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A framework for modelling economy-environment-development relationships based on dynamic carrying capacity and sustainable development feedback

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Jeroen Bergh

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Abstract

A large literature exists that deals with economic issues of development and growth. It includes various approaches that can be classified as formal-theoretical, empirical-statistical and qualitative-verbal. Recently, the issue of sustainable development has been discussed much, which has given rise to some novel views on the relationship between development and environment. Most of these contributions utilize a more or less qualitative approach. A comprehensive inquiry of the relationship between economy, development, growth and environment may include an analytical approach as well. An analytical framework is proposed here for studies of environment-economy-development relationships that separates between economy, development, environment, and value system. A distinction is made between direct and indirect economy-environment interactions. To overcome disadvantages of assumptions of determinism in long term analysis a sustainable development feedback mechanism is proposed. It reflects anticipative behaviour to natural environmental changes in making long term decisions. This can be seen as a specific element of endogenous growth, namely one based on environmental factors. To illustrate the ideas a number of theoretical models are discussed that can be regarded as dynamic formal extensions of the concept of carrying capacity. Different cases include combinations of internal and external feedback mechanisms to an economy. The results demonstrate that in addition to behaviourial patterns that have been obtained by more complex studies other patterns may emerge. Copyright Kluwer Academic Publishers 1993

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File URL: http://hdl.handle.net/10.1007/BF00418819
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Article provided by European Association of Environmental and Resource Economists in its journal Environmental and Resource Economics.

Volume (Year): 3 (1993)
Issue (Month): 4 (August)
Pages: 395-412
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Handle: RePEc:kap:enreec:v:3:y:1993:i:4:p:395-412

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Related research
Keywords: Sustainable development; dynamic models; growth theory; integrated modelling; carrying capacity;

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References listed on IDEAS
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.:
  1. Hartwick, John M, 1977. "Intergenerational Equity and the Investing of Rents from Exhaustible Resources," American Economic Review, American Economic Association, vol. 67(5), pages 972-74, December. [Downloadable!] (restricted)
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  2. Peterson, Frederick M & Fisher, Anthony C, 1977. "The Exploitation of Extractive Resources: A Survey," Economic Journal, Royal Economic Society, vol. 87(348), pages 681-721, December. [Downloadable!] (restricted)
  3. Beavis, Brian & Dobbs, Ian M., 1986. "The dynamics of optimal environmental regulation," Journal of Economic Dynamics and Control, Elsevier, vol. 10(3), pages 415-423, September. [Downloadable!] (restricted)
  4. Olli Tahvonen, 1991. "On the dynamics of renewable resource harvesting and pollution control," Environmental & Resource Economics, European Association of Environmental and Resource Economists, vol. 1(1), pages 97-117, March. [Downloadable!] (restricted)
  5. Solow, Robert M, 1986. " On the Intergenerational Allocation of Natural Resources," Scandinavian Journal of Economics, Blackwell Publishing, vol. 88(1), pages 141-49.
  6. Barbier, Edward B., 1990. "Alternative approaches to economic-environmental interactions," Ecological Economics, Elsevier, vol. 2(1), pages 7-26, April. [Downloadable!] (restricted)
  7. R. M. Solow, 1973. "Intergenerational Equity and Exhaustable Resources," Working papers 103, Massachusetts Institute of Technology (MIT), Department of Economics.
  8. van den Bergh, Jeroen C. J. M. & Nijkamp, Peter, 1991. "Operationalizing sustainable development: dynamic ecological economic models," Ecological Economics, Elsevier, vol. 4(1), pages 11-33, October. [Downloadable!] (restricted)
  9. J C J M van den Bergh & P Nijkamp, 1991. "Aggregate dynamic economic - ecological models for sustainable development," Environment and Planning A, Pion Ltd, London, vol. 23(10), pages 1409-1428, October. [Downloadable!] (restricted)
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  10. Wilen, James E., 1985. "Bioeconomics of renewable resource use," Handbook of Natural Resource and Energy Economics, in: A. V. Kneese† & J. L. Sweeney (ed.), Handbook of Natural Resource and Energy Economics, edition 1, volume 1, chapter 2, pages 61-124 Elsevier. [Downloadable!] (restricted)
  11. Tahvonen, Olli & Kuuluvainen, Jari, 1991. "Optimal growth with renewable resources and pollution," European Economic Review, Elsevier, vol. 35(2-3), pages 650-661, April. [Downloadable!] (restricted)
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Cited by:
(explanations, 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.)

  1. Jeroen C.J.M. van den Bergh & Peter Nijkamp, 1998. "Advances in Environmental Economics: Analysis and Modelling," Tinbergen Institute Discussion Papers 98-094/3, Tinbergen Institute. [Downloadable!]
  2. Knut Rosendahl, 1997. "Does improved environmental policy enhance economic growth?," Environmental & Resource Economics, European Association of Environmental and Resource Economists, vol. 9(3), pages 341-364, April. [Downloadable!] (restricted)
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