Pollution and the Efficiency of Urban Growth
AbstractWe analyze the efficiency of urbanization patterns in a dynamic model of endogenous urban growth with two sectors of production. Production exhibits increasing returns to scale on aggregate. Urban environmental pollution, as a force that discourages agglomeration, is caused by domestic production. We show that cities are too large and too few in number in equilibrium, compared to the efficient urbanization path, if economic growth implies increasing aggregate emissions. If, on the other hand, production becomes cleaner over time (`quality growth') the urbanization path approximates the efficient outcome after finite time.
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.
Bibliographic InfoPaper provided by Fondazione Eni Enrico Mattei in its series Working Papers with number 2008.75.
Date of creation: Sep 2008
Date of revision:
Cities; Urbanisation; Pollution; Growth; Migration; Sustainable Development;
Find related papers by JEL classification:
- Q56 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environment and Development; Environment and Trade; Sustainability; Environmental Accounts and Accounting; Environmental Equity; Population Growth
- R12 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Size and Spatial Distributions of Regional Economic Activity; Interregional Trade (economic geography)
- O18 - Economic Development, Technological Change, and Growth - - Economic Development - - - Urban, Rural, Regional, and Transportation Analysis; Housing; Infrastructure
This paper has been announced in the following NEP Reports:
- NEP-ALL-2008-10-28 (All new papers)
- NEP-DGE-2008-10-28 (Dynamic General Equilibrium)
- NEP-ENE-2008-10-28 (Energy Economics)
- NEP-ENV-2008-10-28 (Environmental Economics)
- NEP-GEO-2008-10-28 (Economic Geography)
- NEP-RES-2008-10-28 (Resource Economics)
- NEP-URE-2008-10-28 (Urban & Real Estate Economics)
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.:
- Lieb, Christoph M., 2002. "The environmental Kuznets curve and satiation: a simple static model," Environment and Development Economics, Cambridge University Press, vol. 7(03), pages 429-448, July.
- Paul Krugman, 1990.
"Increasing Returns and Economic Geography,"
NBER Working Papers
3275, National Bureau of Economic Research, Inc.
- Diego Puga, 1996.
"The Rise and Fall of Regional Inequalities,"
CEP Discussion Papers
dp0314, Centre for Economic Performance, LSE.
- Esteban Rossi-Hansberg & Mark L. J. Wright, 2006.
"Urban structure and growth,"
381, Federal Reserve Bank of Minneapolis.
- Mark Wright & Esteban Rossi-Hansberg, 2004. "Urban Structure and Growth," 2004 Meeting Papers 33, Society for Economic Dynamics.
- Esteban Rossi-Hansberg & Mark L. J. Wright, 2003. "Urban structure and growth," Discussion Paper / Institute for Empirical Macroeconomics 141, Federal Reserve Bank of Minneapolis.
- Esteban Rossi-Hansberg & Mark L.J. Wright, 2005. "Urban Structure and Growth," NBER Working Papers 11262, National Bureau of Economic Research, Inc.
- Henderson, J V, 1974.
"The Sizes and Types of Cities,"
American Economic Review,
American Economic Association, vol. 64(4), pages 640-56, September.
- Duncan Black & Vernon Henderson, 1999. "A Theory of Urban Growth," Journal of Political Economy, University of Chicago Press, vol. 107(2), pages 252-284, April.
- Henderson, Vernon, 2002. "Urban primacy, external costs, and quality of life," Resource and Energy Economics, Elsevier, vol. 24(1-2), pages 95-106, February.
- Sonia Ben Kheder & Natalia Zugravu, 2008.
"The pollution haven hypothesis : a geographic economy model in a comparative study,"
Documents de travail du Centre d'Economie de la Sorbonne
v08083, Université Panthéon-Sorbonne (Paris 1), Centre d'Economie de la Sorbonne.
- Natalia Zugravu & Sonia Ben Kheder, 2008. "The Pollution Haven Hypothesis: A Geographic Economy Model in a Comparative Study," Working Papers 2008.73, Fondazione Eni Enrico Mattei.
- Gerlagh, Reyer & Liski, Matti, 2011.
"Strategic resource dependence,"
Journal of Economic Theory,
Elsevier, vol. 146(2), pages 699-727, March.
- Hannes Egli & Thomas Steger, 2007.
"A Dynamic Model of the Environmental Kuznets Curve: Turning Point and Public Policy,"
Environmental & Resource Economics,
European Association of Environmental and Resource Economists, vol. 36(1), pages 15-34, January.
- Hannes Egli & Thomas M. Steger, 2004. "A Dynamic Model of the Environmental Kuznets Curve : Turning Point and Public Poliy," CER-ETH Economics working paper series 04/33, CER-ETH - Center of Economic Research (CER-ETH) at ETH Zurich, revised May 2005.
- James Andreoni & Arik Levinson, 1998.
"The Simple Analytics of the Environmental Kuznets Curve,"
NBER Working Papers
6739, National Bureau of Economic Research, Inc.
- Andreoni, James & Levinson, Arik, 2001. "The simple analytics of the environmental Kuznets curve," Journal of Public Economics, Elsevier, vol. 80(2), pages 269-286, May.
- Grossman, Gene M & Krueger, Alan B, 1995.
"Economic Growth and the Environment,"
The Quarterly Journal of Economics,
MIT Press, vol. 110(2), pages 353-77, May.
- David I. Stern, 2003.
"The Rise and Fall of the Environmental Kuznets Curve,"
Rensselaer Working Papers in Economics
0302, Rensselaer Polytechnic Institute, Department of Economics.
- Stern, David I., 2004. "The Rise and Fall of the Environmental Kuznets Curve," World Development, Elsevier, vol. 32(8), pages 1419-1439, August.
- Anas, Alex & Xiong, Kai, 2005. "The formation and growth of specialized cities: efficiency without developers or Malthusian traps," Regional Science and Urban Economics, Elsevier, vol. 35(4), pages 445-470, July.
- Plassmann, Florenz & Khanna, Neha, 2006. "A note on," Environment and Development Economics, Cambridge University Press, vol. 11(06), pages 697-707, December.
- Vernon Henderson, 2002. "Urbanization in Developing Countries," World Bank Research Observer, World Bank Group, vol. 17(1), pages 89-112.
- Robert W. Helsley & William C. Strange, 1997. "Limited Developers," Canadian Journal of Economics, Canadian Economics Association, vol. 30(2), pages 329-48, May.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (barbara racah).
If references are entirely missing, you can add them using this form.