An Empirical Study of the Relationships between CO2 Emissions, Economic Growth and Openness

This paper investigates the existence of the environmental Kuznets curve (EKC) for carbon dioxide (CO2) emissions and its causal relationships with economic growth and openness by using time series data (1971-2006) from China (an emerging market), Korea (a newly industrialized country), and Japan (a developed country). The sample countries span a whole range of development stages from industrialized to newly industrialized and emerging market economies. The environmental consequences according to openness and economic growth do not show uniform results across the countries. Depending on the national characteristics, the estimated EKC show different temporal patterns. China shows an N-shaped curve while Japan has a U-shaped curve. Such dissimilarities are also found in the relationship between CO2 emissions and openness. In the case of Korea and Japan it represents an inverted U-shaped curve, while China shows a U-shaped curve. We also analyze the dynamic relationships between the variables by adopting a vector auto regression or a vector error correction model. These models through the impulse response functions allow for analysis of the causal variable's influence on the dynamic response of emission variables and it adopts a variance decomposition to explain the magnitude of the forecast error variance determined by the shocks to each of the causal variables over time. Results show evidence of large heterogeneity among the countries and variables impacts.carbon dioxide (CO2), environmental Kuznets curve (EKC), economic growth, free trade, development

The Environmental Consequences of Globalization: A Country-Specific Time-Series Analysis

The dynamic relationships among trade, income and the environment for developed and developing countries are examined using a cointegration analysis. Results suggest that trade and income growth tend to increase environmental quality in developed countries, whereas they have detrimental effects on environmental quality in most developing countries. It is also found that for developed countries the causal relationship appears to run from trade and income to the environment - a change in trade and income growth causes a consequent change in environmental quality, and the opposite relationship holds for developing countries.Developed countries, Developing countries, Environmental quality, Globalization, Time-series analysis, Trade, Environmental Economics and Policy, International Relations/Trade,

The Environmental Consequences of Globalization: A Country-Specific Time Series Analysis

The dynamic relationships among trade, income and the environment for developed and developing countries are examined using a cointegration analysis. Results suggest that trade and income growth tend to increase environmental quality in developed countries, whereas they have detrimental effects on environmental quality in most developing countries. It is also found that for developed countries, the causal relationship appears to run from trade and income to the environment ─ a change in trade and income growth causes a consequent change in environmental quality, and the opposite relationship holds for developing countries.Developed countries, Developing countries, Environmental quality, Globalization, Time-series analysis, Trade,

Can Rural Communities Comply with the New Arsenic Standard for Drinking Water?

Our primary concern in this paper is to determine to what extent small communities have difficulty meeting the new stricter 2001 standard for arsenic levels in their drinking water. To do this we survey water users in rural Minnesota communities that had arsenic levels in their water supply exceeding 10 g/L during 2001-2006. Our survey results show that after obtaining complete information concerning the arsenic levels in their drinking water consumers with relatively low levels of arsenic were willing to pay $8-9 annually, while those with high levels of arsenic are willing to pay$15-17 annually. We also found that consumer’s willingness to pay (WTP) didn’t vary by community size. Thus, we conclude that compared to compliance costs ($58-327 per capita annually) small rural communities were likely to find it difficult to cover the cost of compliance through increased water charges. Since many of the communities have to cover these costs of compliance by raising water charges, we ask the basic question: are there better treatment options for these rural communities that will lower the cost to consumers? One option might be to encourage individual householders to use household water treatment devices for communities serving fewer than 500 people. The devices could be made available by the local entity supplying the community’s water possibly at a subsidized rate along with complete information about the arsenic level in the water supply.Community/Rural/Urban Development, Resource /Energy Economics and Policy,

Effects of a Threat and Alliance on International Cooperation: Comparison of Inter-Korean and Turkish-Armenian Railway Projects

The article examines restricting factors in international cooperation, drawing a comparative analysis of two cases on cross-border infrastructure projects: the Gyeongui railway line that connects North and South Korea and the Kars-Gyumri-Tbilisi railway line that links Turkey and Armenia. In both cases, states involved strive for the normalization of diplomatic relations and border openness as well as potential economic opportunities and national security. Nevertheless, neither Seoul and Pyongyang nor Ankara and Yerevan succeeded in building a sustainable cooperation framework. While the outcome is the same, independent variables in both cases are different. Firstly, two Koreas have been in a military confrontation for seven decades, whereas Turkey and Armenia never engaged in a direct conflict. Secondly, the configuration of alliances (South Korea and the United States and Turkey and Azerbaijan) weakens the decision-making on the troublesome infrastructure projects. Consequently, alliances are identified as one the key factors that determine the mode of international cooperation

ESTIMATING WILLINGNESS TO PAY FOR REDUCED COPPER CONTAMINATION IN SOUTHWESTERN MINNESOTA

The contingent valuation method is applied to determine how much consumers would be willing to pay to reduce copper in their drinking water and what factors influence their willingness to pay (WTP). The annual mean WTP per household was estimated using survey data from nine counties in southwestern Minnesota where copper contamination is high. The annual mean WTP per household varied from a low range of $30.41 to$43.61 for Chippewa County to a high range of $39.79 to$57.06 for Nobles County. The aggregate WTP for all nine counties was estimated to range from $1.66 to$2.38 million. However, the estimated WTP may not be sufficient to pay the cost of providing improved water through public water systems for small communities in southwestern Minnesota

The cost-benefit analysis of the improvement of water quality of the Paldang reservoir in Korea

This study estimated monetary value of water quality improvement from 3rd class to 1st class in the Paldang reservoir using the contingent valuation method (CVM) to measure individuals' willingness to pay (WTP) of questionnaire respondents for improving the water quality of the Paldang reservoir and analyzed what factors influence their WTPs. This study also measured compliance costs of proposed regulations to the polluting sources. The estimated individual WTP was used to calculate the total WTP of the community affected, and then it was compared with the compliance costs of proposed regulations to the polluting sources

Minnesota Agricultural Economist 685

Resource /Energy Economics and Policy,