Biodiversity and Geography

33 Pages Posted: 25 Jun 2007

See all articles by Michael Rauscher

Michael Rauscher

University of Rostock - Department of Economics; University of Rostock - Faculty of Business Administration, Economics and Social Sciences; CESifo (Center for Economic Studies and Ifo Institute for Economic Research)

Edward B. Barbier

Colorado State University, Fort Collins - Department of Economics

Date Written: June 2007

Abstract

The paper combines an economic-geography model of agglomeration and periphery with a model of species diversity and looks at optimal policies of biodiversity conservation. The subject of the paper is natural biodiversity, which is inevitably impaired by anthropogenic impact. Thus, the economic and the ecological system compete for space and the question arises as to how this conflict should be resolved. The decisive parameters of the model are related to biological diversity (endemism vs. redundancy of species) and the patterns of economic geography (centrifugal and centripetal forces). As regards the choice of environmental-policy instruments, it is shown that Pigouvian taxes do not always establish the optimal allocation.

Keywords: biodiversity, new economic geography, agglomeration, species redundancy vs. endemism, environmental regulation

JEL Classification: Q56, Q57, Q58, R12, R14, R23

Suggested Citation

Rauscher, Michael and Barbier, Edward B., Biodiversity and Geography (June 2007). CESifo Working Paper Series No. 2022. Available at SSRN: https://ssrn.com/abstract=995419

Michael Rauscher (Contact Author)

University of Rostock - Department of Economics ( email )

Ulmenstr. 69
Rostock, 18057
Germany

HOME PAGE: http://www.wiwi.uni-rostock.de/vwl

University of Rostock - Faculty of Business Administration, Economics and Social Sciences ( email )

Ulmenstr. 69
Rostock, 18057
Germany

CESifo (Center for Economic Studies and Ifo Institute for Economic Research)

Poschinger Str. 5
Munich, DE-81679
Germany

Edward B. Barbier

Colorado State University, Fort Collins - Department of Economics ( email )

Fort Collins, CO 80523-1771
United States

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