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Environment, human development and economic growth: a contemporary analysis of Indian states

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  • Sacchidananda Mukherjee
  • Debashis Chakraborty

Abstract

This study investigates the relationships among Environmental Quality (EQ), Human Development (HD) and economic growth for 14 major Indian States. To capture the temporal aspects of EQ, the sample period is divided to Period A (1990-1996) and Period B (1997-2004). For both the subperiods, 63 environmental indicators have been clustered under eight broad environmental groups and an overall index of EQ is created using HDI methodology. Ranking of the States across different environmental criteria (groups) shows that different States possess different strengths and weaknesses in managing various aspects of EQ. The test for the Environmental Kuznets Curve (EKC) hypothesis indicates non-linear relationship between several individual environmental groups and per capita income. The regression results involving individual environment groups and HDI score indicate slanting N-shaped relationship. On the basis of the obtained results, this paper concludes that individual States should adopt environmental management practices based on their local environmental information.

Suggested Citation

  • Sacchidananda Mukherjee & Debashis Chakraborty, 2009. "Environment, human development and economic growth: a contemporary analysis of Indian states," International Journal of Global Environmental Issues, Inderscience Enterprises Ltd, vol. 9(1/2), pages 20-49.
    • Handle: RePEc:ids:ijgenv:v:9:y:2009:i:1/2:p:20-49
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    Citations

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    Cited by:

    1. Adeel-Farooq, Rana Muhammad & Riaz, Muhammad Faraz & Ali, Tariq, 2021. "Improving the environment begins at home: Revisiting the links between FDI and environment," Energy, Elsevier, vol. 215(PB).
    2. Saleema Razvi & Debashis Chakraborty, 2016. "Does Economic Freedom Influence Major Health Indicators in India? Cross-state Panel Estimation Results," Journal of Development Policy and Practice, , vol. 1(2), pages 203-221, July.
    3. Zhiping Song & Peishan Tong, 2022. "The Impact of Environmental Regulation on Human Sustainable Development: Evidence from China," Sustainability, MDPI, vol. 14(19), pages 1-12, September.
    4. Sacchidananda Mukherjee & Shivani Badola, 2021. "Public Financing of Human Development in India: A Review," Indian Journal of Human Development, , vol. 15(1), pages 62-81, April.
    5. Opoku, Eric Evans Osei & Dogah, Kingsley E. & Aluko, Olufemi Adewale, 2022. "The contribution of human development towards environmental sustainability," Energy Economics, Elsevier, vol. 106(C).
    6. Neelakanta N.T. & Haripriya Gundimeda & Vinish Kathuria, 2013. "Does Environmental Quality Influence FDI Inflows? A Panel Data Analysis for Indian States," Review of Market Integration, India Development Foundation, vol. 5(3), pages 303-328, December.
    7. Debashis Chakraborty & Sacchidananda Mukherjee, 2013. "Fiscal Subsidies and Environmental Sustainability: What does the Cross-country Empirical Estimates Suggest?," Foreign Trade Review, , vol. 48(3), pages 383-397, August.

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