Journal ArticleDOI
Public Expenditure, Environment, and Economic Growth
TLDR
In this article, the authors developed a model of endogenous growth with special consideration to the role of productive public expenditure in the presence of congestion effect of private capital and environmental pollution, and analyzed the properties of the optimal fiscal policy in the steady-state equilibrium when the level of production of the final good is the source of emission.Abstract:
This paper attempts to develop a model of endogenous growth with special consideration to the role of productive public expenditure in the presence of congestion effect of private capital and environmental pollution. We analyze the properties of the optimal fiscal policy in the steady-state equilibrium when the level of production of the final good is the source of emission. Government allocates its income tax revenue between pollution abatement expenditure and productive public expenditure. In the steady-state equilibrium, optimum ratio of productive public expenditure to national income is less than the competitive output share of the public input; and this ratio varies inversely with the magnitude of the emission-output coefficient. The steady-state equilibrium appears to be a saddle point; and the market economy growth rate is not necessarily less than the socially efficient growth rate in the steady-state equilibrium.read more
Citations
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Journal ArticleDOI
Why has Europe Become Environmentally Cleaner? Decomposing the Roles of Fiscal, Trade and Environmental Policies
TL;DR: In this paper, the authors examined the role of fiscal policy, trade and energy taxes on environmental quality in Europe using disaggregated data at the monitoring station level for the 12 richest European countries spanning the period from 1995 to 2008.
On public investment, long-run growth and the real exchange rate and long-run growth
S. Ghosh,I. Mourmouras +1 more
TL;DR: This article extended the Barro (1990) endogenous growth model with productive government services to a two-country world with perfect capital mobility, populated by optimising agents with uncertain lifetimes, and showed that increases in government spending on infrastructure for the home country result in higher growth rates and a terms of trade improvement.
Journal ArticleDOI
Carbon-weighted economic development performance and driving force analysis: Evidence from China
TL;DR: Based on a data envelopment analysis framework, the authors developed an indicator termed as carbon-weighted economic development (CWED) covering the dimensions of energy, environment, economy and resources to measure the economic development performance in a carbon-emission conscious economy.
Journal ArticleDOI
Roads to prosperity without environmental poverty: The role of impatience
Evangelos V. Dioikitopoulos,Evangelos V. Dioikitopoulos,Sugata Ghosh,Christos Karydas,Eugenia Vella +4 more
TL;DR: In this paper, the authors argue that technological advancements in productivity lead impatient agents to direct income increases to consumption (rather than savings), depleting further the environment, and that productivity increases do not help such economies to escape the poverty trap.
Journal ArticleDOI
Fiscal policy and environment: a long-run multivariate empirical analysis of ecological footprint in Pakistan
TL;DR: In this paper, the authors explored the long-run implications of fiscal policy on the ecological footprint in Pakistan empirically, keeping different socioeconomic factors into consideration per annum, time series data have been collected between 1976 and 2018, and the ARDL model is applied to investigate this long run and short run association.
References
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Government spending in a simple model of endogenous growth
TL;DR: This article extended these models to include tax- financed government services that affect production or utility, and showed that growth and saving rates fall with an increase in utility-type expenditures; the two rates rise initially with productive government expenditures but subsequently decline.
Journal ArticleDOI
Is public expenditure productive
TL;DR: In this paper, the relationship between aggregate productivity and stock and flow government-spending variables is investigated and the empirical results indicate that the non-military public capital stock is dramatically more important in determining productivity than is either the flow of nonmilitary or military spending, and that military capital bears little relation to productivity.
Journal ArticleDOI
Government Spending in a Simple Model of Endogenous Growth
TL;DR: In this article, tax-financed government services that affect production or utility are extended to include tax-supported government services, and the two rates rise initially with productive government expenditures but subsequently decline with an increase in utility-type expenditures.
Posted Content
Lectures on Macroeconomics
TL;DR: Lectures on Macroeconomics as discussed by the authors provides the first comprehensive description and evaluation of macroeconomic theory in many years, and provides a broad assessment of what is important and what is not.