Criado, C. Ordás; Valente, S.; Stengos, T. - Rimini Centre for Economic Analysis (RCEA) - 2011
Stabilizing pollution levels in the long run is a pre-requisite for sustainable growth. We develop a neoclassical growth model with endogenous emission reduction predicting that, along optimal sustainable paths, pollution growth rates are (i) positively related to output growth (scale effect)...