Optimal environmental policy and the dynamic property in LDCs

This paper has provided a model framework of foreign assistance policy in the context of dynamic optimal control and investigated the environmental policies in LDCs that received some financial support from abroad. The model framework features a specific behavior of the social planner who determines...

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Bibliographic Details
Main Author: Masahiro Yabuta
Format: Article
Language:English
Published: Wiley 2002-01-01
Series:Discrete Dynamics in Nature and Society
Subjects:
Online Access:http://dx.doi.org/10.1080/1026022021000000239
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Summary:This paper has provided a model framework of foreign assistance policy in the context of dynamic optimal control and investigated the environmental policies in LDCs that received some financial support from abroad. The model framework features a specific behavior of the social planner who determines the level of voluntary expenditure for preservation of natural environment. Because more financial needs for natural environmental protection means less allowance of growth-oriented investment, the social planner confronts a trade-off problem between economic growth and environmental preservation. To tackle with this clearly, we have built a dynamic model with two control variables: per-capita consumption and voluntary expenditure for natural environment.
ISSN:1026-0226
1607-887X