Intergenerational dynamics of environmental consciousness and economic growth: an OLG model analysis

Fatma Safi () and Lobna Ben Hassen ()
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Fatma Safi: University of Sfax
Lobna Ben Hassen: Faculty of Economics and Management of Sfax

Indian Economic Review, 2024, vol. 59, issue 2, No 7, 523 pages

Abstract: Abstract This paper explores the complex interactions between environmental awareness at different life stages, taxation policies, and human capital accumulation within an overlapping generations model featuring two-period-lived households. By conducting a comparative static analysis at the stable steady-state equilibrium, the study finds that higher environmental consciousness in early life promotes better long-term outcomes. In contrast, increased environmental awareness in later life and higher taxes present obstacles to capital accumulation. The research also highlights the pivotal role of human capital in enhancing environmental quality without significantly impacting physical capital.

Keywords: Overlapping generations; Environmental quality; Environmental consciousness; Public education (search for similar items in EconPapers)
JEL-codes: D62 Q20 Q28 Q56 (search for similar items in EconPapers)
Date: 2024
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DOI: 10.1007/s41775-024-00234-y

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