Auctioning Emission Permits with Market Power

2016 ◽  
Vol 16 (4) ◽  
Author(s):  
Francisco Alvarez ◽  
Francisco J. André
Keyword(s):  
Market Power ◽  
Cost Effective ◽  
Secondary Market ◽  
Interior Solution ◽  
Specific Design ◽  
Dominant Firm ◽  
Bidding Strategies ◽  
Ex Post ◽  
Equilibrium Bidding ◽  
The Cost

Abstract We analyze emission permit auctions in a framework in which a dominant firm enjoys market power both in the auction and in the secondary market while its competitor behaves in a competitive way. We obtain linear equilibrium bidding strategies for both firms and a unique equilibrium of the auction, which is optimal ex-post for the dominant firm. Under specific distributional assumptions we conclude that the auction always awards less permits to the dominant firm than the cost-effective amount. Our results serve as a warning about the properties of auctioning under market power. Under interior solution the auction allocation is dominated by grandfathering in terms of aggregated cost with probability one. As a policy implication, the specific design of the auction turns out to be crucial for cost-effectiveness. The chances of the auction to outperform grandfathering require that the former is capable of diluting the market power that is present in the secondary market.

Valuation of Mangrove Restoration

2017 ◽  
Author(s):  
Edward B. Barbier
Keyword(s):  
Cost Effective ◽  
Indian Ocean Tsunami ◽  
Ongoing Debate ◽  
Mangrove Restoration ◽  
Ex Post ◽  
Breeding Grounds ◽  
Potential Benefits ◽  
Key Issues ◽  
Restoration Failure ◽  
The Cost

Since the 2004 Indian Ocean tsunami, there has been strong interest globally in restoring mangrove ecosystems and their potential benefits from protecting coastlines and people from damaging storms. However, the net economic gains from mangrove restoration have been variable; there have been some notable project successes but also some prominent failures. There is also an ongoing debate over whether or not the cost of mangrove restoration is justified by the benefits these ecosystems provide. Although the high costs of mangrove restoration and the risk of failure have led to criticism of such schemes, perhaps the more pertinent concern should be whether the ex post option of restoration is economically beneficial compared to preventing irreversible mangrove conversion to alternative land uses. Case studies on mangrove valuation from Brazil and Thailand illustrate the key issues underlying this concern. Since much recent mangrove restoration has been motivated by the trees’ potential storm-protection benefit, a number of studies have valued mangroves for this purpose. However, mangroves are also valued for other important benefits, such as providing collected products for local coastal communities and serving as nursery and breeding grounds for off-shore fisheries. The implications of these benefits for mangrove restoration can be significant. It is also important to understand the appropriate use of benefit transfer when it is difficult to value restored mangroves, methods to incorporate the potential risk of mangrove restoration failure, and assessment of cost-effective mangrove restoration.

scholarly journals Reducing Antimicrobial Use and Dependence in Livestock Production Systems: A Social and Economic Sciences Perspective on an Interdisciplinary Approach

2021 ◽  
Vol 8 ◽  
Author(s):  
Fanny Baudoin ◽  
Henk Hogeveen ◽  
Erwin Wauters
Keyword(s):  
Behavioral Change ◽  
Production Systems ◽  
Interdisciplinary Approach ◽  
Cost Effective ◽  
Livestock Production ◽  
Antimicrobial Use ◽  
Post Evaluation ◽  
Ex Post ◽  
The Cost ◽  
Effective Assessment

Objective: In livestock production, antimicrobial resistance (AMR) is considered an externality as it is the undesired result of preventive and curative antimicrobial use. To address this biosocial issue, our objective is to present an approach based on interdisciplinary research to develop strategies and policies that aim to contain AMR.Method: To do so, we addressed three fundamental questions on which control policies and strategies for agricultural pollution problems are centered in the light of AMR. To ensure the technical, economic, behavioral and political feasibility of the developed measures, we demonstrated the usefulness of systemic approaches to define who, what and how to target by considering the complexity in which the ultimate decision-maker is embedded. We then define how voluntary or compulsory behavioral change can be achieved via five routes, introducing a clear taxonomy for AMR Interventions. Finally, we present three criteria for ex-ante analysis and ex-post evaluation of policies and strategies.Conclusion: Interdisciplinary systemic approaches enable the development of AMR policies and strategies that are technically, politically, economically and, last but not least, behaviorally feasible by allowing the identification of (a) all actors influencing AMU in livestock production, (b) power relations between these actors, (c) adequate regulatory and intervention bases, (d) what behavioral change strategy to use, (e) whom should implement this, as well as the cost-effective assessment of combinations of interventions. Unfortunately, AMR policies and strategies are often investigated within different disciplines and not in a holistic and systemic way, which is why we advocate for more interdisciplinary work and discuss opportunities for further research.

scholarly journals Contract Enforcement and Productive Efficiency: Evidence From the Bidding and Renegotiation of Power Contracts in India

Econometrica ◽  
2020 ◽  
Vol 88 (2) ◽  
pp. 383-424 ◽  
Author(s):  
Nicholas Ryan
Keyword(s):  
Structural Model ◽  
Productive Efficiency ◽  
Production Costs ◽  
Procurement Auctions ◽  
Contract Enforcement ◽  
Bidding Strategies ◽  
Ex Post ◽  
Study Heterogeneity ◽  
Equilibrium Bidding ◽  
The Government

Weak contract enforcement may reduce the efficiency of production in developing countries. I study how contract enforcement affects efficiency in procurement auctions for the largest power projects in India. I gather data on bidding and ex post contract renegotiation and find that the renegotiation of contracts in response to cost shocks is widespread, despite that bidders are allowed to index their bids to future costs like the price of coal. To study heterogeneity in bidding strategies, I construct a new measure of firm connectedness, based on whether a firm has been awarded coal concessions by the Government. Connected firms choose to index less of the value of their bids to coal prices and, through this strategy, expose themselves to cost shocks to induce renegotiation. I use a structural model of bidding in a scoring auction to characterize equilibrium bidding when bidders are heterogeneous both in cost and in the payments they expect after renegotiation. The model estimates show that bidders offer power below cost due to the expected value of later renegotiation. The model is used to simulate bidding and efficiency with strict contract enforcement. Contract enforcement is found to be pro‐competitive. With no renegotiation, equilibrium bids would rise to cover cost, but markups relative to total contract value fall sharply. Production costs decline, due to projects being allocated to lower‐cost bidders over those who expect larger payments in renegotiation.

Comprehensive cardiac rehabilitation: A cost assessment based on a randomized clinical trial

2006 ◽  
Vol 22 (4) ◽  
pp. 478-483 ◽  
Author(s):  
Marie Kruse ◽  
Stefan Hochstrasser ◽  
Ann-Dorthe O. Zwisler ◽  
Jakob Kjellberg
Keyword(s):  
Quality Of Life ◽  
Cardiac Rehabilitation ◽  
Usual Care ◽  
Cost Effective ◽  
Cost Assessment ◽  
Ex Post ◽  
Related Quality ◽  
Health Related ◽  
The Cost

Objectives: The costs of comprehensive cardiac rehabilitation are established and compared to the corresponding costs of usual care. The effect on health-related quality of life is analyzed.Methods: An unprecedented and very detailed cost assessment was carried out, as no guidelines existed for the situation at hand. Due to challenging circumstances, the cost assessment turned out to be ex-post and top-down.Results: Cost per treatment sequence is estimated to be approximately €976, whereas the incremental cost (compared with usual care) is approximately €682. The cost estimate is uncertain and may be as high as €1.877.Conclusions: Comprehensive cardiac rehabilitation is more costly than usual care, and the higher costs are not outweighed by a quality of life gain. Comprehensive cardiac rehabilitation is, therefore, not cost-effective.

The IBM-PC in electron microscopy

1996 ◽  
Vol 54 ◽  
pp. 612-613
Author(s):  
James F. Mancuso
Keyword(s):  
Head Start ◽  
Image Acquisition ◽  
Cost Effective ◽  
Financial Applications ◽  
Number Of Factors ◽  
Instrument Control ◽  
The Cost ◽  
Training And Support ◽  
Control Image ◽  
Ibm Pc

IBM PC compatible computers are widely used in microscopy for applications ranging from control to image acquisition and analysis. The choice of IBM-PC based systems over competing computer platforms can be based on technical merit alone or on a number of factors relating to economics, availability of peripherals, management dictum, or simple personal preference.IBM-PC got a strong “head start” by first dominating clerical, document processing and financial applications. The use of these computers spilled into the laboratory where the DOS based IBM-PC replaced mini-computers. Compared to minicomputer, the PC provided a more for cost-effective platform for applications in numerical analysis, engineering and design, instrument control, image acquisition and image processing. In addition, the sitewide use of a common PC platform could reduce the cost of training and support services relative to cases where many different computer platforms were used. This could be especially true for the microscopists who must use computers in both the laboratory and the office.

Sonographically guided, transcatheter foam sclerotherapy of the great saphenous vein

Phlebologie ◽  
2007 ◽  
Vol 36 (06) ◽  
pp. 309-312 ◽  
Author(s):  
T. Schulz ◽  
M. Jünger ◽  
M. Hahn
Keyword(s):  
Saphenous Vein ◽  
Great Saphenous Vein ◽  
Clinical Stage ◽  
Clinical Signs ◽  
Cost Effective ◽  
Duplex Sonography ◽  
Foam Sclerotherapy ◽  
Average Loss ◽  
One Year ◽  
The Cost

Summary Objective: The goal of the study was to assess the effectiveness and patient tolerability of single-session, sonographically guided, transcatheter foam sclerotherapy and to evaluate its economic impact. Patients, methods: We treated 20 patients with a total of 22 varicoses of the great saphenous vein (GSV) in Hach stage III-IV, clinical stage C2-C5 and a mean GSV diameter of 9 mm (range: 7 to 13 mm). We used 10 ml 3% Aethoxysklerol®. Additional varicoses of the auxiliary veins of the GSV were sclerosed immediately afterwards. Results: The occlusion rate in the treated GSVs was 100% one week after therapy as demonstrated with duplex sonography. The cost of the procedure was 207.91 E including follow-up visit, with an average loss of working time of 0.6 days. After one year one patient showed clinical signs of recurrent varicosis in the GSV; duplex sonography showed reflux in the region of the saphenofemoral junction in a total of seven patients (32% of the treated GSVs). Conclusion: Transcatheter foam sclerotherapy of the GSV is a cost-effective, safe method of treating varicoses of GSV and broadens the spectrum of therapeutic options. Relapses can be re-treated inexpensively with sclerotherapy.

A Digital Economy Model for Talent Prediction Data Analytic

2019 ◽  
Vol 2 (4) ◽  
pp. 260-266
Author(s):  
Haru Purnomo Ipung ◽  
Amin Soetomo
Keyword(s):  
Business Model ◽  
Industrial Revolution ◽  
Technology Innovation ◽  
Cost Effective ◽  
Sharing Economy ◽  
Token Economy ◽  
Economy Model ◽  
New Business ◽  
The Cost ◽  
Data Analytic

This research proposed a model to assist the design of the associated data architecture and data analytic to support talent forecast in the current accelerating changes in economy, industry and business change due to the accelerating pace of technological change. The emerging and re-emerging economy model were available, such as Industrial revolution 4.0, platform economy, sharing economy and token economy. Those were driven by new business model and technology innovation. An increase capability of technology to automate more jobs will cause a shift in talent pool and workforce. New business model emerge as the availabilityand the cost effective emerging technology, and as a result of emerging or re-emerging economic models. Both, new business model and technology innovation, create new jobs and works that have not been existed decades ago. The future workers will be faced by jobs that may not exist today. A dynamics model of inter-correlation of economy, industry, business model and talent forecast were proposed. A collection of literature review were conducted to initially validate the model.

CAD Of Anticorrosive Protection Of Steel Structures

2019 ◽  
pp. 18-23
Keyword(s):  
Protective Coating ◽  
Computer Aided Design ◽  
Steel Structures ◽  
Cost Effective ◽  
Operating Conditions ◽  
Computational Tool ◽  
Protection Method ◽  
Cost Effective Method ◽  
The Cost ◽  
Aided Design

The choice of cost-effective method of anticorrosive protection of steel structures is an urgent and time consuming task, considering the significant number of protection ways, differing from each other in the complex of technological, physical, chemical and economic characteristics. To reduce the complexity of solving this problem, the author proposes a computational tool that can be considered as a subsystem of computer-aided design and used at the stage of variant and detailed design of steel structures. As a criterion of the effectiveness of the anti-corrosion protection method, the cost of the protective coating during the service life is accepted. The analysis of existing methods of steel protection against corrosion is performed, the possibility of their use for the protection of the most common steel structures is established, as well as the estimated period of effective operation of the coating. The developed computational tool makes it possible to choose the best method of protection of steel structures against corrosion, taking into account the operating conditions of the protected structure and the possibility of using a protective coating.

Production of Asbestos-free Brake Pad Using Groundnut Shell as Filler Material

2018 ◽  
Vol 4 (12) ◽  
Author(s):  
W. C. Solomon ◽  
M. T. Lilly ◽  
J. I. Sodiki
Keyword(s):  
Phenolic Resin ◽  
Cost Effective ◽  
Filler Material ◽  
Particle Sizes ◽  
Brake Pad ◽  
Brake Pads ◽  
Environmental Friendly ◽  
Sieve Size ◽  
Groundnut Shell ◽  
The Cost

The development and evaluation of brake pads using groundnut shell (GS) particles as substitute material for asbestos were carried out in this study. This was with a view to harnessing the properties of GS, which is largely deposited as waste, and in replacing asbestos which is carcinogenic in nature despite its good tribological and mechanical properties. Two sets of composite material were developed using varying particle sizes of GS as filler material, with phenolic resin as binder with percentage compositions of 45% and 50% respectively. Results obtained indicate that the compressive strength and density increase as the sieve size of the filler material decreases, while water and oil absorption rates increase with an increase in sieve size of GS particle. This study also indicates that the cost of producing brake pad can be reduced by 19.14 percent if GS is use as filler material in producing brake pad. The results when compared with those of asbestos and industrial waste showed that GS particle can be used as an effective replacement for asbestos in producing automobile brake pad. Unlike asbestos, GS-based brake pads are environmental friendly, biodegradable and cost effective.

Janus – A New Approach to Air Combat Pilot Training

2019 ◽  
Vol 2019 (4) ◽  
pp. 7-22
Author(s):  
Georges Bridel ◽  
Zdobyslaw Goraj ◽  
Lukasz Kiszkowiak ◽  
Jean-Georges Brévot ◽  
Jean-Pierre Devaux ◽  
...  
Keyword(s):  
Low Cost ◽  
Cost Effective ◽  
High Energy ◽  
Training System ◽  
Embedded Sensors ◽  
Pilot Training ◽  
New Approach ◽  
Combat Aircraft ◽  
Air Combat ◽  
The Cost

Abstract Advanced jet training still relies on old concepts and solutions that are no longer efficient when considering the current and forthcoming changes in air combat. The cost of those old solutions to develop and maintain combat pilot skills are important, adding even more constraints to the training limitations. The requirement of having a trainer aircraft able to perform also light combat aircraft operational mission is adding unnecessary complexity and cost without any real operational advantages to air combat mission training. Thanks to emerging technologies, the JANUS project will study the feasibility of a brand-new concept of agile manoeuvrable training aircraft and an integrated training system, able to provide a live, virtual and constructive environment. The JANUS concept is based on a lightweight, low-cost, high energy aircraft associated to a ground based Integrated Training System providing simulated and emulated signals, simulated and real opponents, combined with real-time feedback on pilot’s physiological characteristics: traditionally embedded sensors are replaced with emulated signals, simulated opponents are proposed to the pilot, enabling out of sight engagement. JANUS is also providing new cost effective and more realistic solutions for “Red air aircraft” missions, organised in so-called “Aggressor Squadrons”.

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