Environment, public debt and epidemics
Marion Davin
- Fonction : Auteur
- PersonId : 170477
- IdHAL : marion-davin
Mouez Fodha
- Fonction : Auteur
- PersonId : 743297
- IdHAL : mouez-fodha
- ORCID : 0000-0001-9950-0491
- IdRef : 112991084
Thomas Seegmuller
- Fonction : Auteur
- PersonId : 937247
- IdHAL : thomas-seegmuller
- ORCID : 0000-0001-6842-5695
- IdRef : 059907479
Résumé
We study whether fiscal policies, especially public debt, can help to curb the macroeconomic and health consequences of epidemics. Our approach is based on three main features: we introduce the dynamics of epidemics in an overlapping generations model to take into account that old people are more vulnerable; people are more easily infected when pollution is high; public spending and public debt can be used to tackle the effects of epidemics. We show that fiscal policies can promote the convergence to a stable steady state with no epidemics. When public policies are not able to permanently eradicate the epidemic, public debt and income transfers could reduce the number of infected people and increase capital and GDP per capita. As a prerequisite, pollution intensity should not be too high. Finally, we define a household subsidy policy which eliminates income and welfare inequalities between healthy and infected individuals.
Domaines
Economies et financesFormat du dépôt | Fichier |
---|---|
Type de dépôt | Pré-publication, Document de travail (working paper) |
Titre |
en
Environment, public debt and epidemics
|
Résumé |
en
We study whether fiscal policies, especially public debt, can help to curb the macroeconomic and health consequences of epidemics. Our approach is based on three main features: we introduce the dynamics of epidemics in an overlapping generations model to take into account that old people are more vulnerable; people are more easily infected when pollution is high; public spending and public debt can be used to tackle the effects of epidemics. We show that fiscal policies can promote the convergence to a stable steady state with no epidemics. When public policies are not able to permanently eradicate the epidemic, public debt and income transfers could reduce the number of infected people and increase capital and GDP per capita. As a prerequisite, pollution intensity should not be too high. Finally, we define a household subsidy policy which eliminates income and welfare inequalities between healthy and infected individuals.
|
Auteur(s) |
Marion Davin
1
, Mouez Fodha
2, 3
, Thomas Seegmuller
4
1
CEE-M -
Centre d'Economie de l'Environnement - Montpellier
( 1002397 )
- 2 Place Viala
INRAE - MSA
34060 Montpellier Cedex 2
- France
2
PSE -
Paris School of Economics
( 301309 )
- 48 boulevard Jourdan 75014 Paris
- France
3
PJSE -
Paris Jourdan Sciences Economiques
( 578027 )
- 48 boulevard Jourdan 75014 Paris
- France
4
AMSE -
Aix-Marseille Sciences Economiques
( 526949 )
- 5-9 Boulevard Bourdet
CS 50498
13205 Marseille Cedex 1
- France
|
Langue du document |
Anglais
|
Date de production/écriture |
2021-05-07
|
Date de publication |
2021-05-10
|
Titre de la collection |
CEE-M working papers ; 2021-08
|
Page/Identifiant |
35 p.
|
Public visé |
Scientifique
|
Sous-type de document pour les Documents de travail |
Working paper
|
Projet(s) ANR |
|
Mots-clés (JEL) |
|
Référence interne |
|
Domaine(s) |
|
Mots-clés |
en
public debt, epidemics, pollution, overlapping generations
|
Origine :
Fichiers produits par l'(les) auteur(s)
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