profitable. If these measures also become profitable from the society’s point of view depend on the size of the external effects including carbon balance.

  • 36.
    Brännlund, Runar
    et al.
    Umeå University, Faculty of Social Sciences, Department of Economics. Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE).
    Johansson, Maria
    Karlsson, Jens
    Sjöström, Magnus
    Beware of the wolf: Is animal fear affecting willingness to pay for conservation of largecarnivores?2010Report (Other academic)
    Abstract [en]

    From an interdisciplinary approach, this study aims at analysing self-reported animal fear, specifically large carnivore fear, in relation to public willingness to financially contribute to fulfil a governmental policy on large carnivore-induced costs. In a survey of 2 455 Swedes, it was found that people whose animal fear was  directed particularly towards large carnivores, were less likely to be willing to pay (WTP), or were likely to be willing to pay a lower amount of money. In the prediction of WTP, the contribution of the fear variables was equally important as the socio-economic factors. From a management point of view it seems urgent to understand what kinds of measures that may reduce human fear of large carnivores. It is also suggested that further studies should include standardised measures of anxiety and fear in order to be able to closer link the results of large carnivore fear to the psychological literature on human fears.

  • 37.
    Brännlund, Runar
    et al.
    Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE). Umeå University, Faculty of Social Sciences, Umeå School of Business and Economics (USBE), Economics.
    Karimu, Amin
    Umeå University, Faculty of Social Sciences, Umeå School of Business and Economics (USBE). Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE). University of Ghana Business School, Legon, Ghana.
    Convergence in global environmental performance: assessing heterogeneity2018In: Environmental Economics and Policy Studies, ISSN 1432-847X, E-ISSN 1867-383X, Vol. 20, no 3, p. 503-526Article in journal (Refereed)
    Abstract [en]

    This paper examines convergence in environmental/carbon performance by constructing a measure based on production theory, where production processes explicitly result in the production of two outputs; a good output (GDP) and a bad output (CO2). We use the derived measure to test the beta-convergence hypothesis for a panel of 94 countries. The results reveal evidence in support of beta-convergence in environmental, or carbon performance for the entire (global) sample and each of the sub-samples. The evidence points to a slower convergence rate for the high-income countries relative to low-income countries. Moreover, the rate of convergence does not vary with capital in the global sample, but does vary in the high-income sample, possibly reflecting differences in abatement cost induced by differences in the stringency of environmental regulation and enforcement. Additionally, we find evidence of a negative relation between environmental performance and fossil fuel share, both at the global level as well as at the middle and high sub-samples, which tend to vary with capital intensity. As such, the results conform to the results from studies on the dynamics of per capita emissions.

  • 38.
    Brännlund, Runar
    et al.
    Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE). Umeå University, Faculty of Social Sciences, Department of Economics.
    Karimu, Amin
    Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE).
    Söderholm, Patrik
    Elmarknaden och elprisets utveckling före och efter avregleringen: ekonometriska analyser2012Report (Other academic)
  • 39.
    Brännlund, Runar
    et al.
    Umeå University, Faculty of Social Sciences, Department of Economics. Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE).
    Kriström, Bengt
    Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE).
    En effektiv klimatpolitik2010 (ed. 1)Book (Other (popular science, discussion, etc.))
  • 40.
    Brännlund, Runar
    et al.
    Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE).
    Lundgren, Tommy
    Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE). wedish University of Agricultural Sciences, Umeå.
    Effekter för den elintensiva industrin av att dessa branscher i olika grad omfattas av kvotplikt inom elcertifikatsystemet2011Report (Other academic)
  • 41.
    Brännlund, Runar
    et al.
    Umeå University, Faculty of Social Sciences, Department of Economics. Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE).
    Lundgren, Tommy
    Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE). Umeå University, Faculty of Social Sciences, Centre for Regional Science (CERUM).
    Environmental policy and profitability. Evidence from Swedish industry2010In: Environmental Economics and Policy Studies, ISSN 1432-847X, E-ISSN 1867-383X, Vol. 12, no 1/2, p. 59-78Article in journal (Refereed)
    Abstract [en]

    This study investigates the effect of a CO<sub>2</sub> tax on profitability by using firm-level data on output and inputs from Swedish industry between 1990 and 2004. The purpose of this exercise is to investigate the validity of the so-called Porter hypothesis. By utilizing a factor-demand modeling approach, and specifying a profit function that has a technology component dependent upon firm-specific effective tax on CO<sub>2</sub>, we are able to separate out the effect of regulatory pressure on technological progress. The results indicate that there is evidence of a “reversed” Porter effect in most industrial sectors, especially in energy-intensive industries; that is, after controlling for the fuel price effect, technological progress and consequently profits are further negatively affected by the CO<sub>2</sub> tax.

  • 42.
    Brännlund, Runar
    et al.
    Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE).
    Lundgren, Tommy
    Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE). Swedish University of Agricultural Sciences, Umeå.
    Marklund, Per-Olov
    Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE). Umeå University, Faculty of Social Sciences, Centre for Regional Science (CERUM).
    Carbon intensity in production and the effects of climate policy – evidence from Swedish industry2014In: Energy Policy, ISSN 0301-4215, E-ISSN 1873-6777, Vol. 67, p. 844-857Article in journal (Refereed)
    Abstract [en]

    We analyze carbon intensity performance at firm level and the effectiveness of the Swedish CO2 tax. Carbon intensity performance is derived from a production technology and measured as changes in the CO2 emission-output production ratio. As one of the first countries to introduce a CO2 tax in 1991, Sweden serves as an appropriate "test bench" for analyzing the effectiveness of climate policy in general. Firm level data from Swedish manufacturing spanning over the period 1990-2004 is used for the analysis. Results show that EP has improved in all the sectors and there is an evidence of decoupling of output production growth and CO2 emissions. Firms' carbon intensity performance responds both to changes in the CO2 tax and fossil fuel price, but is more sensitive to the tax.

  • 43.
    Brännlund, Runar
    et al.
    Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE). Umeå University, Faculty of Social Sciences, Department of Economics.
    Lundgren, Tommy
    Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE). Umeå University, Faculty of Social Sciences, Umeå School of Business and Economics (USBE).
    Patrik, Söderholm
    Luleå technical university.
    Convergence of carbon dioxide performance across Swedish industrial sectors: An environmental index approach2015In: Energy Economics, ISSN 0140-9883, E-ISSN 1873-6181, Vol. 51, p. 227-235Article in journal (Refereed)
    Abstract [en]

    The overall objective of the paper is to analyze convergence of CO2 emission intensity across manufacturing sectors in Sweden. Our approach differs from previous work on carbon convergence in that it employs a theoretical framework to construct a COperformance index, which explicitly takes into account that industrial firms produce good as well as bad outputs. This index is then used as the dependent variable in a growth-type regression equation. We employ a data set covering 14 industrial sectors over the time period 1990–2008. The results suggest the presence of conditional β-convergence in CO2 performance among the industrial sectors in Sweden. Moreover, the speed of convergence varies significantly in the sense that the higher the capital intensity is, the lower is the convergence rate to the different steady states. This is likely to reflect the importance of – and in part the costs associated with – capital turnover to achieve a transition towards lower CO2 emission paths.

  • 44.
    Brännlund, Runar
    et al.
    Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE).
    Lundgren, Tommy
    Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE).
    Söderholm, Patrik
    Convergence of carbon dioxide performance across Swedish industrial sectors: an environmental index approach2014Report (Other academic)
    Abstract [en]

    The overall objective of the paper is to analyze convergence of CO2 emission intensity across manufacturing sectors in Sweden. Our approach differs from previous work on carbon convergence in that it employs a theoretical framework to construct a CO2 performance index, which explicitly takes into account that industrial firms produce good as well as bad outputs. This index is then used as the dependent variable in a growth-type regression equation. We employ a data set covering 14 industrial sectors over the time period 1990-2008. The results suggest the presence of conditional β-convergence in CO2 performance among the industrial sectors in Sweden. Moreover, the speed of convergence varies significantly in the sense that the higher the capital intensity is, the lower is the convergence rate to the different steady states. This reflects the importance of – and in part the costs associated with – capital turnover to achieve a transition towards lower CO2 emission paths.

  • 45.
    Brännlund, Runar
    et al.
    Umeå University, Faculty of Social Sciences, Department of Economics. Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE).
    Lundmark, Robert
    Luleå tekniska universitet.
    Söderholm, patrik
    Luleå tekniska universitet.
    Kampen om skogen: koka, såga, bränna eller bevara?2010Report (Other academic)
  • 46.
    Brännlund, Runar
    et al.
    Umeå University, Faculty of Social Sciences, Umeå School of Business and Economics (USBE), Economics. Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE).
    Persson, Lars
    Umeå University, Faculty of Social Sciences, Umeå School of Business and Economics (USBE), Economics. Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE).
    To tax, or not to tax: preferences for climate policy attributes2012In: Climate Policy, ISSN 1469-3062, E-ISSN 1752-7457, Vol. 12, no 6, p. 704-721Article in journal (Refereed)
    Abstract [en]

    Many countries around the world respond to global warming and its consequences with various policy instruments. In the economic literature, policy instruments have typically been analysed with respect to efficiency, but little effort has been expended to understand public preferences for these instruments. In an internet-based choice experiment to address this shortcoming, Swedes were asked to choose between two alternative hypothetical policy instruments, each of which reduces CO2 emissions by the same amount. The hypothetical policy instruments were characterized by a number of specific attributes. By varying the levels of each of the attributes, respondents indirectly reveal their preferences for these attributes. Half of the respondents are faced with choices labelled ‘tax’ and ‘other’, and the other half are faced with unlabelled choices (hypothetical instruments). The results show that Swedes tend to dislike the term ‘tax’ and show a preference for instruments with a positive effect on environment-friendly technology and climate awareness. A progressive-like cost distribution is preferred to a regressive cost distribution, and the private cost is negatively related to the choice of policy.

  • 47.
    Carlén, Ola
    et al.
    Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE). SLU.
    Bostedt, Göran
    Umeå University, Faculty of Social Sciences, Umeå School of Business and Economics (USBE), Economics. Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE).
    Persson, Lars
    Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE). Umeå University, Faculty of Social Sciences, Umeå School of Business and Economics (USBE), Economics.
    Brännlund, Runar
    Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE). Umeå University, Faculty of Social Sciences, Umeå School of Business and Economics (USBE), Economics.
    Rekreationsfiske i Sverige 2013: omfattning och värde2016Report (Other academic)
  • 48.
    Chavez-Rodriguez, Mauro F.
    et al.
    Energy Planning Program, COPPE/UFRJ - Universidade Federal do Rio de Janeiro, Cidade Universitaria, Centro de Tecnologia, Rio de Janeiro, RJ, Brazil.
    Carvajal, Pablo E.
    UCL Energy Institute, University College London, UK.
    Martinez Jaramillo, Juan E.
    Institución Universitaria Politécnico Grancolombiano, Bogotá, Colombia .
    Egüez, Alejandro
    Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE).
    Gonzalez Mahecha, Rosa Esperanza
    Energy Planning Program, COPPE/UFRJ - Universidade Federal do Rio de Janeiro, Cidade Universitaria, Centro de Tecnologia, Rio de Janeiro, RJ, Brazil.
    Schaeffer, Roberto
    Energy Planning Program, COPPE/UFRJ - Universidade Federal do Rio de Janeiro, Cidade Universitaria, Centro de Tecnologia, Rio de Janeiro, RJ, Brazil.
    Szklo, Alexandre
    Energy Planning Program, COPPE/UFRJ - Universidade Federal do Rio de Janeiro, Cidade Universitaria, Centro de Tecnologia, Rio de Janeiro, RJ, Brazil.
    Lucena, Andre F. P.
    Energy Planning Program, COPPE/UFRJ - Universidade Federal do Rio de Janeiro, Cidade Universitaria, Centro de Tecnologia, Rio de Janeiro, RJ, Brazil.
    Arango Aramburo, Santiago
    Department of Computing and Decision Sciences, Universidad Nacional de Colombia, Medellín, Colombia .
    Fuel saving strategies in the Andes: long-term impacts for Peru, Colombia and Ecuador2018In: Energy Strategy Reviews, ISSN 2211-467X, E-ISSN 2211-4688, Vol. 20, p. 35-48Article in journal (Refereed)
    Abstract [en]

    Crude oil exports and imports play a crucial role in the trade balance of Peru, Colombia and Ecuador. These countries are looking into fossil fuel saving measures as a way to deal with increasing demands and decreasing oil production rates. However, studies about the long-term effects of these measures is lacking. Using a combination of energy simulation technics, 17 fuel saving strategies ranging from fuel switching to the investment in underground transport and hydropower capacity expansion were modelled and assessed to evaluate their long-term effect on fossil fuels demand reduction. Our results show that the full implementation of strategies can account for cumulative oil savings of over 550 million barrels of oil by 2030. Findings also point out that Ecuador and Colombia could face the transition from net oil-exporters to importers as soon as the end of the next decade.

  • 49.
    Cialani, Catia
    Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE). Umeå University, Faculty of Social Sciences, Umeå School of Business and Economics (USBE), Economics. School of Technology and Business Studies, Economics, Dalarna University, Falun, Sweden.
    CO2 emissions, GDP and trade: a panel cointegration approach2017In: International Journal of Sustainable Development and World Ecology, ISSN 1350-4509, E-ISSN 1745-2627, Vol. 24, no 3, p. 193-204Article in journal (Refereed)
    Abstract [en]

    This paper examines the relationships among per capita CO2 emissions, per capita GDP and international trade based on panel data spanning the period 1960-2008 for 150 countries. A distinction is also made between OECD and non-OECD countries to capture the differences of this relationship between developed and developing economies. We apply panel unit root and cointegration tests and estimate a panel error correction model. The results from the error correction model suggest that there are long-term relationships between the variables for the whole sample and for non-OECD countries. Finally, Granger causality tests show that there is bidirectional short-term causality between per capita GDP and international trade for the whole sample and between per capita GDP and CO2 emissions for OECD countries.

  • 50.
    Cialani, Catia
    Umeå University, Faculty of Social Sciences, Umeå School of Business and Economics (USBE), Economics. Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE).
    Essays on growth and environment2014Doctoral thesis, comprehensive summary (Other academic)
    Abstract [en]

    This thesis consists of a summary and four self-contained papers.

    Paper [I] Following the 1987 report by The World Commission on Environment and Development, the genuine saving has come to play a key role in the context of sustainable development, and the World Bank regularly publishes numbers for genuine saving on a national basis. However, these numbers are typically calculated as if the tax system is non-distortionary. This paper presents an analogue to genuine saving in a second best economy, where the government raises revenue by means of distortionary taxation. We show how the social cost of public debt, which depends on the marginal excess burden, ought to be reflected in the genuine saving. We also illustrate by presenting calculations for Greece, Japan, Portugal, U.K., U.S. and OECD average, showing that the numbers published by the World Bank are likely to be biased and may even give incorrect information as to whether the economy is locally sustainable.

    Paper [II] This paper examines the relationships among per capita CO2 emissions, per capita GDP and international trade based on panel data spanning the period 1960-2008 for 150 countries. A distinction is also made between OECD and Non-OECD countries to capture the differences of this relationship between developed and developing economies. We apply panel unit root and cointegration tests, and estimate a panel error correction model. The results from the error correction model suggest that there are long-term relationships between the variables for the whole sample and for Non-OECD countries. Finally, Granger causality tests show that there is bi-directional short-term causality between per capita GDP and international trade for the whole sample and between per capita GDP and CO2 emissions for OECD countries.

    Paper [III] Fundamental questions in economics are why some regions are richer than others, why their growth rates differ, whether their growth rates tend to converge, and what key factors contribute to explain economic growth. This paper deals with the average income growth, net migration, and changes in unemployment rates at the municipal level in Sweden. The aim is to explore in depth the effects of possible underlying determinants with a particular focus on local policy variables. The analysis is based on a three-equation model. Our results show, among other things, that increases in the local public expenditure and income taxe rate have negative effects on subsequent income income growth. In addition, the results show conditional convergence, i.e. that the average income among the municipal residents tends to grow more rapidly in relatively poor local jurisdictions than in initially “richer” jurisdictions, conditional on the other explanatory variables.

    Paper [IV] This paper explores the relationship between income growth and income inequality using data at the municipal level in Sweden for the period 1992-2007. We estimate a fixed effects panel data growth model, where the within-municipality income inequality is one of the explanatory variables. Different inequality measures (Gini coefficient, top income shares, and measures of inequality in the lower and upper part of the income distribution) are examined. We find a positive and significant relationship between income growth and income inequality measured as the Gini coefficient and top income shares, respectively. In addition, while inequality in the upper part of the income distribution is positively associated with the income growth rate, inequality in the lower part of the income distribution seems to be negatively related to the income growth. Our findings also suggest that increased income inequality enhances growth more in municipalities with a high level of average income than in municipalities with a low level of average income.

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