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Growth embedded in a finite Earth

Author

Listed:
  • William Brock
  • Anastasios Xepapadeas

Abstract

This paper puts forth a growth model that takes into account the fact that the economy is embedded in a finite Earth. Economic activity causes greenhouse gas (GHG) emissions into the atmosphere and uses services from the biosphere. There are two main messages from the analysis: First, R&D in technologies that reduce GHG emissions and inputs from the biosphere must be ramped up rapidly. Second, in view of the fact that the top 10% of the world's inhabitants have roughly 76% of the world's wealth, consumption that causes emissions and uses inputs from the biosphere must decrease rapidly.

Suggested Citation

  • William Brock & Anastasios Xepapadeas, 2024. "Growth embedded in a finite Earth," DEOS Working Papers 2402, Athens University of Economics and Business.
    • Handle: RePEc:aue:wpaper:2402
    as

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    File URL: http://wpa.deos.aueb.gr/docs/2024.BX.LimGrowth.pdf
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    References listed on IDEAS

    as
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    More about this item

    Keywords

    growth; limits; biosphere; population dynamics; impact inequality; biosphere saving technology;
    All these keywords.

    JEL classification:

    • O44 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Environment and Growth
    • J13 - Labor and Demographic Economics - - Demographic Economics - - - Fertility; Family Planning; Child Care; Children; Youth
    • Q01 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - General - - - Sustainable Development

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