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Calculation of a Population Externality

Henning Bohn () and Charles Stuart

University of California at Santa Barbara, Recent Works in Economics from Department of Economics, UC Santa Barbara

Abstract: It is known that when people generate externalities, a birth also generates an externality and efficiency requires a Pigou tax/subsidy on having children. The size of the externality from a birth is important for studying policy. We calculate the size of this "population externality" in a specific case: we consider a maintained hypothesis that greenhouse gas emissions are a serious problem and assume government reacts by optimally restricting emissions. Calculated population externalities are large under many assumptions.

Keywords: Applied; Economics (search for similar items in EconPapers)
Date: 2015-05-01
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Journal Article: Calculation of a Population Externality (2015) Downloads
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