We consider in this paper overlapping generations economies with pollution resulting from both consumption and production. The competitive equilibrium steady state is compared to the optimal steady state from the social planner's viewpoint. We show that the dynamical inefficiency of competitive...

We consider in this paper overlapping generations economies with polution resulting from both consumption and production. The competitive equilibrium steady state is compared to the optimal steady state from the social planner's viewpoint. We show that any competitive equilibrium steady state...

We study an overlapping generations model á la Diamond in which two types of agents are alive at the same time. One type of agents cares about its own level of consumption and an idex of environmental quality, while the other type of agents carse only about its own consumption. At any period,...

I set up in this paper an overlapping generations economy with envi-ronment degrading itself and pollution resulting from both consumption and production to show that there always exists an inter-temporal equi-librium and to determine the competitive steady state. This steady state is compared...

How does aging affect the environment? We analyze this question using anoverlapping generations model featuring uncertain lifetimes andenvironmental externalities. We show that whether aging is harmful to theenvironment depends on the curvature of utility function, which ismeasured by the degree...

This paper examines the macroeconomic effects of an environmental tax reform in a growing economy. A model of endogenous growth based on human capital accumulation is used to numerically simulate the growth effects of different environmental tax reforms and compute their impact on welfare in the...

Across the globe climate policy is shifting away from a carbon price towards investment subsidies, such as grants, interest-subsidised loans or guarantees. This increases the risk of inefficient public spending. This paper shows how the main market imperfections related to the emission...

This paper analyses environmental fiscal policy within a two-sector endogenous growth model with elastic labour supply. Pollution is modelled as a side product of production. The framework allows us to analyse the consequences of an environmental tax on the economic dynamics. Both transitional...