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Modeling of Nonrenewable Resources

  • Natali Hritonenko
  • Yuri Yatsenko
Chapter
Part of the Springer Optimization and Its Applications book series (SOIA, volume 88)

Abstract

This chapter is devoted to an important economic–environmental problem: the modeling of the optimal extraction and utilization of nonrenewable (exhaustible) resources. Nonrenewable resources are natural resources that cannot be replaced as quickly as they are being consumed. Examples of such resources include fossil fuels (petroleum, coal, and natural gas) and mineral resources (iron, gold, and other). The models of Section 10.1 consider the resource extraction process in isolation from other economic activities. Section 10.2 investigates the economic growth model with a two-factor Cobb–Douglas technology that uses physical capital and exhaustible resource to produce aggregate product.

Keywords

Optimal Control Problem Shadow Price Nonrenewable Resource Resource Extraction Extraction Period 
These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.

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Copyright information

© Springer Science+Business Media New York 2013

Authors and Affiliations

  • Natali Hritonenko
    • 1
  • Yuri Yatsenko
    • 2
  1. 1.Department of MathematicsPrairie View A&M UniversityPrairie ViewUSA
  2. 2.School of BusinessHouston Baptist UniversityHoustonUSA

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