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A dynamic input-output model with renewable resources

  • Imre DobosEmail author
  • Peter Tallos
Original Paper

Abstract

The paper studies a generalisation of the dynamic Leontief input-output model. The standard dynamic Leontief model will be extended with the balance equation of renewable resources. The renewable stocks will increase regenerating and decrease exploiting primary natural resources. In this study the controllability of this extended model is examined by taking the consumption as the control parameter. Assuming balanced growth for both consumption and production, we investigate the exhaustion of renewable resources in dependence on the balanced growth rate and on the rate of natural regeneration. In doing so, classic results from control theory and on eigenvalue problems in linear algebra are applied.

Keywords

Dynamical systems Eigenvalue problem Control theory Environmental management 

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Copyright information

© Springer-Verlag 2011

Authors and Affiliations

  1. 1.Institute of Business EconomicsCorvinus University of BudapestBudapestHungary
  2. 2.Department of MathematicsCorvinus University of BudapestBudapestHungary

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