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Demographic change and climate change

Author

Listed:
  • Michael Rauscher

Abstract

The paper uses a continuous-time overlapping-generations model with endogenous growth and pollution accumulation over time to study the link between longevity and global warming. It is seen that increasing longevity accelerates climate change in a business-as-usual scenario without climate policy. If a binding emission target is set exogenously and implemented via a cap-and-trade system, the price of emission permits is increasing in longevity. Longevity has no effect on the optimal solution of the climate problem if perfect intergenerational transfers are feasible. If these transfers are absent, the impact of longevity is ambiguous.

Suggested Citation

  • Michael Rauscher, 2019. "Demographic change and climate change," CESifo Working Paper Series 7676, CESifo.
    • Handle: RePEc:ces:ceswps:_7676
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    File URL: https://www.cesifo.org/DocDL/cesifo1_wp7676.pdf
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    Cited by:

    1. Hye-Kyoung Lee & Young-Hoon Bae & Jong-Yeong Son & Won-Hwa Hong, 2020. "Analysis of Flood-Vulnerable Areas for Disaster Planning Considering Demographic Changes in South Korea," Sustainability, MDPI, vol. 12(11), pages 1-16, June.

    More about this item

    JEL classification:

    • Q56 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environment and Development; Environment and Trade; Sustainability; Environmental Accounts and Accounting; Environmental Equity; Population Growth
    • O44 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Environment and Growth
    • O41 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - One, Two, and Multisector Growth Models
    • J11 - Labor and Demographic Economics - - Demographic Economics - - - Demographic Trends, Macroeconomic Effects, and Forecasts
    • J19 - Labor and Demographic Economics - - Demographic Economics - - - Other

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