Through this paper, the author builds an equilibrium search and matching model of an economy with an informal sector and rural-urban migration to analyze the effects of budget-neutral green tax policy (raising pollution taxes, while cutting payroll taxes) on the labour market.
The key results of the paper suggest that when general public spending varies endogenously in response to tax reform and higher energy taxes can reduce the income from self-employed work in the informal sector, green tax policy can produce a triple dividend: a cleaner environment, lower unemployment rate and high after-tax income of the private sector. This is due to the ability of the government, by employing public spending as an additional policy instrument, to reduce the overall tax burden when an increase in energy tax rates does not exceed somr threshold level. Thus governments should employ several instruments if they are concerned with labour market implications of green tax policies.
Cities concentrate a large part of the world economy today. Understanding how the urban economy and its decision making function as well as how they are connected to a larger world (regional, national, global) is fundamental to create governance mechanisms and the institutions to move the world towards a green economy. This paper analyses the city through its key economic processes of the transformation of space; circulation (transport); consumption and production and social, knowledge and ecosystem services. Transforming urban processes will only be achieved with better urban governance. As governance is embedded in institutions, it is the foundation for building the legitimate political and social mechanisms to green socio-ecological and economic systems. Yet the question of whether or not current governance systems in these processes are steering cities towards a greener economy, or if they are, how are they affecting people and ecosystems is yet to be addressed.
This book describes comprehensively potential, co-benefits and drawbacks of carbon (C) sequestration for ecosystem services. Soil generates numerous ecosystem services for human wellbeing and ecological functions. The services discussed include provisional (feed, food, timber, biofuel), regulating (carbon sequestration, pests, diseases), cultural, and supporting (soil formation, nutrient cycling) services. Recarbonization of the biosphere is a potential strategy to redistribute C among global pools, and to enhance ocean but most importantly land-based C sinks with possible feedback on soil-based ecosystem services. Land use and soil management can degrade soil quality, and either reduce quantity and quality of ecosystem services or lead to disservices and create large ecological footprint. Thus, trade-offs between carbon sequestration and ecosystem services must be considered when incentivizing land managers through payments for ecosystem services. Together with sustainable management of land-based C sinks for climate change adaptation and mitigation this will minimize the risks of recarbonization of the biosphere for ecological functions and human wellbeing.
Climate change could potentially interrupt progress toward a world without hunger. A robust and coherent global pattern is discernible of the impacts of climate change on crop productivity that could have consequences for food availability. The stability of whole food systems may be at risk under climate change because of short-term variability in supply. However, the potential impact is less clear at regional scales, but it is likely that climate variability and change will exacerbate food insecurity in areas currently vulnerable to hunger and undernutrition. Likewise, it can be anticipated that food access and utilization will be affected indirectly via collateral effects on household and individual incomes, and food utilization could be impaired by loss of access to drinking water and damage to health. The evidence supports the need for considerable investment in adaptation and mitigation actions toward a “climate-smart food system” that is more resilient to climate change influences on food security.