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Population growth in polluting industrialization

Karine Constant (), Carine Nourry and Thomas Seegmuller ()

Resource and Energy Economics, 2014, vol. 36, issue 1, 229-247

Abstract: Recently, many contributions have focused on the relationship between capital level, growth and population dynamics, introducing fertility choice in macro-dynamic models. In this paper, we go one step further highlighting also the link with pollution. We develop a simple overlapping generations model with paternalistic altruism according to wealth and environmental concerns. One can therefore explain a simultaneous increase in capital intensity, population growth and pollution, namely a polluting industrialization. We show in addition that a permanent productivity shock, possibly associated to technological innovations, promotes such a polluting development process, escaping a trap where the economy is relegated to low levels of capital intensity, population growth and pollution.

Keywords: Growth; Population dynamics; Pollution; Altruism; Development (search for similar items in EconPapers)
JEL-codes: J13 O44 Q56 (search for similar items in EconPapers)
Date: 2014
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Working Paper: Population growth in polluting industrialization (2014)
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