Double Dividend Hypothesis, Golden Rule and Welfare Distribution

Abstract : This paper analyzes the double dividend issues within the framework of overlapping generations models. We characterize the necessary conditions for obtaining a double dividend, i.e. an improvement of environmental and non-environmental welfare when the revenue from the pollution tax is recycled into a change in the labor tax rate. We show that, depending on the initial capital stock and on the intertemporal elasticity of substitution, conditions may be defined to simultaneously allow (i) the obtaining of a long term double dividend, (ii) the economy to move closer to the modified golden rule and (iii) in the short term, an improvement in the welfare of the two present generations.
Document type :
Journal articles
Complete list of metadatas

Cited literature [31 references]  Display  Hide  Download

https://halshs.archives-ouvertes.fr/halshs-00089895
Contributor : Mireille Chiroleu-Assouline <>
Submitted on : Thursday, August 24, 2006 - 2:56:04 PM
Last modification on : Wednesday, October 3, 2018 - 8:54:02 PM
Long-term archiving on : Monday, April 5, 2010 - 11:14:36 PM

Identifiers

Collections

Citation

Mireille Chiroleu-Assouline, Mouez Fodha. Double Dividend Hypothesis, Golden Rule and Welfare Distribution. Journal of Environmental Economics and Management, Elsevier, 2006, 51 (3), pp.323-335. ⟨10.1016/j.jeem.2005.09.007⟩. ⟨halshs-00089895⟩

Share

Metrics

Record views

414

Files downloads

1041