Revised 2008-08.-- Published as an article in: Journal of Public Economic Theory (2008), 10(4), 563-594. …

We analyze an overlapping generations model in which pollution arises, in an accumulative way, from production …. Households do not care directly about the environment, however pollution makes them incur health costs when they are elderly. We … show that the presence of pollution makes the economy more likely to be dynamically inefficient. For these cases we analyze …

externalities. In the competitive equilibrium, selfish behavior and inefficient skills accumulation may prevent sustained growth …

original policy mechanism of transfers of pollution rights capable of circumventing these failures and decentralizing optimal …

I construct an overlapping generations model in which (the endogenous) longevity is impeded by the stock of pollution …

We develop an overlapping generations model within which the evolution of pollution and the formation of environmental … concern are endogenous. On the one hand, people heterogeneously concerned with environmental issues contribute to pollution … which is affected by pollution. The model predicts that the long run proportion of environmentally concerned individuals …

different tax or subsidy regimes. This paper considers what tax theory has to say about efficient energy tax design. The main … factors for energy taxes are the optimal tariff argument, the need to correct externalities such as global warming, and second …