Environmental Valuation & Cost-Benefit News

Abstract: Motivated by the 2006 report of a Work Group appointed by the Environmental Protection Agency (EPA), this paper examines the present state of meta-analysis in environmental economics and offers recommendations for its future use. To this end we summarize and assess 130 meta-analyses from 115 published and unpublished studies, covering seventeen topical categories in environmental and resource economics. We first provide several generic meta-analysis models as reference points and discuss major estimation issues. Second, a tabular summary is presented for 130 meta-analyses with respect to methodology and econometric methods. Five key issues are identified as part of a complete analysis: (1) sample selection criteria; (2) basic data summary; (3) primary data heterogeneity; (4) heteroskedasticity; and (5) non-independence of multiple observations from primary studies. Third, a narrative summary is presented for 19 meta-analyses, including the three value-of-statistical-life studies examined by the EPA Work Group and one analysis from each of sixteen other categories. Fourth, we offer a set of “best practice” guidelines for future meta-analyses in this and other areas of economics. Last, the paper comments on the use of meta-analytic methods for benefit transfers.

by Jon P. Nelson 1 and Peter E. Kennedy 2
1. Pennsylvania State University, University Park, PA 16802; Voice: 814-237-0157; E-mail: jpn@psu.edu; Web page: http://econ.la.psu.edu/people/biographies/nelson_bio.htm
2. Simon Fraser University, Burnaby, BC V5A 1S6 (kennedy@sfu.ca)

Pennsylvania State University, Department of Economics http://econ.la.psu.edu/
Working Paper 32008
http://www.econ.psu.edu/people/biographies/nelson_bio.htm

The NASDAQ OMX Group, Inc. (NASDAQ:NDAQ) announced on March 17, 2008 the results of the semi-annual evaluation of the NASDAQ® Clean Edge® U.S. Index (NASDAQ:CLEN) and the NASDAQ® Clean Edge® U.S. Liquid Series Index (NASDAQ:CELS) (the “Indexes”), which will become effective with the market open on Monday, March 24, 2008.

The following eight securities will be added to the Indexes: Advanced Battery Technologies, Inc. (NASDAQ:ABAT), Akeena Solar, Inc. (NASDAQ:AKNS), Ascent Solar Technologies, Inc. (NASDAQ:ASTI), Gushan Environmental Energy Limited (NYSE:GU), Orion Energy Systems, Inc. (NASDAQ:OESX), Solarfun Power Holdings Co., Ltd. (NASDAQ:SOLF), Ultralife Batteries, Inc. (NASDAQ:ULBI) and Valence Technology, Inc. (NYSE:VLNC).

The Indexes are designed to track the performance of clean-energy companies that are publicly traded in the U.S. The Indexes include companies engaged in the manufacturing, development, distribution, and installation of emerging clean-energy technologies such as solar photovoltaics, biofuels and advanced batteries. The five major sub-sectors that the index covers are Renewable Electricity Generation, Renewable Fuels, Energy Storage & Conversion, Energy Intelligence and Advanced Energy-Related Materials. The securities must also meet other eligibility criteria which include minimum requirements for market value, average daily share volume, and price. The Indexes are evaluated on a semi-annual basis in March and September. For more information about the NASDAQ Clean Edge U.S. Index and the NASDAQ Clean Edge U.S. Liquid Series Index, including detailed eligibility criteria, visit www.NASDAQ.com.

The NASDAQ Clean Edge U.S. Liquid Series Index is the basis for the First Trust NASDAQ Clean Edge U.S. Liquid Series Index Fund (NASDAQ:QCLN), which seeks investment results that correspond generally to the price and yield of the NASDAQ Clean Edge U.S. Liquid Series Index before fees and expenses.

As a result of the evaluation MGP Ingredients, Inc. (NASDAQ:MGPI) will be removed from the Index.

Clean Edge, a leading clean-tech research and publishing firm, released its annual Clean-Energy Trends 2008 report earlier this month. To view the report, and learn about Clean Edge’s latest findings, visit http://www.cleanedge.com/reports/reports-trends2008.php.

Clean Edge www.cleanedge.com
http://www.cleanedge.com/about/press.php
Press Release dated March 17, 2008

According to a study sponsored by the American Lung Association of California, $142 billion in human health and global warming reduction benefits would result from converting the entire California motor vehicle fleet from gasoline vehicles to zero-emission vehicle (ZEV) technologies in the 2010-2030 time frame, or $96 billion more than relying on the lowest emitting gasoline technologies. The $142 billion figure includes $38 billion in benefits to society from reduced global warming emissions.

The study, conducted by TIAX LLC, a consulting firm specializing in transportation and alternative fuels research, also found that California can avoid at least $2.2 billion per year in health costs from reduction of dangerous particulate matter by converting the motor vehicle fleet to ZEVs instead of relying on the lowest emitting gasoline technologies. This reduction in particulates means that California would annually avoid 300 cases of premature death, over 260 cases of chronic bronchitis, over 7,000 asthma attacks and more than 18,000 cases of upper and lower respiratory symptoms by moving to ZEV technology.
...
According to the American Lung Association of California’s study, approximately 110 million tons of greenhouse gases per year could be avoided if all California vehicles were replaced with ZEVs by 2030. This would make significant progress toward the transportation sector’s portion of the state goal for reducing greenhouse gases by 2050.

The study also addressed the current costs of gasoline motor vehicle use:
– The total cost to public health and society of the existing motor vehicle fleet is over $10 billion in 2010, and this cost only drops to approximately $7 billion over the 20-year time frame of the study with normal fleet turnover.
– The existing motor vehicle fleet generates health costs in terms of hospitalizations, premature deaths and illnesses that add up to over $7.4 billion per year (2010), including $4.4 billion per year linked to one pollutant, nitrogen oxide (NOx).
- The total greenhouse gas (well-to-wheel) emissions from the existing motor vehicle fleet are 150 million tons per year, and drop only to 140 million tons per year in 2030 through existing programs and vehicle turnover. This is far from the total reduction that is needed to meet California’s greenhouse gas reduction goals.

Written by The Naib
The Seitch Blog www.blog.thesietch.org
http://www.blog.thesietch.org/2008/03/22/electric-cars-could-save-142-billion-dollars-in-heath-care-costs-and-reduced-global-warming/

See also
http://www.prnewswire.com/cgi-bin/stories.pl?ACCT=ind_focus.story&STORY=/www/story/03-20-2008/0004777862&EDATE=THU+Mar+20+2008,+12:15+PM
http://www.californialung.org/