Economic Theory and Global Warming

By Hirofumi Uzawa | Go to book overview

Economic Theory and Global Warming

In this book, Professor Uzawa modifies and extends the theoretical premises of orthodox economic theory to make them broad enough for analyzing the phenomena related to environmental disequilibrium – particularly global warming – and finding institutional arrangements and policy measures that may bring about a more optimal state in which the natural and institutional components are harmoniously blended. He constructs a theoretical framework in which three major global environmental issues may effectively be addressed. First, all global environmental phenomena exhibit externalities of one kind or another. Secondly, global environmental issues involve international and intergenerational equity and justice. Thirdly, global environmental issues concern the management of the atmosphere, the oceans, water, soil, and other natural resources and need to be addressed through a consensus of all affected countries.

Hirofumi Uzawa is Director of the Research Center of Social Overhead Capital at Doshisha University and Emeritus Professor of Economics at the University of Tokyo and Niigata University. In a teaching career spanning more than four decades, he has also taught at Stanford University, the University of California at Berkeley, the University of Chicago, Cambridge University, the University of Minnesota, and the University of Pennsylvania. Professor Uzawa is a Fellow and former President of the Econometric Society and a former President of the Japan Association for Economics and Econometrics. He is a Fellow of the American Academy of Arts and Sciences, a Foreign Associate of the U. S. National Academy of Sciences, a Foreign Honorary Member of the American Economic Association, and a Member of the Japan Academy.

Professor Uzawa has also been a Fellow at the Center for Advanced Study in the Behavioral Sciences at Stanford as well as an Overseas Fellow of Churchill College, Cambridge, and he has served for more than 30 years as Senior Advisor in the Research Institute of Capital Formation at the Development Bank of Japan.

Professor Uzawa has been one of the leading economic theorists of the past four decades. His contributions to economics cover virtually every branch of the field, ranging from the pure theory of consumer behavior to the duality theory of production and capital, general equilibrium theory, endogenous theory of technical progress, two-sector analysis of capital accumulation, optimal growth theory, and the theory of social overhead capital. In recent decades he has become particularly well known for applied research in the areas of the economics of pollution, environmental disruption, and global warming as well as the economics of education and medical care.

Professor Uzawa is the author of numerous articles in the world's leading economics journals and of more than twenty books, including Preference, Production, and Capital: Selected Papers of Hirofumi Uzawa (Cambridge University Press, 1988). Twelve volumes of his papers were collected and published in Japanese in 1994–5. He is the recipient of the Matsunaga Prize (1969), the Yoshino Prize (1970), and the Mainichi Prize (1974).The government of Japan designated him a Person of Cultural Merit in 1983, and the Emperor of Japan conferred the Order of Culture upon him in 1997.

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Economic Theory and Global Warming
Table of contents

Table of contents

  • Title Page *
  • Contents v
  • List of Tables and Figures vii
  • Preface ix
  • Introduction - Global Warming: Problems and Perspectives 1
  • 1 - Global Warming and Carbon Taxes 22
  • 2 - Pareto Optimality and Social Optimum 60
  • 3 - Global Warming and Tradable Emission Permits 92
  • 4 - Dynamic Analysis of Global Warming 115
  • 5 - Dynamic Optimality and Sustainability 138
  • 6 - Global Warming and Forests 169
  • 7 - Global Warming as a Cooperative Game 193
  • Summary and Concluding Notes 241
  • References 261
  • Index 275
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