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Intergenerational Altruism and the Environment

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Author Info
Jouvet, P.-A.
Michel, P.
Vidal, J.-P.

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Abstract

This paper constructs an overlapping generations model of pollution externality wherein individuals are altruistically linked to their offspring as in Barro (1974). It is shown that steady state consumption may be a decreasing function of the intergenerational degree of altruism. Despite individuals' altruism, the competitive equilibrium is not optimal. We thus study the social optimum and prove that it can be decentralised.

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Publisher Info
Paper provided by Universite Aix-Marseille III in its series G.R.E.Q.A.M. with number 99a03.

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Length: 22 pages
Date of creation: 1999
Date of revision:
Handle: RePEc:fth:aixmeq:99a03

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Related research
Keywords: ENVIRONMENT ; EXTERNALITIES ; GENERATIONS;

Other versions of this item:

Find related papers by JEL classification:
D62 - Microeconomics - - Welfare Economics - - - Externalities
D64 - Microeconomics - - Welfare Economics - - - Altruism
D91 - Microeconomics - - Intertemporal Choice and Growth - - - Intertemporal Consumer Choice; Life Cycle Models and Saving

Cited by:
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  1. Tetsuo Ono, 2002. "The Effects of Emission Permits on Growth and the Environment," Environmental & Resource Economics, European Association of Environmental and Resource Economists, vol. 21(1), pages 75-87, January. [Downloadable!] (restricted)
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  2. Tetsuo Ono & Yasuo Maeda, 2001. "Is Aging Harmful to the Environment?," Environmental & Resource Economics, European Association of Environmental and Resource Economists, vol. 20(2), pages 113-127, October. [Downloadable!] (restricted)
  3. CARDIA, Emanuela & MICHEL, Philippe, 2003. "Altruism, Intergenerational Transfers of Time and Bequests," Cahiers de recherche 02-2003, Centre interuniversitaire de recherche en économie quantitative, CIREQ. [Downloadable!]
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  4. BRECHET, Thierry & LAMBRECHT, StŽphane, 2006. "Intertemporal equilibrium with a resource bequest motive," CORE Discussion Papers 2006022, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE). [Downloadable!]
  5. Tetsuo Ono, 2009. "The political economy of environmental and social security policies: the role of environmental lobbying," Economics of Governance, Springer, vol. 10(3), pages 261-296, July. [Downloadable!] (restricted)
  6. María José Gutiérrez, 2004. "Dynamic Inefficiency in an Overlapping Generation Economy with Pollution and Health Costs," Economic Working Papers at Centro de Estudios Andaluces E2004/38, Centro de Estudios Andaluces. [Downloadable!]
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  7. María-José Gutiérrez, 2002. "Dynamic Inefficiency in an Overlapping Generation Economy with Pollution and Health C," DFAEII Working Papers 200223, University of the Basque Country - Department of Foundations of Economic Analysis II, revised 29 Aug 2008. [Downloadable!]
  8. Gilles Rotillon & Pierre-André Jouvet & Philippe Michel, 2004. "Equilibrium with a Market of Permits," Working Papers 2004.94, Fondazione Eni Enrico Mattei. [Downloadable!]
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  9. John C. V. Pezzey, 2001. "Sustainability Policy and Environmental Policy," Economics and Environment Network Working Papers 0104, Australian National University, Economics and Environment Network. [Downloadable!]
  10. de la Croix, David & Michel, Philippe, 1997. "Altruism and self-refrain," Discussion Papers (IRES - Institut de Recherches Economiques et Sociales) 1998010, Université catholique de Louvain, Institut de Recherches Economiques et Sociales (IRES), revised 00 Apr 1998. [Downloadable!]
  11. Pierre-André Jouvet & Philippe Michel & Gilles Rotillon, 2004. "Optimal growth with pollution : how to use pollution permits ?," Cahiers de la Maison des Sciences Economiques v04012, Université Panthéon-Sorbonne (Paris 1). [Downloadable!]
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  12. Mouez Fodha, 2005. "Maintenance environnementale et politique fiscale optimale dans un modèle à générations imbriquées," Recherches économiques de Louvain, De Boeck Université, vol. 71(4), pages 413-425. [Downloadable!]
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  13. Heijdra, B.J. & Kooiman, J.P. & Ligthart, J.E., 2004. "Environmental quality, the macroeconomy, and intergenerational distribution," Discussion Paper 73, Tilburg University, Center for Economic Research. [Downloadable!]
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