The Environmental “Risky” Region: Identifying Land Degradation Processes Through Integration of Socio-Economic and Ecological Indicators in a Multivariate Regionalization Model |
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Authors: | Luca Salvati Marco Zitti |
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Institution: | (1) Department of Economics, Universidad Pablo de Olavide, Carretera de Utrera, 41013 Sevilla, Spain;(2) Universidad Politécnica de Madrid-Research Group: Economics for a Sustainable Environment, ETS Ingenieros de Montes Ciudad Universitaria s/n, 28040 Madrid, Spain |
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Abstract: | The economic policy needs to pay increasingly more attention to the environmental issues, which requires the development of
methodologies able to incorporate environmental, as well as macroeconomic, goals in the design of public policies. Starting
from this observation, this article proposes a methodology based upon a Simonian satisficing logic made operational with the
help of goal programming (GP) models, to address the joint design of macroeconomic and environmental policies. The methodology
is applied to the Spanish economy, where a joint policy is elicited, taking into consideration macroeconomic goals (economic
growth, inflation, unemployment, public deficit) and environmental goals (CO2, NO
x
and SO
x
emissions) within the context of a computable general equilibrium model. The results show how the government can “fine-tune”
its policy according to different criteria using GP models. The resulting policies aggregate the environmental and the economic
goals in different ways: maximum aggregate performance, maximum balance and a lexicographic hierarchy of the goals. |
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Keywords: | Environmental policies Goal programming Macroeconomic policies Computable general equilibrium model Multiple criteria decision making Satisficing logic |
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