The optimal extraction of water along an arbitrarily configured river system

The fundamental problem for any scheme of water management that tries to maximise welfare across a river system is that of determining the optimal allocation at every point. The problem cannot, in general, be avoided by trading water rights because the price will not account for the effect of extraction at any one point on all other points. This article interprets the problem in terms of the indeterminacy that results from missing information on the value of water at internal junctions between rivers. It is then solved in an optimal control theory framework.     

Economic Analysis of the Policy for Accreditation of Dairy Farms Free of Bovine Brucellosis and Tuberculosis: Challenges for Small and Large Producers in Brazil

One of the cornerstones of the National Program for Control and Eradication of Bovine Brucellosis and Tuberculosis in Brazil is the voluntary accreditation of free herds. We developed a stochastic cost–benefit analysis model for two types of dairy herds (high yield Holstein‐Zebu crossbred females and lower productivity smaller scale herds) to identify the technical and economic constraints of this process. The initial prevalence of infected animals and the impact of the disease in the structure and performance of the herd were derived from secondary data. Information on the costs and benefits of herd sanitation were compiled into a cost–benefit model at the herd level. The last step consisted of a scenario simulation to evaluate the impact of alternative policies to the certification process. For each scenario, we calculate the probability over time of a Benefit–Cost Ratio greater than 1 and of an Internal Rate of Return above 1% (the discount rate used in the model). Results show that larger and more intensive dairy farms, and also herds affected by brucellosis compared with tuberculosis‐positive herds, are more likely to achieve financial gains from the certification investment. The compensation for culled animals is important in the initial phase of herd sanitation and the premium payment on milk would help farmers to achieve a return on the investment over time. The model can be adapted to different and dynamic production, epidemiological and economic settings.     

Regulative Distance,Cultural Distance,Host Country Risk,and the Choice of Subsidiary Activity: Evidence from Brazilian Multinationals

This study examines the relationship between regulative distance, cultural distance, and host country risk, as well as the choice of production or distribution activities by emerging country multinationals when establishing a subsidiary abroad. The study uses a sample of 280 subsidiaries of 133 Brazilian firms in 39 countries. Binary logistic regression was used to test the research hypotheses. The impact of regulative distance on the decision on subsidiary activity follows the predictions in the literature. However, findings on cultural distance and host country risk showed an inverted sign, suggesting that Brazilian firms tend to establish production facilities in countries with higher cultural distance and higher cultural risk.     

Recreational specialization and ecologically responsible behaviour of Chinese birdwatchers in Hong Kong

Birdwatching is a popular nature-based recreational activity that has millions of participants worldwide. Hong Kong is an important birdwatching destination in Southeast Asia, and the number of birdwatchers visiting Hong Kong has steadily increased in recent decades. This study investigated the influences of recreational specialization on the pro-environmental attitudes and ecologically responsible behaviour of Chinese birdwatchers. Questionnaire surveys were conducted in Hong Kong, and 387 completed questionnaires were collected. The results of structural equation modelling indicate a direct positive association between the birdwatchers’ specialization and pro-environmental attitudes and an indirect positive association between their specialization and ecologically responsible behaviour. These findings suggest that understanding birdwatchers’ specialization is essential for predicting birdwatchers’ behaviour when visiting ecologically sensitive destinations. Birdwatcher specialization levels could be used to formulate visitor management strategies at birdwatching sites and to mitigate visitor impacts on avian species.     

Land,Structure and Depreciation

We introduce a hedonic price model that enables us to disentangle the value of a property into the value of land and the value of structure. For given reconstruction costs, we are able to estimate the impact of physical deterioration, functional obsolescence and vintage effects on the structure and the impact of time on sale (and external obsolescence) on the land value simultaneously. Our findings show that maintenance has a substantial impact on the rate of physical deterioration. After 50 years of not or barely maintaining a home, a typical structure has lost around 43% of its value. In contrast, maintaining a home very well results in virtually no physical deterioration in the long run.     

Institutionalizing social entrepreneurship in regulatory space: Reporting and disclosure by community interest companies

In 2005, the British parliament passed legislation to make available the first new legal form of incorporation in over a century: the Community Interest Company (CIC). This initiative represented an important element within a larger set of public policy measures that aimed to create a more enabling environment for the accelerated growth of social entrepreneurship and, specifically, social enterprises. In an exploratory study, this paper presents an analysis of the regulatory space within which the reporting and disclosure practices for CICs were negotiated. Three elements within the regulatory space are identified as having explanatory value: regulatory boundaries that set and limit the terms of negotiation around regulatory practice; the key actors that engage in a process of negotiation around the establishment of actual practice; the range of debate and conflicting ideas that inform regulatory negotiation and legitimating consensus. The analysis suggests that a normative logic of light touch regulation was of particular importance within the wider UK policy context from within which CICs emerged and that the CIC Regulator acts as a mediator of disclosure information across multiple user constituencies. Empirically, this paper draws upon a sample of 80 published CIC annual reports to consider two aspects of CIC reporting: the quantity of information provided and the type of data presented. These data demonstrate the limitations and challenges of current CIC regulatory disclosure practices for key users of reporting information, particularly in terms of perceptions of organizational legitimacy. Conclusions are drawn concerning these limitations, particularly in terms of their implications for public policy.     

Protest responses and community attitudes toward accepting compensation to host waste disposal infrastructure

Despite the use of host community compensation to solve NIMBY (Not In My Back Yard) siting difficulties in many industrialised countries, the effectiveness of this policy is still being debated in academic and policy-making arenas. In this paper, we examine attitudes held regarding compensation in communities directly impacted upon by final waste disposal infrastructure projects (landfill and incineration) in Ireland using survey responses to two contingent valuation (CV) scenarios and a question relating to preferences for compensation delivery. We find that communities in the pre-construction planning phase for locally undesirable development are less accepting of compensation offers to host the facility than are communities who have lived with such developments to host an extension to the existing facility in their localities. However, many of our respondents who initially reject compensation offers in the CV question go on to accept at least one compensation package in the later compensation preference question. Using this information allows us to draw a distinction between ‘Hardcore’ and ‘Switcher’ protesters to illustrate a more subtle picture of rejection of locally undesirable facilities and compensation packages than has previously been articulated. Using probit regression analysis, we find that property rights or NIMBY concerns – specifically, the treatment of non-local waste at the facility is a concern for many residents – drive this rejection of compensation. Finally, contrary to previous studies concerning preferences for host compensation, community compensation is not always preferred to individual compensation payments.     

The evolving role of large and medium farms on Brazilian agriculture

We use Brazilian agricultural censuses data since 1970 to describe land structure evolution in Brazil, focusing on the most important agricultural commodities and livestock products across regions. The analysis reveals a remarkable stability in the number of farms in the period, as well as in the structure of land distribution across farm sizes, with a persistence of a dual agricultural structure. Land distribution, as measured by the GINI index, has changed very little and is still very high. The number of large farms is increasing significantly in time, while the number of farms with area below 500 ha changed little in the 1970–2006 period. Medium‐sized and large farms, although heavily outweighed in numbers, account for the highest share of annual crop production currently, and their share in crop (annual plus permanent) production value increased between 1980 and 2006, while the same share decreased for smaller farms. We conclude that the observed stability will probably reduce in the future, as economic forces will likely change the balance in favor of an increase in the number of large farms. This is an issue of obvious political importance, especially considering the importance of the smaller farms for employment in agriculture.     

Using an educational video-briefing to mitigate the ecological impacts of scuba diving

Recreational scuba diving is rapidly increasing, and the negative impacts to marine reef biota are of conservation concern. Educational approaches have been tested to mitigate diver damage to benthic organisms, but logistical constraints impede their implementation in many locations. We investigated the behaviors of scuba divers in terms of their contacts with benthic organisms, and assessed how an educational video-briefing caused changes in diver behavior. The video provided environmental information to divers, and enhanced their use of low-impact diving techniques. Divers who received the video-briefing exhibited significantly lower rates of contact with and damage to the benthos, than did divers who did not receive a briefing. The level of diving experience did not correlate with the rate of benthic contact in either group of divers. Male divers and photographers both contacted the benthos significantly less, and female divers and photographers both caused significantly less damage when they viewed the video-briefing prior to diving. Our findings highlight the importance of easily implemented, standardized educational approaches such as the use of video-briefings to mitigate the impacts of scuba diving. This study adds to the framework of tested strategies available to support the sustainable use of marine areas by the diving tourism industry.