pollution accumulation. In this case, there is a nonconvexity in the problem that gives rise to multiple potential optima …

In this article we extend the recent literature on overlapping generations and pollution by allowing each generation …'s utility to depend on past levels of pollution. To conform with the literature on habit in consumption we call this extension … habit in pollution. Habit in pollution can visualize itself as either a concern for the flow of pollution only, or for the …

Production often causes pollution as a by-product. Once environmental degradation becomes too severe, regulation is …-improvements. The model gives an explanation for the inverted U-shaped pollution-income relation found in empirical research for many … pollution can be explained by policy-induced technology shifts and intrasectoral changes …

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