Article ID | Journal | Published Year | Pages | File Type |
---|---|---|---|---|
959118 | Journal of Environmental Economics and Management | 2007 | 17 Pages |
Abstract
In the Dasgupta-Heal-Solow-Stiglitz (DHSS) model of capital accumulation and resource depletion we show the following equivalence: if an efficient path has constant (gross and net of population growth) savings rates, then population growth must be quasi-arithmetic and the path is a maximin or a classical utilitarian optimum. Conversely, if a path is optimal according to maximin or classical utilitarianism (with constant elasticity of marginal utility) under quasi-arithmetic population growth, then the (gross and net of population growth) savings rates converge asymptotically to constants.
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Authors
Geir B. Asheim, Wolfgang Buchholz, John M. Hartwick, Tapan Mitra, Cees Withagen,