Endogenous time preference, pollution and economic growth

摘要

This paper develops and access the implications of the exogenous growth model of Stokey(1998) for the augment endogenous time preference and the effect of public finance on pollution. The model predicts that tax can change consumers' time preference, then it also affect pollution stock. The model implies that in the poor economy taxing on consumption will decrease the capital stock and may do harm to growth in the long run.