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Social preferences and Environmental Kuznets Curve in climate change integrated assessment modelling

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  • Nicola Cantore

Abstract

The Environmental Kuznets Curve (EKC) hypothesis implies that a bell shaped relationship between income and pollution would induce policy makers to pursue economic growth in order to improve environment. In this paper we will use the popular integrated assessment model DICE for climate change in order to consider a more generalised version of the social planner utility function and we will investigate the relationship between income and pollution for different values of the elasticity of the marginal utility of consumption (α). Results do not provide evidence in favour of the Environmental Kuznets Curve existence for CO2 emissions in the optimal path but EKC decomposition factors are affected by variations of the α parameter.

Suggested Citation

  • Nicola Cantore, 2010. "Social preferences and Environmental Kuznets Curve in climate change integrated assessment modelling," International Journal of Global Environmental Issues, Inderscience Enterprises Ltd, vol. 10(1/2), pages 123-142.
    • Handle: RePEc:ids:ijgenv:v:10:y:2010:i:1/2:p:123-142
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    Cited by:

    1. Shahbaz, Muhammad & Sinha, Avik, 2019. "Environmental Kuznets Curve for CO2 emission: A survey of empirical literature," MPRA Paper 100257, University Library of Munich, Germany, revised 2019.
    2. Muhammad Shahbaz & Avik Sinha, 2019. "Environmental Kuznets curve for CO2emissions: a literature survey," Journal of Economic Studies, Emerald Group Publishing Limited, vol. 46(1), pages 106-168, January.
    3. Kaika, Dimitra & Zervas, Efthimios, 2013. "The Environmental Kuznets Curve (EKC) theory—Part A: Concept, causes and the CO2 emissions case," Energy Policy, Elsevier, vol. 62(C), pages 1392-1402.

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