In this paper we consider optimal economic growth in the presence of exhaustible resource, exogenous population growth, and endogenous technical progress. A production function with endogenous technical progress and a...In this paper we consider optimal economic growth in the presence of exhaustible resource, exogenous population growth, and endogenous technical progress. A production function with endogenous technical progress and a more appropriate objective function are suggested. In this new framework we determine the conditions required to ensure exponentially growing, as opposed to declining, consumption. Optimal per capita consumption will be less likely to be incerasing when: the educational efficiency is low; the planner cares little about future; population grows rapidly; and the elasticity of marginal utility is high.展开更多
文摘In this paper we consider optimal economic growth in the presence of exhaustible resource, exogenous population growth, and endogenous technical progress. A production function with endogenous technical progress and a more appropriate objective function are suggested. In this new framework we determine the conditions required to ensure exponentially growing, as opposed to declining, consumption. Optimal per capita consumption will be less likely to be incerasing when: the educational efficiency is low; the planner cares little about future; population grows rapidly; and the elasticity of marginal utility is high.