Browsing by Subject "Sustainable development."

Now showing 1 - 4 of 4

Open Access
Bliss and growth: optimal policies under uncertainty
(1998) Voyvoda, Ebru
This thesis conducts a study on growth theory by analyzing how the results of the current optimal growth theory change when households are assumed to have bliss points in their consumption sets. For this purpose a discrete-time, one-sector, stochastic model of endogenous growth, adopting constant returns to scale technology and quadratic utility function, is constructed. The solution of the model through “value function iteration” shows the existence of qualitatively different equilibria, depending on the initial state of the economy. This result demonstrates that it is possible to combine “poverty traps” and “sustained growth” into a common analytical framework.
Open Access
Determinants of health expenditure in OECD countries and the income elasticity
(2008) Şanlıalp, Gülten
After Newhouse's seminal paper published in 1977 the determinants of health expenditure has been studied both by academia and policymakers. The main result of these studies is that income is the most important factor explaining the health expenditure. This thesis aims to reveal the non-income determinants of health expenditure, the magnitude of the income elasticity of health expenditure in OECD countries and to explore whether health expenditure is more elastic in high income countries. Health can be seen as a necessity if the income elasticity is below unity and as a luxury good if the income elasticity is above unity. An interpretation of health being a luxury good is that health expenditure would increase at a higher rate than GDP and the public health sector have high priority among the goals of economic and social development. Panel data on GDP per capita, dependency rate and the public share in health expenditure have been used to investigate the determinants of total health expenditure per capita of OECD countries for the period 1975-2006. For a richer analysis linear and log-linear functional forms are employed. Linear functional form reveals that 100 US$ increase in GDP per capita raises health expenditure per capita by 10.99 US$. Log-linear functional form yields income elasticity much higher than unity. After sorting out the OECD countries as highincome and low-income, it is found that health is more elastic in high-income countries.
Open Access
Four essays on overlapping generations resource economies : optimality, sustainability and dynamics
(2012) Fazlıoğlu, Burcu
This dissertation is made up of four essays on overlapping generations resource economies. The Örst essay studies the e§ects of energy saving technological progress and substitution of renewable energy resources with non-renewable resources on natural resource depletion and long run growth. A growth model in two-period overlapping generations framework incorporating the presence of both resources and resource augmenting technological progress is developed. The e§ect of an increase in the intensity of the renewable resources in producing energy on long run growth is found to be positive. Although exhaustible resources are essential in production the economy can be sustained and the balanced growth path is optimal. In the second essay, the implications of assuming di§erent energy intensities for physical capital accumulation and the Önal good production is studied in an overlapping generations resource economy where energy is obtained from the extraction of the natural resources. Apart from the standard literature, physical capital accumulation is assumed to be relatively more energy-intensive than consumption. Multiple steady states, indeterminacy and bifurcations are obtained, without taking non-linearizing assumptions evident in the literature. For the non-renewable resources if the share of energy resources is low enough, local indeterminacy and hopf bifurcations may arise in the model. The aim of third essay is to analyze can costly resource extraction and di§erentiating energy intensities induce dynamics other than saddles in an overlapping generations resource economy. The capital accumulation sector is assumed to be more energy intensive. The energy input is extracted from the natural resources with some extraction costs. The main Önding of the essay is that both naturally evident assumptions contribute to the richness of the dynamics. Depending on the share of resources in capital accumulation dynamics other than saddle ñindeterminacy, áip and hopf bifurcationsñ can arise in the model for the non-zero steady state. In the fourth essay, a feedback mechanism between population and natural resource to a standard model of renewable resource based OLG economy is incorporated to check the stability of the dynamics. Multiple steady states and indeterminacy have been obtained even in the absence of logistic regeneration and independent of intertemporal elasticity of substitution. In particular, transcritical bifurcations may arise in the model varying the rate of constant regeneration with respect to population growth rate.
Open Access
Model for valuating decentralized energy production
(2008) Cider, Muammer
The purpose of this thesis is to assess decentralized production technologies in an economical framework. Throughout the thesis, technological aspects such as smart metering or connectivity issues are ignored. All assumptions are based on specification sheets by the producers of the technologies to provide an impartial assessment. Pricing schemes for buying from the grid and selling to the grid are based on dynamic markets, like Amsterdam Power Exchange and Title Transfer Facility. Although these markets are for large scale trading, they provide a good basis for constructing future scenarios where electricity and gas are bought on variable prices rather than fixed prices. Model constructed to evaluate different technologies finds the optimal production given the technologies and prices for the period. Optimal production clearly defines an upper bound on the value of the technology as any other production increases the cost of heat and electricity of the household. In retrospect, model establishes a best case scenario for the value of such systems from an economical perspective. Technological, regulatory, and marketing aspects are not explored in this study. Only economical viability of the technologies is explored. In summary, it is common for individuals to make misinformed or wrong decisions. Effects of marketing etc. can be studied, but my belief based on this study is that these devices are not economically viable and their environmental benefits are questionable.