This article provides an analysis of the economic incentives and financial reporting for Special Purpose Entities (SPEs) over the last four decades. The analysis explains economic factors motivating business use of SPEs and the origins of SPEs in lease accounting and securitization transactions. Related financial reporting standards are identified and discussed, including the historical shift from a traditional control viewpoint to a primary beneficiary viewpoint for financial reporting for consolidation for SPEs (recently renamed Variable Interest Entities (VIEs) in U.S. Financial Accounting Interpretation 46R). The article also includes illustrative journal entries explaining SPE transactions from both the viewpoint of the creating company(s) and the SPE. Actual financial reporting examples and/or journal entries for SPEs created by Bank of America, General Motors Acceptance Corporation, Lucent Technologies and Alza Pharmaceuticals Corporation are also provided.

No description available.

The Chesapeake Bay states continue to struggle to achieve the water quality goals set out in the Chesapeake Bay Agreement. While policy efforts to combat eutrophication tend to focus on reducing nutrient loads at point and nonpoint sources, waters of the Bay can be improved through an increase in the assimilative capacity of the ecosystem, which would remove nutrients (called nutrient assimilation services) from ambient waters. The filtering capacity of the native oyster, C.virginica, is a widely recognized means to enhance water quality. With an increase in the number of oysters in the Bay, and no decrease in wild stocks, oyster aquaculture has the potential to also increase the nutrient assimilation capacity of the ambient environment. Yet the expansion of commercial aquaculture in the Bay has been limited by financial constraints. Increased water quality services might be forthcoming if oyster aquaculturists received financial compensation for the nutrient removal services they provide. Based on previous research, this study develops a procedure for estimating annual nutrient removal from a given size oyster aquaculture facility. Next, a firm level bio-economic simulation model was constructed to estimate the amount of compensation needed by a commercial oyster aquaculture firm to make a new investment in oyster aquaculture. The amount of compensation needed is interpreted as the cost of providing nutrient removal by oyster aquaculture. Results indicate that under many circumstances, nutrient removal services can be provided by oyster aquaculture facilities at a per unit cost comparable with some non-point and point source nutrient removal technologies. Finally, a select number of funding resources were identified as potential outlets for creating payments and demand for nutrient assimilation services. / Master of Science

Yes / We suggest that real collars may be acceptable incentives for encouraging development of low (or no) carbon energy generating facilities as an alternative for high feed‐in‐tariffs. We provide novel analytical solutions for real collars and partial collars, plus floor and ceiling partial derivatives. The ‘gains/losses’ of the energy generator as perceived parameter values change are compared to those of the government providing the collar, and floor or ceiling only, viewing the arrangement as a real option game between principal and agent. A volatility increase first increases, then decreases the ‘gains’ of the generator.

Diss. Stockholm : Handelshögskolan, 1993

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The purpose of this thesis to increase the understanding of how Extended Producer Responsibility (EPR) affects the economy. EPR is a principle stating that producers should be responsible for the environmental impact of their products throughout the life cycle. In four out of five essays, scrapping of end-of-life vehicles in Sweden is used as an example. In Essay I the interdependency of the consumers’ and the producers’ responsibilities are stressed. It is concluded that the financial solution should be separated from the producer in order to ensure that future liabilities can be met. The main contribution of Essay II is that an increased premium will result in an increased number of returned vehicles. In Essay III it is shown that when the environmental harm is constant and relatively low, a deposit-refund system is preferred to an unfounded system. In cases where high environmental harm occurs the optimal choice would be a system combining both deposits and fines. Essay IV concludes that a funded system would have been a better way to finance the premium than an unfunded system in terms of higher rate of return. In Essay V the analysis is no longer limited to ELVs, and a model with endogenous growth is applied to the case where all the products in the economy are covered by EPR. It is found that both the growth and the level of output is favoured by the choice of a funded scheme. / Syftet med avhandlingen är att studera hur ekonomin påverkas av utökat producentansvar. Utökat producentansvar är ett sätt att internalisera miljökostnader i marknadspriset. Producentansvaret för bilar, så som det implementerats i den svenska lagstiftningen, har lagts till den tidigare lagstiftningen utan några större anpassningar. Effekterna av detta har inte tidigare utretts. Först analyseras dess konsekvenser i en översiktlig artikel. Därefter följer en ekonometrisk artikel vars syfte är att testa effekten av den nuvarande bilskrotningspremien. Det visade sig att en höjd premie ökar antalet återlämnade fordon. Sedan används en rättsekonomisk ansats för att förutsättningslöst, dvs. utan att ta den befintliga lagstiftning som utgångspunkt, analysera nedskräpningsproblematiken. Möjligheten att använda ett pantsystem jämförs med att använda böter för att styra individernas beteende. Det visade sig att om miljöpåverkan är relativt liten så är ett pantsystem att föredra, men om även fall med stor miljöpåverkan inkluderas skulle det optimala vara att använda både böter och pant. Därefter jämförs två alternativa sätt att finansiera premien, ett fonderat system jämförs med ett ”Pay-As–You-Go” system. Resultatet indikerar att ett fonderat system hade varit att föredra under den studerade perioden. Slutligen studeras effekterna av producenternas framtida åtaganden till följd av det utökade producentansvaret med hjälp av modell med endogen tillväxt. Det visade sig att både tillväxttakten och nivån på produktionen skulle ha gynnats av ett fonderat system.

O uso de incentivos econômicos é uma realidade na busca do desenvolvimento sustentável. No setor da drenagem urbana não é diferente. Para este setor a sustentabilidade é a reprodução do comportamento hidrológico natural de uma área, utilizando técnicas descentralizadas de micro-gestão, representada pelo Desenvolvimento Urbano de Baixo Impacto (Low Impact Development – LID). O objetivo da presente pesquisa foi analisar o uso de incentivos econômicos para a drenagem urbana, de modo a induzir e financiar o planejamento sustentável em desenvolvimento consolidados e novos, em escala de lote urbano, segundo as técnicas do LID. Para tanto, foram desenvolvidas três etapas metodológicas: (i) a aplicação do planejamento sustentável da drenagem urbana em desenvolvimentos consolidados e novos; (ii) o desenvolvimento dos incentivos econômicos; e (iii) a validação dos incentivos econômicos. Para aplicar as etapas metodológicas foram utilizadas três micro-bacias urbanas do município de Porto Alegre/RS com diferenças físicas, sócio-econômicas e quanto aos problemas relacionados à drenagem urbana. O planejamento sustentável foi simulado nos lotes com características médias nas micro-bacias. A partir destas simulações, e das próprias características das micro-bacias, foram estabelecidos os incentivos econômicos. A validação dos incentivos foi realizada por meio da aplicação de questionários aos proprietários dos lotes, utilizando o Método de Valoração Contingente (MVC), para estimar a Disposição a Pagar (DAP) e a Receber (DAR) dos proprietários para resolver os problemas do setor. Os resultados sugerem que utilizar incentivos positivos é a melhor solução (por exemplo, redução de impostos). Com isso, o controle do escoamento pluvial seria efetivamente estimulado, pois os incentivos positivos são os mais aceitos pelos proprietários, e os custos envolvidos neste controle em escala de lote são inferiores aos normalmente obtidos com as técnicas de controle do escoamento pluvial na macrodrenagem. Constatou-se que a existência de problemas e já ter sofrido um prejuízo qualquer são as variáveis com maior correlação direta com o aumento da DAP e DAR. Como conclusão final, acredita-se que um incentivo econômico positivo serviria para um processo de educação ambiental na drenagem urbana com objetivo de formar cidadãos conscientes e atuantes na busca de um ambiente sustentável. / The use of economic incentives is a reality in the pursuit of sustainable development. In the sector of urban drainage is no different. For this sector sustainability is the reproduction of the natural hydrology of an area, using decentralized techniques of micro-management, represented by the Low Impact Development (LID). The objective of this research was to examine the use of economic incentives for urban drainage, in order to induce and fund its sustainable planning of old and new developments in scale urban lot, according to the techniques of LID. For this purpose, we developed three methodological steps: (i) the implementation of sustainable urban drainage planning in old and new developments, (ii) the development of economic incentives, and (iii) the validation of economic incentives. To apply the methodological steps were used three urban micro-basins of the municipality of Porto Alegre / RS with differences physicals, socio-economic and on the problems related to urban drainage. The sustainable planning was simulated in lots with average characteristics in micro-basins. From these simulations and the actual characteristics of micro-basins were established economic incentives. The validation of the incentives was accomplished through the use of questionnaires to the owners of the lots, using the Contingent Valuation Method (CVM) to estimate the Willingness to Pay (WTP) and Receivable (WTR) for owners to resolve those problems. The results suggest that use positive incentives are the best solution (eg, tax cuts). With this control would be effectively encouraged, because the positive incentives are more accepted by the owners, and the costs involved in controlling scale batch are lower than those generally obtained with the control techniques in macrodrainage. It was found that the existence of problems and that they suffered any damage variables are more directly correlated with the increase in DAP and DAR. As a final conclusion it is believed that a positive economic incentive to serve a process of environmental education in urban drainage aiming to educate citizens aware and active in seeking a sustainable environment.

O uso de incentivos econômicos é uma realidade na busca do desenvolvimento sustentável. No setor da drenagem urbana não é diferente. Para este setor a sustentabilidade é a reprodução do comportamento hidrológico natural de uma área, utilizando técnicas descentralizadas de micro-gestão, representada pelo Desenvolvimento Urbano de Baixo Impacto (Low Impact Development – LID). O objetivo da presente pesquisa foi analisar o uso de incentivos econômicos para a drenagem urbana, de modo a induzir e financiar o planejamento sustentável em desenvolvimento consolidados e novos, em escala de lote urbano, segundo as técnicas do LID. Para tanto, foram desenvolvidas três etapas metodológicas: (i) a aplicação do planejamento sustentável da drenagem urbana em desenvolvimentos consolidados e novos; (ii) o desenvolvimento dos incentivos econômicos; e (iii) a validação dos incentivos econômicos. Para aplicar as etapas metodológicas foram utilizadas três micro-bacias urbanas do município de Porto Alegre/RS com diferenças físicas, sócio-econômicas e quanto aos problemas relacionados à drenagem urbana. O planejamento sustentável foi simulado nos lotes com características médias nas micro-bacias. A partir destas simulações, e das próprias características das micro-bacias, foram estabelecidos os incentivos econômicos. A validação dos incentivos foi realizada por meio da aplicação de questionários aos proprietários dos lotes, utilizando o Método de Valoração Contingente (MVC), para estimar a Disposição a Pagar (DAP) e a Receber (DAR) dos proprietários para resolver os problemas do setor. Os resultados sugerem que utilizar incentivos positivos é a melhor solução (por exemplo, redução de impostos). Com isso, o controle do escoamento pluvial seria efetivamente estimulado, pois os incentivos positivos são os mais aceitos pelos proprietários, e os custos envolvidos neste controle em escala de lote são inferiores aos normalmente obtidos com as técnicas de controle do escoamento pluvial na macrodrenagem. Constatou-se que a existência de problemas e já ter sofrido um prejuízo qualquer são as variáveis com maior correlação direta com o aumento da DAP e DAR. Como conclusão final, acredita-se que um incentivo econômico positivo serviria para um processo de educação ambiental na drenagem urbana com objetivo de formar cidadãos conscientes e atuantes na busca de um ambiente sustentável. / The use of economic incentives is a reality in the pursuit of sustainable development. In the sector of urban drainage is no different. For this sector sustainability is the reproduction of the natural hydrology of an area, using decentralized techniques of micro-management, represented by the Low Impact Development (LID). The objective of this research was to examine the use of economic incentives for urban drainage, in order to induce and fund its sustainable planning of old and new developments in scale urban lot, according to the techniques of LID. For this purpose, we developed three methodological steps: (i) the implementation of sustainable urban drainage planning in old and new developments, (ii) the development of economic incentives, and (iii) the validation of economic incentives. To apply the methodological steps were used three urban micro-basins of the municipality of Porto Alegre / RS with differences physicals, socio-economic and on the problems related to urban drainage. The sustainable planning was simulated in lots with average characteristics in micro-basins. From these simulations and the actual characteristics of micro-basins were established economic incentives. The validation of the incentives was accomplished through the use of questionnaires to the owners of the lots, using the Contingent Valuation Method (CVM) to estimate the Willingness to Pay (WTP) and Receivable (WTR) for owners to resolve those problems. The results suggest that use positive incentives are the best solution (eg, tax cuts). With this control would be effectively encouraged, because the positive incentives are more accepted by the owners, and the costs involved in controlling scale batch are lower than those generally obtained with the control techniques in macrodrainage. It was found that the existence of problems and that they suffered any damage variables are more directly correlated with the increase in DAP and DAR. As a final conclusion it is believed that a positive economic incentive to serve a process of environmental education in urban drainage aiming to educate citizens aware and active in seeking a sustainable environment.

O uso de incentivos econômicos é uma realidade na busca do desenvolvimento sustentável. No setor da drenagem urbana não é diferente. Para este setor a sustentabilidade é a reprodução do comportamento hidrológico natural de uma área, utilizando técnicas descentralizadas de micro-gestão, representada pelo Desenvolvimento Urbano de Baixo Impacto (Low Impact Development – LID). O objetivo da presente pesquisa foi analisar o uso de incentivos econômicos para a drenagem urbana, de modo a induzir e financiar o planejamento sustentável em desenvolvimento consolidados e novos, em escala de lote urbano, segundo as técnicas do LID. Para tanto, foram desenvolvidas três etapas metodológicas: (i) a aplicação do planejamento sustentável da drenagem urbana em desenvolvimentos consolidados e novos; (ii) o desenvolvimento dos incentivos econômicos; e (iii) a validação dos incentivos econômicos. Para aplicar as etapas metodológicas foram utilizadas três micro-bacias urbanas do município de Porto Alegre/RS com diferenças físicas, sócio-econômicas e quanto aos problemas relacionados à drenagem urbana. O planejamento sustentável foi simulado nos lotes com características médias nas micro-bacias. A partir destas simulações, e das próprias características das micro-bacias, foram estabelecidos os incentivos econômicos. A validação dos incentivos foi realizada por meio da aplicação de questionários aos proprietários dos lotes, utilizando o Método de Valoração Contingente (MVC), para estimar a Disposição a Pagar (DAP) e a Receber (DAR) dos proprietários para resolver os problemas do setor. Os resultados sugerem que utilizar incentivos positivos é a melhor solução (por exemplo, redução de impostos). Com isso, o controle do escoamento pluvial seria efetivamente estimulado, pois os incentivos positivos são os mais aceitos pelos proprietários, e os custos envolvidos neste controle em escala de lote são inferiores aos normalmente obtidos com as técnicas de controle do escoamento pluvial na macrodrenagem. Constatou-se que a existência de problemas e já ter sofrido um prejuízo qualquer são as variáveis com maior correlação direta com o aumento da DAP e DAR. Como conclusão final, acredita-se que um incentivo econômico positivo serviria para um processo de educação ambiental na drenagem urbana com objetivo de formar cidadãos conscientes e atuantes na busca de um ambiente sustentável. / The use of economic incentives is a reality in the pursuit of sustainable development. In the sector of urban drainage is no different. For this sector sustainability is the reproduction of the natural hydrology of an area, using decentralized techniques of micro-management, represented by the Low Impact Development (LID). The objective of this research was to examine the use of economic incentives for urban drainage, in order to induce and fund its sustainable planning of old and new developments in scale urban lot, according to the techniques of LID. For this purpose, we developed three methodological steps: (i) the implementation of sustainable urban drainage planning in old and new developments, (ii) the development of economic incentives, and (iii) the validation of economic incentives. To apply the methodological steps were used three urban micro-basins of the municipality of Porto Alegre / RS with differences physicals, socio-economic and on the problems related to urban drainage. The sustainable planning was simulated in lots with average characteristics in micro-basins. From these simulations and the actual characteristics of micro-basins were established economic incentives. The validation of the incentives was accomplished through the use of questionnaires to the owners of the lots, using the Contingent Valuation Method (CVM) to estimate the Willingness to Pay (WTP) and Receivable (WTR) for owners to resolve those problems. The results suggest that use positive incentives are the best solution (eg, tax cuts). With this control would be effectively encouraged, because the positive incentives are more accepted by the owners, and the costs involved in controlling scale batch are lower than those generally obtained with the control techniques in macrodrainage. It was found that the existence of problems and that they suffered any damage variables are more directly correlated with the increase in DAP and DAR. As a final conclusion it is believed that a positive economic incentive to serve a process of environmental education in urban drainage aiming to educate citizens aware and active in seeking a sustainable environment.