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Environmental offsets and production externalities under monopolistic competition
In a monopolistically competitive model with production externalities, where individuals voluntarily provide offsets which compensate for degradation of environmental quality caused by their income earning activities, this paper examines how an increase in the population size affects the equilibrium...
Autores principales: | , , |
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Formato: | Online Artículo Texto |
Lenguaje: | English |
Publicado: |
Springer US
2022
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Materias: | |
Acceso en línea: | https://www.ncbi.nlm.nih.gov/pmc/articles/PMC8741143/ https://www.ncbi.nlm.nih.gov/pubmed/35035100 http://dx.doi.org/10.1007/s10797-021-09699-6 |
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author | Yoshida, Masatoshi Turnbull, Stephen J. Ota, Mitsuru |
author_facet | Yoshida, Masatoshi Turnbull, Stephen J. Ota, Mitsuru |
author_sort | Yoshida, Masatoshi |
collection | PubMed |
description | In a monopolistically competitive model with production externalities, where individuals voluntarily provide offsets which compensate for degradation of environmental quality caused by their income earning activities, this paper examines how an increase in the population size affects the equilibrium levels of environmental quality, offsets, and net contributions. Whether labor supply is institutionally constrained or not, as the population size increases, environmental quality decreases and converges to zero. However, since offsets increase and converge to the degradation rate of environmental quality, the carbon neutrality theorem holds: net contributions are zero. These results are independent of the specification of the utility function. |
format | Online Article Text |
id | pubmed-8741143 |
institution | National Center for Biotechnology Information |
language | English |
publishDate | 2022 |
publisher | Springer US |
record_format | MEDLINE/PubMed |
spelling | pubmed-87411432022-01-10 Environmental offsets and production externalities under monopolistic competition Yoshida, Masatoshi Turnbull, Stephen J. Ota, Mitsuru Int Tax Public Financ Article In a monopolistically competitive model with production externalities, where individuals voluntarily provide offsets which compensate for degradation of environmental quality caused by their income earning activities, this paper examines how an increase in the population size affects the equilibrium levels of environmental quality, offsets, and net contributions. Whether labor supply is institutionally constrained or not, as the population size increases, environmental quality decreases and converges to zero. However, since offsets increase and converge to the degradation rate of environmental quality, the carbon neutrality theorem holds: net contributions are zero. These results are independent of the specification of the utility function. Springer US 2022-01-07 2023 /pmc/articles/PMC8741143/ /pubmed/35035100 http://dx.doi.org/10.1007/s10797-021-09699-6 Text en © The Author(s), under exclusive licence to Springer Science+Business Media, LLC, part of Springer Nature 2022 This article is made available via the PMC Open Access Subset for unrestricted research re-use and secondary analysis in any form or by any means with acknowledgement of the original source. These permissions are granted for the duration of the World Health Organization (WHO) declaration of COVID-19 as a global pandemic. |
spellingShingle | Article Yoshida, Masatoshi Turnbull, Stephen J. Ota, Mitsuru Environmental offsets and production externalities under monopolistic competition |
title | Environmental offsets and production externalities under monopolistic competition |
title_full | Environmental offsets and production externalities under monopolistic competition |
title_fullStr | Environmental offsets and production externalities under monopolistic competition |
title_full_unstemmed | Environmental offsets and production externalities under monopolistic competition |
title_short | Environmental offsets and production externalities under monopolistic competition |
title_sort | environmental offsets and production externalities under monopolistic competition |
topic | Article |
url | https://www.ncbi.nlm.nih.gov/pmc/articles/PMC8741143/ https://www.ncbi.nlm.nih.gov/pubmed/35035100 http://dx.doi.org/10.1007/s10797-021-09699-6 |
work_keys_str_mv | AT yoshidamasatoshi environmentaloffsetsandproductionexternalitiesundermonopolisticcompetition AT turnbullstephenj environmentaloffsetsandproductionexternalitiesundermonopolisticcompetition AT otamitsuru environmentaloffsetsandproductionexternalitiesundermonopolisticcompetition |