Threshold stationary real exchange rates: a nonlinear, multivariate approach

Purchasing power parity implies that real exchange rates are stationary. However, the finding of nonstationary real exchange rates has been difficult to dismiss. Using a nonlinear, three-regime structural bivariate threshold model, this paper finds evidence of threshold stationary real exchange rates which is consistent with purchasing power parity adjusted for market frictions such as transaction costs.

MEASURING THE ENVIRONMENTAL IMPACTS OF TECHNICAL PROGRESS IN LOW-INCOME AGRICULTURE: EMPIRICAL EVIDENCE ON IRRIGATION DEVELOPMENT AND FOREST PRESSURE IN PALAWAN, THE PHILIPPINES

Data from the Philippines are used to measure impacts of technical progress in lowland agriculture on upland forests. Irrigation development, labor demand, and employment are studied. Total annual labor use increased following irrigation. Employment of household members living along forest margins increased also. Time allocation data from the uplands show that increases in employment among households living along the forest margin were accompanied by reductions in forest clearing and forest-degrading activities. Empirical findings show irrigation-induced increases in agricultural employment can reduce pressure on tropical forests. Implications for policies and trends in use of labor saving methods that could undermine the observed changes are discussed.Philippines, irrigation, rice production, labor markets, environment, Environmental Economics and Policy, Labor and Human Capital, Resource /Energy Economics and Policy,

Technical Change, Factor Bias and Input Adjustments: Panel Data Evidence from Irrigated Rice Production in Southern Palawan, Philippines

Approximately 90 percent of the world's production and consumption of rice occurs in Asia, and regional demand is projected to increase by 70 percent over the next 30 years. Meeting this demand requires an expansion of the total area under irrigation in the coming decades. In this article, the authors observe the factors of labor, fertilizer and pesticides in relation to a profit-maximizing combination of inputs for rice production, the reaction of these factors to technological improvements such as irrigation and machinery, and their implications on the environment, particularly upland forest resources.irrigation, irrigated rice production, upland forest resources, Palawan, Philippines

Technical Change, Factor Bias and Input Adjustments: Panel Data Evidence from Irrigated Rice Production in Southern Palawan, Philippines

Approximately 90 percent of the world's production and consumption of rice occurs in Asia, and regional demand is projected to increase by 70 percent over the next 30 years. Meeting this demand requires an expansion of the total area under irrigation in the coming decades. In this article, the authors observe the factors of labor, fertilizer and pesticides in relation to a profit-maximizing combination of inputs for rice production, the reaction of these factors to technological improvements such as irrigation and machinery, and their implications on the environment, particularly upland forest resources.irrigation, irrigated rice production, upland forest resources, Palawan, Philippines

Linking Economic Policy and Environmental Outcomes at a Watershed Scale

Do the most promising policies to promote sustainable upland farming originate at the local or national level? Will coordination of local and national efforts produce better outcomes? This paper uses an optimization-simulation model of the Manupali watershed in the Philippines to investigate these issues. It compares the economic and environmental effects of four sets of stylized policy changes: (1) local policies that restrict some forms of land use; (2) local attempts to subsidize environment-friendly technologies; (3) a crop-specific tax levied on vegetable production; and (4) a hybrid approach that seeks to coordinate local technology initiatives with a broader-based national pricing policy.watershed, soil conservation, economy-environment linkage, upland farming

At Risk: The Bay Area Greenbelt

In 2006, Greenbelt Alliance, the Bay Area's land conservation and urban planning organization, published the newest edition of its landmark study on the state of the region's landscapes. The report found that if current development patterns continue, roughly one out of every 10 acres in the entire Bay Area could be paved over in the next thirty years. Today, there are 401,500 acres of greenbelt lands at risk of sprawl development. That includes 125,200 acres at risk within the next 10 years, classified as high-risk land, and 276,200 acres at risk within the next 10 to 30 years, classified as medium-risk land. Around the region, the places at highest risk -- the sprawl hot spots -- include the I-80 corridor in Solano County, the eastern cities in Contra Costa County, Coyote Valley in southern Santa Clara County, the Tri-Valley area of Alameda and Contra Costa Counties, and areas along Highway 101 through Sonoma County

Bay Area Smart Growth Scorecard

The Bay Area Smart Growth Scorecard is a landmark assessment of the planning policies of all 110 cities and counties of the San Francisco Bay Area.Although a city's current development is apparent to anyone who visits it, the policies that guide a city's future development are not so obvious. The Smart Growth Scorecard provides the first view into these policies and the first comparison among them.The Smart Growth Scorecard evaluated 101 cities in seven policy areas:preventing sprawl; making sure parks are nearby; creating homes people can afford; encouraging a mix of uses; encouraging density in the right places; requiring less land for parking; defining standards for good development. On average, Bay Area cities scored 34% (of a possible 100%), meaning cities are doing only a third of what they could be to achieve smart growth.The Smart Growth Scorecard evaluated eight counties (San Francisco is treated as a city) in five policy areas:managing growth; permanently protecting open space; preserving agricultural land; conserving natural resources; and offering transportation choices. On average, Bay Area counties scored 51%.The scores are low overall. But in every policy area, at least one city or county is doing well, whether it is a city that is encouraging walkable neighborhoods, or a county that is preserving its agricultural land. The Association of Bay Area Governments estimates that Bay Area will have one million additional residents by 2020; the Smart Growth Scorecard evaluates how well all the region's jurisdictions are planning for that growth, and how they can do better

DO TROPICAL FORESTS PROVIDE A SAFETY NET? INCOME SHOCKS AND FOREST EXTRACTION IN MALAWI

We use seasonal household data on income shocks and forest extraction to study how households in Malawi use forests to cope with income shortfalls. In particular, we study household response to receipt of a positive income shock delivered in the form of a technology assistance package. We estimate a random-effects model of forest extraction to examine whether household forest use is responsive to income shocks received in a prior period. We also measure the extent to which households subsequently save out of transitory income. Findings indicate that forest extraction by asset-poor households was more responsive to income shocks than forest extraction by better-off households. Findings also suggest households save out of transitory income, and in the process accumulate physical assets that may reduce their dependence on forests for weathering subsequent income shocks. Results show how policies aimed at poverty alleviation among those living adjacent to tropical forests can also alleviate forest pressure.Resource /Energy Economics and Policy,