Journal article
Endogenous Bias in Technical Progress and Environmental Policy
The American economic review, Vol.68(4), pp.538-546
01 Sep 1978
Abstract
Two approaches to endogenous bias in technical progress are considered with a view to their implications for environmental policy: 1. the innovation-possibility frontier approach, and 2. a newer approach grounded in criticism of the innovation possibility frontier approach. The 2 models show the impact of economic variables on trends in the productivity of labor and capital and pollution per unit of output. It is assumed that technology is flexible in response to economic forces and that reductions in pollution per unit of output must be traded off against improvements of productivity. Technical progress will be biased toward use of unpriced environmental amenities. Pollution will increase more than proportionately with output but cannot be stabilized in a growing economy by a positive and constant pollution price. The population price must rise at least proportionately with the productivity of labor, i.e., the wage. The pollution price must be flexible upward if pollution is to be stabilized.
Metrics
1 Record Views
Details
- Title
- Endogenous Bias in Technical Progress and Environmental Policy
- Creators
- Roger McCain
- Publication Details
- The American economic review, Vol.68(4), pp.538-546
- Publisher
- American Economic Association
- Resource Type
- Journal article
- Language
- English
- Academic Unit
- Economics (School of Economics)
- Identifiers
- 991021807008404721
UN Sustainable Development Goals (SDGs)
This output has contributed to the advancement of the following goals:
Source: InCites
InCites Highlights
These are selected metrics from InCites Benchmarking & Analytics tool, related to this output
- Web of Science research areas