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A Model of Choice between Current Consumption and Future Economic Growth

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  • Arifa, Ali
  • Gan, Christopher E.C.

Abstract

This paper uses a newly proposed working definition of sustainability based upon the Rawlsian principle of justice to develop a simple aggregative model of growth. The model explores the issue of choice between current consumption and future economic growth through changes in capital stock. It is shown that sustainable growth limits the range of this choice, but does not determine it. The model used is only illustrative, but may be useful as a pointer for future research and comparison of sustainability modelling techniques.

Suggested Citation

  • Arifa, Ali & Gan, Christopher E.C., 1996. "A Model of Choice between Current Consumption and Future Economic Growth," Review of Marketing and Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 64(01), pages 1-4, April.
    • Handle: RePEc:ags:remaae:12303
    DOI: 10.22004/ag.econ.12303
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    Keywords

    International Development;

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