The social cost of eating cake

Some results on the optimal consumption pattern for a cake-eating economy a re clarified. This economy provides a simple example of the non-equivalence of the sustainable level of consumption of an economy and the stationary-e quivalent level of consumption, or green net national product. The way in w hich green NNP is a useful statistic is discussed. (C) 1999 Elsevier Scienc e B.V. All rights reserved.