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Article
Discontinuous extraction of a nonrenewable resource
Economics Letters (2006)
  • Ujjayant N Chakravorty, Tufts University
  • Erik Im
  • James Roumasset
Abstract
This paper examines the sequence of optimal extraction of nonrenewable resources in the presence of multiple demands. We provide conditions under which extraction of a nonrenewable resource may be discontinuous over the course of its depletion.
Keywords
  • Backstop technology,
  • Dynamic optimization,
  • Energy resources,
  • Herfindahl principle,
  • Multiple demands
Publication Date
2006
Citation Information
Ujjayant N Chakravorty, Erik Im and James Roumasset. "Discontinuous extraction of a nonrenewable resource" Economics Letters (2006)
Available at: http://works.bepress.com/chakravorty/19/