This paper develops a two-sector overlapping generations model in which one sector produces an externality on the environmental quality and the other has no effect. We assume that environmental quality degradation results from production activity of one sector. Then, we characterise the...

This article analyses the determinants of voluntary contribution to environmental quality by introducing the perception of environmental risk. We consider individuals who are aware both of the impact of their voluntary contributions and of the quality of the current environment on the future...