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Structural change, economic growth and environmental dynamics with heterogeneous agents

Angelo Antoci, Paolo Russu () and Elisa Ticci ()

MPRA Paper from University Library of Munich, Germany

Abstract: This paper presents a model which takes into account two main factors that have been partially neglected by the economic development literature: the environmental externalities of human activities and agents' heterogeneity in terms of asset endowment and, consequently, in terms of income source and vulnerability to depletion of natural resources. This approach permits to shed light on agents' differences in feed-back mechanisms and interactions between their choices and environmental dynamics and allow us to propose a taxonomy of structural changes on the basis of distributive, environmental and economic impact. In such context, we identify under which conditions each structural change can occur. In par ticular, we identify new requirements for prompting positive structural changes, i.e. a movement of labour to capitalistic activities associated with poverty reduction and the alleviation of environmental pressures.

Keywords: Structural change; environmental externalities; eco- nomic development; poverty alleviation (search for similar items in EconPapers)
JEL-codes: O11 O41 D62 O15 O13 Q20 (search for similar items in EconPapers)
Date: 2008
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