Pollution control and the Ramsey problem

Ploeg, Frederick van der; Withagen, Caam Cees

doi:10.1007/bf00310019

Cited by 141 publications

(42 citation statements)

References 5 publications

Supporting

Mentioning

Contrasting

Unclassified

Order By: Relevance

“…Some earlier studies include Forster (1972), and Keeler et al (1973), while more recent works are represented by van der Ploeg and Withagen (1991), Athanassoglou and Xepapadeas (2012), and Saltari and Travaglini (2016). With the exception of Athanassoglou and Xepapadeas (2012) who develop a quite sophisticated and cumbersome robust pollution control model under Knightian uncertainty, all the aforementioned papers consider pollution to be perfectly known and deterministic.…”

Section: Introductionmentioning

confidence: 96%

Pollution Control Under Uncertainty and Sustainability Concern

Torre

Liuzzi

Marsiglio

2016

Environ Resource Econ

View full text Add to dashboard Cite

We analyze the implications of environmental policy on pollution in a stochastic framework with finite horizon and sustainability concern. The social planner seeks to minimize the social (environmental and economic) costs associated with pollution. We allow for the planner to attach different relative weights to the discounted and end-of-planning-horizon costs in order to assess how sustainability concern might affect the optimal level of policy intervention. We show that the optimal environmental policy increases with the degree of sustainability concern, reducing thus the amount of pollution the society is forced to bear. A calibration based on world CO 2 data supports our conclusions, further highlighting the importance of higher degrees of sustainability concern to achieve greener long run outcomes. It also allows us to show that under a realistic model's parametrization the optimal environmental policy tends to rise with higher degrees of uncertainty in a precautionary manner.

show abstract

Section: Introductionmentioning

confidence: 96%

Pollution Control Under Uncertainty and Sustainability Concern

Torre

Liuzzi

Marsiglio

2016

Environ Resource Econ

View full text Add to dashboard Cite

show abstract

“…The framework introduced in this paper, the Ramsey model, is quite similar to the one uses in the papers dealing with optimal pollution control (van der Ploeg and Withagen;1991, Gradus and Smulders;1996, Ayong Le Kama;2001, Ayong Le Kama and Schubert;2004. In these papers, the rate of change of the stock of pollution or of the stock of the environmental resource, that is the natural rate of absorption/regeneration, is given.…”

Section: Introductionmentioning

confidence: 85%

Optimal nuclear waste burial policy under uncertainty

Kama

Fodha

2009

Optim Control Appl Methods

View full text Add to dashboard Cite

The aim of this paper is to study the optimal nuclear waste burial policy under an uncertainty: the possibility that an accident might occur in the future. The framework is an optimal growth model with pollution disutility. We show, under some conditions on the waste burial policy, that nuclear power may be a long-term solution for the world energy demand. Under uncertainty on the future safety of the buried waste, the social planner will decide to decrease the rate of waste burying, but the evolution of consumption and hence the evolution of the level of buried waste, are ambiguous. Depending on some simple conditions on the balanced growth rate of the economy and on the preference parameters of the households, the optimal amount of buried waste may increase, even if there is a risk of accident in the future.

show abstract

“…The two types of functions most frequently used are a linear version (see e.g. Van der Ploeg and Withagen (1991)) and a concave version (see e.g. Forster (1977) and Hediger (1991)).…”

Section: Modelling the Environmentmentioning

confidence: 99%

Extinction of the human race: Doom-mongering or reality?

Aalbers

1995

De Economist

View full text Add to dashboard Cite

The question whether or not a given consumption policy is sustainable is closely linked to the way in which nature assimilates pollution and how pollution affects life on earth. In this paper, an assimilation function is specified that is founded on the natural sciences literature. Hereby, the possibility of a break down of the life support system of the earth is explicitly taken into account. It is concluded that an optimal consumption policy need not be sustainable in a physical sense, i.e. the break down of the life support system cannot always be attributed to a market failure. In the model I consider a kind of externality that cannot be linked to any specific variable in either the utility or production function. It means that in some cases a traditional pigouvian tax alone cannot correct for the externality. This has to be done by making use of an extra tax instrument, the overendowment tax.

show abstract

Pollution control and the Ramsey problem

Cited by 141 publications

References 5 publications

Pollution Control Under Uncertainty and Sustainability Concern

Pollution Control Under Uncertainty and Sustainability Concern

Optimal nuclear waste burial policy under uncertainty

Extinction of the human race: Doom-mongering or reality?

Contact Info

Product

Resources

About