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The Ups and Downs of the Environmental Kuznets Curve

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Abstract

By now the observation that some pollutants appear to increase and then decrease with economic development has become a widely accepted stylized fact. This paper argues that the fundamental insight of the empirical literature is merely that pollution does not necessarily increase with economic growth, and that the fundamental insight of the theoretical literature is that the observed inverse-U-shaped pollution-income relationship is neither necessary nor sufficient for Pareto-efficient environmental policies. Furthermore, the inverse-U-shaped path is not unique to environmental phenomenon, and may exist wherever a desirable good generates an undesirable side-effect. Finally, all of these points can be made without most of the econometric or theoretical mechanics that fill this literature.

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Bibliographic Info

Paper provided by Georgetown University, Department of Economics in its series Working Papers with number gueconwpa~01-01-08.

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Date of creation: 08 Jan 2001
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Handle: RePEc:geo:guwopa:gueconwpa~01-01-08

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Postal: Georgetown University Department of Economics Washington, DC 20057-1036
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Web page: http://econ.georgetown.edu/

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Postal: Marcia Suss Administrative Officer Georgetown University Department of Economics Washington, DC 20057-1036
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Web: http://econ.georgetown.edu/

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  1. William Harbaugh & Arik Levinson & David Wilson, 2000. "Reexamining the Empirical Evidence for an Environmental Kuznets Curve," NBER Working Papers 7711, National Bureau of Economic Research, Inc.
  2. Bradford David F. & Fender Rebecca A & Shore Stephen H. & Wagner Martin, 2005. "The Environmental Kuznets Curve: Exploring a Fresh Specification," The B.E. Journal of Economic Analysis & Policy, De Gruyter, vol. 4(1), pages 1-30, June.
  3. James Andreoni & Arik Levinson, 1998. "The Simple Analytics of the Environmental Kuznets Curve," NBER Working Papers 6739, National Bureau of Economic Research, Inc.
  4. Kahn, Matthew E., 1998. "A household level environmental Kuznets curve," Economics Letters, Elsevier, vol. 59(2), pages 269-273, May.
  5. Selden Thomas M. & Song Daqing, 1995. "Neoclassical Growth, the J Curve for Abatement, and the Inverted U Curve for Pollution," Journal of Environmental Economics and Management, Elsevier, vol. 29(2), pages 162-168, September.
  6. Torras, Mariano & Boyce, James K., 1998. "Income, inequality, and pollution: a reassessment of the environmental Kuznets Curve," Ecological Economics, Elsevier, vol. 25(2), pages 147-160, May.
  7. M. Galeotti & A. Lanza, 1999. "Desperately seeking (environmental) Kuznets," Working Paper CRENoS 199901, Centre for North South Economic Research, University of Cagliari and Sassari, Sardinia.
  8. Taskin, Fatma & Zaim, Osman, 2000. "Searching for a Kuznets curve in environmental efficiency using kernel estimation," Economics Letters, Elsevier, vol. 68(2), pages 217-223, August.
  9. 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.
  10. Larry E. Jones & Rodolfo E. Manuelli, 2000. "Endogenous policy choice: the case of pollution and growth," Staff Report 276, Federal Reserve Bank of Minneapolis.
  11. Suri, Vivek & Chapman, Duane, 1998. "Economic growth, trade and energy: implications for the environmental Kuznets curve," Ecological Economics, Elsevier, vol. 25(2), pages 195-208, May.
  12. Pingo Wang & Alok Bohara & Robert Berrens & Kishore Gawande, 1998. "A risk-based environmental Kuznets curve for US hazardous waste sites," Applied Economics Letters, Taylor & Francis Journals, vol. 5(12), pages 761-763.
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  1. Modelo de Robinson Crusoé Sustentável
    by Guilherme Byrro Lopes in Economia e Finanças Fáceis on 2011-08-27 12:00:00
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Cited by:
  1. Aslanidis Nektarios, 2009. "Environmental Kuznets curves for carbon emissions: A critical survey," wp.comunite 0051, Department of Communication, University of Teramo.
  2. Lee J. Alston & Bernardo Mueller, 2007. "Legal Reserve Requirements in Brazilian Forests: Path Dependent Evolution of De Facto Legislation," Economia, ANPEC - Associação Nacional dos Centros de Pósgraduação em Economia [Brazilian Association of Graduate Programs in Economics], vol. 8(4), pages 25_53.
  3. Marzio Galeotti & Matteo Manera & Alessandro Lanza, 2006. "On the Robustness of Robustness Checks of the Environmental Kuznets Curve," Working Papers 20060501, Università degli Studi di Milano-Bicocca, Dipartimento di Statistica, revised May 2006.
  4. Kuhl Teles, Vladimir & Arraes, Ronaldo A., 2009. "Environmental protection and economic growth," Textos para discussão 194, Escola de Economia de São Paulo, Getulio Vargas Foundation (Brazil).
  5. Nektarios Aslanidis, 2009. "Environmental Kuznets Curves for Carbon Emissions: A Critical Survey," Working Papers 2009.75, Fondazione Eni Enrico Mattei.
  6. Nektarios Aslanidis & Anastasios Xepapadeas, . "Regime Switching and the Shape of the," Working Papers 0206, University of Crete, Department of Economics, revised 31 Mar 2003.
  7. Anil Markandya & Alexander Golub & Suzette Pedroso-Galinato, 2006. "Empirical Analysis of National Income and SO 2 Emissions in Selected European Countries," Environmental & Resource Economics, European Association of Environmental and Resource Economists, vol. 35(3), pages 221-257, November.
  8. Nektarios Aslanidis & Anastasios Xepapadeas, 2004. "Smooth ‘inverted-V-shaped’ & smooth ‘N-shaped’ pollution-income paths," Working Papers 0405, University of Crete, Department of Economics.
  9. Marzio Galeotti & Matteo Manera & Alessandro Lanza, 2009. "On the Robustness of Robustness Checks of the Environmental Kuznets Curve Hypothesis," Environmental & Resource Economics, European Association of Environmental and Resource Economists, vol. 42(4), pages 551-574, April.

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