Wealth Heterogeneity and Escape from the Poverty-Environment Trap
AbstractA mutual link between poverty and environmental degradation is examined in an overlapping generations model. Environmental quality affects labor productivity and wealth dynamics, whereas wealth distribution determines the degree to which agents rely on technology that has a large environmental load, and therefore the evolution of environmental quality. This interaction creates a "poverty-environment trap," where a deteriorated environment lowers income, which, in turn, accelerates environmental degradation. We show that greater wealth heterogeneity is the key to escaping from the poverty-environment trap, although it can have negative effects on both the environment and output when not in the trap. Copyright 2007 Blackwell Publishing, Inc..
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
Bibliographic InfoArticle provided by Association for Public Economic Theory in its journal Journal of Public Economic Theory.
Volume (Year): 9 (2007)
Issue (Month): 6 (December)
Contact details of provider:
Web page: http://www.blackwellpublishing.com/journal.asp?ref=1097-3923
More information through EDIRC
Other versions of this item:
- Masako Ikefuji & Ryo Horii, 2005. "Wealth Heterogeneity and Escape from the Poverty-Environment Trap," Development and Comp Systems 0505001, EconWPA.
- Masako Ikefuji & Ryo Horii, 2005. "Wealth Heterogeneity and Escape from the Poverty-Environment Trap," Discussion Papers in Economics and Business 05-09, Osaka University, Graduate School of Economics and Osaka School of International Public Policy (OSIPP).
- O11 - Economic Development, Technological Change, and Growth - - Economic Development - - - Macroeconomic Analyses of Economic Development
- O13 - Economic Development, Technological Change, and Growth - - Economic Development - - - Agriculture; Natural Resources; Environment; Other Primary Products
- O15 - Economic Development, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Duraiappah, Anantha K., 1998. "Poverty and environmental degradation: A review and analysis of the nexus," World Development, Elsevier, vol. 26(12), pages 2169-2179, December.
- Gary S. Becker & Kevin M. Murphy & Robert Tamura, 1994.
"Human Capital, Fertility, and Economic Growth,"
in: Human Capital: A Theoretical and Empirical Analysis with Special Reference to Education (3rd Edition), pages 323-350
National Bureau of Economic Research, Inc.
- Gary S. Becker & Kevin M. Murphy & Robert F. Tamura, 1990. "Human Capital, Fertility, and Economic Growth," NBER Working Papers 3414, National Bureau of Economic Research, Inc.
- Gary S. Becker & Kevin M. Murphy & Robert Tamura, . "Human Capital, Fertility, and Economic Growth," University of Chicago - Population Research Center 90-5a, Chicago - Population Research Center.
- Hopenhayn, Hugo A & Prescott, Edward C, 1992. "Stochastic Monotonicity and Stationary Distributions for Dynamic Economies," Econometrica, Econometric Society, vol. 60(6), pages 1387-406, November.
- Loury, Glenn C, 1981. "Intergenerational Transfers and the Distribution of Earnings," Econometrica, Econometric Society, vol. 49(4), pages 843-67, June.
- Evans, Mary F. & Smith, V. Kerry, 2005. "Do new health conditions support mortality-air pollution effects?," Journal of Environmental Economics and Management, Elsevier, vol. 50(3), pages 496-518, November.
- Maoz, Yishay D & Moav, Omer, 1999. "Intergenerational Mobility and the Process of Development," Economic Journal, Royal Economic Society, vol. 109(458), pages 677-97, October.
- Galor, O. & Tsiddon, D., 1996.
"The Distribution of Human Capital and Economic Growth,"
18-96, Tel Aviv - the Sackler Institute of Economic Studies.
- Galor, Oded & Tsiddon, Daniel, 1997. " The Distribution of Human Capital and Economic Growth," Journal of Economic Growth, Springer, vol. 2(1), pages 93-124, March.
- Banerjee, Abhijit V & Newman, Andrew F, 1993.
"Occupational Choice and the Process of Development,"
Journal of Political Economy,
University of Chicago Press, vol. 101(2), pages 274-98, April.
- Abhijit V. Banerjee & Andrew F. Newman, 1990. "Occupational Choice and the Process of Development," Discussion Papers 911, Northwestern University, Center for Mathematical Studies in Economics and Management Science.
- Filmer, Deon & Pritchett, Lant H., 2002. "Environmental degradation and the demand for children: searching for the vicious circle in Pakistan," Environment and Development Economics, Cambridge University Press, vol. 7(01), pages 123-146, February.
- Piketty, Thomas, 1997. "The Dynamics of the Wealth Distribution and the Interest Rate with Credit Rationing," Review of Economic Studies, Wiley Blackwell, vol. 64(2), pages 173-89, April.
- Omer Moav, 2005.
"Cheap Children and the Persistence of Poverty,"
Royal Economic Society, vol. 115(500), pages 88-110, 01.
- Torras, Mariano & Boyce, James K., 1998. "Income, inequality, and pollution: a reassessment of the environmental Kuznets Curve," Ecological Economics, Elsevier, vol. 25(2), pages 147-160, May.
- Owen, Ann L. & Weil, David N., 1998.
"Intergenerational earnings mobility, inequality and growth,"
Journal of Monetary Economics,
Elsevier, vol. 41(1), pages 71-104, February.
- Ann L. Owen & David N. Weil, 1997. "Intergenerational Earnings Mobility, Inequality, and Growth," NBER Working Papers 6070, National Bureau of Economic Research, Inc.
- Moav, Omer, 2002. "Income distribution and macroeconomics: the persistence of inequality in a convex technology framework," Economics Letters, Elsevier, vol. 75(2), pages 187-192, April.
- Borghesi, Simone & Vercelli, Alessandro, 2003. "Sustainable globalisation," Ecological Economics, Elsevier, vol. 44(1), pages 77-89, February.
- Galor, Oded & Zeira, Joseph, 1993.
"Income Distribution and Macroeconomics,"
Review of Economic Studies,
Wiley Blackwell, vol. 60(1), pages 35-52, January.
- Thijs Zuidema & Andries Nentjes, 1997. "Health damage of air pollution: An estimate of a dose-response relationship for the Netherlands," Environmental & Resource Economics, European Association of Environmental and Resource Economists, vol. 9(3), pages 291-308, April.
- Aggarwal, Rimjhim & Netanyahu, Sinaia & Romano, Claudia, 2001. "Access to natural resources and the fertility decision of women: the case of South Africa," Environment and Development Economics, Cambridge University Press, vol. 6(02), pages 209-236, May.
- John, A & Pecchenino, R, 1994. "An Overlapping Generations Model of Growth and the Environment," Economic Journal, Royal Economic Society, vol. 104(427), pages 1393-1410, November.
- Horii, Ryo & Ikefuji, Masako, 2014. "Environment and Growth," MPRA Paper 53624, University Library of Munich, Germany.
- Fabio Mariani & Agustin Pérez-Barahona & Natacha Raffin, 2008.
"Life expectancy and the environment,"
Documents de travail du Centre d'Economie de la Sorbonne
v08048, Université Panthéon-Sorbonne (Paris 1), Centre d'Economie de la Sorbonne.
- Fabio Mariani & Agustin Pérez-Barahona & Natacha Raffin, 2008. "Life expectancy and the environment," UniversitÃ© Paris1 PanthÃ©on-Sorbonne (Post-Print and Working Papers) halshs-00318677, HAL.
- Mariani, Fabio & Pérez-Barahona, Agustín & Raffin, Natacha, 2009. "Life Expectancy and the Environment," IZA Discussion Papers 4564, Institute for the Study of Labor (IZA).
- Eugenia Vella & Evangelos V. Dioikitopoulos & Sarantis Kalyvitis, 2012.
"Green Spending Reforms, Growth and Welfare with Endogenous Subjective Discounting,"
DEGIT Conference Papers
c017_045, DEGIT, Dynamics, Economic Growth, and International Trade.
- Eugenia Vella & Evangelos Dioikitopoulos & Sarantis Kalyvitis, . "Green Spending Reforms, Growth and Welfare with Endogenous Subjective Discounting," DEOS Working Papers 1335, Athens University of Economics and Business.
- Bhattacharya, Haimanti & Innes, Robert, 2006. "Is There a Nexus between Poverty and Environment in Rural India?," 2006 Annual meeting, July 23-26, Long Beach, CA 21201, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
- Emeline Bezin, 2013. "The dynamics of environmental concern and the evolution of pollution," Working Papers SMART - LERECO 201309, INRA UMR SMART.
- Natacha Raffin, 2009. "Environmental health and education : Towards sustainable growth," Post-Print halshs-00384500, HAL.
- Constant, Karine & Nourry, Carine & Seegmuller, Thomas, 2014. "Population growth in polluting industrialization," Resource and Energy Economics, Elsevier, vol. 36(1), pages 229-247.
- Hamdani, Nisar Hussain & Shah, Syed Akhter Hussain, 2005. "Earthquake 2005: Some Implications for Environment and Human Capital," MPRA Paper 9519, University Library of Munich, Germany.
- repec:hal:journl:halshs-00492178 is not listed on IDEAS
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Wiley-Blackwell Digital Licensing) or (Christopher F. Baum).
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.