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Pollution-Income Dynamics

Author

Listed:
  • López, Ramón E.
  • Yoon, Sang W.

Abstract

This paper shows that the dynamic properties of the pollution-income relationship under an optimal pollution tax depends on three key factors, namely the degree of temporal and inter-temporal flexibility in consumption and the elasticity of substitution among production inputs. This paper derives general conditions for eluding the limits to growth showing that they require rather stringent assumptions which the existing literature has failed to identify.

Suggested Citation

  • López, Ramón E. & Yoon, Sang W., 2014. "Pollution-Income Dynamics," Working Papers 166072, University of Maryland, Department of Agricultural and Resource Economics.
    • Handle: RePEc:ags:umdrwp:166072
    DOI: 10.22004/ag.econ.166072
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    Cited by:

    1. López, Ramón E. & Yoon, Sang W., 2020. "Sustainable development: Structural transformation and the consumer demand," Structural Change and Economic Dynamics, Elsevier, vol. 52(C), pages 22-38.
    2. Zhang, Wenwen & Chiu, Yi-Bin, 2020. "Do country risks influence carbon dioxide emissions? A non-linear perspective," Energy, Elsevier, vol. 206(C).
    3. David I. Stern, 2017. "The environmental Kuznets curve after 25 years," Journal of Bioeconomics, Springer, vol. 19(1), pages 7-28, April.
    4. Erik Hille & Bernhard Lambernd & Aviral K. Tiwari, 2021. "Any Signs of Green Growth? A Spatial Panel Analysis of Regional Air Pollution in South Korea," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 80(4), pages 719-760, December.
    5. Eugenio Figueroa & Ramón E. López & Gino Sturla, 2019. "Efficient Water Allocation when Climate is Changing: An interdisciplinary approach," Working Papers wp489, University of Chile, Department of Economics.
    6. Figueroa, Eugenio & Pastén, Roberto, 2015. "Beyond additive preferences: Economic behavior and the income pollution path," Resource and Energy Economics, Elsevier, vol. 41(C), pages 91-102.
    7. Chiu, Yi-Bin, 2017. "Carbon dioxide, income and energy: Evidence from a non-linear model," Energy Economics, Elsevier, vol. 61(C), pages 279-288.
    8. López, Ramón E. & Yoon, Sang W., 2016. "Sustainable growth with irreversible stock effects of renewable resources," Economics Letters, Elsevier, vol. 147(C), pages 153-156.
    9. Mare Sarr & Tim Swanson, 2018. "Erratum to: Will Technological Change Save the World? The Rebound Effect in International Transfers of Technology," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 69(2), pages 445-445, February.

    More about this item

    Keywords

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    JEL classification:

    • O1 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development
    • Q2 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation

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