Natural Resources and Economic Growth: Some Theory and Evidence

Dustin Chambers and Jang-Ting Guo
Additional contact information
Dustin Chambers: Department of Economics and Finance, Salisbury University

Annals of Economics and Finance, 2009, vol. 10, issue 2, 367-389

Abstract: We develop a one-sector endogenous growth model in which renewable natural resources are both a factor of production and measure of environmental quality. Along the balanced growth path, sustained economic growth and a non-deteriorating environment are shown to coexist. Moreover, steady-state economic growth and natural-resource utilization are positively related. Empirically, a cross-country growth regression that includes a broad measure of productive natural resources ¡ª the Ecological Footprint ¡ª provides strong support. Our estimation results also suggest conservation costs are minimal, and growth strategies based on greater physical capital formation and trade openness outperform those relying on more intensive utilization of the environment.

Keywords: Natural resources; Endogenous growth; Ecological footprint (search for similar items in EconPapers)
JEL-codes: O41 Q21 Q56 (search for similar items in EconPapers)
Date: 2009
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (12)

Downloads: (external link)
http://aeconf.com/Articles/Nov2009/aef100207.pdf (application/pdf)
http://down.aefweb.net/AefArticles/aef100207.pdf (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:cuf:journl:y:2009:v:10:i:2:p:367-389

Access Statistics for this article

Annals of Economics and Finance is currently edited by Heng-fu Zou

More articles in Annals of Economics and Finance from Society for AEF Contact information at EDIRC.
Bibliographic data for series maintained by Qiang Gao ().