Modeling Spatial Sustainability: Spatial Welfare Economics Versus Ecological Footprint

31 Pages Posted: 18 Jan 2006

See all articles by Fabio Grazi

Fabio Grazi

Centre International de Recherche sur l'Environnement et le Développement ; School for Advanced Studies in Venice (SSAV)

Jeroen C. J. M. van den Bergh

VU University Amsterdam - Department of Spatial Economics

Piet Rietveld

VU University Amsterdam - Department of Spatial Economics (Deceased)

Date Written: January 2006

Abstract

A spatial welfare framework for the analysis of the spatial dimensions of sustainability is developed. It incorporates agglomeration effects, interregional trade, negative environmental externalities and various land use categories. The model is used to compare rankings of spatial configurations according to evaluations based on social welfare and ecological footprint indicators. Five spatial configurations are considered for this purpose. The exercise is operationalized with the help of a two-region model of the economy that is in line with the 'new economic geography'. Various (counter) examples show that the footprint method is not consistent with an approach aimed at maximum social welfare.

Keywords: Agglomeration effects, Trade advantages, Negative externalities, Population density, Spatial configuration, Transport

JEL Classification: F12, F18, Q56, Q57, R12

Suggested Citation

Grazi, Fabio and van den Bergh, Jeroen C.J.M. and Rietveld, Piet, Modeling Spatial Sustainability: Spatial Welfare Economics Versus Ecological Footprint (January 2006). FEEM Working Paper No. 5.2006. Available at SSRN: https://ssrn.com/abstract=876431 or http://dx.doi.org/10.2139/ssrn.876431

Fabio Grazi (Contact Author)

Centre International de Recherche sur l'Environnement et le Développement ( email )

45bis, avenue de la Belle Gabrielle
Nogent sur Marne CEDEX, 94736
France

School for Advanced Studies in Venice (SSAV) ( email )

Island of San Servolo
Venice, 30100
Italy

Jeroen C.J.M. Van den Bergh

VU University Amsterdam - Department of Spatial Economics ( email )

De Boelelaan 1105
Faculty of Economics and Econometrics
1081HV Amsterdam
Netherlands

Piet Rietveld

VU University Amsterdam - Department of Spatial Economics (Deceased)

De Boelelaan 1105
1081HV Amsterdam
Netherlands
+31 20 4446097 (Phone)
+31 20 4446004 (Fax)

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