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Growth and convergence in a model with renewable and nonrenewable resources

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  • Manh Hung NGUYEN
  • Phu Nguyen-Van

Abstract

This paper analyzes the transitional dynamics in a model of economic growth with endogenous technological change and two alternative sources of energy: renewable and non-renewable resources. The conditions for the existence and saddle point property of the steady state are given. Finally, we present the estimation results on the data consisting of R&D energy, non-renewable energy consumption and renewable energy consumption.

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Paper provided by LERNA, University of Toulouse in its series LERNA Working Papers with number 08.28.272.

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Date of creation: Oct 2008
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Handle: RePEc:ler:wpaper:08.28.272

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  1. Brock,W.A. & Taylor,M.S., 2004. "The Green Solow model," Working papers 16, Wisconsin Madison - Social Systems.
  2. André Grimaud & Luc Rouge, 2008. "Environment, Directed Technical Change and Economic Policy," Environmental & Resource Economics, European Association of Environmental and Resource Economists, vol. 41(4), pages 439-463, December.
  3. Hippolyte d'Albis & Pascal Gourdel & Cuong Le Van, 2004. "Existence of solutions in continuous-time optimal growth models," Cahiers de la Maison des Sciences Economiques b04063, Université Panthéon-Sorbonne (Paris 1).
  4. Groth, Christian & Schou, Poul, 2007. "Growth and non-renewable resources: The different roles of capital and resource taxes," Journal of Environmental Economics and Management, Elsevier, vol. 53(1), pages 80-98, January.
  5. Lucas Bretschger & Sjak Smulders, 2003. "Sustainability and Substitution of Exhaustible Natural Resources. How resource prices affect long-term R&D investments," Working Papers 2003.87, Fondazione Eni Enrico Mattei.
  6. Di Maria, Corrado & Valente, Simone, 2006. "The Direction of Technical Change in Capital-Resource Economies," MPRA Paper 1040, University Library of Munich, Germany.
  7. Charles I. Jones, 2004. "Growth and Ideas," NBER Working Papers 10767, National Bureau of Economic Research, Inc.
  8. Christian Groth, 2000. "Can Nonrenewable Resources Alleviate the Knife-edge Character of Endogenous Growth?," Econometric Society World Congress 2000 Contributed Papers 1480, Econometric Society.
  9. Smulders, J.A., 1995. "Entropy, environment and endogenous economic growth," Open Access publications from Tilburg University urn:nbn:nl:ui:12-153413, Tilburg University.
  10. Kolstad, Charles D. & Krautkraemer, Jeffrey A., 1993. "Natural resource use and the environment," Handbook of Natural Resource and Energy Economics, in: A. V. Kneese† & J. L. Sweeney (ed.), Handbook of Natural Resource and Energy Economics, edition 1, volume 3, chapter 26, pages 1219-1265 Elsevier.
  11. Mankiw, N Gregory & Romer, David & Weil, David N, 1992. "A Contribution to the Empirics of Economic Growth," The Quarterly Journal of Economics, MIT Press, vol. 107(2), pages 407-37, May.
  12. Islam, Nazrul, 1995. "Growth Empirics: A Panel Data Approach," The Quarterly Journal of Economics, MIT Press, vol. 110(4), pages 1127-70, November.
  13. Grimaud, Andre & Rouge, Luc, 2005. "Polluting non-renewable resources, innovation and growth: welfare and environmental policy," Resource and Energy Economics, Elsevier, vol. 27(2), pages 109-129, June.
  14. Edward Barbier, 1999. "Endogenous Growth and Natural Resource Scarcity," Environmental & Resource Economics, European Association of Environmental and Resource Economists, vol. 14(1), pages 51-74, July.
  15. Francisco Alvarez & Gustavo A. Marrero & Luis A. Puch, . "Air pollution and the macroeconomy across European countries," Working Papers 2005-10, FEDEA.
  16. Grimaud, Andre & Rouge, Luc, 2003. "Non-renewable resources and growth with vertical innovations: optimum, equilibrium and economic policies," Journal of Environmental Economics and Management, Elsevier, vol. 45(2, Supple), pages 433-453, March.
  17. Smulders, J.A., 2005. "Endogenous technological change, natural resources and growth," Open Access publications from Tilburg University urn:nbn:nl:ui:12-146711, Tilburg University.
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Cited by:
  1. Bozo Draskovic & Jelena Minovic, 2012. "Determination and Compensation of External Costs in Serbia as Parameter of Sustainable Management," Book Chapters, Institute of Economic Sciences.

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