A continuous time economic growth model with time delays in environmental degradation. Issue 1 (2nd January 2019)

• Record Type: Journal Article
• Authors: Ferrara, Massimiliano; Gori, Luca; Guerrini, Luca; Sodini, Mauro
• Is Part Of: Journal of information & optimization sciences. Volume 40:Issue 1(2019)
• Page Start: 185
• Page End: 201
• Publication Date: 2019-01-02
• Subjects: Codes: C62 -- O13 -- O41 -- Q22; 34A34 -- 65P20 -- 70K50; Continuous time -- Environmental degradation -- Hopf bifurcation -- Time delays; Electronic data processing -- Periodicals; Information science -- Periodicals; Mathematical optimization -- Periodicals; 519.6
• DOI: 10.1080/02522667.2018.1479954
• Languages: English
• ISSNs: 0252-2667

Abstract

Abstract: The aim of this work is to analyse the interplay between economic growth and environmental quality. Specifically, the article considers an economic growth model with optimising agents à la Ramsey where production negatively affects the environment. The novelty of this work is to assume that such a negative impact does occur with a certain time lag rather than instantaneously, as is commonly assumed in economic models. The existence of (discrete) time delays in this process may be a source of instability of the unique stationary equilibrium of the system and may cause the emergence of Hopf bifurcations.