テクニカルレポート

ディスカッション／ワーキング・ペーパー

text

Discussion Papers In Economics And Business. 2016, 16-03, p. 1-25

From Physical to Human Capital Accumulation with Pollution

Motoyama, Takumi

Graduate School of Economics and Osaka School of International Public Policy (OSIPP), Osaka University

英語

text

2016-03

http://www2.econ.osaka-u.ac.jp/library/global/dp/1603.pdf

This study examines the process of economic development in an overlapping generations model where higher physical capital involves pollution and deteriorates the productivity of education. In this setting, households may not invest into education and multiple steady states of the physical/human capital ratio can arise, leading long-run production with low initial endowment (physical capital) to be higher than that with high initial endowment. This occurs because, owing to the low productivity of education caused by pollution, only physical capital accumulation occurs with high initial endowment, while physical and human capital accumulation occur with low initial endowment. This result is consistent with the resource curse. We also show that higher abatement technology can solve the resource curse problem since it helps households redirect physical capital accumulation toward human capital accumulation.

55406

From Physical to Human Capital Accumulation with Pollution

Motoyama, Takumi

Graduate School of Economics and Osaka School of International Public Policy (OSIPP), Osaka University

英語

2016-03

Discussion Papers In Economics And Business

16-03

1

25

https://hdl.handle.net/11094/55406

http://www2.econ.osaka-u.ac.jp/library/global/dp/1603.pdf