IDEAS home Printed from https://ideas.repec.org/p/pra/mprapa/76261.html

Environmental Protection and Economic Growth: An Optimal Pollution Controlling Model

Author

Listed:
  • Liu, Liyuan
  • Peng, Fei

Abstract

Environmental protection against pollution has become a common issue faced by the whole world. In the case of the international cooperation on controlling the environmental pollution, the developing and developed countries have different understanding on the principle of “common but differentiated responsibilities”. This paper has set up an optimal pollution controlling model for the developing and developed countries to incorporate environmental protection and economic growth. Based on a dynamic differential game, we find that the increasing environmental expenditure of developed countries in the initial stage of the economic growth path of the developing country can stimulate more international cooperation on pollution controlling. The developing and developed countries can control the environment pollution without significant loss of social welfare.

Suggested Citation

  • Liu, Liyuan & Peng, Fei, 2015. "Environmental Protection and Economic Growth: An Optimal Pollution Controlling Model," MPRA Paper 76261, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:76261
    as

    Download full text from publisher

    File URL: https://mpra.ub.uni-muenchen.de/76261/1/MPRA_paper_76261.pdf
    File Function: original version
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Michael Hoel, 2005. "The Triple Inefficiency of Uncoordinated Environmental Policies," Scandinavian Journal of Economics, Wiley Blackwell, vol. 107(1), pages 157-173, March.
    2. John Campbell & Angus Deaton, 1989. "Why is Consumption So Smooth?," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 56(3), pages 357-373.
    3. Zagonari, Fabio, 1998. "International Pollution Problems: Unilateral Initiatives by Environmental Groups in One Country," Journal of Environmental Economics and Management, Elsevier, vol. 36(1), pages 46-69, July.
    4. Joachim Fuenfgelt & Guenther G. Schulze, 2011. "Endogenous Environmental Policy when Pollution is Transboundary," Discussion Paper Series 14, Department of International Economic Policy, University of Freiburg, revised Feb 2011.
    5. Conconi, Paola, 2003. "Green lobbies and transboundary pollution in large open economies," Journal of International Economics, Elsevier, vol. 59(2), pages 399-422, March.
    6. Johan Eyckmans & Michael Finus, 2007. "Measures to enhance the success of global climate treaties," International Environmental Agreements: Politics, Law and Economics, Springer, vol. 7(1), pages 73-97, March.
    7. Charles F. Mason & John A. List, 1999. "Spatial aspects of pollution control when pollutants have synergistic effects: Evidence from a differential game with asymmetric information," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 33(4), pages 439-452.
    8. Dinda, Soumyananda, 2004. "Environmental Kuznets Curve Hypothesis: A Survey," Ecological Economics, Elsevier, vol. 49(4), pages 431-455, August.
    9. Deaton, Angus S & Muellbauer, John, 1980. "An Almost Ideal Demand System," American Economic Review, American Economic Association, vol. 70(3), pages 312-326, June.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Liyuan Liu & Jing Zhu & Yibin Zhang & Xiding Chen, 2020. "An Optimal Pollution Control Model for Environmental Protection Cooperation between Developing and Developed Countries," IJERPH, MDPI, vol. 17(11), pages 1-20, May.
    2. Kammerlander, Andreas & Schulze, Günther G., 2020. "Are Democracies Cleaner?," European Journal of Political Economy, Elsevier, vol. 64(C).
    3. Daniel McFadden, 2014. "The new science of pleasure: consumer choice behavior and the measurement of well-being," Chapters, in: Stephane Hess & Andrew Daly (ed.), Handbook of Choice Modelling, chapter 2, pages 7-48, Edward Elgar Publishing.
    4. Nobel Prize Committee, 2015. "Consumption, Poverty, and Welfare," Nobel Prize in Economics documents 2015-2, Nobel Prize Committee.
    5. Eleni Stathopoulou, 2014. "Environmental campaigns and endogenous technology choice under international oligopoly," Discussion Papers in Economics 14/10, Division of Economics, School of Business, University of Leicester.
    6. Li, Shaoshuai & Li, Zhigang & Ni, Jinlan & Yuan, Jia, 2023. "Growing pains for others: Using holidays to identify the pollution spillover between China and South Korea," China Economic Review, Elsevier, vol. 77(C).
    7. Jevan M. Cherniwchan & M. Scott Taylor, 2022. "International Trade and the Environment: Three Remaining Empirical Challenges," NBER Working Papers 30020, National Bureau of Economic Research, Inc.
    8. Goodwin, Barry K., 2024. "A 'Differential' Differential Demand System: An Application to US Meat Demand," 2024 Annual Meeting, July 28-30, New Orleans, LA 343712, Agricultural and Applied Economics Association.
    9. Arsani Alina & Stefan George, 2024. "Energy Transition and European Sub-Models. Restructuring EU Economy," Proceedings of the International Conference on Business Excellence, Sciendo, vol. 18(1), pages 86-101.
    10. George S. Chen & Emmanuel Kwaku Manu & Dennis Asante, 2023. "Achieving environmental sustainability in Africa: The role of financial institutions development on carbon emissions," Sustainable Development, John Wiley & Sons, Ltd., vol. 31(5), pages 3272-3290, October.
    11. Muhammad Ali Chaudhary & Eatzaz Ahmad & Abid A. Burki & Mushtaq A. Khan, 1999. "Industrial Sector Input Demand Responsiveness and Policy Interventions," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 38(4), pages 1083-1100.
    12. Anikó Bíró, 2013. "Subjective mortality hazard shocks and the adjustment of consumption expenditures," Journal of Population Economics, Springer;European Society for Population Economics, vol. 26(4), pages 1379-1408, October.
    13. Khan, Syed Abdul Rehman & Zaman, Khalid & Zhang, Yu, 2016. "The relationship between energy-resource depletion, climate change, health resources and the environmental Kuznets curve: Evidence from the panel of selected developed countries," Renewable and Sustainable Energy Reviews, Elsevier, vol. 62(C), pages 468-477.
    14. Gibson, John & Kim, Bonggeun, 2013. "Quality, Quantity, and Nutritional Impacts of Rice Price Changes in Vietnam," World Development, Elsevier, vol. 43(C), pages 329-340.
    15. Fujii, Hidemichi & Managi, Shunsuke, 2013. "Which industry is greener? An empirical study of nine industries in OECD countries," Energy Policy, Elsevier, vol. 57(C), pages 381-388.
    16. Zanin, Luca & Marra, Giampiero, 2012. "Assessing the functional relationship between CO2 emissions and economic development using an additive mixed model approach," Economic Modelling, Elsevier, vol. 29(4), pages 1328-1337.
    17. Palumbo, Michael & Rudd, Jeremy & Whelan, Karl, 2006. "On the Relationships Between Real Consumption, Income, and Wealth," Journal of Business & Economic Statistics, American Statistical Association, vol. 24, pages 1-11, January.
    18. Kaika, Dimitra & Zervas, Efthimios, 2013. "The environmental Kuznets curve (EKC) theory. Part B: Critical issues," Energy Policy, Elsevier, vol. 62(C), pages 1403-1411.
    19. Hovhannisyan, Vardges & Stiegert, Kyle W. & Bozic, Marin, 2013. "On Endogeneity Of Retail Market Power In An Equilibrium Analysis: A Control Function Approach," 2013 Annual Meeting, August 4-6, 2013, Washington, D.C. 149830, Agricultural and Applied Economics Association.
    20. Touitou Mohammed, 2021. "Empirical Analysis of the Environmental Kuznets Curve for Economic Growth and CO2 Emissions in North African Countries," Econometrics. Advances in Applied Data Analysis, Sciendo, vol. 25(2), pages 67-77, June.

    More about this item

    Keywords

    ;
    ;
    ;

    JEL classification:

    • C71 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Cooperative Games
    • O44 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Environment and Growth
    • Q52 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Pollution Control Adoption and Costs; Distributional Effects; Employment Effects
    • Q56 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environment and Development; Environment and Trade; Sustainability; Environmental Accounts and Accounting; Environmental Equity; Population Growth

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:pra:mprapa:76261. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Joachim Winter (email available below). General contact details of provider: https://edirc.repec.org/data/vfmunde.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.