By Toshi H. Arimura
Focusing on pollution, strength potency and weather swap, this booklet offers an advent to Japan’s environmental guidelines and laws, and gives fiscal analyses and RIAs (Regulatory effect research) of environmental laws applied or deliberate by means of the nationwide and native governments. the outlet bankruptcy studies environmental economics and descriptions the present prestige of RIAs in Japan. bankruptcy 2 analyzes the NOx-PM Act, which prohibits using previous and polluting autos in metropolitan components. bankruptcy three examines a Tokyo metropolitan govt law which calls for set up of toxins keep an eye on apparatus in older vehicles that fail to fulfill emission criteria. bankruptcy four lines the effect of the NOx-PM Act at the used automobile industry and used automobile exports. bankruptcy five provides an financial research of a street toll relief, revealing an unforeseen adverse social impression: it elevated traffic jam and linked environmental difficulties. the ultimate 3 chapters handle rules and laws regarding strength potency and weather switch bankruptcy 6 evaluates the effectiveness of Japan’s power Conservation Act, initially brought in 1979 and amended a number of instances to deal with weather switch. bankruptcy 7 anticipates the influence of a proposed economy-wide carbon tax, utilizing input-output research to evaluate momentary fiscal affects in every one quarter. additionally provided here's an exam of the effectiveness of a discounted carbon tax for energy-intensive industries, with a dialogue of the influence of the concept on families. the ultimate bankruptcy discusses the function and obstacles of financial versions for comparing Japan’s mid-term GHG (Greenhouse fuel) emission objective throughout the post-Kyoto interval. this can be the 1st publication to judge jap environmental guidelines from an financial standpoint, utilizing numerous present quantitative ways. Its findings and proposals will gain scholars, coverage makers and executive officers in constructing and constructed nations the place the general public faces comparable environmental problems.
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Additional info for An Evaluation of Japanese Environmental Regulations: Quantitative Approaches from Environmental Economics
For example, on average, trucks that were initially registered in 1990 are replaced in 2010 in the absence of the VTR. By contrast, with the VTR, the same trucks must be replaced in 2005; thus, the number of reduced years is five. In the figure, “without” and “with” mean “without the VTR” and “with the VTR,” respectively. To measure the cost of replacement without the VTR in 2005, the price of a new vehicle must be discounted for the period of 5 years (2010–2005). Therefore, the replacement cost was computed as follows: (Price of a new vehicle) Â exp (Àdiscount rate Â reduced years), where “exp (Á)” is an exponential function that discounts continuous variables.
If we assume that mileage per vehicle is constant over time, then the total mileage decreases because the number of vehicles decreases. Hence, we imposed a restriction in which total mileage is constant in the presence of the VTR such that mileage per vehicle increases when the number of vehicles decreases. 36 2 Ex Ante Policy Evaluation of the Vehicle Type Regulation Fig. 6 Changes in the volume of NOx and PM emissions: with and without the VTR municipalities that are not included in the report, we used the average mileage per vehicle for each vehicle type.
Thus, the cost of replacement in 2005 is P Â exp(Ài Â 5). With the VTR, the cost of replacement in 2005 is simply P. Because the compliance cost is the difference between the costs of replacement with and without the VTR, it is expressed as follows: ðOpportunity cost of replacementÞ ¼ ðPurchase cost with the VTRÞ À ðPurchase cost without the VTRÞ ¼ P À ðPresent value of P discounted for the period Y Þ ¼ P À fP Â expðÀ discount rate Â Y Þg ð2:1Þ According to JAMA (2005a, b), vehicle owners do not change the types of vehicles upon replacement.