Theory and Model of Agricultural Insurance Subsidy

The issue of agricultural insurance subsidy is discussed in this paper aiming to make it provided more rationally and scientifically. It is started with the connection between agricultural insurance and financial subsidy. It is really necessary and crucial to implement the financial insurance due to the bad operational performance, especially in the developing countries. But the subsidy should be provided more rationally because financial subsidy has lots of negative effects. A model in competitive insurance markets developed by Ahsan et al （1982） and a farmers＇ decision model are developed to solve the optimal subsidized rate. Finally, the equation is got to calculate it. But a quantitative subsidized rate is not made here because the calculation should be under some restricted conditions, which are always absent in the developing countries. So the government should provide some subsidy for the ex ante research and preparation to get the scientific probability and premium rate.     

Cost pass-through to higher ethanol blends at the pump: Evidence from Minnesota gas station data

We examine the pass-through of wholesale prices to retail prices in the market for E85, which contains 51%–83% ethanol, and in the much larger market for E10, which contains 10% ethanol. We use a panel dataset consisting of monthly observations from 2007 to March 2015 on wholesale and retail prices for 274 Minnesota gas stations that sell both E10 and E85. Consistent with prior research, the cumulative pass-through coefficient for E10 is 1.00 after one month. In contrast, the E85 market is sparse, and although pass-through increased over time, we estimate it to be only 0.53 statewide from 2012 to 2015. Pass-through is higher at stations with more local E85 competitors. In the Twin Cities, which has a high density of E85 stations, pass-through is nearly complete, but outside the Twin Cities slightly less than half the wholesale discount of E85, relative to E10, is passed on to the consumer.     

Rank-related partner choice in the fission–fusion society of the spotted hyena (<Emphasis Type="Italic">Crocuta crocuta</Emphasis>)

When social partners vary in their relative value, individuals should theoretically initiate partnerships with conspecifics of the highest value. Here, we tested this prediction in a wild population of spotted hyenas (Crocuta crocuta). Crocuta live in complex, fission–fusion societies structured by dominance hierarchies in which individuals vary greatly in their value as social companions. Because patterns of association among Crocuta reflect social preferences, we calculated association indices (AIs) to examine how social rank influences intrasexual partner choice among unrelated adults of both sexes. The highest-ranking individuals were generally most gregarious in both sexes. Females associated most often with dominant and adjacent-ranking females. Females joined subgroups based on the presence of particular conspecifics such that subordinates joined focal females at higher rates than did dominants. Dominants benefit from associations with subordinates by enjoying priority of access to resources obtained and defended by multiple group members, but the benefits of these associations to subordinates are unknown. To investigate this, we tested three hypotheses suggesting how subordinates might benefit from rank-related partner choice among unrelated females. We found that subordinates who initiated group formation benefited by gaining social and feeding tolerance from dominants. However, rates at which dominants provided coalitionary support to subordinates did not vary with AIs. Overall, our data resemble those documenting patterns of association among cercopithecine primates. We consider our results in light of optimal reproductive skew theory, Seyfarth’s rank attractiveness model, and biological market theory. Our data are more consistent with the predictions of Seyfarth’s model and of biological market theory than with those of skew theory.     

Globalization of the Amazon Soy and Beef Industries: Opportunities for Conservation

Abstract:  Amazon beef and soybean industries, the primary drivers of Amazon deforestation, are increasingly responsive to economic signals emanating from around the world, such as those associated with bovine spongiform encephalopathy (BSE, "mad cow disease") outbreaks and China's economic growth. The expanding role of these economic "teleconnections" (coupled phenomena that take place in distant places on the planet) led to a 3-year period (2002–2004) of historically high deforestation rates. But it also increases the potential for large-scale conservation in the region as markets and finance institutions demand better environmental and social performance of beef and soy producers. Cattle ranchers and soy farmers who have generally opposed ambitious government regulations that require forest reserves on private property are realizing that good land stewardship—including compliance with legislation—may increase their access to expanding domestic and international markets and to credit and lower the risk of "losing" their land to agrarian reform. The realization of this potential depends on the successful negotiation of social and environmental performance criteria and an associated system of certification that are acceptable to both the industries and civil society. The foot-and-mouth eradication system, in which geographic zones win permission to export beef, may provide an important model for the design of a low-cost, peer-enforced, socioenvironmental certification system that becomes the mechanism by which beef and soy industries gain access to markets outside the Amazon.     

Bilateral Monopoly: A Market for Intercountry River Water Allocation

/ Collaboration of countries with an aim to share fresh surface water resources promises to generate potential joint benefits. Unfortunately, existing agreements lack the perspective and capacity to produce any real action in efficient cross-border water allocation. When that problem is encountered by any two adjacent countries claiming riparian rights to the same watercourse, this paper suggests that apossible solution to be examined is a water market. This market requires the relevant countries to engage in a bargaining process as described in the theory of bilateral monopoly. The bargaining process should determine both the water quantity to be transferred and the price to be paid. However, there has to be a fair allocation of the joint benefits resulting from the transfer for a sustainable price solution. As an empirical illustration, the paper examines the case of river Nestos shared by Bulgaria and Greece in the southern Balkans. A net revenue function quadratic in water is specified and estimated using scarce data on three agricultural crops in Greece. Sensitivity analysis on the size and distribution of the net benefits is also performed.KEY WORDS: Bilateral agreements; Water markets; Efficient allocation     

Water Transactions for Streamflow Restoration,Water Supply Reliability,and Rural Economic Vitality in the Western United States

Across the western United States, environmental water transaction programs (EWTPs) restore environmental flows by acquiring water rights and incentivizing changes in water management. These programs have evolved over several decades, expanding from relatively simple two‐party transactions to multiobjective deals that simultaneously benefit the environment and multiple water‐using sectors. Such programs now represent an important water management tool and provide an impetus for collaboration among stakeholders; yet, most evaluations of their effectiveness focus exclusively on environmental outcomes, without adequate attention to impacts on other water users or local economies. To understand how these programs affect stakeholders, a systematic, multiobjective evaluation framework is needed. To meet this need, we developed a suite of environmental and socioeconomic indicators that can guide the design and track the implementation of water transaction portfolios, and we applied them to existing EWTPs in Oregon and Nevada. Application of the indicators quantifies impacts and helps practitioners design water transaction portfolios that avoid unintended consequences and generate mutually beneficial outcomes among environmental, agricultural, and municipal interests.     

Saving power to conserve your reputation? The effectiveness of private versus public information

Environmental damage is often an unseen byproduct of other activities. Disclosing environmental impact privately to consumers can reduce the costs and/or increase the moral benefits of conservation behaviors, while publicly disclosing such information can provide an additional motivation for conservation - cultivating a green reputation. In a unique field experiment in the residence halls at the University of California – Los Angeles, we test the efficacy of detailed private and public information on electricity conservation. Private information was given through real-time appliance level feedback and social norms over usage, and public information was given through a publicly visible conservation rating. Our analysis is based on 7,120 daily observations about energy use from heating and cooling, lights and plug load for 66 rooms collected over an academic year. Our results suggest that while private information alone was ineffective, public information combined with private information motivated a 20 percent reduction in electricity consumption achieved through lower use of heating and cooling. Public information was particularly effective for above median energy users.     

Potential for electricity savings by reducing potable water consumption in a city scale

Nowadays, it is very important that water and energy resources are used appropriately as this is a challenge to promote sustainable development. In some sectors, such as water and sewerage utilities, energy consumption depends on water consumption. The main objective of this work is to estimate the potential for electricity savings in a water and sewerage utility by reducing potable water consumption in the residential, commercial and public sectors in the city of Florianópolis, southern Brazil. These three sectors account for 98.9% of the total water consumption in the city. By using data related to energy consumption and costs that apply to the local water utility for water and sewage treatment, and also the potential for potable water savings over the three sectors, it is possible to estimate the potential for energy savings by reducing potable water consumption and sewage treatment. Potable water savings were estimated by using data available in the literature about water end-uses for different types of buildings located in Florianópolis. Three options were considered: installing dual-flush toilets, reusing greywater and using rainwater. The average potential for potable water savings were 30.0%, 53.4% and 60.3%, respectively, for the residential, commercial and public sectors. Thus, the average potable water savings amount to about 10,153,835 m³/year, and the electricity savings amount to 4.4 GW h/year, which would be enough to supply 1217 houses or flats in Florianópolis, with an average energy consumption of 300 kW h/month.     

Economic and Ecological Rules for Water Quality Trading1

Horan, Richard D. and James S. Shortle, 2011. Economic and Ecological Rules for Water Quality Trading. Journal of the American Water Resources Association (JAWRA) 47(1):59‐69. DOI: 10.1111/j.1752‐1688.2010.00463.x Abstract: Emissions trading in textbook form uses markets to achieve pollution targets cost‐efficiently. This result is accomplished in markets that regulators can implement without knowing pollution abatement costs. The theoretical promise of emissions trading, along with real‐world success stories from air emissions trading, has led to initiatives to use trading for water pollution control. Yet, trading, particularly when it involves nonpoint sources of pollution, requires significant departures from the textbook concept. This paper explores how features of water quality problems affect the design of markets for water pollution control relative to textbook emissions markets. Three fundamental design tasks that regulators must address for pollution trading to achieve an environmental goal at low cost are examined: (1) defining the point and nonpoint commodities to be traded, (2) defining rules governing commodity exchange, and (3) setting caps on the commodity supplies so as to achieve an environmental target. We show that the way in which these tasks are optimally addressed for water quality markets differs significantly from the textbook model and its real‐world analogs. We also show that the fundamental appeal of emissions trading is lost in the case of realistic water quality markets, as market designs that reduce the costs of achieving water quality goals may no longer be implementable without the regulatory authority having information on abatement costs.     

On the development of a new hybrid risk assessment process using occupational accidents’ data: Application on the Greek Public Electric Power Provider

The occupational accidents have a major impact upon human integrity and also bring about high costs for the social health and insurance system of a country. In addition, risk analysis is an essential process for the safety policy of a company, having as main aim the effacement of any potential of damage in a productive procedure, while the quantified risk evaluation is the most crucial part of the whole procedure of assessing hazards in the work. The main goal of this study is double: a) the development and presentation of a new hybrid risk assessment process (HRAP) and b) the application of HRAP in the Greek Public Power Corporation (PPC) (the unique electric power provider and the largest industry in Greece), by using occupational accidents that have been recorded, during the 12-year period of 1993-2004. The new process consists of four distinct phases a) the hazard sources’ identification phase, b) the risk consideration phase, c) the risk-evaluation phase, and d) the phase of the risk assessment and safety-related decision making. The results show that in some cases the risk value has been calculated in PPC to be higher than 500 (in the risk rating of 0-1000), which imposes the taking of suppressive measures for abolishing the danger source, while the fatal accident frequency rate (per 10⁸ man-hrs) is FAFR ≅ 2.4.