A core-theoretic solution for the design of cooperative agreements on transfrontier pollution

For a simple economic model of transfrontier pollution, widely used in theoretical studies of international treaties bearing on joint abatement, we offer in this paper a scheme for sharing national abatement costs through international financial transfers that is inspired by a classical solution concept from the theory of cooperative games—namely, the core of a game. The scheme has the following properties: total damage and abatement costs in all countries are minimized (optimality property), and no coalition or subset of countries can achieve lower total costs for its members by taking another course of action in terms of emissions or transfers, under some reasonable assumption about the reactions of those not in the coalition (core property). In the concluding section economic interpretations of the scheme are proposed, including its connection with the free-riding problem.     

Cattle Farmers’ Preferences for Disease‐Free Zones in Kenya: An application of the Choice Experiment Method

Management of livestock diseases is important in ensuring food safety to consumers in both domestic and export markets. Various measures are prescribed under the Sanitary and Phytosanitary Standards (SPS) agreement of the World Trade Organization. In order to prevent the spread of trans‐boundary cattle diseases, the SPS agreement recommends the establishment of Disease‐Free Zones (DFZs). These have been implemented successfully in some major beef‐exporting countries, but in Kenya are still at a pilot stage. To understand Kenyan farmers’ preferences on the type of DFZ that would be readily acceptable to them, a choice experiment was conducted using a D‐optimal design. Results show that farmers would be willing to pay to participate in a DFZ where: adequate training is provided on pasture development, record keeping and disease monitoring; market information is provided and sales contract opportunities are guaranteed; cattle are properly labelled for ease of identification; and some monetary compensation is provided in the event that cattle die due to severe disease outbreaks. Preferences for the DFZ attributes are shown to be heterogeneous across three cattle production systems. We also derive farmers’ preferences for various DFZ policy scenarios. The findings have important implications for policy on the design of DFZ programmes in Kenya and other countries that face similar cattle disease challenges.     

Japan’s trade agreements aren’t “window dressing” after all

ABSTRACT

We analyze eight of the 15 existing Japanese economic partnership agreements (EPAs) from 1997 to 2012. First, we construct bilateral measures of trade barriers for Japan and its partners using input-output and trade data. Next, we conduct panel regressions using those measures and find that when Japan forms an EPA, the tariff-equivalent barrier between the two countries falls approximately 2% to 3%. Contrary to conventional wisdom, this suggests that Japan’s EPAs may not be merely “window dressing” after all. This has implications for larger trade agreements in the works, such as the Regional Comprehensive Economic Partnership (RCEP).     

A conceptual framework and its software implementation to generate spatial decision support systems for land use planning

In a context where several sectors of society compete for space, land use types must be carefully designed and spatially allocated to guarantee a sufficient level of relevant ecosystem services (ES) in a territory of interest. In this respect, contemporary land use planning involves multiple, often conflicting objectives and criteria. Consequently, major benefits can be expected from spatial decision support systems (sDSS) designed to deal with complex spatial allocation problems.This paper presents the generic conceptual framework ‘OSMOSE’ and its free and open source software implementation, for the generation of specific sDSSs for spatial land use planning. The specific sDSSs generated with OSMOSE are meant to (i) identify land units which meet multiple predefined ES-attribute values for a specific land use type (LUT) and (ii) rank land units for a given LUT according to these multiple ES-attributes. A complementary purpose is to (i) identify and (ii) rank LUTs for a given land unit. Whereas ‘identification’ is done by means of a threshold query, ‘ranking’ is based on the Iterative Ideal Point Thresholding (IIPT) method. The proposed framework is extremely flexible as it can accommodate differentially weighted, continuous and/or ordinal attributes with, for the latter, equal or unequal number of classes, alternative land unit definitions and land use types. Moreover, assessments cannot only be made using ES-levels for the land unit/LUT combinations but also in terms of changes in ES-levels after a particular change of LUT.The OSMOSE framework is illustrated by means of the specific sDSS BoLa which is generated to support land use planning in the region of Flanders (Belgium) with focus on soil protection. Four cases are presented in which the decision support varies between the available approaches (threshold – selection, threshold – ranking, IIPT – selection, IIPT – ranking).     

Is the growth of regionalism as significant as the headlines suggest? Lessons from agricultural trade

The proliferation of regional trade agreements (RTAs) has motivated a significant number of ex post econometric studies investigating their agricultural trade impacts. The general conclusion is that RTAs increase members’ trade by as much as 150%, on average. In this article, we demonstrate that previous empirical work likely misrepresents the impact of RTAs because of considerable heterogeneity in the depth of economic integration pursued by these agreements. Contrary to previous studies, the results reveal that RTAs are not universally trade creating, and some agreements appear to provide very little benefit. “Deep integration agreements,” on the other hand, are largely responsible for the impressive agricultural trade flow increases reported in the literature. Testing the hierarchy of RTAs largely confirms the theory: the benefits of regionalism are an increasing function of the depth of economic integration.     

How to keep trade policy open: the case of Indonesia

We explore the ups and downs of trade protectionism in Indonesia since the Asian financial crisis of 1997–98. The key constraints to unilateral trade reform include exchange rate factors, the political economy of consumer–producer behaviour, institutional complexity and global pressures. We conclude that trade reform is likely to face difficulties, with protectionism on the rise again, but that, during the temporary halt in the World Trade Organization's Doha Round of trade negotiations, Indonesia may be able to use regional and international engagement to counterbalance rising protectionism.     

The Effects of NAFTA on Trade and Welfare in the U.S. Fresh Tomato Industry

Abstract

The purpose of this study was to measure NAFTA's impact to date and quantify how the producers and consumers of fresh tomatoes in the United States, Canada and Mexico have benefited or lost. Changes in consumer and producer surpluses were calculated in 2001 US dollars based on simulations of two scenarios. The analysis found that U.S. consumers captured $12.1 billion more surplus than they would have captured had NAFTA not been enacted. Mexican fresh tomato producers gained an additional $2.08 billion in surplus due to NAFTA. In contrast to Mexican growers, U.S. and Canadian producers appear not to have benefited economically from NAFTA. Findings suggest that U.S. producers would have earned $3.29 billion more if NAFTA had not gone into effect. Canadian producer surplus with NAFTA was estimated to be approximately $20 million less with NAFTA, and the total net benefit from NAFTA was found to be a positive $10.87 billion.     

The 'paradox' of F. Graham (1890-1949): a study in the theory of international trade

The aim of this paper is to investigate the origins of the protection argument based on increasing and decreasing returns to scale. The development of this theoretical framework is outlined in order to argue that F. Graham's demonstration consists of a synthesis of previous work. We then discuss the debate that took place in the 1930s, which ended with the rejection of Graham's argument as being a paradox or a theoretical curiosity.     

我国高校财务困境的界定和特征

国内外关于高校财务困境的研究多以特征事件例举法对困境进行判别,没有进行概念性界定.从资金管理的内容和特点出发,对高校财务困境界定有利于揭示高校资金运行的主要矛盾,为防范风险提供对策.基于现金流量形成过程的解析,本文总结出了我国高校财务困境具有的四个主要特征.     

中日韩自由贸易区构建探析

尽管中日韩之间目前仍存在诸多阻碍区域合作的因素,但三国经济合作潜力大、经贸关系日益密切,为中日韩自由贸易区的建立奠定了现实基础。