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model with endogenous technological progress. In the model, the environmental quality affects positively not only to utility … is low relative to the cost of developing it given by the marginal utility of consumption and it is not worth investing … environmental quality until the moment that pollution is great enough to make profitable the investment in R&D. After this turning …
Persistent link: https://www.econbiz.de/10008840029
We develop a classical macroeconomic model to examine the growth and distributional consequences of education. Contrary to the received wisdom, we show that human capital accumulation is not necessarily growth-inducing and inequality-reducing. Expansive education policies may foster growth and...
Persistent link: https://www.econbiz.de/10011596523
A simple classical-Marxian model of growth and distribution is developed in which education transforms low-skilled workers into high-skilled ones and in which high-skilled workers save and hold capital, therefore receiving both high-skilled wages and profit income. We analyze the implications...
Persistent link: https://www.econbiz.de/10011596528
The effects of capital requirements on risk-taking and welfare are studied in a stochastic overlapping generations model of endogenous growth with banking, limited liability, and government guarantees. Capital producers face a choice between a safe technology and a risky (but socially...
Persistent link: https://www.econbiz.de/10011661894
Environmental policy affects the distribution of market shares if intermediate goods are differentiated in pollution intensity. When innovations are environmental friendly, a tax on emissions skews demand towards new goods, which are the most productive. In this case along a balanced growth path...
Persistent link: https://www.econbiz.de/10011596394
Vulnerability to scarcity or to reduction of natural capital depends on defensive substitution possibilities that, in turn, are affected by the availability of other productive factors. However, in several developing countries asset distribution tends to be highly skewed. Taking into ac- count...
Persistent link: https://www.econbiz.de/10008700108
This paper studies the implications for climate policy of the interactions between environmental and knowledge externalities. Using a numerical analysis performed with the hybrid integrated assessment model WITCH, extended to include mutual spillovers between the energy and the non-energy...
Persistent link: https://www.econbiz.de/10008735744
WITCH is an energy-economy-climate model developed by the climate change group at FEEM. The model has been extensively used in the past 3 years for the economic analysis of climate change policies. WITCH is a hybrid top-down economic model with a representation of the energy sector of medium...
Persistent link: https://www.econbiz.de/10008823905
Do intermediate goods help explain relative and aggregate productivity differences across countries? Three observations suggest they do: (i) intermediates are relatively expensive in poor countries; (ii) goods industries demand intermediates more intensively than service industries; (iii) goods...
Persistent link: https://www.econbiz.de/10009379741
This paper looks at the interplay between human capital and innovation in the presence of climate and educational policies. Using recent empirical estimates, human capital and general purpose R&D are introduced in an integrated assessment model that has been extensively applied to study climate...
Persistent link: https://www.econbiz.de/10009535543