TY - JOUR
T1 - Feasibility and optimality of sustainable growth under materials balance
AU - Akao, Ken Ichi
AU - Managi, Shunsuke
N1 - Funding Information:
We are grateful to two anonymous referees, K. Domon, Y.H. Farzin, L. Karp, H. Koide, S. Nakamura and A. Onuma for detailed comments that substantially improved the paper. Partial financial support from Waseda University (1999A24-2) and MEXT KAKENHI (11730017, 18078004) are gratefully acknowledged.
PY - 2007/12
Y1 - 2007/12
N2 - Pollution from consumption and production is an inevitable part of economic processes. We employ a materials balance approach and develop an endogenous growth theory, with recycling activity, to examine the evolution of the economic and environment systems. This paper provides feasibility and optimality conditions for sustainable economic growth with rising environmental quality. The fundamental condition of feasibility is that the flow of natural resources, which eventually returns to the environment as waste and pollution, has a negative growth rate in the long run.
AB - Pollution from consumption and production is an inevitable part of economic processes. We employ a materials balance approach and develop an endogenous growth theory, with recycling activity, to examine the evolution of the economic and environment systems. This paper provides feasibility and optimality conditions for sustainable economic growth with rising environmental quality. The fundamental condition of feasibility is that the flow of natural resources, which eventually returns to the environment as waste and pollution, has a negative growth rate in the long run.
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U2 - 10.1016/j.jedc.2007.01.013
DO - 10.1016/j.jedc.2007.01.013
M3 - Article
AN - SCOPUS:34548847999
SN - 0165-1889
VL - 31
SP - 3778
EP - 3790
JO - Journal of Economic Dynamics and Control
JF - Journal of Economic Dynamics and Control
IS - 12
ER -
