The purpose of this study is to measure the adverse effects of toxic gases on environment i.e the impact of carbon dioxide emissions from fossil fuel combustion activities on economic activity in order to evaluate the economic costs of policies designed to reduce carbon dioxide emissions, Impacts of integration of production of black and green energy, petroleum use (gasoline, diesel, aviation fuel, residual,propane), greenhouse gas emissions associated with economic activities and emissions factors are compiled and analyzed, impact of the internalization of environmental externalities on energy prices. It also includes emission performance index (MCPI) for measuring changes in total factor carbon emission performance over time and structural decomposition analysis (SDA) of production-related carbon emissions and also to analyse the relationship between household consumption patterns and pollution, Input-output analysis of CO2 emissions embodied in trade, an environmental performance index for coal-fired power plants, the relationship between environmental degradation and economic growth. The main objective was to analyze the different toxic and hazardous gases and their effect on environment.
Literature Review
Researchers all around the world have written papers, articles and other literature on toxic gases and their adverse effect on environment.
(Pereira & Pereira, 2009) have estimated the impact of carbon dioxide emissions from fossil fuel combustion activities on economic activity in Portugal in order to evaluate the economic costs of policies designed to reduce carbon dioxide emissions. They found that energy consumption has a significant impact on macroeconomic activity. In fact, a one ton of oil equivalent permanent reduction in aggregate energy consumption reduces output by €6340 over the long term, an aggregate impact which hides a wide diversity of effects for different fuel types. More importantly, and since carbon dioxide emissions are linearly related to the amounts of fuel consumed, our results allow us to estimate the costs of reductions in carbon dioxide emissions from different energy sources. We estimate that marginal abatement costs for carbon dioxide are €45.62 per ton of carbon dioxide per year for coal, €66.52 for oil, €91.07 for gas, €191.13 for electricity and €254.23 for biomass. An important policy implication is that, once the overall economic costs of reducing carbon dioxide emissions are considered, fuel switching is a no-regrets environmental policy capable of reducing carbon dioxide emissions without jeopardizing economic activity and indeed with the potential for generating favorable economic outcomes.
( Huizhong & Meszaros, 2009) have estimated that despite higher TGC price, the total supply of electricity is greater under integration than disintegration, reflecting efficiency gains from vertical integration, which eliminates double marginalization. They also found that increased supply resulting from integration induced by the renewable source mandate may reduce the effectiveness of programs that promote energy saving behavior, but at the same time creates room for raising the minimum of renewable sources without unduly depressing production and consumption reduce the effectiveness of programs that promote energy saving behavior, but at the same time creates room for raising the minimum of renewable sources without unduly depressing production and consumption.
( Denise & Hing, 2009 ) found that petroleum use and greenhouse gas emissions associated with economic activities in Hawai'i. Data on economic activity, petroleum consumption by type (gasoline, diesel, aviation fuel, residual, propane), and emissions factors are compiled and analyzed. In the baseline year 1997, emissions are estimated to total approximately 23.2 million metric tons of carbon, 181 thousand metric tons of nitrous oxide, and 31 thousand metric tons of methane in terms of carbon-equivalent global warming potential over a 100-year horizon. Air transportation, electricity, and other transportation are the key economic activity responsible for GHG emissions associated with fossil fuel use. More than 22% of total emissions are attributed to visitor expenditures. On a per person per annum basis, emission rates generated by visitor demand are estimated to be higher than that of residents by a factor of 4.3 for carbon, 3.2 for methane, and 4.8 for nitrous oxide.
( Dimitrios A. Georgakellos,2009 ) found that the calculated external cost is significantly high (compared to the corresponding production cost) mainly in lignite-fired power plants. Specifically, a possible internalization of this external cost would increase the production cost by more than 52% (on average), which, in turn, would affect similarly the electricity prices. This finding could be important for decision makers in the electricity sector to develop strategies for emission reduction and to develop environmental and energy policies.
(P. Zhou B.W. Ang & J.Y. Han, 2009) found that Malmquist CO2 emission performance index (MCPI) for measuring changes in total factor carbon emission performance over time. The MCPI is derived by solving several data envelopment analysis models. Bootstrapping MCPI is proposed to perform statistical inferences on the MCPI results. Using the index the emission performance of the world's 18 top CO2 emitters from 1997 to 2004 is studied. The results obtained showthat the total factor carbon emission performance of the countries as a whole improved by 24% over the period and this was mainly driven by technological progress.
( Youguo Zhang, 2009 ) found that a structural decomposition analysis (SDA) of production-related carbon emissions in China from 1992 to 2005 by adopting the Ghosh input-output model. It found that the supply-side structure, measured by sectoral shares in value added, increased production-related carbon emissions in 1992-2002, mainly due to the rapid growth of manufacturing sectors, but reduced them in 2002-2005 thanks to the decreased shares of carbon-intensive sectors. Whatever the supply-side structure, forward carbon multipliers of each sector or changes in supply-side sectoral shares and related emissions effects calculated by adopting the Ghosh input-output model were different from their demand-side counterparts estimated by adopting the Leontief input-output model.
(Rosa, Alfredo & Julio,2009) found that the pollution produced by both the economy and households in order to satisfy consumption requirements. They also found that the effects of income inequality on expenditure levels, establishing a link between income level, consumption patterns, propensity to consume and CO2 emissions.
( Bin, Huang, Ang & Zhou,2009 ) found that China and Singapore where energy-related CO2 emissions embodied in their exports are estimated at different levels of sector aggregation and levels around 40 sectors appear to be sufficient to capture the overall share of emissions embodied in a country's exports. They also found that in approximating the "ideal" situation the hybrid data treatment approach produces better results than the uniformly distributed data treatment approach.
( Rolf Färe, Shawna Grosskopf & Carl A. Pasurka, 2009 ) found that the EPI can provide initial perspectives on trends in releases of toxic chemicals by coal-fired power plants.
( Artur & Bhaskara,2009 ) found that the that there are important econometric weaknesses in the earlier studies, such as endogeneity, heteroscedasticity, omitted variables, etc. they fill this gap in the literature by investigating the linkage between not only economic development and environmental quality but also financial development and institutional quality. They also found that We also found that financial liberalization may be harmful for environmental quality if it is not accomplished in a strong institutional framework.
