RT Report
T1 Environmental fiscal polices might be ineffective to control pollution
A1 Fernández Casillas, Mª Esther
A1 Pérez Sánchez, Rafaela María
A1 Ruiz Andújar, Jesús
AB In a one sector growth model with pollution in the utility function, the competitive equilibrium can be indeterminate for plausible values of the intertemporal substitutionelasticity of consumption and under constant returns to scale. The tax rate on pollution does not enter the condition characterizing indeterminacy. This means that thegovernment is not able to control emissions in the economy by using environmental policies. Non-separability between private consumption and pollution in the utility function is crucial for this result.
PB Facultad de Ciencias Económicas y Empresariales. Instituto Complutense de Análisis Económico (ICAE)
YR 2003
FD 2003
LK https://hdl.handle.net/20.500.14352/64515
UL https://hdl.handle.net/20.500.14352/64515
LA eng
DS Docta Complutense
RD 9 abr 2025