A Note on Environment-dependent Time Preferences

Hsun Chu, Ching-chong Lai and Chih-Hsing Liao

MPRA Paper from University Library of Munich, Germany

Abstract: In this paper we investigate the growth effect of environmental taxes when the time preference is endogenously determined by the environmental quality. We find that if people become more patient due to a cleaner environment, raising the environmental tax may reduce pollution and stimulate growth. Moreover, the Pigouvian principle may be inefficient in the presence of an endogenous time preference.

Keywords: endogenous time preference; endogenous growth; the Pigouvian tax (search for similar items in EconPapers)
JEL-codes: O11 Q56 Q58 (search for similar items in EconPapers)
Date: 2012-12, Revised 2014-11
New Economics Papers: this item is included in nep-ene, nep-env and nep-res
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (2)

Downloads: (external link)
https://mpra.ub.uni-muenchen.de/59719/1/MPRA_paper_59719.pdf original version (application/pdf)

Related works:
Journal Article: A NOTE ON ENVIRONMENT-DEPENDENT TIME PREFERENCES (2016)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:pra:mprapa:59719

Access Statistics for this paper

More papers in MPRA Paper from University Library of Munich, Germany Ludwigstraße 33, D-80539 Munich, Germany. Contact information at EDIRC.
Bibliographic data for series maintained by Joachim Winter ().