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Published online by Cambridge University Press: 02 December 2020
This chapter extends the four basic models --- SEEE, SEEN, DEEE, and DEEN models, in several directions. These extensions are: mixed externality, correlated externalities, increasing returns to scale (IRS) in the economy and environmental externalities, and the environmental externality in exhaustible resource models. These extensions are abstracted largely from climate change research. These extensions revise some of the results obtained in chapters 3 and 4. They allow the readers to better understand the complexity of environmental externality problems. Again, several numerical examples and their programming codes are provided to help the modelling these extensions.
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