Special Column:Celebration of the 70th Anniversary of IGSNRR, CAS

A Simulation to Economic Growth of Two-Region under Resources Restriction

  • 1. School of Resources & Environment Science,East China Normal University, Shanghai 200062;
    2. School of Geographical Sciences,Guangzhou University, Guangzhou 510006, China;
    3. Institute of Policy and Management,CAS, Beijing 100080,China

Received date: 2007-05-25

  Revised date: 2008-02-09

  Online published: 2008-07-28


Multi-regional growth spillover and sustainable development subject to resource limits are two important problems in regional growth study.Many models were developed in these two fields. But resources restriction was ignored in the study on the multi-region growth spillovers and report on the study of sustainable development considering of multi-regions is seldom seen. In this article,a two-region growth spillovers model is built for the study of this problem in terms of regional growth,resources development and resources trade. In the model, one of the two regions sells part of its resource to the other region.The parameters of the model are altered to analyze the outcomes of the two regions respectively.It is found that it is better to sell natural resource for the relatively backward region when the FTP is slowly.However, the relatively backward region will achieve more income by inputting its resources to production than by selling them when it has strong internal knowledge spillover.It is also found that the two regions can both get positive spillover through resource trade if the ratio is set carefully.Regional growth spillover and sustainable development problem in growth study are reviewed in the first section of the paper.Models are given in the second part.In third section the impact of parameters alteration on both regions are studied in detail.Discussions and conclusions are given in the fourth part.

Cite this article

WANG Zheng, TENG Li, CAI Di . A Simulation to Economic Growth of Two-Region under Resources Restriction[J]. JOURNAL OF NATURAL RESOURCES, 2008 , 23(4) : 581 -588 . DOI: 10.11849/zrzyxb.2008.04.005


[1] 王铮,邓悦,等.理论经济地理学[M].北京:科学出版社,2002.[WANG Zheng,DENG Yue,et al.Theoretical Economical Geography.Beijing:Science Press,2002.] [2] McKibbin W J,Sachs J D.Global Linkages[M].Washington:The Brookings Institution,1991. [3] Ben-David D.Free trade,growth,and convergence[J].Journal of Economic Growth,1998,3:143-170. [4] Conley T G,Ligon E.Economic distance and cross-country spillovers[J].Journal of Economic Growth,2002,7:157-187. [5] Braim S.Policy evolution in the information economy[J].Telecommunication Policy,1998,22:443-452. [6] Krutilla K,Reuveny R.A renewable resource-based Ramsey Model with costly resource extraction[J].Environmental and Resource Economics,2004,27:165-185. [7] Wirl F.Sustainable growth,renewable resources and pollution:Thresholds and cycles[J].Journal of Economics Dynamics & Control,2004,28:1149-1157. [8] Bretschger L.Growth and Sustainable Development [M].Edward Elgar Cheltenham,1999.79-94. [9] Bretschger L.Knowledge diffusion and the development of region[J]. Annals Regional Sciences,1999,33:251-268. [10] Grossman G M,Helpman E.Trade,knowledge spillovers,and growth[J].European Economic Review,1991,35:517-526.