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Constant savings rates and quasi-arithmetic population growth under exhaustible resource constraints

Author: Geir B Asheim; Wolfgang Buchholz; John M Hartwick; Tapan Mitra; Cees Withagen
Publisher: München Univ., Center for Economic Studies [u.a.] 2005
Series: CESifo working paper; Resources and environment; CESifo working papers, CESifo GmbH, 1573
Edition/Format:   Book : EnglishView all editions and formats
Database:WorldCat
Summary:
In the Dasgupta-Heal-Solow-Stiglitz model of capital accumulation and resource depletion we show the following equivalence: If an efficient path has constant (gross and net of population growth) savings rates, then population growth must be quasi-arithmetic and the path is a maximin or a classical utilitarian optimum. Conversely, if a path is optimal according to maximin or classical utilitarianism (with constant  Read more...
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Document Type: Book
All Authors / Contributors: Geir B Asheim; Wolfgang Buchholz; John M Hartwick; Tapan Mitra; Cees Withagen
OCLC Number: 255393548
Description: 26 S
Series Title: CESifo working paper; Resources and environment; CESifo working papers, CESifo GmbH, 1573
Responsibility: Geir B. Asheim; Wolfgang Buchholz; John M. Hartwick; Tapan Mitra; Cees Withagen

Abstract:

In the Dasgupta-Heal-Solow-Stiglitz model of capital accumulation and resource depletion we show the following equivalence: If an efficient path has constant (gross and net of population growth) savings rates, then population growth must be quasi-arithmetic and the path is a maximin or a classical utilitarian optimum. Conversely, if a path is optimal according to maximin or classical utilitarianism (with constant elasticity of marginal utility) under quasiarithmetic population growth, then the (gross and net of population growth) savings rates converge asymptotically to constants.

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