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Bivariate cointegration between poverty and environment: a case study of Pakistan (1980-2009)

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Author Info

  • Khalid Zaman
  • Waseem Ikram
  • Iqtidar Ali Shah
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    Abstract

    The objective of this paper is to empirically investigate a two-way statistical relationship between the agriculture environment and rural poverty. To recognise the relationship between the two variables, a time series, co-integration and Granger causality tests have been employed. Secondary data pertaining to Pakistan from 1980-2009 on rural poverty and environmental factors (such as commercial energy consumption, water availability and total cropped area) have been used for the analysis. The empirical results only moderately support the conventional view that rural poverty has a significant long-term casual effect on environmental proxies in Pakistan. The present study finds evidence of uni-directional causality between poverty and the environment in the context of the agriculture sector in Pakistan.

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    File URL: http://www.tandfonline.com/doi/abs/10.1080/09640568.2010.495537
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    Bibliographic Info

    Article provided by Taylor & Francis Journals in its journal Journal of Environmental Planning and Management.

    Volume (Year): 53 (2010)
    Issue (Month): 8 ()
    Pages: 977-989

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    Handle: RePEc:taf:jenpmg:v:53:y:2010:i:8:p:977-989

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    Web page: http://www.tandfonline.com/CJEP20

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    Related research

    Keywords: rural poverty; environmental degradation; cointegration; uni-directional; bi-directional; Granger causality test;

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    Cited by:
    1. Zaman, Khalid & Khan, Muhammad Mushtaq & Ahmad, Mehboob, 2012. "The relationship between foreign direct investment and pro-poor growth policies in Pakistan: The new interface," Economic Modelling, Elsevier, vol. 29(4), pages 1220-1227.

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