Browse by: "2008"

Among economists and policy makers more general, the fuel efficiency standard for cars and the fuel tax have been the subject of extensive debate. The major benefits of stricter fuel efficiency standards and higher fuel taxes are the reduction of Greenhouse gas emissions and the reduced oil dependence. The major costs are the increased production cost, the reduced comfort and the negative impact on mileage related externalities (congestion, accidents) due to the rebound effect. In this contribution we use a wider framework than Harrington (2008), Plotkin (2008) and Raux (2008) to discuss the CO2 1 emission reduction in transport. In section 2 we analyze, for the EU, the effects on welfare and CO2 emissions of pricing all transport activities according to their full social costs. In section 3, we go beyond the transport sector and compare the options to reduce emissions in the transport sector with the possibilities and costs to reduce emissions in other sectors of the economy. In section 4 we take a world view and analyze the impact of two types of international climate negotiations on the emission reduction strategy in the transport sector.

This paper summarizes and organizes presentations in the Round Table's presentations and discussions, draws conclusions when possible, and points out where opinions differ. It is divided in three main sections. First, the presentations and discussions provided an overview of the advances, promises, and pitfalls of current research on the economic impacts of investments in transport infrastructure. a first recurring theme was that advances in the analysis of "wider impacts" were acknowledged, but their transferability across projects was questioned, so there are "no simple rules" for generalizing results. Moreover, routine analysis is difficult because of shortcomings both in data availability and in the analytical framework. This theme is developed in some detail in section two. A second recurring issue was the major differences in the approach to transport project appraisal between countries. The impact of economic appraisal on policy decisions varies greatly from one region to another and this has consequences for the way wider economic impacts might be taken into account.

This paper provides a fresh look at informal employment, a phenomenon of renewed interest to policy makers and researchers alike. It finds that informal employment is likely to stay, is sometimes a voluntary choice, can offer better working conditions than formal employment and is very heterogeneous and diverse. Reasons for these puzzling facts and trends are discussed by focussing on incentives and constraints determining labour market outcomes. “Reloading” informal employment argues for a re-thinking of the current policy agenda and maps out important further directions for research.

This paper will trace the development of modern regulation of emissions, both local and global, from motor vehicles. To illuminate the principal themes of this story the focus will be on the experiences of the United States and Europe. Among those themes, three stand out, questions that sooner or later must be considered in the development of any environmental policy. First, the theme of federalism. In every country, governments are constituted at various levels of aggregation, from local to national. Which level of government is the most suitable for attacking a given public problem. If different levels of government can fairly claim to have a role in addressing the problem, how will the various responsibilities be assigned and coordinated? In order to develop an effective and efficient public policy, the governments must have both the right incentives and the capacity to do so. Finding the right level of government to address an environmental problem is a tradeoff between two competing considerations. The government’s jurisdiction must be large enough to “internalize the externalities,” as an economist would say. That is, if either the environmental evil or the policy remedy has effects that extend beyond its borders, then the policy-maker’s incentives will very likely be inappropriate. For example, policies to control emissions of stationary-source air pollutants may not be stringent enough if most of the effects of pollution are experienced in neighboring jurisdictions. At the same time, the level of government must be appropriate to the problem. Smaller, more local units of government are more likely to know the preferences of their citizens, yet less likely to have the expertise and experience to deal effectively with particular problems. The second pervasive theme here is the choice of policy instrument: the specific mechanisms used to achieve the environmental objective. It is common to pose two polar types: direct regulation and economic incentives (EI). Rather than commands or requirements, EI instruments provide penalties or rewards to encourage behavior that will improve environmental quality. Another way of putting the difference is this: With direct regulation, there is a bright line that determines whether behavior will be tolerated. With EI, the relationship between performance and consequences is continuous and gradual. There is no bright line, just steadily increasing rewards for better performance.

La croissance de nombreux pays africains attire, à un niveau sans précédent, les capital-risqueurs et les investissements boursiers sur le continent. Cet engouement nouveau des investisseurs est favorisé par un environnement, économique et politique, qui devrait aller en s'améliorant.

Sovereign Wealth Funds (SWFs) are pools of assets owned and managed directly or indirectly by governments to achieve national objectives. These funds have raised concerns about: (i) financial stability, (ii) corporate governance and (iii) political interference and protectionism. At the same time governments have formed other large pools of capital to finance public pension systems, i.e. Public Pension Reserve Funds (PPRFs). SWFs are set up to diversify and improve the return on foreign exchange reserves or commodity revenue, and to shield the domestic economy from fluctuations in commodity prices. PPRFs are set up to contribute to financing pay-as-you-go pension plans. The total of SWF pools is estimated at around USD 2.6 trillion in 2006/7, and is getting bigger rapidly, owing to current exchange rate policies and oil prices. The total amount for PPRFs is even larger, around USD 4.4 trillion in 2006/7, if the US Trust Fund is included (USD 2.2 trillion if excluded). SWFs and PPRFs share some characteristics, hence give rise to similar concerns. However, their objectives, investment strategies, sources of funding and transparency requirements differ. There is concern about strategic and political objectives of SWFs, and their impact on exchange rates and asset prices. But SWFs also provide mechanisms for breaking up concentrations of portfolios that increase risk. Enhancing governance and transparency of SWFs is important, but such considerations have to be weighed against commercial objectives.

Alors même que la croissance est là, l’emploi informel se maintient. Il faut comprendre ce phénomène si l’on veut le « dompter ». Seules des politiques cohérentes fourniront des emplois décents et une protection sociale.

This paper examines the relationship between household structures, the institutions that shape them and physical and human capital accumulation using household and individual data from China, Indonesia, Côte d’Ivoire and Ghana. Household structures differ greatly across countries and are very diverse within countries. In the two African countries studied a large share of the population live in extended households and/or polygamous ones. Such household structures are the exception or even absent in the Asian cases, where nuclear monogamous households prevail. This paper finds that polygamy is negatively related to capital accumulation. Wealth per capita is significantly lower in polygamous households even after controlling for income, age and literacy of the household head. A first analysis of the possible channels suggests that the larger size of polygamous households plays an important role. A similar result is found for education: enrolment rates are never higher but frequently lower in these households. The diversity across countries demonstrates that polygamy has very different meanings across societies...