The Dynamic Behaviour of an Endogenous Growth Model With Public Capital and Pollution

11 Pages Posted: 12 Sep 2003 Last revised: 30 Dec 2012

See all articles by Alfred Greiner

Alfred Greiner

Bielefeld University - Department of Business Administration and Economics

Date Written: June 3, 2003

Abstract

In this paper we present an endogenous growth model with productive public capital and pollution. As to pollution we assume that it is a by-product of aggregate production and that it negatively affects utility of the household but not production possibilities directly. The paper studies the dynamics of the model and demonstrates that there exists either a unique balanced growth path which is a saddle point or there exist two balanced growth paths with one being locally saddle point stable and one being asymptotically stable.

Keywords: Endogenous Growth, Public Capital, Environmental Pollution, Dynamics

JEL Classification: C62, O41, Q20

Suggested Citation

Greiner, Alfred, The Dynamic Behaviour of an Endogenous Growth Model With Public Capital and Pollution (June 3, 2003). Available at SSRN: https://ssrn.com/abstract=434020 or http://dx.doi.org/10.2139/ssrn.434020

Alfred Greiner (Contact Author)

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)

HOME PAGE: http://phoenix.wiwi.uni-bielefeld.de/lehrbereiche/vwl/wipol

Here is the Coronavirus
related research on SSRN

Paper statistics

Downloads
132
Abstract Views
979
rank
238,907
PlumX Metrics