Environmental Regulation and Economic Growth under Education Externalities

Paul Makdissi () and Quentin Wodon

Cahiers de recherche from Departement d'économique de l'École de gestion à l'Université de Sherbrooke

Abstract: Using an extension of Lucas' model of endogenous growth with education externality, we show that an environmental tax may increase growth. This is because the tax makes physical capital accumulation less attractive, thereby correcting for the underinvestment by agents in human capital.

Keywords: Regulation; Environment; Growth; Human Capital (search for similar items in EconPapers)
JEL-codes: O11 O13 Q28 (search for similar items in EconPapers)
Pages: 13 pages
Date: 2002, Revised 2004
New Economics Papers: this item is included in nep-edu, nep-env and nep-reg
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Citations: View citations in EconPapers (3)

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http://gredi.recherche.usherbrooke.ca/wpapers/02_12_pm.pdf (application/pdf)

Related works:
Journal Article: ENVIRONMENTAL REGULATION AND ECONOMIC GROWTH UNDER EDUCATION EXTERNALITIES (2006)
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Persistent link: https://EconPapers.repec.org/RePEc:shr:wpaper:02-12

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