Conservationist government policies and intergenerational equity in an overlapping generations model with renewable resources

Mourmouras, Alex

doi:10.1016/0047-2727(93)90088-b

Cited by 64 publications

(57 citation statements)

References 9 publications

Supporting

Mentioning

Contrasting

Unclassified

Order By: Relevance

“…Natural regeneration is a standard assumption in bioeconomic models (see Conrad and Clark, 1987). Resource renewability in optimal growth models has been analysed by Beltratti et al (1998) in the standard framework, and by Krautkraemer and Batina (1999) and Mourmouras (1993) in the context of overlapping generations. In the next subsection we show that for any constant returns to scale technology, SD cannot be achieved along optimal paths if the social discount rate δ exceeds the rate of resource regeneration net of the rate of population growth.…”

Section: Is Sustainability Optimal?mentioning

confidence: 99%

See 1 more Smart Citation

Sustainable Development, Renewable Resources and Technological Progress

Valente

2005

Environ Resource Econ

View full text Add to dashboard Cite

Conflicts between optimality and sustainability are typical in the literature on sustainable development. Using a 'capital-resource' model of optimal growth, Pezzey and Withagen (1998) have recently proved that if natural resources are exhaustible, the time-path of consumption is single-peaked, declining from some point in time onwards. This paper extends the model to include technical progress, resource renewability and population growth. The main result is that, for any constant returns to scale technology, optimal paths can be sustainable only if the social discount rate does not exceed the sum of the rates of resource regeneration and augmentation net of population growth. Capital depreciation is neutral with respect to this necessary condition for sustainability. The development of resource-saving technologies is crucial for sustaining consumption per capita in the long run.

show abstract

Section: Is Sustainability Optimal?mentioning

confidence: 99%

“…6 Linearizing system (9)- (11) around (x ss , z ss (x ss )), the characteristic roots are 7 The slope of locusż = 0 depends on the values of parameters. In Figure 1, the locus is decreasing in the (x, z) space.…”

Section: Resource Renewabilitymentioning

confidence: 99%

Sustainable Development, Renewable Resources and Technological Progress

Valente

2005

Environ Resource Econ

View full text Add to dashboard Cite

show abstract

“…With respect to Mourmouras (1993), the presence of technological progress modifies the link between resource depletion and sustainability, determining possible conflicts among alternative social objectives. In fact, a necessary and sufficient condition for no depletion in the laissez-faire economy is…”

Section: The Basic Modelmentioning

confidence: 99%

“…Our formal analysis draws on Mourmouras (1993) and Krautkraemer and Batina (1999): in this section, we augment the Mourmouras (1993) model by considering exogenous technical progress; further extensions regarding man-made capital, monopoly rents and endogenous technical change are developed later in section 4. Prospects for sustainability and natural preservation depend on the intergenerational distribution of entitlements, which affect the time-path of resource use, and, in turn, the production frontier and consumption possibilities of generations yet to be born.…”

Section: The Basic Modelmentioning

confidence: 99%

Intergenerational transfers, lifetime welfare, and resource preservation

Valente¹

2008

Envir. Dev. Econ.

View full text Add to dashboard Cite

ABSTRACT. This paper analyzes overlapping-generations models where natural capital is owned by selfish agents. Transfers in favor of young agents reduce the rate of depletion and increase output growth. It is shown that intergenerational transfers may be preferred to laissez-faire by an indefinite sequence of generations: if the resource share in production is sufficiently high, the welfare gain induced by preservation compensates for the loss due to taxation. This conclusion is reinforced when other assets are available, e.g. man-made capital, claims on monopoly rents, and R&D investment. Transfers raise the welfare of all generations, except that of the first resource owner: if resource endowments are taxed at time zero, all successive generations support resource-saving policies for purely selfish reasons.

show abstract

“…This implies a negative income effect on investment in capital 1 John and Pecchenino (1994), John et al (1995), and Jouvet et al (1997) analyze optimal allocation of capital and the environment. Howarth and Norgaard (1990), Howarth (1991) and Mourmouras (1993) discuss intergenerational equity. Howarth and Norgaard (1992) and Howarth (1998) analyze climate change.…”

Section: Introductionmentioning

confidence: 99%

Sustainable development in an aging economy

Ono¹,

Maeda

2002

Envir. Dev. Econ.

View full text Add to dashboard Cite

In this paper, we analyze the effects of population aging on economic growth and the environment in a two-period overlapping generations model of growth, aging, and the environment. We show that aging may be beneficial to economic growth and the environment under perfect annuitisation, while possibly harmful under imperfect annuitisation. We also discuss the implications of our results for environmental policy in an aging economy.JEL Classification: J10, J14, O10, D62, D90.

show abstract

Conservationist government policies and intergenerational equity in an overlapping generations model with renewable resources

Cited by 64 publications

References 9 publications

Sustainable Development, Renewable Resources and Technological Progress

Sustainable Development, Renewable Resources and Technological Progress

Intergenerational transfers, lifetime welfare, and resource preservation

Sustainable development in an aging economy

Contact Info

Product

Resources

About