Modelling Framework for Sustainable Development: Integrating Environmental Considerations in Development Strategies

Formulation of strategies for sustainable development should consider environmental effects of economic activities and the feedback from quality of environmentla resources on economic productivity. This paper develops a framework incorporating these interdependencies between economic and environmental systems. The innovative features include simultaneous analysis of global pollutants and local ones, specification of terminal conditions to ensure same or better produciton possibility set for future and introduction of developing country concerns like incidence of poverty.