Environmental abatement and intergenerational distribution

A. Lans Bovenberg and Ben Heijdra ()

No 99C63, Research Report from University of Groningen, Research Institute SOM (Systems, Organisations and Management)

Abstract: This paper employs an overlapping-generations model to explore the impact of public abatement on private investment and the intergenerational distribution of welfare. Whereas public abatement benefits the oldest generations in terms of non-environmental welfare, future generations gain most in terms of environmental welfare. The overall benefits tend to be smallest for generations born at the time of the unanticipated policy shock. Public debt policy, however, can be employed to ensure that welfare gains are distributed more equally across the various generations. Such a policy implies that natural capital crowds out man-made capital. / Total number of pages: 37

Date: 1999
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Related works:
Journal Article: Environmental Abatement and Intergenerational Distribution (2002)
Working Paper: Environmental abatement and intergenerational distribution (1999)
Working Paper: Environmental Abatement and Intergenerational Distribution (1998)
Working Paper: Environmental Abatement and Intergenerational Distribution (1998)
Working Paper: Environmental Abatement and Intergenerational Redistribution
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