||Extraction of Exhaustible Resources
Extraction of Exhaustible Resources
島本, 憲一Kenichi, Shimamoto
Hirao School of Management review = Hirao School of Management review
10 , 2017-03-30 , 甲南大学マネジメント創造学部HSMR編集委員会
Exhaustible resources are considered to be imperative input goods to sustain our livelihood including economic activities. However, there is concern over depletion of the resources since the usage of exhaustible resources has been increasing in accordance with the growth in population. Therefore, various environmental policies have been set and executed to address this concern. In light of these situations, this article examines the time path of exhaustible resources by applying the optimal growth theory. As a result, it indicates that the extraction of exhaustible resources decline overtime. Moreover, when comparing the results of when the increase in population and the enforcement of environmental policies are each taken into consideration with when they are not, it identifies that the optimal path of extraction for exhaustible resources each support both a more rapid and gentle path when population increase and environmental policy enforcement are taken into consideration.