Persistent Link:
http://hdl.handle.net/10150/242491
Title:
Essays on Industrial Organization, Energy, and the Environment
Author:
Samano-Sanchez, Mario
Issue Date:
2012
Publisher:
The University of Arizona.
Rights:
Copyright © is held by the author. Digital access to this material is made possible by the University Libraries, University of Arizona. Further transmission, reproduction or presentation (such as public display or performance) of protected items is prohibited except with permission of the author.
Embargo:
Release after 04-Jun-2013
Abstract:
This dissertation focuses on the welfare implications of different government policies aimed to diminish the consumption of energy produced from fossil fuels in the United States. The first of these policies, taxation on gasoline consumption, diminishes consumption by increasing the cost per mile traveled. However, this policy measure has not been favored by policy-makers, and instead, the Corporate Average Fuel Economy standards, CAFEs, were put in place since the seventies. This policy consists of a pre-established threshold of fuel-efficiency, measured in miles per gallon, that car manufacturers selling cars in the United States are subject to each year. For each manufacturer, the CAFE is calculated, which weights the fuel-efficiency of each car model by the number of units sold of that car model. If the CAFE for a given manufacturer lies below the pre-established standard for that year, the manufacturer is subject to a fine. I exploit the manufacturers' past behavior in setting prices for their car models to estimate structural demand and supply parameters that characterize the car industry facing these policies. With those parameters, I can estimate the welfare impacts of tightening the CAFE standard to the new threshold set by the Obama administration and compare those impacts to the ones from raising gasoline taxes to obtain the same gasoline reduction in consumption. The findings are that in the short run, taxation is a less costly policy than tightening the CAFE standard. The second and third essays study the consequences of adopting renewable sources for electricity production. These technologies bring reductions in emissions of pollutants to the atmosphere, but not at no cost. They are expensive and their introduction to already existing electricity systems requires modifications to the usual scheduling of power plants because of the intermittent nature of the renewable sources, such as solar. We compute the equilibrium effects of this policy finding that if the environmental benefits are not taken into account, these policies are welfare decreasing with the amount of renewable sources. Some lower levels of penetration are more cost efficient if we take into account dynamic considerations in the scheduling of the plants.
Type:
text; Electronic Dissertation
Keywords:
regulation; Economics; energy; industrial organization
Degree Name:
Ph.D.
Degree Level:
doctoral
Degree Program:
Graduate College; Economics
Degree Grantor:
University of Arizona
Advisor:
Gowrisankaran, Gautam

Full metadata record

DC FieldValue Language
dc.language.isoenen_US
dc.titleEssays on Industrial Organization, Energy, and the Environmenten_US
dc.creatorSamano-Sanchez, Marioen_US
dc.contributor.authorSamano-Sanchez, Marioen_US
dc.date.issued2012-
dc.publisherThe University of Arizona.en_US
dc.rightsCopyright © is held by the author. Digital access to this material is made possible by the University Libraries, University of Arizona. Further transmission, reproduction or presentation (such as public display or performance) of protected items is prohibited except with permission of the author.en_US
dc.description.releaseRelease after 04-Jun-2013en_US
dc.description.abstractThis dissertation focuses on the welfare implications of different government policies aimed to diminish the consumption of energy produced from fossil fuels in the United States. The first of these policies, taxation on gasoline consumption, diminishes consumption by increasing the cost per mile traveled. However, this policy measure has not been favored by policy-makers, and instead, the Corporate Average Fuel Economy standards, CAFEs, were put in place since the seventies. This policy consists of a pre-established threshold of fuel-efficiency, measured in miles per gallon, that car manufacturers selling cars in the United States are subject to each year. For each manufacturer, the CAFE is calculated, which weights the fuel-efficiency of each car model by the number of units sold of that car model. If the CAFE for a given manufacturer lies below the pre-established standard for that year, the manufacturer is subject to a fine. I exploit the manufacturers' past behavior in setting prices for their car models to estimate structural demand and supply parameters that characterize the car industry facing these policies. With those parameters, I can estimate the welfare impacts of tightening the CAFE standard to the new threshold set by the Obama administration and compare those impacts to the ones from raising gasoline taxes to obtain the same gasoline reduction in consumption. The findings are that in the short run, taxation is a less costly policy than tightening the CAFE standard. The second and third essays study the consequences of adopting renewable sources for electricity production. These technologies bring reductions in emissions of pollutants to the atmosphere, but not at no cost. They are expensive and their introduction to already existing electricity systems requires modifications to the usual scheduling of power plants because of the intermittent nature of the renewable sources, such as solar. We compute the equilibrium effects of this policy finding that if the environmental benefits are not taken into account, these policies are welfare decreasing with the amount of renewable sources. Some lower levels of penetration are more cost efficient if we take into account dynamic considerations in the scheduling of the plants.en_US
dc.typetexten_US
dc.typeElectronic Dissertationen_US
dc.subjectregulationen_US
dc.subjectEconomicsen_US
dc.subjectenergyen_US
dc.subjectindustrial organizationen_US
thesis.degree.namePh.D.en_US
thesis.degree.leveldoctoralen_US
thesis.degree.disciplineGraduate Collegeen_US
thesis.degree.disciplineEconomicsen_US
thesis.degree.grantorUniversity of Arizonaen_US
dc.contributor.advisorGowrisankaran, Gautamen_US
dc.contributor.committeememberHirano, Keisukeen_US
dc.contributor.committeememberReynolds, Stanen_US
dc.contributor.committeememberXiao, Moen_US
dc.contributor.committeememberGowrisankaran, Gautamen_US
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