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Would economic growth affect air pollution in light of the potential transatlantic trade and investment partnership?

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  • Dhimitri Qirjo

    (Department of Economics & Finance, SUNY Plattsburgh)

  • Razvan Pascalau

    (Department of Economics & Finance, SUNY Plattsburgh)

Abstract

This paper examines the impact of income per capita on five air pollutants, respectively. It employs a dataset of the twenty-eight EU members and of the U.S. over a twenty-five-year period. The results provide robust evidence consistent with the Environmental Kuznets Curve argument for CO2, CH4, and HFCs/PFCs/SF6, respectively. The results yield practically a monotonically increasing relationship between per capita income and per capita emissions of GHGs and N2O, respectively, when including the trade variables related to the possible implementation of the Transatlantic Trade and Investment Partnership. Thus, this study suggests that policymakers in both sides of the Atlantic could take into consideration that a future trade deal between the U.S. and the EU may contribute to increasing the depletion of the ozone layer.

Suggested Citation

  • Dhimitri Qirjo & Razvan Pascalau, 2021. "Would economic growth affect air pollution in light of the potential transatlantic trade and investment partnership?," International Economics and Economic Policy, Springer, vol. 18(1), pages 127-156, February.
    • Handle: RePEc:kap:iecepo:v:18:y:2021:i:1:d:10.1007_s10368-020-00481-3
    DOI: 10.1007/s10368-020-00481-3
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    More about this item

    Keywords

    Free trade; Environmental Kuznets curve; Air pollution.;
    All these keywords.

    JEL classification:

    • F18 - International Economics - - Trade - - - Trade and Environment
    • F53 - International Economics - - International Relations, National Security, and International Political Economy - - - International Agreements and Observance; International Organizations
    • Q56 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environment and Development; Environment and Trade; Sustainability; Environmental Accounts and Accounting; Environmental Equity; Population Growth

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