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Pollution Permits and Sustabinable Growth in a Schumpeterian Model

Author

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  • Grimaud, A.

Abstract

In the chapter 4 of their book "Endogenous Growth Theory", P. Aghion and P. Howitt introduce environemental pollution in an aggregate Schumpeterian model and they characterize the optimal path. In this paper , we study the equilibria in a decentralized compatible with their model. First study the trade-off between environmental quality and growth, and we identify the channels of transmission of environmental policy on growth performance. Then we compute the tools which allow to implement the optimum.

Suggested Citation

  • Grimaud, A., 1998. "Pollution Permits and Sustabinable Growth in a Schumpeterian Model," Papers 98.508, Toulouse - GREMAQ.
    • Handle: RePEc:fth:gremaq:98.508
    as

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    More about this item

    Keywords

    POLLUTION ; ECONOMIC GROWTH ; ECONOMIC MODELS;
    All these keywords.

    JEL classification:

    • C50 - Mathematical and Quantitative Methods - - Econometric Modeling - - - General
    • Q20 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - General
    • O40 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - General

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