International trade and air pollution: estimating the economic costs of air emissions from waterborne commerce vessels in the United States

Although there is a burgeoning literature on the effects of international trade on the environment, relatively little work has been done on where trade most directly effects the environment: the transportation sector. This article shows how international trade is affecting air pollution emissions in the United States' shipping sector. Recent work has shown that cargo ships have been long overlooked regarding their contribution to air pollution. Indeed, ship emissions have recently been deemed "the last unregulated source of traditional air pollutants". Air pollution from ships has a number of significant local, national, and global environmental effects. Building on past studies, we examine the economic costs of this increasing and unregulated form of environmental damage. We find that total emissions from ships are largely increasing due to the increase in foreign commerce (or international trade). The economic costs of SO2 pollution range from dollars 697 million to dollars 3.9 billion during the period examined, or dollars 77 to dollars 435 million on an annual basis. The bulk of the cost is from foreign commerce, where the annual costs average to dollars 42 to dollars 241 million. For NOx emissions the costs are dollars 3.7 billion over the entire period or dollars 412 million per year. Because foreign trade is driving the growth in US shipping, we also estimate the effect of the Uruguay Round on emissions. Separating out the effects of global trade agreements reveals that the trade agreement-led emissions amounted to dollars 96 to dollars 542 million for SO2 between 1993 and 2001, or dollars 10 to dollars 60 million per year. For NOx they were dollars 745 million for the whole period or dollars 82 million per year. Without adequate policy responses, we predict that these trends and costs will continue into the future.     

Aquatic Nuisance Species in the New York State Canal and Hudson River Systems and the Great Lakes Basin: An Economic and Environmental Assessment

A total of 154 aquatic alien species have invaded the New York State Canal and Hudson River systems and a total of 162 aquatic species have invaded the Great Lakes Basin. Some of these invasive species are causing significant damage and control costs in both aquatic ecosystems. In the New York State Canal and Hudson River systems, the nonindigenous species are causing an estimated 500 million dollars in economic losses each year. The economic and environmental situation in the Great Lakes Basin is far more serious from nonindigenous species, with losses estimated to be about 5.7 billion dollars per year. Commercial and sport fishing suffer the most from the biological invasions, with about 400 million dollars in losses reported for the New York State Canal and Hudson River systems and 4.5 billion dollars in losses reported for the Great Lakes Basin.     

Estimating the economic burden from illnesses associated with recreational coastal water pollution--a case study in Orange County, California

A cost-of-illness framework was applied to health and income data to quantify the health burden from illnesses associated with exposure to polluted recreational marine waters. Using data on illness severity due to exposure to polluted coastal water and estimates of mean annual salaries and medical costs (adjusted to 2001 values) for residents of Orange County, California, we estimated that the economic burden per gastrointestinal illness (GI) amounts to 36.58 dollars, the burden per acute respiratory disease is 76.76 dollars, the burden per ear ailment is 37.86 dollars, and the burden per eye ailment is 27.31 dollars. These costs can become a substantial public health burden when millions of exposures per year to polluted coastal waters result in hundreds of thousands of illnesses. For example, exposures to polluted waters at Orange County's Newport and Huntington Beaches were estimated to generate an average of 36,778 GI episodes per year. At this GI illness rate, one can also expect that approximately 38,000 more illness episodes occurred per year of other types, including respiratory, eye, and ear infections. The combination of excess illnesses associated with coastal water pollution resulted in a cumulative public health burden of 3.3 million dollars per year for these two beaches. This paper introduces a public health cost variable that can be applied in cost-benefit analyses when evaluating pollution abatement strategies.     

VISITOR VALUES AND LOCAL ECONOMIC IMPACTS OF RIPARIAN HABITAT PRESERVATION: CALIFORNIA'S KERN RIVER PRESERVE1

ABSTRACT: Preservation of the few remaining ecologically vital riparian areas in the southwestern United States is a significant policy concern. This article reports on two economic aspects of preserving a nationally renowned riparian birding area in Southern California. First, the article examines visitor willingness to pay (WTP) for habitat restoration and estimates an annual WTP of US $77 per visitor to preserve the habitat, about a half‐million dollars a year for estimated visitor numbers in 2000 and 2001. Second, it documents visitor expenditures in the local economy to be approximately three‐quarters of a million dollars per year. This direct visitor spending attributable to the riparian habitat generates around US $1.3 million in increased local business activity in this relatively remote rural area.     

The Value of Countryside Access: A Contingent Valuation Survey of Visitors to the Ridgeway National Trail in the United Kingdom

A contingent valuation survey of users of the 140 km Ridgeway National Trail was undertaken to estimate the value that users place on access to the Trail. The survey found that users had a mean willingness to pay for access to the Ridgeway of £1.24 per visit (£1.13– £1.36 95% Confidence Limits). With around 150 000 visits to the Ridgeway each year, this gives an estimated annual aggregate benefit of £186 000 (£169 500– £204 000 95% Confidence Limits) plus the economic benefits to local economies of visitor spending of some £0.8 million. This compares with the costs of Trail maintenance of around £154 000 per year. The development of National Trails in England for recreation and tourism is also discussed.     

The Climate Value of Cycling

The reduction of CO₂ emissions constitutes one of the largest challenges of the current era. Sustainable transportation, and especially cycling, can contribute to the mitigation of CO₂ emissions since cycling possesses an intrinsic zero‐emission value. Few studies have been conducted that appraise the CO₂ reduction potential of cycling. Opportunity costs enable the estimation of avoided CO₂ emissions resulting from bicycle trips. The methodology developed in this research allows the attribution of a climate value to cycling by substituting bicycle trips with their most likely alternative transportation modes and calculating the resulting additional CO₂ emissions. The methodology uses data on the current modal shares of cycling mobility, the competition of cycling with other transportation modes, and CO₂ emission factors to calculate the climate value of cycling. When it is assumed that the avoided CO₂ emissions of cycling mobility could be traded on financial carbon markets, the climate value of cycling represents a monetary value. Application of the methodology to the case of Bogotá, Colombia — a city with a current bicycle modal share of 3.3% on a total of 10 million daily trips — results in a climate value of cycling of 55,115 tons of CO₂ per year, corresponding to an economic value of between 1 and 7 million US dollars when traded on the carbon market.     

ENVIRONMENTAL AND ECONOMIC DAMAGE CAUSED BY SEDIMENT FROM AGRICULTURAL NONPOINT SOURCES1

Environmental and economic damages caused by agricultural nonpoint source inputs of sediment and associated pollutants are examined. Widespread water quality problems are identified in lakes, rivers, and estuaries in agricultural areas, and billions of dollars of on-site and offsite costs result from this eroded soil every year. Some water bodies have been irretrievably damaged, and expensive rehabilitation programs are needed to remedy in-place water pollution problems if Clean Water Act goals are to be achieved. Unless effective abatement and rehabilitation programs are established, billions of dollars of benefits to future generations will not be realized as more waters become irretrievably damaged, and billions more will continue to be spent by government to treat symptoms of these sediment-related problems.     

Economic use value of the Belize marine ecosystem: Potential risks and benefits from offshore oil exploration

The announcement of plans for exploratory oil drilling at a number of offshore sites in Belize raised concerns about the risks associated with drilling, particularly given the socio‐economic importance of the marine ecosystem. The current economic value of fisheries and marine ecotourism is estimated, along with the potential revenue from offshore oil and potential economic losses stemming from oil pollution, under various assumptions on risk and uncertainty. Marine fisheries and ecotourism are estimated to generate around US$ 183 million per year. Single‐year estimated maximum revenue is higher for oil extraction initially but quickly declines; during a 50 year (two generation) period, total discounted benefits from marine fisheries and ecotourism are estimated at US$ 5.1 billion, compared to US$ 3.2 billion from offshore oil revenue. Following a hypothetical oil spill, discounted losses in marine fisheries and ecotourism due to perception and ecological impacts are estimated at US$ 912 million, with clean‐up costs and capital losses of US$ 6.1‐10.4 billion. Considering the short extraction life of oil resources compared to fisheries and ecotourism, the difference in benefits increases substantially in favour of the latter with a longer time horizon. A recent public referendum resulted in a 98% vote against oil exploration and a subsequent annulment of oil concessions pending environmental impact assessments.     

充分利用农业资源,发展我国粮食生产

我国粮食生产的制约因素较多。为了达到我国粮食产量稳定增长的目的,我们必须针对我国农业资源的特点,趋利避害,充分发挥其优势,挖掘生产潜力;搞好宏观调控,调动各方面的积极性,发展粮食生产。这样,2000年实观我国粮食总产量达到 5亿t,人均占有粮食400kg 的目的是可能的。     

Valuing nature-based recreation in public natural areas of the Apalachicola River region, Florida

As more people visit natural areas for tourism and recreation purposes, it is becoming increasingly important to understand the value they place on these natural resources. Specifically, tourists to Florida have been increasingly interested in visiting natural areas, forests, parks, and preserves-highlighting the importance of this new and growing phenomenon. We analyze visitors' demand for nature-based recreation in the Apalachicola River region of Florida using the travel cost method. The results from a count data regression model reveal that on average visitors would pay 74.18 dollars per visit-day for nature-based recreation resulting in a total economic value of 484.56 million dollars attributable to nature-based recreation in the Apalachicola River region. Results of this study provide useful information for natural resources management in the region and a rationale to preserve Florida's unique ecosystems.     

Environmental Risks of Pesticides Versus Genetic Engineering for Agricultural Pest Control

Despite the application of 2.5 million tons ofpesticides worldwide, more than 40% of all potentialfood production is lost to insect, weed, and plantpathogen pests prior to harvest. After harvest, anadditional 20% of food is lost to another group ofpests. The use of pesticides for pest control resultsin an estimated 26 million human poisonings, with220,000 fatalities, annually worldwide. In the UnitedStates, the environmental and public health costs forthe recommended use of pesticides total approximately$9 billion/yr. Thus, there is a need for alternativenon-chemical pest controls, and genetic engineering(biotechnology) might help with this need. Diseaseand insect pest resistance to various pests has beenslowly bred into crops for the past 12,000 years;current techniques in biotechnology now offeropportunities to further and more rapidly improve thenon-chemical control of disease and insect pests ofcrops. However, relying on a single factor, like theBacillus thuringiensis toxin that has beeninserted into corn and a few other crops for insectcontrol, leads to various environmental problems,including insect resistance and, in some cases, athreat to beneficial biological control insects andendangered insect species. A major environmental andeconomic cost associated with genetic engineeringapplications in agriculture relates to the use ofherbicide resistant crops (HRC). In general, HRCtechnology results in increased herbicide use but noincrease in crop yields. The heavy use of herbicidesin HRC technology pollutes the environment and canlead to weed control costs for farmers that may be2-fold greater than standard weed control costs. Therefore, pest control with both pesticides andbiotechnology can be improved for effective, safe,economical pest control.     

Cost/Benefit Considerations for Recent Saltcedar Control,Middle Pecos River,New Mexico

Major benefits were weighed against major costs associated with recent saltcedar control efforts along the Middle Pecos River, New Mexico. The area of study was restricted to both sides of the channel and excluded tributaries along the 370 km between Sumner and Brantley dams. Direct costs (helicopter spraying, dead tree removal, and revegetation) within the study area were estimated to be $2.2 million but possibly rising to $6.4 million with the adoption of an aggressive revegetation program. Indirect costs associated with increased potential for erosion and reservoir sedimentation would raise the costs due to increased evaporation from more extensive shallows in the Pecos River as it enters Brantley Reservoir. Actions such as dredging are unlikely given the conservative amount of sediment calculated (about 1% of the reservoir pool). The potential for water salvage was identified as the only tangible benefit likely to be realized under the current control strategy. Estimates of evapotranspiration (ET) using Landsat TM data allowed estimation of potential water salvage as the difference in ET before and after treatment, an amount totaling 7.41 million m³ (6010 acre-ft) per year. Previous saltcedar control efforts of roughly the same magnitude found that salvaged ET recharged groundwater and no additional flows were realized within the river. Thus, the value of this recharge is probably less than the lowest value quoted for actual in-channel flow, and estimated to be < $63,000 per year. Though couched in terms of costs and benefits, this paper is focused on what can be considered the key trade-off under a complete eradication strategy: water salvage vs. erosion and sedimentation. It differs from previous efforts by focusing on evaluating the impacts of actual control efforts within a specific system. Total costs (direct plus potential indirect) far outweighed benefits in this simple comparison and are expected to be ongoing. Problems induced by saltcedar control may permanently reduce reservoir capacity and increase reservoir evaporation rates, which could further deplete supplies on this water short system. These potential negative consequences highlight that such costs and benefits need to be considered before initiating extensive saltcedar control programs on river systems of the western United States.     

Estimating the opportunity costs of biodiversity protection in the Brigalow Belt, New South Wales

The New South Wales Government recently introduced the Native Vegetation Conservation Act to protect the native grassland and woodland of the state. The Act protects biodiversity by preventing farmers from clearing such vegetation on their properties but, as a consequence, reduces farm incomes and land values. An economic model of the relationship between land value and percentage of farm in native vegetation is integrated with an ecological model of the relationship between species lost and percentage of the farms in native vegetation. The integrated framework is applied to estimate the opportunity costs of the Act for one important agricultural area of the state, the northern part of the Brigalow Belt South Bio-Region. If all the vegetation were protected, the reduction in land value would be at least 14.3%, which is an opportunity cost of at least 148.5 dollars m for the area. Both the benefits and costs of biodiversity protection must be accounted for, so risk simulations are then combined with benefit-cost analysis to compare the benefits of biodiversity protection to these costs.     

AN ANALYSIS OF RISING IRRIGATION COSTS IN THE GREAT PLAINS1

ABSTRACT: Irrigation costs are rising rapidly on the 32 million acres irrigated with ground water. Ground water levels are declining under about 15 million of those acres adding to increased costs. However, from 1975 to 1982, 75 to 80 percent of increased ground water irrigation costs were due to higher nominal energy prices and interest rates. In real dollars, adjusted for inflation, these costs have risen faster than other irrigation costs and the real rise in commodity prices has been very small. A continuation of rapidly rising costs and slowly rising prices will shorten the economic life of those aquifers experiencing declining water levels. That same condition of prices and costs place all ground water irrigators in a disadvantaged position compared to nonirrigators and could cause a decline in ground water irrigation.     

Practitioner Insights into Weed Management on California’s Rangelands and Natural Areas

Working rangelands and natural areas span diverse ecosystems and face both ecological and economic threats from weed invasion. Restoration practitioners and land managers hold a voluminous cache of place-based weed management experience and knowledge that has largely been untapped by the research community. We surveyed 260 California rangeland managers and restoration practitioners to investigate invasive and weedy species of concern, land management goals, perceived effectiveness of existing practices (i.e., prescribed fire, grazing, herbicide use, and seeding), and barriers to practice implementation. Respondents identified 196 problematic plants, with yellow starthistle (Centaurea solstitialis L.) and medusahead (Elymus caput-medusae L.) most commonly listed. Reported adoption and effectiveness of weed management practices varied regionally, but the most highly rated practice in general was herbicide use; however, respondents identified considerable challenges including nontarget effects, cost, and public perception. Livestock forage production was the most commonly reported management goals (64% of respondents), and 25% of respondents were interested in additional information on using grazing to manage invasive and weedy species; however, 19% of respondents who had used grazing for weed management did not perceive it to be an effective tool. Across management practices, we also found common barriers to implementation, including operational barriers (e.g., permitting, water availability), potential adverse impacts, actual effectiveness, and public perception. Land manager and practitioner identified commonalities of primary weeds, management goals, perceived practice effectiveness, and implementation barriers across diverse bioregions highlight major needs that could be immediately addressed through management–science partnerships across the state’s expansive rangelands and natural areas.     

Modelling the economic consequences of the EU Water Framework Directive for Dutch agriculture

The EU Water Framework Directive (WFD) requires member states to take measures to ensure that bodies of water will be in good chemical and ecological condition by 2015. Important measures to achieve this goal include reducing emissions of nitrogen (N) and phosphate (P₂O₅) from manure and mineral fertilizers into the environment. In regions with a high livestock density, this measure is expected to affect agricultural production and income. To quantify these effects, an environmental economic model is required that can assess alternatives capable of reducing N and P₂O₅ potential emissions to water. In this paper, we develop a model that is capable of analysing changes in potential emissions to water of N and P₂O₅ and apply it to the Netherlands, a country with large nutrient emissions. Compared to a 2015 reference scenario based on current efforts to reduce nutrient emissions, we found that the WFD measures will increase regional transport and export of manure and reduce the number of animals in the Netherlands. Fodder adjustments (defined as lower N and P₂O₅ input in purchased fodder) to decrease nutrient excretion in manure were a less attractive option than amongst others export, transportation of manure to another region, land use changes or reduction of the number of livestock. Compared to the reference scenario in 2015, total agricultural income will decrease by about €81.5 million per year (about €49/ha per year), although the effects will differ among parts of the Netherlands and agricultural sectors. The average predicted decrease in N emissions from agricultural sites, vulnerable to leaching into bodies of water will be almost 20% or approximately 14.7 kg N/ha per year. The reduction in N emissions to air from animal sheds, manure storage systems, application of animal manure and mineral fertilisers to the crops and grazing animals equals 6.5% or 5 kg ammonia (NH₃) per hectare.     

The environmental life cycle assessment of agricultural sector in Thailand: EIO‐LCA approach

Agriculture is one of the major sectors in Thailand, with more than half of the population employed in agriculture‐related occupations. This study evaluated energy consumption and greenhouse gas (GHG) emissions of the Thai agricultural sector by applying the economic input–output life cycle assessment (EIO‐LCA) approach. The model evaluates the entire agricultural sector supply chain. Based on one million Thai baht (approximately $27,800 U.S. dollars) final demand of the rice paddy sector, the carbon dioxide (CO₂) emissions from the electricity sector are responsible for 27% (1,246 kilograms [kg] CO₂) of the total CO₂ emissions, whereas the emissions from paddy activities associated with the fertilizers and pesticides sector account for 16% (760 kg CO₂) and 11% (513 kg CO₂), respectively. The top three largest GHG emissions from the total agricultural sector supply chain are associated with the oil palm, the coffee and tea, and the fruit sectors. The government should promote and encourage sustainable agriculture by reducing the use of fertilizers and pesticides and by utilizing energy‐saving technologies.     

AN ECONOMIC EVALUATION OF TWO WATERSHED MANAGEMENT PRACTICES IN TAIWAN1

ABSTRACT: The main purpose of this study is to evaluate the management practice effects on Ming-Hu and Ming-Tan reservoir watersheds during the past 15 years. It is difficult to economically evaluate a watershed project consisting of a number of multisectoral and long term management practices and regulations. However, the reservoirs’ hydropower operations and their associated benefits and costs are highlighted in this study. The estimated management practice value (net present value) of 351 million NT (New Taiwan) dollars and a benefit-cost ratio of 1.189 are obtained for the Ming-Hu subwatershed. Because the Ming-Tan hydropower station only began commercial operation in 1992 the estimated management practice value is negative 103 million NT dollars (net present value) and the benefit-cost ratio is 0.653 in the Ming-Tan subwatershed. If the analysis period is contained to the year 2010, the benefit-cost ratio of Ming-Tan reservoir subwatershed becomes 1.103. Ming-Hu and Ming-Tan subwatersheds together share the benefit-cost ratio of 1.182 and the net present value of 1,589 million NT dollars. The results of the analyses indicate that the Taiwan Power Company, the watershed management agency, has implemented economically efficient watershed practices and regulations in Ming-Hu and Ming-Tan reservoir watersheds and the watershed management practices are worthwhile and should be sustained.     

Economic Impacts of Zebra Mussels on Drinking Water Treatment and Electric Power Generation Facilities

Invasions of nonnative species such as zebra mussels can have both ecological and economic consequences. The economic impacts of zebra mussels have not been examined in detail since the mid-1990s. The purpose of this study was to quantify the annual and cumulative economic impact of zebra mussels on surface water-dependent drinking water treatment and electric power generation facilities (where previous research indicated the greatest impacts). The study time frame was from the first full year after discovery in North America (Lake St. Clair, 1989) to the present (2004); the study area was throughout the mussels’ North American range. A mail survey resulted in a response rate of 31% for electric power companies and 41% for drinking water treatment plants. Telephone interviews with a sample of nonrespondents assessed nonresponse bias; only one difference was found and adjusted for. Over one-third (37%) of surveyed facilities reported finding zebra mussels in the facility and almost half (45%) have initiated preventive measures to prevent zebra mussels from entering the facility operations. Almost all surveyed facilities (91%) with zebra mussels have used control or mitigation alternatives to remove or control zebra mussels. We estimated that 36% of surveyed facilities experienced an economic impact. Expanding the sample to the population of the study area, we estimated $267 million (BCa 95% CI = $161 million–$467 million) in total economic costs for electric generation and water treatment facilities through late 2004, since 1989. Annual costs were greater ($44,000/facility) during the early years of zebra mussel infestation than in recent years ($30,000). As a result of this and other factors, early predictions of the ultimate costs of the zebra mussel invasion may have been excessive.     

Dealing with electronic waste: modeling the costs and environmental benefits of computer monitor disposal

The importance of information technology to the world economy has brought about a surge in demand for electronic equipment. With rapid technological change, a growing fraction of the increasing stock of many types of electronics becomes obsolete each year. We model the costs and benefits of policies to manage 'e-waste' by focusing on a large component of the electronic waste stream-computer monitors-and the environmental concerns associated with disposal of the lead embodied in cathode ray tubes (CRTs) used in most monitors. We find that the benefits of avoiding health effects associated with CRT disposal appear far outweighed by the costs for a wide range of policies. For the stock of monitors disposed of in the United States in 1998, we find that policies restricting or banning some popular disposal options would increase disposal costs from about US dollar 1 per monitor to between US dollars 3 and US dollars 20 per monitor. Policies to promote a modest amount of recycling of monitor parts, including lead, can be less expensive. In all cases, however, the costs of the policies exceed the value of the avoided health effects of CRT disposal.