Endogenous growth of population and income depending on resource and knowledge

We consider a three sector demoeconomic model and its interdependence with the accumulation of human capital and resources. The primary sector harvest s a renewable resource which constitutes the input into industrial producti on, the secondary sector of our economy. Both sectors are always affected b y the stock of knowledge. The tertiary sector is responsible for the accumu lation of this stock that represents a public good for all three sectors. L abour is divided up between the three sectors under the assumption of compe titive labour markets. The economy exhibits two externalities - free access to renewable resource harvesting and the existence of a public stock of kn owledge - that are not properly reflected in competitive markets. We intern alize these externalities by taxing the output of the primary sector and us e these taxes together with taxes on labour income to finance the inputs of the tertiary sector. The central focus of this study is whether and what k ind of interactions between the economy, the population and the environment foster sustainability and if possible, continuous growth.