Does Eco-Certification have Environmental Benefits? Organic Coffee in Costa Rica

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We find that organic certification improves coffee growers’ environmental performance. It significantly reduces chemical input use and increases adoption of some environmentally friendly management practices.

Agriculture

Taxes, Permits, and the Adoption of Abatement Technology under Imperfect Compliance

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This paper analyzes the effects of the interaction between technology adoption and incomplete enforcement on the extent of violations and the rate of abatement technology adoption.

Policy Design

To trade or Not to Trade: A Firm-Level Analysis of Emissions Trading in Santiago, Chile

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The authors surveyed firms participating in emissions trading programs in Santiago, Chile, to explore further whether tradable permits are appropriate for transition and developing economies. Their survey information revealed serious implementation and design flaws in Chile’s trading, but they are not more severe than the EU or U.S. systems. Countries with similar income levels and institutional maturity as Chile should be able to develop well-functioning permit trading schemes.

 

Policy Design

Tradable Permits in Developing Countries: Evidence from Air Pollution in Santiago, Chile

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Santiago was one of the first cities outside the OECD to implement a tradable permit program to control air pollution. This paper looks closely at the program’s performance over the past 10 years, stressing its similarities and discrepancies with trading programs in developed countries, and analyzing how it has reacted to regulatory adjustments and market shocks. Studying Santiago’s experience allows us to discuss the drawbacks and advantages of applying tradable permits in less developed countries.

 

Policy Design, Carbon Pricing