Abstract
This paper employs a mobile capital version of the Harris-Todaro model to analyze the backward incidence of pollution abatement policies on some key variables of interest. Among other things, we show that national incomemay fall as a result of stronger pollution controls. However, more restrictive pollution controls cause the urban rate of unemployment to fall unambiguously.
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Beladi, H., Rapp, J. Urban unemployment and the backward incidence of pollution control. Ann Reg Sci 27, 153–163 (1993). https://doi.org/10.1007/BF01581943
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DOI: https://doi.org/10.1007/BF01581943