Can incomplete information lead to under-exploitation in the commons?

This paper analyzes the protection of a common pool resource (CPR) through the management of information. Specifically, we examine an entry deterrence model between an incumbent perfectly informed about the initial stock of a CPR and an uninformed potential entrant. In our model, the appropriation of the CPR by the incumbent reduces both players' future profits from exploiting the resource. In the case of complete information, we show that the incumbent operating in a high-stock common pool overexploits the CPR during the first period since it does not internalize the negative external effect that its first-period exploitation imposes on the entrant's future profits. This inefficiency, however, is absent when the commons totally regenerate across periods. Under incomplete information, we identify an additional form of inefficiency. In particular, the incumbent operating in a low-stock CPR underexploits the resource in order to signal the low available stock to potential entrants, deterring entry.     

Does the self-similar species distribution model lead to unrealistic predictions?

J. Harte et al. demonstrated that the power law form of the species-area relationship may be derived from a bisected, self-similar landscape and a community-level probability rule. Harte's self-similarity model has been widely applied in modeling species distributions. However, R. D. Maddux showed that this self-similarity model generates biologically unrealistic predictions. We resolve the Harte-Maddux debate by demonstrating that the problems identified by Maddux result from an assumption that the probability of occurrence of a species at one scale is independent of its probability of occurrence at the next. We refer to this as a "non-heritage assumption." By altering this assumption to one in which each species in the community has an occupancy status that is partially inherited across scales (a scale-heritage assumption), the predictions of the self-similarity model are neither mathematically inconsistent nor biologically unrealistic. Harte's self-similarity model remains an important framework for modeling species distributions. Our results illustrate the importance of considering patterns of species co-occurrence, and the way in which species occupancy patterns change with scale, when modeling species distributions.     

Direct use values of communal resources in Bokong and Tsehlanyane in Lesotho: whither the commons?

SUMMARY

This paper presents a comprehensive assessment of the contribution of communal resources to households in Bokong and Tsehlanyane in Lesotho. It argues that communal resources are an extremely important element in the livelihoods of people in the study area. It uses households as units of analysis in order to gain an understanding of the role that communal resources play at the micro level before any extrapolations are made to the regional and national levels. A household survey, guided by a detailed semistructured questionnaire, was used. Ten newly constructed houses and vegetable garden enclosures were sampled to categorize and count all poles used to build them. The amount of thatch grass used in building those houses was also estimated. The results indicated that communal resources play a central role in the livelihoods of people in the area with firewood ($1492), crops ($1363) and wild vegetables ($774) recording the highest annual use values per household^?1 yr^?1. The total present value was estimated at $3899 household^?1 yr^?1 with firewood, crops and wild vegetables constituting 93% of that value. The study further demonstrated that communal resources are used across the entire income spread in the area, thereby negating the general belief that they are a preserve of the poor. Finally, the results demonstrated that very little value is derived through trading of resources both within and outside the area but through direct consumption within households invariably escaping national economic accounting. With declining employment rates in Lesotho due to continued retrenchments in the South African mining industry, communal resources in the country remain an indispensable resource that must be carefully managed for the common good.     

All clear? Meerkats attend to contextual information in close calls to coordinate vigilance

Socio-demographic factors, such as group size and their effect on predation vulnerability, have, in addition to intrinsic factors, dominated as explanations when attempting to understand animal vigilance behaviour. It is generally assumed that animals evaluate these external factors visually; however, many socially foraging species adopt a foraging technique that directly compromises the visual system. In these instances, such species may instead rely more on the acoustical medium to assess their relative risk and guide their subsequent anti-predator behaviour. We addressed this question in the socially foraging meerkat (Suricata suricatta). Meerkats forage with their head down, but at the same time frequently produce close calls (‘Foraging’ close calls). Close calls are also produced just after an individual has briefly scanned the surrounding environment for predators (‘Guarding’ close calls). Here, we firstly show that these Guarding and Foraging close call variants are in fact acoustically distinct and secondly subjects are less vigilant (in terms of frequency and time) when exposed to Guarding close call playbacks than when they hear Foraging close calls. We argue that this is the first evidence for socially foraging animals using the information encoded within calls, the main adaptive function of which is unrelated to immediate predator encounters, to coordinate their vigilance behaviour. In addition, these results provide new insights into the potential cognitive mechanisms underlying anti-predator behaviour and suggest meerkats may be capable of signalling to group members the ‘absence’ of predatory threat. If we are to fully understand the complexities underlying the coordination of animal anti-predator behaviour, we encourage future studies to take these additional auditory and cognitive dimensions into account.     

Innovation and diffusion of clean/green technology: Can patent commons help?

This paper explores the characteristics of 238 patents on 90 inventions contributed by major multinational innovators to the “Eco-Patent Commons”, which provides royalty-free access to third parties to patented innovations on green technologies. We compare the pledged patents to other patents in the same technologies or held by the same multinationals to investigate the motives of the contributing firms as well as the potential for such commons to encourage innovation and diffusion of climate change related technologies. We find pledged patents to protect environmentally friendly technologies and to be of similar value as the average patent in a pledging firm's patent portfolio but of lower value than other patents in their class. Our analysis of the impact of the patent commons on diffusion of patented technologies suggests that making patents accessible royalty-free did not result in any significant increase in diffusion as measured by citing patents. This study, therefore, indirectly provides evidence on the role of patents in the development and diffusion of green technologies.     

Pressure cookers or pressure valves: Do roads lead to deforestation in China?

The effect of roads on forests is ambiguous. Many studies conclude that building and upgrading roads increases pressure on forests but some find that new and better roads may reduce the rate of deforestation. In this paper we use satellite remote sensing images of forest cover in Jiangxi Province, China, to test whether the existence and the size of roads (ranging from expressways to tertiary roads) in 1995 affected the level of forest cover in 2000 or the rate of change between 1995 and 2000. To account for road access for each of our 1 km² (“pixel”) units of forest cover we measure whether or not and what type of roads penetrate the “watershed” in which the pixel lies. These watersheds allow more plausible measures of accessibility than do traditional “crowfly” distance measures that ignore topography. To account for possible confounding we also use 12 additional covariates: geographic and climatic variables (e.g., elevation, slope, rainfall, temperature, soil properties); demographic and economic variables (e.g., local population and GDP per square kilometer); and distance variables (e.g., distance to the nearest provincial capital). Although simple univariate OLS regressions show that forest levels are lower and deforestation rates higher either when there is a road, or when there is a higher quality road, these results are not robust. Controlling for all of the covariates and also using recently developed covariate matching techniques to estimate treatment effects, we find that roads in China’s Jiangxi Province can most safely be described as having no impact on the level of forests and no impact on the rate of deforestation.     

Can forest management be used to sustain water-based ecosystem services in the face of climate change?

Forested watersheds, an important provider of ecosystems services related to water supply, can have their structure, function, and resulting streamflow substantially altered by land use and land cover. Using a retrospective analysis and synthesis of long-term climate and streamfiow data (75 years) from six watersheds differing in management histories we explored whether streamflow responded differently to variation in annual temperature and extreme precipitation than unmanaged watersheds. We show significant increases in temperature and the frequency of extreme wet and dry years since the 1980s. Response models explained almost all streamflow variability (adjusted R2 > 0.99). In all cases, changing land use altered streamflow. Observed watershed responses differed significantly in wet and dry extreme years in all but a stand managed as a coppice forest. Converting deciduous stands to pine altered the streamflow response to extreme annual precipitation the most; the apparent frequency of observed extreme wet years decreased on average by sevenfold. This increased soil water storage may reduce flood risk in wet years, but create conditions that could exacerbate drought. Forest management can potentially mitigate extreme annual precipitation associated with climate change; however, offsetting effects suggest the need for spatially explicit analyses of risk and vulnerability.     

When is increasing consumption of common property optimal? Sorting,congestion and entry in the commons

First-best pricing or assignment of property rights for rival and non-excludable goods is often infeasible. In a setting where the social planner cannot limit total use, we show that common-property resources can be over or under-consumed. This depends on whether the external benefits of reallocating users to less congested resources outweigh the additional costs imposed by new entrants. Importantly, we show that it may be optimal to encourage consumption of some common property resources. Our results have important implications for settings ranging from fisheries and forestry to recreational demand and transportation.     

Trading rules and the environment: Does equal treatment lead to a cleaner world?

In this paper, we consider a three-stage game in the context of a competing exporters model to compare and contrast the effects of discriminatory and uniform (Most Favored Nation, MFN) tariffs on countries’ choice over environmental standards for varying degrees of pollution spillovers. Because of the presence of punishment effects and stronger own and cross-tariff effects, we find that discrimination yields higher standards than MFN (and free trade) independently of the extent of pollution spillovers. When pollution is local and incentives to free ride on other countries’ abatement efforts are weak, we show, however, that welfare is larger under MFN than under discrimination. In a dynamic setting, we consider the impact of symmetric and asymmetric treatments on the sustainability of an international environmental agreement (IEA) and obtain that multilateral cooperation is easier to sustain under discrimination than under MFN (or free trade).     

Can climate mitigation help the poor? Measuring impacts of the CDM in rural China

This study examines whether investment in climate change mitigation contributes to poverty alleviation. We investigate the impacts of the renewable energy-based clean development mechanism (RE-CDM) projects on rural communities in China. The impacts of RE-CDM projects are estimated by combining propensity score matching with the difference-in-differences approach. We found that the biomass-based CDM projects significantly contribute to income improvement and employment generation in rural communities in China. Our estimation results also reveal that wind energy-based CDM projects have the potential to increase income and the share of labor force in the primary industry in rural areas. These results suggest different channels through which renewable energy sources affect income.     

Can machines recognise stress in plants?

In this paper we show that chlorophyll a fluorescence signals analysed with the self-organizing map (SOM) can be used as a routine tool for the monitoring and classification of pea varieties (Pisum sativum) according to their degree of resistance against drought stress. Fluorescence kinetics measurements were obtained from non-stressed plants. The aim of this study is to evaluate the applicability of artificial intelligence techniques in eco-physiological research. Our goal is to provide a fast tool that will contribute to the knowledge needed to develop strategies that would help to decrease the impact of environmental stress in agriculture and forestry.     

Can the legacy of industrial pollution influence antimicrobial resistance in estuarine sediments?

Antimicrobial resistance (AMR) represents a major global health threat, as well as a major hazard to sustainable economic development and national security. It remains, therefore, vital that current research aligns to policy development and implementation to alleviate a potential crisis. One must consider, for example, whether drivers of antibiotic resistance can be controlled in the future, or have they already accumulated in the past, whether from antibiotics and/or other pollutants? Unfortunately, industrial heritage and its pollution impact on the prevalence of environmental AMR have largely been ignored. Focussing on industrialised estuaries, we demonstrate that anthropogenic pollution inputs in addition to the natural diurnal environmental conditions can sufficiently create stressful conditions to the microbiome and thus promote selective pressures to shift the resistome (i.e., collection of resistance traits in the microbiological community). Unfortunately, the bacteria’s survival mechanisms, via co-selective pressures, can affect their susceptibility to antibiotics. This review highlights the complexity of estuarine environments, using two key contaminant groups (metals/toxic elements and polyaromatic hydrocarbons), through which a variety of possible chemical and biological pollutant stressors can promote the emergence and dissemination of antimicrobial resistance. We find compelling divers to call on more focused research on historically disrupted ecosystems, in propagating AMR in the real world.

     

Can decentralized planning really achieve first-best in the presence of environmental spillovers?

It is generally accepted that decentralized policy choice in the presence of interjurisdictional spillovers is inefficient. Strikingly, Ogawa and Wildasin (2009) find that in a model with heterogenous jurisdictions, interjurisdictional capital flows, and interjurisdictional environmental damage spillovers, decentralized planning outcomes are equivalent to that under a centralized planner. We first show the critical importance of two key assumptions (no retirement of capital, fixed environmental damages per unit of capital) in obtaining this result. Second, we consider a more general model allowing for capital retirement and abatement activities and show that the outcome of a decentralized market generally differs from the solution of a centralized planner?s social welfare-maximizing problem.     

Do environmental right-to-know laws affect markets? Capitalization of information in the toxic release inventory

This paper investigates how information contained in the U.S. Environmental Protection Agency's Toxic Release Inventory (TRI) program, one of the largest environmental right-to-know programs, affects prices in the housing market. I use a strengthening of the reporting requirements for the chemical lead in 2001 as exogenous variation to test for housing price changes near existing firms who must now report. Using a difference-in-differences specification, I find that listing an existing firm in the Toxic Release Inventory lowers housing prices up to 11% within approximately 1 mile. The results suggest that housing market participants do capitalize into prices at least some information conveyed by the TRI program.     

Does efficient irrigation technology lead to reduced groundwater extraction? Empirical evidence

Encouraging the use of more efficient irrigation technology is often viewed as an effective, politically feasible method to reduce the consumptive use of water for agricultural production. Despite its pervasive recommendation, it is not clear that increasing irrigation efficiency will lead to water conservation in practice. In this paper, we evaluate the effect of a widespread conversion from traditional center pivot irrigation systems to higher efficiency dropped-nozzle center pivot systems that has occurred in western Kansas. State and national cost-share programs subsidized the conversion. On an average, the intended reduction in groundwater use did not occur; the shift to more efficient irrigation technology has increased groundwater extraction, in part due to shifting crop patterns.