Ikefuji, Masako; Horii, Ryo - In: Journal of Public Economics 96 (2012) 9-10, pp. 784-796
Using an endogenous growth model with physical and human capital accumulation, this paper considers the sustainability of economic growth when the use of a polluting input (e.g., fossil fuels) intensifies the risk of capital destruction through natural disasters. We find that growth is...