Derivation of Shadow Price for CO2 Gas Emission Using Distance Function Approach
Gholamali Sharzehi () and
Morteza Molaei
Additional contact information
Gholamali Sharzehi: Associate Professor, Faculty of Economics, University of Tehran
Morteza Molaei: Ph.D. student, Agricultural Economics Department, University of Tehran
Iranian Economic Review (IER), 2008, vol. 13, issue 1, 123-135
Abstract:
The purpose of this study is to estimate the shadow price of CO2 gas emission utilizing the output distance function including good products (GDP) and bad products (CO2). At the first, output oriented technical efficiency under the two assumptions of weak and strong disposability of CO2 and Environmental Efficiency Index are estimated using the Iran’s economic data. Shadow price of CO2 gas emission is derived employing a Translog distance function. Results show that the average of technical efficiency under the two assumptions of strong and weak disposability and environmental efficiency are equal to 1.0743, 1.0910 and 0.99267, respectively. Average shadow price of CO2 emission is 0.10933 million US dollars per thousand tons based on the constant price of the year 2000.
Keywords: Environmental Efficiency; Shadow Price of CO2; Distance Function; Iran (search for similar items in EconPapers)
Date: 2008
References: View references in EconPapers View complete reference list from CitEc
Citations:
Downloads: (external link)
ftp://80.66.179.253/eut/journl/20081-7.pdf (application/pdf)
Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
HTML/Text
Persistent link: https://EconPapers.repec.org/RePEc:eut:journl:v:13:y:2008:i:1:p:123
Access Statistics for this article
Iranian Economic Review (IER) is currently edited by Dr.Hossien Abbasinejad
More articles in Iranian Economic Review (IER) from Faculty of Economics,University of Tehran.Tehran,Iran Contact information at EDIRC.
Bibliographic data for series maintained by [z.rahimalipour] ().