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Camacho, C., & Pérez-Barahona, A. (2015). Land use dynamics and the environment. Journal of Economic Dynamics and Control, 52, 96–118.
Abstract: This paper builds a benchmark framework to study optimal land use, encompassing land use activities and environmental degradation. We focus on the spatial externalities of land use as drivers of spatial patterns: land is immobile by nature, but local actions affect the whole space since pollution flows across locations resulting in both local and global damages. We prove that the decision maker problem has a solution, and characterize the corresponding social optimum trajectories by means of the Pontryagin conditions. We also show that the existence and uniqueness of time-invariant solutions are not in general guaranteed. Finally, a global dynamic algorithm is proposed in order to illustrate the spatial-dynamic richness of the model. We find that our simple set-up already reproduces a great variety of spatial patterns related to the interaction between land use activities and the environment. In particular, abatement technology turns out to play a central role as pollution stabilizer, allowing the economy to reach a time-invariant equilibrium that can be spatially heterogeneous. (C) 2014 Elsevier B.V. All rights reserved.
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Dietrich, J. P., Schmitz, C., Lotze-Campen, H., Popp, A., & Müller, C. (2014). Forecasting technological change in agriculture—An endogenous implementation in a global land use model. Technological Forecasting and Social Change, 81, 236–249.
Abstract: ► Endogenous technological change in an economic land use model ► Estimation of yield elasticity with respect to investments in technological change ► Projections of future agricultural productivity rates ► Validation with observed data and historic trends ► Trade-off between required technological change and forest protection objectives Technological change in agriculture plays a decisive role for meeting future demands for agricultural goods. However, up to now, agricultural sector models and models on land use change have used technological change as an exogenous input due to various information and data deficiencies. This paper provides a first attempt towards an endogenous implementation based on a measure of agricultural land use intensity. We relate this measure to empirical data on investments in technological change. Our estimated yield elasticity with respect to research investments is 0.29 and production costs per area increase linearly with an increasing yield level. Implemented in the global land use model MAgPIE (“Model of Agricultural Production and its Impact on the Environment”) this approach provides estimates of future yield growth. Highest future yield increases are required in Sub-Saharan Africa, the Middle East and South Asia. Our validation with FAO data for the period 1995–2005 indicates that the model behavior is in line with observations. By comparing two scenarios on forest conservation we show that protecting sensitive forest areas in the future is possible but requires substantial investments into technological change.
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Refsgaard, J. C., Arnbjerg-Nielsen, K., Drews, M., Halsnaes, K., Jeppesen, E., Madsen, H., et al. (2013). The role of uncertainty in climate change adaptation strategies – a Danish water management example. Mitig. Adapt. Strateg. Glob. Change, 18(3), 337–359.
Abstract: We propose a generic framework to characterize climate change adaptation uncertainty according to three dimensions: level, source and nature. Our framework is different, and in this respect more comprehensive, than the present UN Intergovernmental Panel on Climate Change (IPCC) approach and could be used to address concerns that the IPCC approach is oversimplified. We have studied the role of uncertainty in climate change adaptation planning using examples from four Danish water related sectors. The dominating sources of uncertainty differ greatly among issues; most uncertainties on impacts are epistemic (reducible) by nature but uncertainties on adaptation measures are complex, with ambiguity often being added to impact uncertainties. Strategies to deal with uncertainty in climate change adaptation should reflect the nature of the uncertainty sources and how they interact with risk level and decision making: (i) epistemic uncertainties can be reduced by gaining more knowledge; (ii) uncertainties related to ambiguity can be reduced by dialogue and knowledge sharing between the different stakeholders; and (iii) aleatory uncertainty is, by its nature, non-reducible. The uncertainty cascade includes many sources and their propagation through technical and socio-economic models may add substantially to prediction uncertainties, but they may also cancel each other. Thus, even large uncertainties may have small consequences for decision making, because multiple sources of information provide sufficient knowledge to justify action in climate change adaptation.
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Dono, G., Cortignani, R., Doro, L., Giraldo, L., Ledda, L., Pasqui, M., et al. (2013). An integrated assessment of the impacts of changing climate variability on agricultural productivity and profitability in an irrigated Mediterranean catchment. Water Resource Manage., 27(10), 3607–3622.
Abstract: Climate change is likely to have a profound effect on many agricultural variables, although the extent of its influence will vary over the course of the annual farm management cycle. Consequently, the effect of different and interconnected physical, technical and economic factors must be modeled in order to estimate the effects of climate change on agricultural productivity. Such modeling commonly makes use of indicators that summarize the among environmental factors that are considered when farmers plan their activities. This study uses net evapotranspiration (ETN), estimated using EPIC, as a proxy index for the physical factors considered by farmers when managing irrigation. Recent trends suggest that the probability distribution function of ETN may continue to change in the near future due to changes in the irrigation needs of crops. Also, water availability may continue to vary due to changes in the rainfall regime. The impacts of the uncertainties related to these changes on costs are evaluated using a Discrete Stochastic Programming model representing an irrigable Mediterranean area where limited water is supplied from a reservoir. In this context, adaptation to climate change can be best supported by improvements to the collective irrigation systems, rather than by measures aimed at individual farms such as those contained within the rural development policy.
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Kros, J., Bakker, M. M., Reidsma, P., Kanellopoulos, A., Jamal Alam, S., & de Vries, W. (2015). Impacts of agricultural changes in response to climate and socioeconomic change on nitrogen deposition in nature reserves. Landscape Ecol., 30(5), 871–885.
Abstract: This paper describes the environmental consequences of agricultural adaptation on eutrophication of the nearby ecological network for a study area in the Netherlands. More specifically, we explored (i) likely responses of farmers to changes in climate, technology, policy, and markets; (ii) subsequent changes in nitrogen (N) emissions in responses to farmer adaptations; and (iii) to what extent the emitted N was deposited in nearby nature reserves, in view of the potential impacts on plant species diversity and desired nature targets. For this purpose, a spatially-explicit study at landscape level was performed by integrating the environmental model INITIATOR, the farm model FSSIM, and the land-use model RULEX. We evaluated two alternative scenarios of change in climate, technology, policy, and markets for 2050: one in line with a ‘global economy’ (GE) storyline and the other in line with a ‘regional communities’ (RC) storyline. Results show that the GE storyline resulted in a relatively strong increase in agricultural production compared to the RC storyline. Despite the projected conversions of agricultural land to nature (as part of the implementation of the National Ecological Network), we project an increase in N losses and N deposition due to N emissions in the study area of about 20 %. Even in the RC storyline, with a relatively modest increase in agricultural production and a larger expansion of the nature reserve, the N losses and deposition remain at the current level, whereas a reduction is required. We conclude that more ambitious green policies are needed in view of nature protection.
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