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Green growth -- lessons from growth theory

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  • Smulders, Sjak
  • Withagen, Cees

Abstract

This paper reviews dynamic general equilibrium models in order to collect insights on the interaction between economic growth and environmental issues. The authors discuss the Ramsey model and extend it for natural resource inputs and pollution, as well as for endogenous technical change. Green growth becomes within reach if there is good substitution, a clean backstop technology, a small share of natural resources in gross domestic product, and/or green directed technical change.

Suggested Citation

  • Smulders, Sjak & Withagen, Cees, 2012. "Green growth -- lessons from growth theory," Policy Research Working Paper Series 6230, The World Bank.
  • Handle: RePEc:wbk:wbrwps:6230
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    References listed on IDEAS

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    Cited by:

    1. Elliott, Robert J.R. & Lindley, Joanne K., 2017. "Environmental Jobs and Growth in the United States," Ecological Economics, Elsevier, vol. 132(C), pages 232-244.

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    Keywords

    Environmental Economics&Policies; Economic Theory&Research; Political Economy; Climate Change Economics; Climate Change Mitigation and Green House Gases;

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