Dale T. Manning

Climate Change and Labour Allocation in Rural Mexico: Evidence from Annual Fluctuations in Weather

This article evaluates the effects of annual fluctuations in weather on employment in rural Mexico to gain insight into the potential labour market implications of climate change. Using a 28†year panel on individual employment, we find that years with a high occurrence of heat lead to a reduction in local employment, particularly for wage work and non†farm labour. Extreme heat also increases migration domestically from rural to urban areas and internationally to the US. A medium emissions scenario implies that increases in extreme heat may decrease local employment by up to 1.4% and climate change may increase migration by 1.4%.

Market integration and natural resource use in developing countries: a linked agrarian-resource economy in Northern Honduras

Most resource management studies model the resource in isolation from the rest of the economy of which it is part. In many developing economies, agents participate in multiple activities, creating linkages between resource exploitation and other sectors (e.g., agriculture). In Northern Honduran fishing communities, households allocate effort to fishing according to the opportunity cost of their time, which depends on returns in other activities. We develop a model that demonstrates how market structure impacts fishery exploitation. Agricultural price increases have an ambiguous effect on labor allocated to fishing because they reduce the value of labor in fishing but increase the demand for fish via an income effect. The size and magnitude of impacts depend strongly on the tradability of inputs and outputs in the community economy. The findings point to a need to account for economic linkages and market structure when designing policies to reduce pressure on a natural resource.

A Multidisciplinary Research Framework on Green Schools: Infrastructure, Social Environment, Occupant Health, and Performance

BACKGROUND Sustainable school buildings hold much promise to reducing operating costs, improve occupant well-being and, ultimately, teacher and student performance. However, there is a scarcity of evidence on the effects of sustainable school buildings on health and performance indicators. We sought to create a framework for a multidisciplinary research agenda that links school facilities, health, and educational outcomes. METHODS We conducted a nonsystematic review of peer review publications, government documents, organizational documents, and school climate measurement instruments. RESULTS We found that studies on the impact of physical environmental factors (air, lighting, and thermal comfort) on health and occupant performance are largely independent of research on the social climate. The current literature precludes the formation of understanding the causal relation among school facilities, social climate, occupant health, and occupant performance. CONCLUSIONS Given the average age of current school facilities in the United States, construction of new school facilities or retrofits of older facilities will be a major infrastructure investment for many municipalities over the next several decades. Multidisciplinary research that seeks to understand the impact of sustainable design on the health and performance of occupants will need to include both an environmental science and social science perspective to inform best practices and quantification of benefits that go beyond general measures of costs savings from energy efficiencies.

An evaluation of the social and private efficiency of adoption: Anaerobic digesters and greenhouse gas mitigation

Climate science has begun to recognize the important role of non-carbon dioxide greenhouse gas emissions, including methane. Given the important contribution of methane, anaerobic digesters (ADs) on dairy farms in the U.S. present an opportunity to reduce greenhouse gas (GHG) emissions. We quantify the social and private costs and benefits of ADs that have been adopted in California and find that, despite high initial costs, large reductions in GHG emissions bring significant social benefits and represent good social investments given a

Retiring Land to Save Water: Participation in Colorado’s Republican River Conservation Reserve Enhancement Program

36 per-ton social cost of carbon. Subsidies that lower the initial private investment cost can help align socially and privately optimal adoption decisions.

Water storage in a changing environment: The impact of allocation institutions on value

Agricultural land retirement is increasingly used to manage water resources. This study uses well-level enrollment data to explore the factors that influence landowner participation in the Colorado Republican River Conservation Reserve Enhancement Program. An empirical model of enrollment is informed by a theoretical model of participation that incorporates aquifer and soil characteristics in addition to financial incentives. Our results reveal that enrollment is predicted to increase by 0.087 percentage points with a

Producer Responses to Surface Water Availability and Implications for Climate Change Adaptation

10 increase in the incentives offered. The probability of enrollment is also influenced by the aquifer’s saturated thickness and the soil characteristics that impact land productivity. (JEL Q25)

Evaluating the effect of conservation motivations on residential water demand

As populations increase in arid regions of the world, investment in water infrastructure improves resource management by increasing control over the location and timing of water allocation. Many studies have explored freer trade as a substitute for additional infrastructure investment. We instead quantify how water allocation institutions, reservoir management objectives, and storage capacity influence the value derived from a reservoir system. We develop a stochastic dynamic programming model of a reservoir system that faces within-year variation in weather-dependent water demand as well as stochastic semiannual inflows. We parameterize the model using the Colorado-Big Thompson system, which transports stored water from the West Slope of the Rocky Mountains to the East Slope. We then evaluate the performance of the system under five institutional settings. Our results suggest that rigid allocation mechanisms and inefficient management objectives result in a decrease of up to 13% in the value generated from stored water when compared to a free trade scenario, an impact on par with predicted losses associated with climate-change-induced inflow reductions. We also find that under biased management objectives, increasing storage capacity can decrease the social value obtained from stored water.

Are Two Rents Better than None? When Monopolies Correct Ill-Defined Property Rights

Climate change is predicted to bring changes in weather and water availability. The effect on agriculture depends on the ability of producers to modify their practices in response to changing distributions. We develop a two-stage theoretical model of planting and irrigation decisions and use a unique dataset to empirically estimate how producers respond to changes in expected water availability and deviations from expectations. As water supplies decrease, producers respond by planting fewer acres and concentrating the application of water. Highlighting the importance of adaptation in this context, failure to account for this behavioral response overstates climate change impacts by 17%. (JEL Q15, Q25)

Effects of State Taxation on Investment: Evidence from the Oil Industry

Utilities and water suppliers in the southwestern United States have used education and conservation programs over the past two decades in an attempt to ameliorate the pressures of increasing water scarcity. This paper builds on a long history of water demand and environmental psychology literature and attempts to answer a simple question: do households primarily motivated by environmental and social (E&S) considerations consume water differently than households motivated primarily by cost and convenience (C&C)? We find that E&S consumers use less water than C&C consumers on average. We also find that there is no statistical difference between E&S and C&C consumers in their consumption responses to changing prices, temperature, and precipitation. This implies that targeting future conservation efforts to self-reported consumer groups may not improve policy effectiveness.