Findings

Hot Air

Kevin Lewis

March 08, 2011

Local Warming: Daily Temperature Change Influences Belief in Global Warming

Ye Li, Eric Johnson & Lisa Zaval
Psychological Science, forthcoming

Abstract:
Although people are quite aware of global warming, their beliefs about it may be malleable; specifically, their beliefs may be constructed in response to questions about global warming. Beliefs may reflect irrelevant but salient information, such as the current day's temperature. This replacement of a more complex, less easily accessed judgment with a simple, more accessible one is known as attribute substitution. In three studies, we asked residents of the United States and Australia to report their opinions about global warming and whether the temperature on the day of the study was warmer or cooler than usual. Respondents who thought that day was warmer than usual believed more in and had greater concern about global warming than did respondents who thought that day was colder than usual. They also donated more money to a global-warming charity if they thought that day seemed warmer than usual. We used instrumental variable regression to rule out some alternative explanations.

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Participation of Firms in Voluntary Environmental Protection Programs: An Analysis of Corporate Social Responsibility and Capital Market Performance

Fei Yu
Contemporary Economic Policy, forthcoming

Abstract:
The Environmental Protection Agency (EPA) employs voluntary programs as a policy instrument to encourage firms to go beyond mere compliance with laws and regulations in protecting the environment. Based on event study methodology, this paper tests for abnormal stock market returns from membership in the National Environmental Performance Track (NEPT) program. The analysis shows that there is strong evidence that acceptance of a facility to the NEPT adds significantly to the market capitalization of the accepted firms. Corporate social responsibility can be financially rewarding for firms and voluntary programs of the EPA can be an effective complement to performance-based regulatory instruments.

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Macroeconomic conditions in the U.S. and congressional voting on environmental policy: 1970-2008

Shaun Tanger, Peng Zeng, Wayde Morse & David Laband
Ecological Economics, forthcoming

Abstract:
Using the Environmental Scorecard ratings of Congressmen and Senators published annually by the League of Conservation Voters, we explore empirically whether political support for pro-environment legislation, aggregated across each legislative body, is sensitive over time to changing economic conditions - that is, whether there is a political trade-off between economic conditions and the environment. Using LCV scorecard ratings from 1970 to 2008, we find evidence, consistent across both the House and Senate, that political support for the environment is related to per capita income, but this general tendency can be decomposed into sharp differences by party.

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Human contribution to more-intense precipitation extremes

Seung-Ki Min, Xuebin Zhang, Francis Zwiers & Gabriele Hegerl
Nature, 17 February 2011, Pages 378-381

Abstract:
Extremes of weather and climate can have devastating effects on human society and the environment. Understanding past changes in the characteristics of such events, including recent increases in the intensity of heavy precipitation events over a large part of the Northern Hemisphere land area, is critical for reliable projections of future changes. Given that atmospheric water-holding capacity is expected to increase roughly exponentially with temperature - and that atmospheric water content is increasing in accord with this theoretical expectation - it has been suggested that human-influenced global warming may be partly responsible for increases in heavy precipitation. Because of the limited availability of daily observations, however, most previous studies have examined only the potential detectability of changes in extreme precipitation through model-model comparisons. Here we show that human-induced increases in greenhouse gases have contributed to the observed intensification of heavy precipitation events found over approximately two-thirds of data-covered parts of Northern Hemisphere land areas. These results are based on a comparison of observed and multi-model simulated changes in extreme precipitation over the latter half of the twentieth century analysed with an optimal fingerprinting technique. Changes in extreme precipitation projected by models, and thus the impacts of future changes in extreme precipitation, may be underestimated because models seem to underestimate the observed increase in heavy precipitation with warming.

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Physical and economic consequences of climate change in Europe

Juan-Carlos Ciscar et al.
Proceedings of the National Academy of the Sciences, 15 February 2011, Pages 2678-2683

Abstract:
Quantitative estimates of the economic damages of climate change usually are based on aggregate relationships linking average temperature change to loss in gross domestic product (GDP). However, there is a clear need for further detail in the regional and sectoral dimensions of impact assessments to design and prioritize adaptation strategies. New developments in regional climate modeling and physical-impact modeling in Europe allow a better exploration of those dimensions. This article quantifies the potential consequences of climate change in Europe in four market impact categories (agriculture, river floods, coastal areas, and tourism) and one nonmarket impact (human health). The methodology integrates a set of coherent, high-resolution climate change projections and physical models into an economic modeling framework. We find that if the climate of the 2080s were to occur today, the annual loss in household welfare in the European Union (EU) resulting from the four market impacts would range between 0.2-1%. If the welfare loss is assumed to be constant over time, climate change may halve the EU's annual welfare growth. Scenarios with warmer temperatures and a higher rise in sea level result in more severe economic damage. However, the results show that there are large variations across European regions. Southern Europe, the British Isles, and Central Europe North appear most sensitive to climate change. Northern Europe, on the other hand, is the only region with net economic benefits, driven mainly by the positive effects on agriculture. Coastal systems, agriculture, and river flooding are the most important of the four market impacts assessed.

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An Empirical Investigation of the Impact of Gasoline Prices on Grocery Shopping Behavior

Yu Ma, Kusum Ailawadi, Dinesh Gauri & Dhruv Grewal
Journal of Marketing, March 2011, Pages 18-35

Abstract:
The authors empirically examine the effect of gas prices on grocery shopping behavior using Information Resources Inc. panel data from 2006 to 2008, which track panelists' purchases of almost 300 product categories across multiple retail formats. The authors quantify the impact on consumers' total spending and examine the potential avenues for savings when consumers shift from one retail format to another, from national brands to private labels, from regular-priced to promotional products, and from higher to lower price tiers. They find a substantial negative effect on shopping frequency and purchase volume and shifts away from grocery and toward supercenter formats. A greater shift occurs from regular-priced national brands to promoted ones than to private labels, and among national brand purchasers, bottom-tier brands lose share, midtier brands gain share, and top-tier brand share is relatively unaffected. The analysis also controls for general economic conditions and shows that gas prices have a much larger impact on grocery shopping behavior than broad economic factors.

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The Flood Myth in the Age of Global Climate Change

Michael Salvador & Todd Norton
Environmental Communication, March 2011, Pages 45-61

Abstract:
When released, The Day After Tomorrow was widely described by critics and the movie's creators as a pro-environmentalist film. This essay argues that The Day After Tomorrow articulates a variation of apocalyptic discourse identified as a flood myth. The authors conclude that this version of the flood myth largely undermines contemporary environmental discourse that attempts to generate public activism in addressing ecological problems, by replacing an emphasis on human efficacy with symbolic vindication and exchanging collective effort for individual survivalism. The film thus serves as a cautionary tale about the potential consequences of contemporary mythic discourse presented as supporting environmental activism.

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Do healthy diets in Europe matter to the environment? A quantitative analysis

Oliver Wolf et al.
Journal of Policy Modeling, January-February 2011, Pages 8-28

Abstract:
Final consumption of food products figures amongst the strongest contributors to negative environmental impacts in Europe, with the production of beef and pork at agricultural level being the main responsible part of the food supply chain. This article analyses quantitatively the environmental impact of changing European diets. The environmental impact of European consumption is ddetermined with an environmental extended input-output analysis, supplemented by a partial equilibrium model reflecting changes of the agricultural sector to modified diets. It results that agricultural production does not decrease significantly in reaction to reduced food consumption, due to a changed trade balance and substitution effects.

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Direct climate effects of perennial bioenergy crops in the United States

Matei Georgescu, David Lobell & Christopher Field
Proceedings of the National Academy of Sciences, forthcoming

Abstract:
Biomass-derived energy offers the potential to increase energy security while mitigating anthropogenic climate change, but a successful path toward increased production requires a thorough accounting of costs and benefits. Until recently, the efficacy of biomass-derived energy has focused primarily on biogeochemical consequences. Here we show that the biogeophysical effects that result from hypothetical conversion of annual to perennial bioenergy crops across the central United States impart a significant local to regional cooling with considerable implications for the reservoir of stored soil water. This cooling effect is related mainly to local increases in transpiration, but also to higher albedo. The reduction in radiative forcing from albedo alone is equivalent to a carbon emissions reduction of , which is six times larger than the annual biogeochemical effects that arise from offsetting fossil fuel use. Thus, in the near-term, the biogeophysical effects are an important aspect of climate impacts of biofuels, even at the global scale. Locally, the simulated cooling is sufficiently large to partially offset projected warming due to increasing greenhouse gases over the next few decades. These results demonstrate that a thorough evaluation of costs and benefits of bioenergy-related land-use change must include potential impacts on the surface energy and water balance to comprehensively address important concerns for local, regional, and global climate change.

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Geographic disparities and moral hazards in the predicted impacts of climate change on human populations

J. Samson, D. Berteaux, B.J. McGill & M.M. Humphries
Global Ecology and Biogeography, forthcoming

Aim: It has been qualitatively understood for a long time that climate change will have widely varying effects on human well-being in different regions of the world. The spatial complexities underlying our relationship to climate and the geographical disparities in human demographic change have, however, precluded the development of global indices of the predicted regional impacts of climate change on humans. Humans will be most negatively affected by climate change in regions where populations are strongly dependent on climate and favourable climatic conditions decline. Here we use the relationship between the distribution of human population density and climate as a basis to develop the first global index of predicted impacts of climate change on human populations.

Location: Global.

Methods: We use spatially explicit models of the present relationship between human population density and climate along with forecasted climate change to predict climate vulnerabilities over the coming decades. We then globally represent regional disparities in human population dynamics estimated with our ecological niche model and with a demographic forecast and contrast these disparities with CO2 emissions data to quantitatively evaluate the notion of moral hazard in climate change policies.

Results: Strongly negative impacts of climate change are predicted in Central America, central South America, the Arabian Peninsula, Southeast Asia and much of Africa. Importantly, the regions of greatest vulnerability are generally distant from the high-latitude regions where the magnitude of climate change will be greatest. Furthermore, populations contributing the most to greenhouse gas emissions on a per capita basis are unlikely to experience the worst impacts of climate change, satisfying the conditions for a moral hazard in climate change policies.

Main conclusions: Regionalized analysis of relationships between distribution of human population density and climate provides a novel framework for developing global indices of human vulnerability to climate change. The predicted consequences of climate change on human populations are correlated with the factors causing climate change at the regional level, providing quantitative support for many qualitative statements found in international climate change assessments.

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Customer Response to Carbon Labelling of Groceries

Jerome Vanclay et al.
Journal of Consumer Policy, March 2011, Pages 153-160

Abstract:
Thirty-seven products were labelled to indicate embodied carbon emissions, and sales were recorded over a 3-month period. Green (below average), yellow (near average), and black (above average) footprints indicated carbon emissions embodied in groceries. The overall change in purchasing pattern was small, with black-labelled sales decreasing 6% and green-labelled sales increasing 4% after labelling. However, when green-labelled products were also the cheapest, the shift was more substantial, with a 20% switch from black- to green-label sales. These findings illustrate the potential for labelling to stimulate reductions in carbon emissions.

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Human Activity Helps Prey Win the Predator-Prey Space Race

Tyler Muhly et al.
PLoS ONE, March 2011, e17050

Abstract:
Predator-prey interactions, including between large mammalian wildlife species, can be represented as a "space race", where prey try to minimize and predators maximize spatial overlap. Human activity can also influence the distribution of wildlife species. In particular, high-human disturbance can displace large carnivore predators, a trait-mediated direct effect. Predator displacement by humans could then indirectly benefit prey species by reducing predation risk, a trait-mediated indirect effect of humans that spatially decouples predators from prey. The purpose of this research was to test the hypothesis that high-human activity was displacing predators and thus indirectly creating spatial refuge for prey species, helping prey win the "space race". We measured the occurrence of eleven large mammal species (including humans and cattle) at 43 camera traps deployed on roads and trails in southwest Alberta, Canada. We tested species co-occurrence at camera sites using hierarchical cluster and nonmetric multidimensional scaling (NMS) analyses; and tested whether human activity, food and/or habitat influenced predator and prey species counts at camera sites using regression tree analysis. Cluster and NMS analysis indicated that at camera sites humans co-occurred with prey species more than predator species and predator species had relatively low co-occurrence with prey species. Regression tree analysis indicated that prey species were three times more abundant on roads and trails with >32 humans/day. However, predators were less abundant on roads and trails that exceeded 18 humans/day. Our results support the hypothesis that high-human activity displaced predators but not prey species, creating spatial refuge from predation. High-human activity on roads and trails (i.e., >18 humans/day) has the potential to interfere with predator-prey interactions via trait-mediated direct and indirect effects. We urge scientist and managers to carefully consider and quantify the trait-mediated indirect effects of humans, in addition to direct effects, when assessing human impacts on wildlife and ecosystems.

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The Effect of Allowing Pollution Offsets With Imperfect Enforcement

Hilary Sigman & Howard Chang
NBER Working Paper, March 2011

Abstract:
Public policies for pollution control, including climate change policies, sometimes allow polluters in one sector subject to an emissions cap to offset excessive emissions in that sector with pollution abatement in another sector. The government may often find it more costly to verify offset claims than to verify compliance with emissions caps. Concerns about such difficulties in enforcement may lead regulators to restrict the use of offsets. In this paper, we demonstrate that allowing offsets may increase pollution abatement and reduce illegal pollution, even if the government has a fixed enforcement budget. We explore the circumstances that may make allowing pollution offsets an attractive option when enforcement is costly.

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Will Border Carbon Adjustments Work?

Niven Winchester, Sergey Paltsev & John Reilly
B.E. Journal of Economic Analysis & Policy, January 2011

Abstract:
The potential for greenhouse gas (GHG) restrictions in some nations to increased emissions in other nations, or leakage, is a contentious issue in climate change negotiations. We evaluate the impact of border carbon adjustments (BCAs) outlined in the American Clean Energy and Security Act of 2009 (H.R. 2454), using an economy-wide model. For 2025, we find that BCAs reduce leakage by up to two-thirds, but result in only modest reductions in global emissions and significantly reduce welfare. In contrast, BCA-equivalent leakage reductions can be achieved by very small emission charges or efficiency improvements in nations targeted by BCAs, which have negligible welfare effects. We conclude that BCAs are a costly method to reduce leakage, but may be an effective coercion strategy.


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