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Gadomski Jan, Nahorski Zbigniew
Kyoto Protocol and the growth of a small country ope economy : a simple mathematical model approach
Roczniki Kolegium Analiz Ekonomicznych / Szkoła Główna Handlowa, 2006, nr 15, s. 139-150, rys., bibliogr. 12 poz.
Issue title
Metody formalne w teorii gier, teorii wzrostu i ekonomii finansowej
Emisja gazów, Analiza systemowa, Modele matematyczne
Gas emissions, Systemic analysis, Mathematical models
This paper analyzes an impact of introducing the Kyoto protocols on the economic growth in a small economy (illustrated on the case of Polish economy). The analysis is performed using a simple one-sector macroeconomic model, which includes economic as well as environmental factors. The endogenization of the environmental costs causes extra charges or benefits related to the trade in the emission permits. The model being considered constitutes a part of a finite horizon optimization problem with the zero end-point constraints on the net import and foreign debt, which are related to the assumed finite time horizon of economic adjustment. The optimal solution determines the optimal structure of investments in two com¬peting technologies. Two simulation scenarios were performed, which differed in the level of permit prices, used as the model parameters. (original abstract)
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