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Air pollution and the macroeconomy across European countries

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  • Francisco Alvarez
  • Gustavo A. Marrero
  • Luis A. Puch

Abstract

This paper analyzes the role of macroeconomic performance in shaping the evolution of air pollutants in a panel of European countries from 1990 to 2000. The analysis is addressed in connection with EU environmental regulation. We start by documenting the patterns of cross-country differences among different pollutants. We then interpret these differences within a neoclassical growth model with pollution. Three main pieces of evidence are presented. First, we analyze the existence of convergence of pollution levels within European economies. Second, we rank countries according to its performance in terms of emissions and growth. Third, we evaluate the evolution of emissions in terms of the targets signed for 2010.

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Paper provided by FEDEA in its series Working Papers with number 2005-10.

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Handle: RePEc:fda:fdaddt:2005-10

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  1. William Brock & M. Taylor, 2010. "The Green Solow model," Journal of Economic Growth, Springer, vol. 15(2), pages 127-153, June.
  2. Gene M. Grossman & Alan B. Krueger, 1994. "Economic Growth and the Environment," NBER Working Papers 4634, National Bureau of Economic Research, Inc.
  3. Steven N. Durlauf & Danny T. Quah, 1998. "The New Empirics of Economic Growth," Working Papers 98-01-012, Santa Fe Institute.
  4. de la Fuente, A., 1995. "The Empirics of Growth and Convergence: A Selective Review," UFAE and IAE Working Papers 294.95, Unitat de Fonaments de l'Anàlisi Econòmica (UAB) and Institut d'Anàlisi Econòmica (CSIC).
  5. Selden Thomas M. & Song Daqing, 1994. "Environmental Quality and Development: Is There a Kuznets Curve for Air Pollution Emissions?," Journal of Environmental Economics and Management, Elsevier, vol. 27(2), pages 147-162, September.
  6. Stokey, Nancy L, 1998. "Are There Limits to Growth?," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 39(1), pages 1-31, February.
  7. Klenow, Peter J. & Rodriguez-Clare, Andres, 1997. "Economic growth: A review essay," Journal of Monetary Economics, Elsevier, vol. 40(3), pages 597-617, December.
  8. Kahn Matthew E, 2003. "New Evidence on Eastern Europe's Pollution Progress," The B.E. Journal of Economic Analysis & Policy, De Gruyter, vol. 3(1), pages 1-18, April.
  9. de la Fuente, Angel, 1998. "Convergence Equations and Income Dynamics: The Sources of OECD Convergence, 1970-95," CEPR Discussion Papers 1794, C.E.P.R. Discussion Papers.
  10. Holtz-Eakin, Douglas & Selden, Thomas M., 1995. "Stoking the fires? CO2 emissions and economic growth," Journal of Public Economics, Elsevier, vol. 57(1), pages 85-101, May.
  11. Werner Antweiler & Brian R. Copeland & M. Scott Taylor, 1998. "Is Free Trade Good for the Environment?," NBER Working Papers 6707, National Bureau of Economic Research, Inc.
  12. Kelly, David L., 2003. "On environmental Kuznets curves arising from stock externalities," Journal of Economic Dynamics and Control, Elsevier, vol. 27(8), pages 1367-1390, June.
  13. Shioji, Etsuro, 2001. " Public Capital and Economic Growth: A Convergence Approach," Journal of Economic Growth, Springer, vol. 6(3), pages 205-27, September.
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Cited by:
  1. David I. Stern, 2005. "The Effect of NAFTA on Energy and Environmental Efficiency in Mexico," Rensselaer Working Papers in Economics 0511, Rensselaer Polytechnic Institute, Department of Economics.
  2. Manh Hung Nguyen & Phu Nguyen Van, 2008. "Growth and convergence in a model with renewable and nonrenewable resources," Working Papers 21, Development and Policies Research Center (DEPOCEN), Vietnam.
  3. Marrero, Gustavo A., 2010. "Greenhouse gases emissions, growth and the energy mix in Europe," Energy Economics, Elsevier, vol. 32(6), pages 1356-1363, November.
  4. Corinne Mette, . "Wellbeing and dependency among European elderly: The role of social integration," Working Papers 2005-12, FEDEA.
  5. Pedro N. Rodríguez, & Simón Sosvilla-Rivero, 2006. "Understanding and Forecasting Stock Price Changes," Working Papers 2006-03, FEDEA.
  6. Andrés J. Marchante Mera & Bienvenido Ortega Aguaza & José Sánchez Maldonado, 2006. "Las dimensiones del bienestar en las Comunidades Autónomas Españolas. Un análisis de Sigma y Gamma-Convergencia," Working Papers 2006-05, FEDEA.
  7. Rosa M. González-Marrero & Rosa M. Lorenzo-Alegría & Gustavo A. Marrero, 2011. "Gasoline and Diesel Consumption for Road Transport in Spain: a Dynamic Panel Data Approach," Economic Reports 04-2011, FEDEA.

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