Study of Pollution Abatement Policy by Using Comparative Static Analysis and Endogenous Growth Model: Case Study of Iran Economy

In past decade، paying attention to the environment sustainability has been an important macroeconomic goal in different countries by moving towards a low-carbon economic growth. Therefore، this paper attempts to design and calibrate an endogenous growth model and use comparative static analysis to study the policies such as promoting green R&D، imposing an eco-tax، subsidizing less polluting factors of input for pollution abatement and then، to control the pollution effects on Iran economy. The results represent that the government can adjust the behavior of agents in order to reach a sustainable economic growth with the help of appropriate policies، and so to choose an optimal decision in the allocation of resources.