This study investigates the sustainability implications of the theoretical models of industrialization and urbanization pioneered by Dixit and Stiglitz^(1) so to open the theoretical “black box” of the unsustainabil...This study investigates the sustainability implications of the theoretical models of industrialization and urbanization pioneered by Dixit and Stiglitz^(1) so to open the theoretical “black box” of the unsustainability of the traditional industrialization mode, and shows how to reshape the relationship between the environment and development under the paradigm of ecological civilization. It finds that the theoretical models that “perfectly” simulate the traditional industrialization mode all have the implicit consequence of environmental unsustainability. Nonetheless, this limitation is not due to the problems of the models themselves but is more a result of the limitations of the traditional developmental and neoclassical economics paradigms of the industrial era. Therefore, the consequences of unsustainability cannot simply be avoided through external policies such as technological progress and environmental regulations, nor can they be prevented by simply adjusting some parameters in these theoretical models. Instead, a shift is required in both the developmental and the economics paradigms formed in the traditional industrial era. From an ecological civilization perspective, this study rethinks the basic issues of economics along the two lines of the ends(what) and the means(how) of development;briefly reviews the history of economic thought;and uses a conceptual framework to reorganize the relevant intellectual profundities that are neglected in standard neoclassical economics. The study further formalizes the conceptual framework in a general form model and shows how a paradigm shift in development could shift the trade-offs from the multiple goals of the economy, the environment, and well-being in the traditional industrial era to mutual reinforcement in ecocivilization.展开更多
Existing literature supports combining green research and development(R&D)subsidies and carbon taxation for economic sustainability,but often assumes an exogenous labor supply This overlooks key interactions,espec...Existing literature supports combining green research and development(R&D)subsidies and carbon taxation for economic sustainability,but often assumes an exogenous labor supply This overlooks key interactions,especially regarding existing subsidies for traditional R&D sectors,common in developing countries focused on growth.This paper introduces a varietyexpansion endogenous growth model featuring endogenous labor supply and stochastic components.It analyzes how labor supply endogeneity and the level of existing brown sector support influence the optimal mix of green R&D subsidies and carbon taxation,deriving closed-form solutions:when labor supply is endogenous,the relationship between the optimal carbon tax and green R&D subsidies can be complementary or substitutive,depending on the level of labor disutility.It also investigates how the optimal climate policy mix should change when a social planner emphasizes a faster green transition.The model is calibrated using data from China,and numerical results validate the paper's theoretical insights.展开更多
基金This study is sponsored by the RIEco Innovation Project"Economics in the Perspective of Ecocivilization and Its Policy Implications"(2022STSA02)at Chinese Academy of Social Sciences.
文摘This study investigates the sustainability implications of the theoretical models of industrialization and urbanization pioneered by Dixit and Stiglitz^(1) so to open the theoretical “black box” of the unsustainability of the traditional industrialization mode, and shows how to reshape the relationship between the environment and development under the paradigm of ecological civilization. It finds that the theoretical models that “perfectly” simulate the traditional industrialization mode all have the implicit consequence of environmental unsustainability. Nonetheless, this limitation is not due to the problems of the models themselves but is more a result of the limitations of the traditional developmental and neoclassical economics paradigms of the industrial era. Therefore, the consequences of unsustainability cannot simply be avoided through external policies such as technological progress and environmental regulations, nor can they be prevented by simply adjusting some parameters in these theoretical models. Instead, a shift is required in both the developmental and the economics paradigms formed in the traditional industrial era. From an ecological civilization perspective, this study rethinks the basic issues of economics along the two lines of the ends(what) and the means(how) of development;briefly reviews the history of economic thought;and uses a conceptual framework to reorganize the relevant intellectual profundities that are neglected in standard neoclassical economics. The study further formalizes the conceptual framework in a general form model and shows how a paradigm shift in development could shift the trade-offs from the multiple goals of the economy, the environment, and well-being in the traditional industrial era to mutual reinforcement in ecocivilization.
基金National Social Science Fund of China Major Project(No.23&ZD093)the National Natural Science Foundation of China(No.72203022)Co-funded Project of Guangdong Philosophy and Social Sciences(No.GD24XLJ01).
文摘Existing literature supports combining green research and development(R&D)subsidies and carbon taxation for economic sustainability,but often assumes an exogenous labor supply This overlooks key interactions,especially regarding existing subsidies for traditional R&D sectors,common in developing countries focused on growth.This paper introduces a varietyexpansion endogenous growth model featuring endogenous labor supply and stochastic components.It analyzes how labor supply endogeneity and the level of existing brown sector support influence the optimal mix of green R&D subsidies and carbon taxation,deriving closed-form solutions:when labor supply is endogenous,the relationship between the optimal carbon tax and green R&D subsidies can be complementary or substitutive,depending on the level of labor disutility.It also investigates how the optimal climate policy mix should change when a social planner emphasizes a faster green transition.The model is calibrated using data from China,and numerical results validate the paper's theoretical insights.
