News
The value of national security and defence readiness
This study published in the European Journal of Political Economy is the first every assessment of the direct welfare effects of national defence policy. Recognising that national security and defence readiness are an example of a public good, the study employs non-market valuation techniques to assess the value of different defence policy options in Germany. Results show that the German public exhibits substantial willingness to pay to increase national security, notionally by increasing troop number, setting up a European army and installing air defence systems.
Cross-border CO2-transport decreases public acceptance of carbon capture and storage
An essential strategy to reach net-zero objectives is carbon capture and storage combined with cross-border CO2 transport. This study published in the journal Nature Climate Change assesses the level pf public acceptance of such transport in five countries (Canada, Germany, the Netherlands, Norway and the UK). Results show that acceptance levels for cross-border trading of CO2 is very low and that such concerns cannot be offset by compensation, presenting a challenge for policy-makers.
Assessing the value of recreational forest visits in North Rhine-Westphalia
This new project will examine options for sustainable forestry in the face of climate change in Germany. Recognising that forests provide multiple ecosystem services beyond mere timber production, the project seeks to develop a framework for payment for the provusion of ecosystem services, such as carbon sequestration and recreation. Project partners are the Dresden University of Technology and a range of forestry stakeholders in North Rhine-Westphalia.
BCEE researchers receive major grant from DFG
Members of the BCEE are part of a successful research proposal to receive funding in the German Research Foundation’s (DFG) new Research Impulses scheme. The consortium at the Berlin School of Economics and Law is among ten universities of applied sciences in Germany to receive funding within this new funding scheme. Over a 5-year period, the group of researchers will be examining challenges and resilience of global supply and value chains. BCEE members Tobias Börger and Jürgen Meyerhoff will join this research initiative and be looking specifically at substitution decisions of companies within intertwined supply chain networks as well as consumer preferences for increased supply chain resilience.
Who cares when value (mis)reporting may be found out?
This study in the Journal of Behavioral and Experimental Economics investigates theoretically and experimentally how information leaks affect lying and market outcomes in an ultimatum bargaining setting with asymmetric information. A higher leak probability does not reduce the frequency of misreporting, but it weakens overreporting and strengthens underreporting. Even if ethical concerns do not seem to matter much, probabilistic leaks are welfare enhancing.
Wine makers’ preferences for climate change adaptation
This study in the Journal of Choice Modelling assesses the preferences of wine makers in the Spanish Rioja region for different climate change adaptation measures. The results show that the most widely accepted strategy is the installation of irrigation and shading structures. The study also quantifies the amount of financial assistance wine makers would need to adapt production to changing climatic conditions.
Shark nets in coastal waters keep bathers and beach users safe
Shark nets in coastal waters protect tourists and beach users in Durban, South Africa. Removing such nets would lead to a 20 percent decline in visits to beaches. This study in the American Journal of Agricultural Economics presents an extension of a count model of beach visits to account for individual differences in the reduction of beach visits following a hypothetical removal of protective shark nets.
Equity preferences matter for international agreements on marine plastic pollution
How costs to reduce marine neplastic pollution are shared between countries is an important aspect of international negotiations for a global marine plastic treaty. This study in the American Journal of Agricultural Economics shows that citizens generally prefer an equal sharing of the costs, even though this may mean higher reduction costs for their own country.