The Impact of Uncertainty on Banking Behavior: Evidence from the US Sulfur Dioxide Emissions Allowance Trading Program

In this paper, we study empirically whether uncertainty has an influence on trade in the US sulfur dioxide allowances market. In particular, we investigate the role of uncertainty on banking behavior. To do this, we introduce a tractable, structural model of trading permits under uncertainty. The model establishes a relation between banking behavior and risk preferences, especially prudence in the Kimball (1990) sense. We then test this model using data on allowances, for utilities submitted to the US Environmental Protection Agency’s Acid Rain Program, carried over from one year to the next. Evidence is found of imprudence, namely, utilities bank permits in order to favor higher profits. Another finding is that larger utilities do not adopt behavior significantly different from that of smaller ones. This paper was presented at the “International Workshop on Uncertainty in Greenhouse Gas Inventories: Verification, Compliance & Trading” in Warsaw, Poland, September 2004, under the title “Portfolio Management of Emissions Permits and Prudence Behavior.”     

Plasma concentration of organochlorine compounds is associated with age and not obesity

It has been suggested that obese individuals, because of an increased dilution space (body fat) for lipophilic organochlorines compounds, may have greater levels of toxic pollutants than lean sedentary individuals. It is important to further examine this possibility because of the potential contribution of organochlorine pesticides in the development of Parkinson's disease and other neurological diseases. The aim of this study was to further investigate the relationship between the magnitude of obesity and the plasma concentration of organochlorines for a wide range of BMI (with participants at steady state body weight). Fifty-three individuals were selected on the basis of their body mass index (BMI): lean controls (n=16; mean BMI 22.8+/-2.2 kg/m(2); mean age 38.8+/-9.4 years), obese individuals (n=19; mean BMI 33.4+/-3.0 kg/m(2); mean age 38.6+/-7.6 years) and morbidly obese individuals (n=18; mean BMI 49.3+/-6.5 kg/m(2); mean age 44.3+/-9.2 years). Blood samples were analyzed for organochlorine compounds. The relationship between the total plasma organochlorine concentration and BMI was tested using a multiple regression analysis. Age was included in the model. There was no relationship between the total plasma organochlorine concentration and BMI. Organochlorine concentrations, however, were correlated with age (BMI-adjusted R(2)=0.46; p<0.001). At steady state body weight, toxic pollutant concentrations are not associated to obesity but strongly correlate with age.     

Tree-based intercropping systems increase growth and nutrient status of hybrid poplar: A case study from two Northeastern American experiments

Tree-based intercropping is considered to be a potentially useful land use system for mitigating negative environmental impacts from intensive agriculture such as nutrient leaching and greenhouse gas emissions. Rapid early growth of trees is critical for rapidly accruing environmental benefits provided by the trees. We tested the hypothesis that intercropping increases the growth and nutrient status of young hybrid poplars (Populus spp.), compared to a harrowing alley treatment (i.e., no intercrop), in two experimental sites (St-Rémi and St-Édouard) in southern Québec, Canada. Three hybrid poplar clones (TD3230, Populus trichocarpa × deltoides; DN3308, P. deltoides × nigra; and NM3729, P. nigra × maximowiczii) were planted at St-Rémi. Clones DN3333 and DN3570 were planted at St-Édouard. At St-Rémi, intercropping comprised a 4-year succession of three crops of soybean (Glycine max (L.) Merr.) and barley (Hordeum vulgare L.). At St-Édouard, intercropping comprised a 3-year succession of buckwheat (Fagopyrum esculentum Moench), winter rye (Secale cereale L.), and winter wheat (Triticum aestivum L.). At St-Rémi, four years after treatment began, leafless aboveground biomass of hybrid poplars in the intercropping treatment was 37% higher compared to that in the harrowing treatment. At St-Édouard, after the third growing season, leafless aboveground biomass of hybrid poplars in the intercropping treatment was significantly higher by 40%. Vector analysis of foliar nutrient concentrations and comparison with critical concentration values showed that N (both sites) and K (St-Édouard) were the most limiting nutrients. Hybrid poplar clones responded similarly to treatments, with no consistent differences in tree growth observed between clones. We conclude that tree-based intercropping systems may offer an effective means of improving the early growth of hybrid poplars planted to provide both environmental services and high-value timber.     

Hydro-mechanical behavior of municipal solid waste subject to leachate recirculation in a large-scale compression reactor cell

The paper presents the results of a laboratory experiment on Municipal Solid Waste (MSW) subjected to one-dimensional compression in a 1 m3 instrumented cell. The focus was on the hydro-mechanical behavior of the material under conditions of confinement and leachate percolation that replicate those found in real-scale landfills. The operation of the apparatus is detailed together with the testing methodology and the monitoring program. Two samples of waste were tested: the first extended over a period of 10 months ('Control Test') and the second for 22 months ('Enhanced Test' with leachate recirculation). Consolidation data is reported with regard to both short-term (stress-dependent) and long-term (time-dependent) settlements. A discussion follows based on the derived values of primary and secondary compression ratios. Correlations between compression parameters and the biodegradation process are presented. In particular, results clearly highlight the effect of leachate recirculation on waste settlement: 24% secondary deformation reached after slightly less than 2 years (equivalent to a 5-fold increase in compressibility) and 17.9% loss of dry matter. Comparisons are proposed considering the results derived from the few monitoring programs conducted on experimental bioreactors worldwide. Finally, the hydraulic characterization of waste is discussed with regard to the evaluation of effective porosity and permeability.     

The metal mining industry in Eastern Europe

The mining industry has been one of the backbones of the socialist countries of Eastern Europe, not only in economic, but also in political, terms. Three years after the beginning of economic reforms, the mining industry in all the Eastern European countries is facing dramatic changes. Most mines are mining ores below acceptable cut-off grades, and there is no hope of finding new, richer deposits. Downstream metallurgical industries will need to replace their former suppliers. In addition, the social contract that had been maintained under the socialist governments is about to be undone and a new form of internal organization must be found. The success of the economic reforms in Eastern Europe depends upon the capacity to develop new industrial relations: the large mining combinates will have to be transformed into competitive capitalist enterprises and the role of the state must be redefined. Prospects for this transformation vary greatly, from metal to metal and from country to country. Finally, restructuring in Eastern Europe will also affect European and world markets, both on the supply and demand sides. The integration of the Eastern European mining industries into the international mining community should be the medium-term goal of all the participants .