Papers by Corrado Di Maria
Environmental & resource economics, Apr 23, 2024
We ask whether firms behave differently depending on the political party in charge, above and bey... more We ask whether firms behave differently depending on the political party in charge, above and beyond responding to any actual differences in policy. We use the pollution abatement behaviour of U.S. Steam Electric Power Plants under the Clean Water Act as our case study. Exploiting the variation provided by the outcome of tightly contested gubernatorial elections, we provide causal evidence that large firms respond to the political 'colour' of the governor in the state they operate, even when neither the stringency nor the enforcement of the rules depend on it. Within a theoretical model of the interaction between the regulator and the regulated firms, we show that multiple equilibria arise, and the outcomes of the election provide an effective coordination device. This unexpected behaviour has realworld consequences and leads to significant differences in pollution levels.
Evaluating Climate Policy in Emerging Economies: Evidence from China's Low-Carbon City Pilot
Social Science Research Network, 2022
Social Science Research Network, 2010
This study uses the EU public power generating sector as a case study to investigate the environm... more This study uses the EU public power generating sector as a case study to investigate the environmental efficiency and productivity enhancing performance of the European Union's CO2 Emissions Trading Scheme (EU ETS) in its pilot phase. Using Data Envelopment Analysis methods, we measure the environmental efficiency and the productivity growth registered in public power generation across the EU over the 1996-2007 period. In the second stage of our analysis we attempt to explain changes in productivity and efficiency over time using state-of-the-art econometric techniques. Our analysis suggests two conclusions: on the one hand carbon pricing led to an increase in environmental efficiency and to a shift outwards of the technological frontier; on the other hand, the overly generous allocation of emission permits had a negative impact on both measures. These results are shown to be robust to changes in controls and specifications.
Provided by the author(s) and University College Dublin Library in accordance with publisher poli... more Provided by the author(s) and University College Dublin Library in accordance with publisher policies. Please
Social Science Research Network, Mar 7, 2006
We analyze a multi-sector growth model with directed technical change where man-made capital and ... more We analyze a multi-sector growth model with directed technical change where man-made capital and exhaustible resources are essential for production. The relative pro…tability of factor-speci…c innovations endogenously determines whether technical progress will be capital-or resource-augmenting. We show that convergence to balanced growth implies zero capital-augmenting innovations: in the long run, the economy exhibits purely resource-augmenting technical change. This result provides sound microfoundations for the broad class of models of exogenous/endogenous growth where resource-augmenting progress is required to sustain consumption in the long run, contradicting the view that these models are conceptually biased in favor of sustainability.
Social Science Research Network, 2010
We use historical industrial emissions data to assess the level of abatement and overallocation t... more We use historical industrial emissions data to assess the level of abatement and overallocation that took place across European countries during the pilot phase (2005-2007) of the European Union Emission Trading Scheme. Using a dynamic panel data model, we estimate the counterfactual (business-as-usual) emissions scenario for EU member states. Comparing this baseline to allocated and verified emissions, we conclude that both overallocation and abatement occurred, along with under-allocation and emissions inflation. Over the three trading years of the pilot phase we find over-allocation of approximately 376 million EUAs (6%) and total abatement at the member state level of 107 Mt CO 2 (1.8%). However, due to over-allocation and possible uncertainty about future allocation methodologies, we calculate that emissions inflation of approximately 119 Mt CO 2 (2%) occurred, resulting in emissions over the pilot phase being approximately 12 Mt CO 2 (0.2%) higher than they would have been in the absence of the EU ETS.
Social Science Research Network, 2010
The rate of greenhouse gas reducing technological change and occurrence of environmentally friend... more The rate of greenhouse gas reducing technological change and occurrence of environmentally friendly innovation are integral in reducing emissions levels. The European Union commenced the pilot phase of the European Union Emissions Trading System (EU ETS) in 2005 with the intent to enhance the adoption of existing low-carbon technologies and the development and of new ones by putting a price on CO 2 emissions. We survey Irish EU ETS firms to study the occurrence of CO 2 emissions friendly technological change during the pilot phase (2005-2007) as well as the reasons firms did or did not alter their technology portfolios in response to the price on emissions. Despite declining emissions prices and policy related uncertainty, 48% of responding Irish firms employed new machinery or equipment, 74% made process or behavioral changes, and 41% switched fuels to some degree that contributed to emissions reductions during the pilot phase. The effect of rising energy prices on these emissions and energy saving actions should not be overlooked. In general, we find that the EU ETS was effective in stimulating moderate technological change and also raising awareness about emissions reduction possibilities.
Edward Elgar Publishing eBooks, Jan 27, 2006
RePEc: Research Papers in Economics, Sep 1, 2003
The title of this thesis is about choices of direction; looking back at the three years I have sp... more The title of this thesis is about choices of direction; looking back at the three years I have spent in Tilburg, I realize that this is far from accidental. Coming to the Netherlands to undertake my PhD studies represented a clear change of direction, away from my previous life (not only professionally) and towards a different future. It wasn't an easy choice to make then, but I now know that it was the best choice I could make. Writing a dissertation is a challenging process. There are times (the best ones) when the enthusiasm about a topic, a new idea or simply talking to people who share the same interests and the same passion makes it seem an easy task. But of course it is not. Research can be frustrating business, trying to prove the same result for the n-th time (n → ∞ sometimes, eh Piotr?!) when nothing seems to work, naturally spawns a very strong desire to quit it allthese are the worst of times... I am writing these lines because I know that it is only thanks to the people I am about to mention that the good times outweighted the bad ones. Even before coming to Tilburg I knew that, from the professional point of view, the Environmental Economics Group was a first class team. What I could not anticipate is that the Environmental Economics Corridor in Tilburg is among one of the finest places in the world to spend three years studying, working, playing, running, laughing and sometimes eating and drinking. I would like to thank all the people who made that corridor so special over the years, thank you Aart,
RePEc: Research Papers in Economics, 2006
In this paper we investigate the effects of emigration on growth in developing countries. We pres... more In this paper we investigate the effects of emigration on growth in developing countries. We present a model in which productivity increases either through imitation or innovation, and both activities use the same types of human capital as inputs, albeit with different intensities. Heterogenous agents accumulate human capital responding to economic incentives, and might be able to emigrate. When no migration of skilled workers is allowed, backwards countries converge to the technological frontier. The possibility of migration, however, distorts the optimal accumulation of human capital and slows down, or even hinders, development. This effect is stronger the farther away a developing country is from the technological frontier. Thus, technologically backward countries are more likely to suffer from a negative brain drain effect. Among these countries, those which implement appropriate policies, subsidizing the accumulation of the most useful type of human capital, improve their growth performance. They converge faster, and possibly to a higher productivity level than countries where such policies are neglected.
RePEc: Research Papers in Economics, Jun 1, 2005
An environmental Decameron: Introducing the special issue on ‘Carbon pricing, energy efficiency and renewable policies for a decarbonised future’
Resource and Energy Economics, Jun 1, 2023
Social Science Research Network, 2010
This study uses the EU public power generating sector as a case study to investigate the environm... more This study uses the EU public power generating sector as a case study to investigate the environmental efficiency and productivity enhancing performance of the European Union's CO2 Emissions Trading Scheme (EU ETS) in its pilot phase. Using Data Envelopment Analysis methods, we measure the environmental efficiency and the productivity growth registered in public power generation across the EU over the 1996-2007 period. In the second stage of our analysis we attempt to explain changes in productivity and efficiency over time using state-of-the-art econometric techniques. Our analysis suggests two conclusions: on the one hand carbon pricing led to an increase in environmental efficiency and to a shift outwards of the technological frontier; on the other hand, the overly generous allocation of emission permits had a negative impact on both measures. These results are shown to be robust to changes in controls and specifications.
Social Science Research Network, 2012
This paper presents the first empirical test of the green paradox hypothesis, according to which ... more This paper presents the first empirical test of the green paradox hypothesis, according to which well-intended but imperfectly implemented policies may lead to detrimental environmental outcomes due to supply side responses. We use the introduction of the Acid Rain Program in the U.S. as a case study. The theory predicts that owners of coal deposits, expecting future sales to decline, would supply more of their resource between the announcement of the Acid Rain Program and its implementation; moreover, the incentive to increase supply would be stronger for owners of high-sulfur coal. This would, all else equal, induce an increase in sulfur dioxide emissions. Using data on prices, heat input and sulfur content of coal delivered to U.S. power plants, we find strong evidence of a price decrease, some indication that the amount of coal used might have increased, and no evidence that the announcement of the Acid Rain Program lead the use of higher sulfur coal. Overall, our evidence suggests that while the mechanism indicated by the theory might be at work, market conditions and concurrent regulation prevented a green paradox from arising. These results have implications for the design of climate policies.
Carbon Leakage
Encyclopedia of Energy, Natural Resource, and Environmental Economics, 2013
Social Science Research Network, 2006
Die Dokumente auf EconStor dürfen zu eigenen wissenschaftlichen Zwecken und zum Privatgebrauch ge... more Die Dokumente auf EconStor dürfen zu eigenen wissenschaftlichen Zwecken und zum Privatgebrauch gespeichert und kopiert werden. Sie dürfen die Dokumente nicht für öffentliche oder kommerzielle Zwecke vervielfältigen, öffentlich ausstellen, öffentlich zugänglich machen, vertreiben oder anderweitig nutzen. Sofern die Verfasser die Dokumente unter Open-Content-Lizenzen (insbesondere CC-Lizenzen) zur Verfügung gestellt haben sollten, gelten abweichend von diesen Nutzungsbedingungen die in der dort genannten Lizenz gewährten Nutzungsrechte. Terms of use: Documents in EconStor may be saved and copied for your personal and scholarly purposes. You are not to copy documents for public or commercial purposes, to exhibit the documents publicly, to make them publicly available on the internet, or to distribute or otherwise use the documents in public. If the documents have been made available under an Open Content Licence (especially Creative Commons Licences), you may exercise further usage rights as specified in the indicated licence.
Financial Intermediation and Structural Change: Theory and Evidence
Research Papers in Economics, 2021
Does financial intermediation affect structural change? We investigate both theoretically and emp... more Does financial intermediation affect structural change? We investigate both theoretically and empirically whether financial development accelerates structural change during the post-industrialization phase where employment, value-added and expenditure shares change towards services and away from manufacturing. We build a dynamic general equilibrium model where firms and households face different types of intermediation costs, and structural change can be driven by mutually independent technology differences { exogenous productivity gaps or asymmetric factor elasticities { as well as by learning-by-doing. Besides suggesting a stronger impact of financial development when productivity is endogenous and services are labor-intensive, all the model specifications robustly predict that exogenous reductions in intermediation costs { e.g., deregulation shocks { accelerate the pace and extent of structural change. We test this prediction empirically by examining the effects of state by- stat...
GROW Colombia is a four year bioscience research and capacity building project to preserve, resto... more GROW Colombia is a four year bioscience research and capacity building project to preserve, restore and manage biodiversity through responsible innovation in Colombia. This multidisciplinary initiative is funded by the UK Government's Global Challenge Research Fund and involves a wide, international collaboration of academic and civil society partners united in a shared vision to conserve biodiversity, achieve sustainable prosperity and secure lasting peace in Colombia. The project has a strong socioeconomic component led by the University of East Anglia and involving the Earlham Institute, University of Sydney, Humboldt Institute, Natural History Museum, Universidad de Los Andes, Eden Project and the International Centre for Tropical Agriculture (CIAT).<br>This is the third socio-economics team report in the GROW Colombia project. It focuses on policy response measures to combat biodiversity loss and climate change, while simultaneously stimulating livelihoods and improvi...
Founded in 1963 by two prominent Austrians living in exile the sociologist Paul F. Lazarsfeld a... more Founded in 1963 by two prominent Austrians living in exile the sociologist Paul F. Lazarsfeld and the economist Oskar Morgenstern with the financial support from the Ford Foundation, the Austrian Federal Ministry of Education and the City of Vienna, the Institute for ...
In approximately a year's time the bioeconomy cluster project has carried out varied and vita... more In approximately a year's time the bioeconomy cluster project has carried out varied and vital activities focused on meeting policy challenges for a responsible biodiversity based bio-economy in Colombia. This has been possible by effectively engaging and bringing together academy and private sector researchers, key industrial players and government and policy advisors from Colombia and the UK. Strengthening key actor collaboration under the bioeconomy cluster has contributed to establishing the bases for sustainable bioeconomy strategies in three Colombian regions: Antioquia, Valle del Cauca and the Orinoquia flat lands. <br>In this report, we review the macroeconomic principles which should underpin bioeconomic progress, as well as the indicators required to assess such progress. Regional scale analysis is used to identify baseline conditions (via asset checks and cluster analysis) and barriers and opportunities for future bioeconomy investment programmes. This initial e...
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Papers by Corrado Di Maria