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Private health expenditures and environmental quality

Listed author(s):
  • Safi, Fatma
  • Ben Hassen, Lobna
Registered author(s):

    This paper presents a simple two-period overlapping generations model that contains environmental and health issues. It investigates an intergenerational conflict between old and young generations as regards two defensive expenditures offsetting the influence of a worsening environment represented here by health care and environmental investment. Workers support environmental maintenance while retirees prefer investing in health care. The authors have shown that an increasing support for private health expenditure leads to a higher level of capital accumulation and leads also to a higher level of environmental quality if the maintenance efforts are higher than consumption externalities.

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    File URL: http://dx.doi.org/10.5018/economics-ejournal.ja.2017-3
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    File URL: https://www.econstor.eu/bitstream/10419/150537/1/880451041.pdf
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    Article provided by Kiel Institute for the World Economy (IfW) in its journal Economics: The Open-Access, Open-Assessment E-Journal.

    Volume (Year): 11 (2017)
    Issue (Month): ()
    Pages: 1-24

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    Handle: RePEc:zbw:ifweej:20173
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    1. Chakraborty, Shankha, 2004. "Endogenous lifetime and economic growth," Journal of Economic Theory, Elsevier, vol. 116(1), pages 119-137, May.
    2. Carlotta Balestra & Davide Dottori, 2012. "Aging society, health and the environment," Journal of Population Economics, Springer;European Society for Population Economics, vol. 25(3), pages 1045-1076, July.
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