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Modeling Spatial Sustainability: Spatial Welfare Economics versus Ecological Footprint

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Author Info
Fabio Grazi (University of Venice)
Jeroen C.J.M. van den Bergh (Free University)
Piet Rietveld (Free University)

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Abstract

A spatial welfare framework for the analysis of the spatial dimensions of sustainability is developed. It incorporates agglomeration effects, interregional trade, negative environmental externalities and various land use categories. The model is used to compare rankings of spatial configurations according to evaluations based on social welfare and ecological footprint indicators. Five spatial configurations are considered for this purpose. The exercise is operationalized with the help of a two-region model of the economy that is in line with the ‘new economic geography’. Various (counter) examples show that the footprint method is not consistent with an approach aimed at maximum social welfare.

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Publisher Info
Paper provided by Fondazione Eni Enrico Mattei in its series Working Papers with number 2006.5.

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Date of creation: Jan 2006
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Handle: RePEc:fem:femwpa:2006.5

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Related research
Keywords: Agglomeration effects; Trade advantages; Negative externalities; Population density; Spatial configuration; Transport;

Find related papers by JEL classification:
F12 - International Economics - - Trade - - - Models of Trade with Imperfect Competition and Scale Economies
F18 - International Economics - - Trade - - - Trade and Environment
Q56 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environment and Development; Environment and Trade; Sustainability; Environmental Accounting
Q57 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Ecological Economics
R12 - Urban, Rural, and Regional Economics - - General Regional Economics - - - Size and Spatial Distributions of Regional Economic Activity; Interregional Trade (economic geography)

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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. Jon D. Erickson & John M. Gowdy, 2000. "Resource Use, Institutions, and Sustainability: A Tale of Two Pacific Island Cultures," Land Economics, University of Wisconsin Press, vol. 76(3), pages 345-354. [Downloadable!] (restricted)
  2. Ebert, Udo & Welsch, Heinz, 2004. "Meaningful environmental indices: a social choice approach," Journal of Environmental Economics and Management, Elsevier, vol. 47(2), pages 270-283, March. [Downloadable!] (restricted)
  3. van den Bergh, Jeroen C. J. M. & Verbruggen, Harmen, 1999. "Spatial sustainability, trade and indicators: an evaluation of the 'ecological footprint'," Ecological Economics, Elsevier, vol. 29(1), pages 61-72, April. [Downloadable!] (restricted)
  4. Charles van Marrewijk, 2005. "Geographical Economics and the Role of Pollution on Location," Tinbergen Institute Discussion Papers 05-018/2, Tinbergen Institute. [Downloadable!]
  5. Eberts, Randall W. & McMillen, Daniel P., 1999. "Agglomeration economies and urban public infrastructure," Handbook of Regional and Urban Economics, in: P. C. Cheshire & E. S. Mills (ed.), Handbook of Regional and Urban Economics, edition 1, volume 3, chapter 38, pages 1455-1495 Elsevier. [Downloadable!] (restricted)
  6. Dixit, Avinash K & Stiglitz, Joseph E, 1977. "Monopolistic Competition and Optimum Product Diversity," American Economic Review, American Economic Association, vol. 67(3), pages 297-308, June. [Downloadable!] (restricted)
    Other versions:
  7. Krugman, Paul, 1991. "Increasing Returns and Economic Geography," Journal of Political Economy, University of Chicago Press, vol. 99(3), pages 483-99, June. [Downloadable!] (restricted)
    Other versions:
  8. van Vuuren, Detlef P. & Bouwman, Lex F., 2005. "Exploring past and future changes in the ecological footprint for world regions," Ecological Economics, Elsevier, vol. 52(1), pages 43-62, January. [Downloadable!] (restricted)
  9. Lenzen, Manfred & Murray, Shauna A., 2001. "A modified ecological footprint method and its application to Australia," Ecological Economics, Elsevier, vol. 37(2), pages 229-255, May. [Downloadable!] (restricted)
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