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The environmental Kuznets curve : evidence from time series data for Germany

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Abstract

In recent years, extensive literature on the Environmental Kuznets Curve lead- ing to optimistic policy conclusions has attracted great attention. However, the underlying cross-section estimations are not very reliable. Accordingly, this contribution uses time series data for a single country with dependable data quality : Germany. The results of the traditional reduced-form specification do not support the EKC hypothesis. However, with a specification in the tradi- tion of error correction models, which are more appropriate in the presence of non-stationary time series, it is found that the typical EKC pattern can be confirmed.

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Paper provided by CER-ETH - Center of Economic Research (CER-ETH) at ETH Zurich in its series CER-ETH Economics working paper series with number 03/28.

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Length: 39 pages
Date of creation: Sep 2004
Date of revision:
Handle: RePEc:eth:wpswif:03-28

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Keywords: Environmental Kuznets Curve; Error Correction Model; Time Series Data;

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  1. MacKinnon, James G, 1994. "Approximate Asymptotic Distribution Functions for Unit-Root and Cointegration Tests," Journal of Business & Economic Statistics, American Statistical Association, vol. 12(2), pages 167-76, April.
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Cited by:
  1. Gang Liu & Terje Skjerpen & Anders Rygh Swensen & Kjetil Telle, 2006. "Unit Roots, Polynomial Transformations and the Environmental Kuznets Curve," Discussion Papers 443, Research Department of Statistics Norway.
  2. Shahbaz, Muhammad & Khraief, Naceur & Uddin, Gazi Salah & Ozturk, Ilhan, 2014. "Environmental Kuznets curve in an open economy: A bounds testing and causality analysis for Tunisia," Renewable and Sustainable Energy Reviews, Elsevier, vol. 34(C), pages 325-336.
  3. Fodha, Mouez & Zaghdoud, Oussama, 2010. "Economic growth and pollutant emissions in Tunisia: An empirical analysis of the environmental Kuznets curve," Energy Policy, Elsevier, vol. 38(2), pages 1150-1156, February.
  4. Marzio Galeotti & Matteo Manera & Alessandro Lanza, 2006. "On the Robustness of Robustness Checks of the Environmental Kuznets Curve," Working Papers 2006.22, Fondazione Eni Enrico Mattei.
  5. Rabia Ece Omay, 2013. "The Relationship between Environment and Income:Regression Spline Approac," International Journal of Energy Economics and Policy, Econjournals, vol. 3(Special), pages 52 - 61.
  6. Marzio Galeotti, 2007. "Economic Growth And The Quality Of The Environment: Taking Stock," Environment, Development and Sustainability, Springer, vol. 9(4), pages 427-454, November.
  7. Cunha, Barbara & Mani, Muthukumara, 2011. "DR-CAFTA and the environment," Policy Research Working Paper Series 5826, The World Bank.
  8. Giovanis, Eleftherios, 2013. "Environmental Kuznets curve: Evidence from the British Household Panel Survey," Economic Modelling, Elsevier, vol. 30(C), pages 602-611.

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