Browsing by Subject "Betriebswirtschaftslehre"

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    Agriculture as emission source and carbon sink : economic-ecological modelling for the EU-15
    (2010) Blank, Daniel; Zeddies, Jürgen
    The thesis develops and applies analytical tools to describe economic and ecological impacts of greenhouse gas mitigation strategies in European agriculture. Agriculture is widely perceived as emission source, but actually it can also act as emission sink by sequestration of atmospheric carbon to agricultural soils. Thereby, soil carbon pools potentially store twice as much carbon as contained in the atmosphere. In view of this circumstance, the study analysed agricultural emission sources and mitigation scenarios in the area of conservation tillage and bio-energy production. The analysis was within a mixed-integer programming model optimizing total gross margins of typical farms of NUTS-II-regions in the EU-15. For this micro-economic analysis high quality region specific cost estimates for main agricultural products were indispensible. Thereby a new approach was developed that draws European accountancy data and German engineering cost data. The first dataset comprises of up-to-date crop-unspecific cost data as indicated by European bookkeeping farms. The second comprises of crop specific cost data from German farms. Through a combination of both datasets crop specific estimates of production costs on regional level for the EU-15 evolved. Another study that starts from accountancy data to deduct product cost estimates is currently funded by the European Commission (Farm Accountancy Cost Estimation and Policy Analysis of European Agriculture). By monetarizing greenhouse gas emissions, the Kyoto-Protocol has increased the demand for economic-ecological models to analyse emission scenarios. The study model, EU-EFEM, integrates biophysical data to site-specifically simulate soil carbon dynamics in terms of the mitigation scenario ?conservational tillage?. This approach provides a level of detail that is significantly superior to the one achieved by soil emission factors specified only to global climate zones, a few soil types, and soil management alternatives like provided by the global standard work for the calculation of greenhouse gas emissions, the guidelines of the Intergovernmental Panel on Climate Change (IPCC). The biophysical data was integrated from the EPIC-model to which an interface was established. In the analysis of the agricultural sink function increased input of organic matter, crop rotational modifications, and conservational tillage were assessed. A first scenario that could be monitored relatively easily forces minimum shares of conservational tillage per farm. It was shown that all farms in the EU-15 could comply even with a forced share of 100%. But on average, shares exceeding 80% entail economic losses, basically because of the incompatibility of certain current crop rotations with conservational tillage. Against the average loss of 20 ?/ha in case of 100% of forced conservational tillage, stand single farms facing a loss of 350 ?/ha. Simultaneously soil carbon accumulation remained at marginal levels. In another scenario that directly forces soil carbon accumulation while leaving the choice of the appropriate means to farmers, an accumulation of 181 million tCO2e was achieved. This value corresponds to a forced accumulation of 1.0 t C/ha, a rate out of reach for 25 out of all analysed NUTS-II-regions. Mitigation costs are at 70 ?/tCO2e in this case, but at 10 ?/tCO2e only if only those regions are considered in which the minimum accumulation rates can be achieved. The latter is a competitive value compared to current values of EU traded emission rights. Policy, however, should withdraw from a regulation forcing minimum SOC-accumulation. Main reasons are the difficult monitoring, which would be required on site level, and the absence of a success guarantee on side of farmers for taken measures. Designing effective political instruments, the humus balance as stipulated in the Cross-Compliance regulation of the reformed AGENDA 2000 represents a prefect starting point. The study also analyzed agricultural biogas production with electricity recovery in a combined heat and power (CHP) unit and different (waste) heat utilization rates. European agriculture could increase annual profits by 1.6 to 9.2 billion ? depending mainly on waste heat utilization rate. In the best case, the contribution to climate change mitigation is 263 Mill tCO2e while realising a mitigation gain of 5 ?/tCO2e when excluding subsidies comprised in the feed-in tariff. Being an issue in any discussion about agricultural bio-energy production, the study also analyses the competition for agricultural land with food and feed production. Tapping the full agricultural biogas production potential, 28.7% of grassland and 18.5% of arable land would be bound, although the study constrains biogas production to co-fermentation with manure. The impacts of this competition on agricultural prices could not be analysed in this study, since the applied model is a farm model and not a market equilibrium model. By means of literature research, however, it was concluded that subsidies of biogas production should focus on promoting the fermentation of manure and the utilization of waste heat in order to limit area competition and not to promote the utilization of cultivated biomass.
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    Corporate financing choices : new ideas and revisited common themes
    (2011) Michelsen, Marc; Hachmeister, Dirk
    Observed industry-specific leverage ratios in and across financial systems imply the relevance of capital market imperfections. This severely questions the validity of the irrelevance of capital structure decisions for firm value. Moreover, survey studies of CFOs suggest that managers have some target debt ratio or range, which also refutes the irrelevance of capital structure. The number of studies on capital structure is enormous, but to date no universal theory has been formulated for capital structure. It has even been argued that there might not be any reason to expect a universal theory of capital structure. Instead, different theories apply to firms under different circumstances. For that reason, this dissertation on empirical capital structure research aims to discuss and investigate two specific ?firm circumstances? that influence corporate financing choices and seem promising for future research. First, I investigate a determinant of capital structure that has so far received little attention in literature ? credit ratings by the external agencies Standard & Poor?s and Moody?s. Rating agencies play an eminent role in today?s capital markets. It is likely that firms under the scrutiny of such strong external supervisors may follow a different leverage policy to non-rated firms. However, rating agencies? renowned importance is so far not reflected in the capital structure research. Therefore, I thoroughly investigate the financing choices of externally rated firms for managers? rating considerations. Chapter 2 shows that managers follow a more conservative leverage policy if their firm?s credit rating is about to be upgraded or downgraded. While retained earnings are cross-sectional the dominant source of funding, the economics of security offerings has generated considerable empirical research interest over the past two decades. Survey evidence and stock price dynamics around seasoned equity offerings indicate that managers exploit temporary overvaluations of the firm?s stock and therefore time the equity offering. These efforts are possible because of the information asymmetry between managers and investors and the associated incentives for managers to exploit this informational advantage. Externally rated firms, on the other hand, reduce adverse selection problems with the information gathering process of the rating agencies. Therefore, it is questionable if the market timing hypothesis still holds for externally rated firms? seasoned equity offerings. The results of Chapter 3 imply that rating concerns are an important consideration for equity issuing firms. As a second ?firm circumstance? that may alter the composition of the balance sheet, I examine managers? weighting of public versus private equity in the decision to opt out of the public markets and go private. Such a public-to-private transaction (PTP) is an important step in the corporate life cycle, and modifies the capital structure of the firm significantly. However, consensus has not been reached in the literature on the underlying motives, and accordingly the relevant financial theories. Therefore, in Chapter 3 I investigate the characteristics of German firms that opted out of the public equity markets. Studying the public-to-private decision in Germany is of particular interest, because Germany can still be regarded as a prime example of an insider-controlled and relationship-based financial system. Therefore, the transferability of findings from Anglo-Saxon countries is difficult, as the structure of the financial and legal system is known to have a strong influence on corporate decisions. On the whole, I find no evidence of the free cash flow problem in the German corporate governance system. In respect of the respective PTP companies, the PTP phenomenon can be accounted for by a changing corporate life cycle status and a malfunctioning of the public capital markets.