In a two-period overlapping generations model, this paper demonstrates that the relationship between the environmental taxation and the economic activity (level- and growth-output) becomes inverted-U shaped, when the detrimental impact of pollution on health and the private decision of each...

We introduce the link between pollution, morbidity and productivity over the life-cycle in a two-period overlapping generations model. As the environmental tax improves the health-profile over the life-cycle, it influences saving, investment in health, labor supply and retirement. As a result,...

We re-examine the impact of environmental taxation on health and output, in the presence of labor market frictions. Our main findings are that matching process and wage bargaining introduce new channels of transmission of environmental taxation on the economy such that assuming perfect labor...

An updated version can be found here: "https://ssrn.com/abstract=3698071" https://ssrn.com/abstract=3698071.We re-examine the impact of environmental taxation on health and output, in the presence of labor market frictions. Our main findings are that matching process and wage bargaining...

Using an overlapping generation model a la Blanchard (1985) with human capital accumulation, this article demonstrates that the influence of environment on optimal growth in the long-run may be explained by the detrimental effect of pollution on life expectancy. It also shows that, in such a...