A North-South Model with Technological Spillovers, Environmental Degradation and Structural Change

34 Pages Posted: 9 Jul 2014 Last revised: 16 Dec 2014

See all articles by Anton A. Bondarev

Anton A. Bondarev

WWZ Universität Basel

Alfred Greiner

Bielefeld University - Department of Business Administration and Economics

Date Written: July 8, 2014

Abstract

In this paper we present and analyze a stylized model of endogenous growth with international technology spillover effects from the North to the South. The model allows for endogenous structural change and environmental degradation that reduces world output. We find that within this framework the costless technological spillovers foster structural change in both more and less advanced economies. Moreover, we can show that under technological spillovers the degradation of the environment is expected to be lower even without government interventions and we highlight the role of endogenous structural change in generating this outcome.

Keywords: Technological Spillovers, Endogenous Growth, Environmental Impact, Endogenous Structural Change, Creative Destruction

JEL Classification: Q55, Q58, O31, O34, O41

Suggested Citation

Bondarev, Anton A. and Greiner, Alfred, A North-South Model with Technological Spillovers, Environmental Degradation and Structural Change (July 8, 2014). Available at SSRN: https://ssrn.com/abstract=2463663 or http://dx.doi.org/10.2139/ssrn.2463663

Anton A. Bondarev (Contact Author)

WWZ Universität Basel ( email )

Basel, 4051
Switzerland

Alfred Greiner

Bielefeld University - Department of Business Administration and Economics ( email )

P.O. Box 100131
Bielefeld, 33501
Germany
+49 521 106 4859 (Phone)
+49 521 106 67120 (Fax)

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