Tag: Q53

A THEORETICAL ANALYSIS OF COSTS, WASTE TREATMENT, POLLUTION IN THE GANGES, AND LEATHER PRODUCTION BY TANNERIES IN KANPUR, INDIA

Amitrajeet A. BATABYAL

Arthur J. Gosnell Professor of Economics, Departments of Economics and Sustainability, Rochester Institute of Technology, Rochester, NY 14623-5604, USA

aabgsh@rit.edu

Seung Jick YOO

Corresponding Author, Professor, Sookmyung Women’s University, Seoul, Republic of Korea

sjyoo@sookmyung.ac.kr

Abstract

We theoretically analyze the interaction between two representative and real tanneries, denoted by  and  that are located on the same bank of the Ganges River in Kanpur, India. Tannery  is situated upstream from tannery  Both tanneries produce leather and leather production by tannery  also gives rise to chemical waste that adversely affects the cost incurred by tannery  in producing leather. In this setting, we perform four tasks. First, we determine the amount of chemical waste and the leather produced by tanneries  and  in a competitive equilibrium. Second, we explain why this competitive equilibrium is inefficient from a societal standpoint. Third, we ascertain the socially optimal amount of leather produced by the two tanneries. Finally, we illustrate the working of our theoretical model with a specific example in which we use explicit functional forms and numbers.

Keywords: Ganges River, Leather Production, Tannery, Waste Treatment, Water Pollution

JEL classification: R11, R22, R32, Q52, Q53

 pp. 47-53

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EXAMINING THE EXISTENCE OF CO2 EMISSION PER CAPITA CONVERGENCE IN EAST ASIA

Kenichi SHIMAMOTO

Hirao School of Management, Konan University, Nishinomiya, Japan
Correspondence details: Dr. Kenichi Shimamoto Hirao School of Management, Konan University, 8-33 Takamatsu-cho,  Nishinomiya, Hyogo, Japan 663-8204

kenichi@center.konan-u.ac.jp

Abstract

The ‘flying geese’ model of industrial upgrading depicts the income convergence or economic development convergence in East Asia. However, how does this convergence of economic development effect the environment? The surge in the consumption of fossil fuel is causing a large increase in emission of CO2. Global warming affected by CO2 emission poses as a serious threat to East Asian countries with large coastal areas exposed to the rise in sea level. This paper examines CO2 emission per capita to investigate the existence of environmental convergence in East Asian countries and predicts future distribution using deviations, interquartile range, kernel densities distribution, time series approach, β convergence analysis and the Markov chain approach. As a result, no meaningful evidence of convergence was found in the historical evaluation and a non-compressed ergodic distribution was found in the future prediction for CO2 emission.

Keywords: environmental convergence, East Asia, CO2

JEL classification: Q53, Q56, R10

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