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American Economic Review 2016

Economic growth, resource availability, and environmental quality

V. Kerry Smith; John V. Krutilla

Abstract

Skeptical that research to date does not warrant confidence in the relationship between natural resources and the maintenance of material well-being, the authors consider the conventional explanations for how resource stringencies have been avoided and what has been learned during the past decade. They then point out what has been missed by formal economic modeling and why it may be important in understanding the implications of resource scarcity. 19 references.

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