Endogenous growth effects of environmental policies

• Type: Article in International Scientific Journal
• Date: 2015

Authors

Óscar Afonso (Author) FEP; Ana Catarina Afonso (Author) Other

Journal

Title: Panoeconomicus

Vol. 62

Pages: 607-629

ISSN: 1452-595X

Publisher: SAVEZ EKONOMISTA VOJVODINE

Indexing

ISI Web of Knowledge - 2 Citations

Scopus - 4 Citations

Scientific classification

CORDIS: Social sciences > Economics

FOS: Social sciences > Economics and Business

Other information

Authenticus ID: P-00J-ZPP

DOI: 10.2298/PAN1505607A

Abstract (EN): To analyse the impact of the environmental policies, we start by reviewing the literature on the environment, technological knowledge and economic growth. Then, we build a general equilibrium endogenous growth model where final goods are produced either in the skilled-labour intensive Clean sector or in the unskilled-labour intensive Unclean sector. By solving numerically transitional dynamics towards the unique and stable steady state, we observe that environmental policies encourage scale-invariant technological-knowledge bias. This, in turn, promotes environmental quality, the skill premium and economic growth. Moreover, the impact of population growth on the steady-state growth rate is higher under strong households' environmental conscientiousness with future generations.

Language: English

Type (Professor's evaluation): Scientific