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Population Density, Pollution and Growth

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  • Clas Eriksson
  • Ficre Zehaie

Abstract

We analyze a growth model where the damage of pollution depends on population density and the character of pollution. From the steady state rates of change, in the social optimum, of a neoclassical and a semi-endogenous growth model respectively, we conclude that the less responsive the damage of pollution is to population density, the more likely is a development path with positive growth in consumption per capita and declining perceived pollution per capita. Non-awareness of the character of pollution may thus give suboptimal solutions. In particular, the commonly held view that pollution is a pure public bad may lead to growth-rate targets that are lower than optimal. Finally, we find that the character of pollution does not influence the transitional dynamics qualitatively. Copyright Springer 2005

Suggested Citation

  • Clas Eriksson & Ficre Zehaie, 2005. "Population Density, Pollution and Growth," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 30(4), pages 465-484, April.
  • Handle: RePEc:kap:enreec:v:30:y:2005:i:4:p:465-484
    DOI: 10.1007/s10640-004-5985-z
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    References listed on IDEAS

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    6. Christian Groth & Poul Schou, 2002. "Can non-renewable resources alleviate the knife-edge character of endogenous growth?," Oxford Economic Papers, Oxford University Press, vol. 54(3), pages 386-411, July.
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    Cited by:

    1. Sibel Sirakaya & Stephen J. Turnovsky & Nedim M. Alemdar, 2009. "Trade, Growth, and Environmental Quality," Review of International Economics, Wiley Blackwell, vol. 17(5), pages 906-926, November.
    2. Aznar-Márquez, J. & Ruiz-Tamarit, J.R., 2017. "Sustainable growth and environmental catastrophes," Mathematical Social Sciences, Elsevier, vol. 89(C), pages 83-91.
    3. Pascal da Costa, 2014. "Semi-Endogenous Growth and Pollution: No Double Dividend in the Long Term," Working Papers hal-00994904, HAL.
    4. Aznar-Márquez, J. & Ruiz-Tamarit, J.R., 2016. "Environmental pollution, sustained growth, and sufficient conditions for sustainable development," Economic Modelling, Elsevier, vol. 54(C), pages 439-449.
    5. Lenka Slavíková, 2015. "Environmental or ecological economics and resource economics: terminological inconsistency in Czech research [Environmentální či ekologická ekonomie a ekonomie zdrojů: terminologická rozvolněnost v," Acta Oeconomica Pragensia, Prague University of Economics and Business, vol. 2015(3), pages 48-57.
    6. Juana AZNAR-MARQUEZ & Jose-Ramon RUIZ-TAMARIT, 2012. "Sufficient and Necessary Conditions for Non-Catastrophic Growth," LIDAM Discussion Papers IRES 2012027, Université catholique de Louvain, Institut de Recherches Economiques et Sociales (IRES).

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