Christian M. Dufournaud

An Applied General Equilibrium (AGE) analysis of a policy designed to reduce the household consumption of wood in the Sudan

Abstract The Sudan, along with all Sahelian countries, faces urgent environmental problems caused, in part, by the clear-cutting of scrub for firewood. In this paper, we analyze the economic consequences of a policy often proposed to reduce the consumption of firewood. Specifically, we simulate the policy of introducing more efficient wood burning stoves into households by using an Applied General Equilibrium (AGE) model. The results indicate that the anticipated reduction in the economy-wide demand for wood, based on the increase in the technical efficiency of the stoves, is not fully realized.

Temporal and Spatial Distribution of Benefits and Costs in River-Basin Schemes: A Cooperative Game Approach

River-basin developments inevitably require participation by numerous entities (for example, riparians and external funding agencies). The division of the costs and benefits consequent to the scheme is further complicated by time schedules for implementation. In this paper the extension of cooperative game theory to temporal allocations is explored. The approach is illustrated with an example problem involving three riparians and two time periods. Propensities to disrupt are incorporated in the cooperative game in a form that permits the use of linear programming techniques. The results suggest that a considerable range of choices for decisions can be generated by systematic and random investigation near to optimal solutions.

Economy-Wide Effects of Forest Policies: A General Equilibrium Assessment from Vietnam

Using Vietnam as a case study, we employ an Applied General Equilibrium (AGE) model to test three policy options for managing commercial forestry. Specifically, we examine the impact of an export ban, an increase in the ad valorem royalty by 100%, and an increase of 100% in the export tax. A ban on exports raises domestic capital formation, benefits the domestic consumer, and decreases deforestation. The other two policies have little effect on the utility of the domestic household. The findings demonstrate the need to assess forestry policies in the context of the broader economic structure

Simulation of a policy aimed at the reduction of wood use in the Sudan

A rectangular economic input-output table for the Sudan is presented, based on nine sectors, thirty-seven commodities, six primary inputs, and seven final demand categories. Four possible models of intermediate consumption are derived by using linear programming and entropy maximizing. The table is then linked to a coefficient representing wood use per unit of output in the Sudanese economy. A policy aimed at a reduction in wood use is tested by simulating the introduction of more efficient charcoal stoves into urban households. Implementation of the policy would lead to a significant reduction in total wood used, from 88 km2 to 194 km2 per year, depending on which of the four models for intermediate consumption is utilized. Reallocation of the resulting savings by households into energyintensive commodities, however, reduces the effectiveness of the policy by as much as 48%.

A Linear Constraint Formulation for Spatial and Temporal Cost Imputations in Accord with Shapley Values

In a recent paper we presented a linear programming model of a three-riparian, two-time-period, joint river-basin development scheme by using cooperative game theory. The objective of the model was to develop ‘fair’ and equitable divisions of the benefits and costs of cooperation. In this paper the analysis is extended by including linear constraints which satisfy the well-known Shapley-value imputation scheme.

A partial equilibrium analysis of the impact of introducing more-efficient wood-burning stoves into households in the Sahelian region

Two models of the village firewood-gathering economy are developed: one where the firewood is treated by households as a common-property resource and one where it is treated as a private asset. Under both models, rebound of consumption occurs as a result of distributing more-efficient wood-burning stoves into households. It follows that policies premised on the assumption that the use of scarce resources can be curtailed simply by raising the energy efficiency of appliances used in the household are flawed. The same policies, however, when judged according to their contribution to the utility of the household appear to be better.

An Econometric Analysis of Fuelwood Consumption in Sub-Saharan Africa

Four models are estimated to examine the consumption of fuelwood in selected countries of Sub-Saharan Africa from 1970 to 1990. Using a two-stage least squares estimation technique, we use the models to analyze the effects of income and price on fuelwood demand. Variables included in the models are income, price, and precipitation with a dummy variable based on level of development. The best model yields an income elasticity of 0.39 and a price elasticity of −0.28, indicating that fuelwood is a superior, normal good. Attending to the mounting concerns about fuelwood depletion in Sub-Saharan Africa, we feel the results provide insights for the formulation of effective energy policies. Specifically, policy measures that simultaneously address household income and fuel price are required. Increasing household income, directly with income supplements or indirectly with the provision of energy-efficient cookstoves, has the potential to decrease fuelwood consumption. Similarly, price reforms that force the price of energy to reflect its real economic cost encourage more efficient consumption.

A Model of Sustainable Extraction of Nontimber Forest Products in Subsistence Societies

The shrinking forest in many parts of the world is a problem often blamed on the patterns of ownership and harvesting by the resource owners. We develop a model which demonstrates that holding a resource in common where there is competition among individuals leads to inefficient harvesting of the resource but cannot lead to the destruction of forests. The same model is used to demonstrate that climatic conditions, low wage rates, and increases in the number of people entitled to harvest the resource are more-likely candidates for variables explaining the destruction of the forest. Examples taken from the Sudan and from China provide evidence that communities alter their pattern of ownership and migration so that they do not exhaust the resource. The main conclusion of the paper is that the behavior of the owners of the resource is not the underlying cause of the destruction of the forest.

Program scheduling of interrelated programs in a university faculty when there might be strategic behavior

The issue addressed in This work deals with finding course schedules for four different departments simultaneously that meet the requirements of the faculty in two ways: 1) they must offer the required courses to meet the respective program mandates and they must offer courses in a way that allows the programs to be accessible to students at various stages of meeting their degree requirements, and, 2) they must satisfy the faculty about teaching the courses at the assigned times. In the case of satisfying faculty about their assigned times, it is possible to develop a set of prices that prevent faculty members from acting strategically to improve their time slot allocation. This is tested in the context of scheduling four interrelated programs in the Faculty of Environmental studies at the University of Waterloo.

The net cost of banning commercial foresting: a computable general equilibrium analysis for the Philippines.

This paper examines logging policies in the Philippines through the use of an eleven-sector computable general equilibrium model. Several scenarios have been modeled based on a ban on commercial logging. The conclusion from the mathematical modeling is that a ban on commercial harvesting should be enforced in the Philippines.