Is Technological Progress Pareto-Improving for a World with Global Public Goods?
This paper investigates the welfare effects of unilateral or multilateral technological progress in a world with global public goods. We focus on the consumption relation between the private and the public good, and then show that technological progress may be“self-centered” (benefit oneself but harm others), “self-sacrificing” (harm oneself but benefit others), or “self-defeating” (harm all) if two goods are substitutable. In addition, any type of technological progress improves every country’s welfare if the private and the public good are close complements. Copyright Springer-Verlag Wien 2005
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Volume (Year): 84 (2005)
Issue (Month): 2 (03)
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