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Population growth and natural resource scarcity: long-run development under seemingly unfavourable conditions Author info | Abstract | Publisher info | Download info | Related research | Statistics Lucas Bretschger () (CER-ETH - Center of Economic Research at ETH Zurich )
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The paper develops a model with non-exponential population growth, nonrenewable natural resources, and endogenous knowledge creation to analyse substitution between primary inputs and an essential use of resources in the innovation sectors, which is generally considered as most unfavourable for growth. We show that population growth and poor input substitution are not detrimental but even needed to obtain sustainable consumption. A permanent increase in living standards can be achieved under free market conditions. With a backstop technology, the system converges to a balanced growth path with classical properties.
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Paper provided by CER-ETH - Center of Economic Research (CER-ETH) at ETH Zurich in its series Economics working paper series with number
08/87.
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Length: 30 pages
Date of creation: Jun 2008Date of revision:
Handle: RePEc:eth:wpswif:08-87Contact details of provider: Postal: Weinbergstrasse 35, WEH, CH-8092 Z�rich Phone: +41 44 632 41 28 Fax: +41 44 632 12 18 Email: Web page: http://www.cer.ethz.ch More information through EDIRC
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Keywords: Population growth ; non-renewable resources ; poor input substitution ; technical change ; sustainability ; Other versions of this item:
Find related papers by JEL classification: Q32 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Nonrenewable Resources and Conservation - - - Exhaustible Resources and Economic Development Q55 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environmental Economics: Technological Innovation Q56 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environment and Development; Environment and Trade; Sustainability; Environmental Accounting O41 - Economic Development, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - One, Two, and Multisector Growth Models
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