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Environmental pollution as engine of industrialization

Antoci, Angelo and Galeotti, Marcello and Sordi, Senera (2018) Environmental pollution as engine of industrialization. Communications in Nonlinear Science and Numerical Simulation, Vol. 58 . ISSN 1007-5704. Article.

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DOI: 10.1016/j.cnsns.2017.06.016

Abstract

This paper analyzes the dynamics of a small open economy with two sectors (a farming sector and an industrial one), heterogeneous agents (workers and entrepreneurs) and free inter-sectoral labor mobility. Labor productivity in the first sector is negatively affected by environmental pollution generated by both sectors, whereas in the second sector it is positively affected by physical capital accumulated by entrepreneurs. Through a global analysis of the non-linear three-dimensional dynamic system of the model we derive conditions under which industrialization generates a decline in workers’ revenues in both sectors.

Item Type:Article
ID Code:11915
Status:Published
Refereed:Yes
Uncontrolled Keywords:Environmental pollution, industrialization, global dynamics
Subjects:Area 13 - Scienze economiche e statistiche > SECS-S/06 Metodi matematici dell'economia e delle scienze attuariali e finanziarie
Divisions:001 Università di Sassari > 01-a Nuovi Dipartimenti dal 2012 > Scienze economiche e aziendali
Publisher:Elsevier
ISSN:1007-5704
Deposited On:06 Feb 2018 11:56

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