Pollution externalities in a Schumpeterian growth model


Koesler, Simon


[img]
Preview
PDF
dp10055.pdf - Published

Download (393kB)

URL: http://ub-madoc.bib.uni-mannheim.de/3001
URN: urn:nbn:de:bsz:180-madoc-30014
Document Type: Working paper
Year of publication: 2010
Publication language: English
Institution: Sonstige Einrichtungen > ZEW - Leibniz-Zentrum für Europäische Wirtschaftsforschung
MADOC publication series: Veröffentlichungen des ZEW (Leibniz-Zentrum für Europäische Wirtschaftsforschung) > ZEW Discussion Papers
Subject: 330 Economics
Classification: JEL: Q56 Q55 Q51 O41 ,
Subject headings (SWD): Umweltbelastung , Wachstumstheorie , Endogenes Wirtschaftswachstum , Technischer Fortschritt , Umweltökonomie , Theorie
Keywords (English): economic growth , endogenous pollution intensity , Schumpeter
Abstract: This paper extends a standard Schumpeterian growth model to include an environmental dimension. Thereby, it explicitly links the pollution intensity of economic activity to technological progress. In a second step, it investigates the effect of pollution on economic growth under the assumption that pollution intensities are related to technological progress. Several conclusions emerge from the model. In equilibrium, the economy follows a balanced growth path. The effect of pollution on the economic growth rate vitally depends on the households' degree of pollution aversion and on the link between pollution intensity and the technology level. The decentralized solution does not meet the social optimum, though the social optimum can be implemented through the introduction of subsidies and pollution permits. Expectedly, the introduction of a pollution threshold stalls growth if pollution is not decoupled from economic growth and the possibility of pollution abatement allows the economy to grow at a higher rate.
Additional information:

Das Dokument wird vom Publikationsserver der Universitätsbibliothek Mannheim bereitgestellt.




+ Citation Example and Export

Koesler, Simon (2010) Pollution externalities in a Schumpeterian growth model. Open Access [Working paper]
[img]
Preview


+ Search Authors in

+ Download Statistics

Downloads per month over past year

View more statistics



You have found an error? Please let us know about your desired correction here: E-Mail


Actions (login required)

Show item Show item