A THEORETICAL AND METHODOLOGICAL APPROACH OF «FRAGILE» AREAS: THE CASES OF GREEK REGIONS CROSSED BY THE EGNATIA ROAD

Lamara HADJOU

University of Thessaly, Polytechnic School, Department of Planning and Regional Development, Pedion Areos, 38334 Volos and University Blaise Pascal (CERAMAC), Maison des Sciences de l’Homme – 4, rue Ledru 63057 Clermont-Ferrand,
lhadjou@yahoo.fr

Marie Noëlle DUQUENNE

University of Thessaly, Polytechnic School, Department of Planning and Regional Development, Pedion Areos, 38334 Volos
mdyken@prd.uth.gr

Abstract

Rural areas so-called ‘fragile’ have rarely been object of theoretical and methodological approach, aiming at delimiting the concept of fragility and at specifying his components. As well as there is no theoretical approach to define these milieus, there is no either general agreement on the notion of fragile space. Numerous are the authors who use this notion without specifying contents, or defining its outlines. Arise then the question to know, what is really meant by this concept. This is the first task of this article which seeks to trace the history of the concept and its use by authors. If the concept of fragility seems to have obvious filiations with the concepts of periphery, marginal and underprivileged space, we propose to show that this concept refers to a more complex reality and in any case, a fact.

Assuming that the fragility is not a state but indeed a process, the question is then, in on one hand, to specify-it through its multiple constituents and on the other hand to translate these last ones on a set of appropriate and quantifiable indicators.

By taking as study area, the northern region of Greece which has recently benefited from a great highway infrastructure (Via Egnatia), we propose using the methods of multicriteria analysis, to highlight the types and degrees of fragility of the subregional areas of northern Greece. The use of factor analysis methods and classification confer us the possibility to make a typology of these areas well beyond traditional approaches of disadvantaged areas, marginal or peripheral.

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LOCATION CONDITIONS OF ENERGY-INTENSIVE ENTERPRISES

Rüdiger HAMM

Niederrhein Institute for Regional and Structural Research
Niederrhein University of Applied Sciences
Mönchengladbach (Germany)
ruediger.hamm@hs-niederrhein.de

Abstract

There is an interdependent relationship between enterprises and the region in which they are located: On the one hand the conditions of this location influence turnover, costs, profits and thus the economic situation of the individual firm. On the other hand the economic situation of the regional firms is an important determinant of regional economic success and the wel-fare of the people living in that region. This happens directly because the firms stabilize re-gional income and employment; but there are also indirect effects running via income and input-output-linkages. Regional economic success and welfare in turn determine the regional tax receipts and the regions’ possibilities for positively influencing the location conditions. These interdependencies give an explanation for the high interest firms, politicians and re-searchers normally have in regional location conditions and their quality. The better a region’s information about these issues, the better its possibilities to promote its location advantages and the more efficiently it can use its scarce financial means to reduce the locational disad-vantages. Regional marketing and improvements of the region’s location conditions aim at the acquisition of new firms, at additional private investment in the region, at the creation and stabilization of employment and the population’s welfare.

In recent years the Niederrhein Institute for Regional- and Structural Research (NIERS) has surveyed firms to thoroughly analyze the location conditions of Middle Lower Rhine Area – a German region located in the western part of Northrhine-Westphalia.  This research especially aimed at judging the location conditions’ quality in Middle Lower Rhine Area. But as the firms had to evaluate not only the local quality but also the general importance of the location factors and as firms’ participation in these surveys has been sufficiently high the results also give the opportunity to rank the location factors by its relevance and to differentiate this kind of analysis by industry. So, the aim of the proposed paper is twofold: It firstly describes which locational factors are – on the basis of the above mentioned surveys – most important from the firms’ point of view. To find out whether energy-intensive industries have special location requirements it secondly compares these general results with those from energy-intensive in-dustries.

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ECONOMIC ANALYSIS OF THE IMPACT OF CARBON TAX ON THE ECONOMY OF MAKASSAR CITY, INDONESIA

Yuzuru MIYATA

Graduate School of Architecture and Civil Engineering,
Toyohashi University of Technology, Japan
miyata@ace.tut.ac.jp

Any WAHYUNI

Graduate School of Environment and Life Science Engineering,
Toyohashi University of Technology, Japan
anywahyuni@hotmail.com

Hiroyuki SHIBUSAWA

Graduate School of Architecture and Civil Engineering,
Toyohashi University of Technology, Japan
hiro-shibu@tut.jp

Abstract

Makassar is the capital of South Sulawesi and the largest metropolitan city in eastern Indonesia. This city is an established of economic development for eastern Indonesia, which is characterized by a high degree of industrial development. Therefore, the carbon dioxide (CO2) emissions generated in the city will increase. However, the government has attempted to maintain environmental quality to ensure a livable and healthy city. Unfortunately, the government’s budget to support the economic development is limited, despite the increased level of economic activity in the city. As a result of these conditions, the government has elected to economize resource use by improving the efficiency of resource allocations. To this end, the government imposed a carbon tax in the city.

The purpose of this study is to analyze the impacts on the economy in Makassar resulting from the introduction of carbon taxes to reduce energy consumption in all sectors of the economy that generate CO2 emissions. The imposition of a carbon tax is expected to reduce CO2 emissions and to improve the city’s economic potential. The study investigates the possibility of transferring carbon tax revenue to transfer to household to generate increased household income. A computable general equilibrium (CGE) model was the primary analytical methodology employed to measure the impact of the imposition of a carbon tax across all sectors of the economy. The model examined the impact of the carbon tax based on the 2006 input-output (I-O) table for Makassar City and estimated of a social accounting matrix (SAM) table the same year. In CGE models, general equilibrium is achieved via the price mechanism. The model assumes a static economy with no time-related elements. A total of twenty eight industrial sectors and two production factors, labor and capital, are used in this study. The model economy contains a single representative household that sets its consumption to maximize its utility subject to its budget constraint. The utility function used is  the constant elasticity of substitution (CES) type, where the household maximizes utility subject to a budget constraint. Every industry uses an intermediate input to produce one commodity for each sector without commodity by-product. The firms are assumed to maximize their profits by managing inputs and outputs subject to their production technology. Firms are assumed to be perfectly competitive and to achieve equilibrium in 2006 through flexible price adjustments.

The carbon tax policy is assessed in two simulations. In the first simulation, a carbon tax is imposed on all industries without household transfer, and in the second simulation, the tax revenue is transferred to households. The government transfers funds to household in amount equal to the carbon tax revenue. In theory, the implementation of a carbon tax will reduce CO2 emissions and increase government revenues. Furthermore, household welfare will also increase, output prices will increase, and the household will reduce its consumption.

The results of all simulations of the CGE model indicated that a carbon tax can reduce the volume of CO2 emissions by 8 %. In general, output prices and production volumes decline. The demand for capital tendeds to be fixed, and labor demand declined after tax revenues were transferred  to the representative household. Household consumption declined following the imposition of carbon taxes but increased in response to the transfer of carbon tax revenues. Therefore, household welfare increased after receiving transfers from the government.

It is crucial to effectively manage efforts to reduce CO2 emissions. The such management involves not only production-side efforts concerning environmental-friendly technology; but prevention of a decline in commodity consumption preferences.

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