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Does S. Kuznets's belief question the Environmental Kuznets Curves?

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  • Alain Bousquet
  • Pascal Favard

Abstract

This paper examines the link between pollution and income. The main purpose is to assess whether the introduction of income inequality in a Environmental Kuznets Curve (EKC) analysis can give new insights into the relationship between pollution and economic growth. The EKC hypothesis proposes that there is an inverted U-shape relation between environmental degradation and income per capita. We question this common result, in a simple model where the income inequality evolution is exogenous and where the planner could use only one instrument. For a set of parameter values we find, for example, a two-hump curve.

Suggested Citation

  • Alain Bousquet & Pascal Favard, 2005. "Does S. Kuznets's belief question the Environmental Kuznets Curves?," Canadian Journal of Economics, Canadian Economics Association, vol. 38(2), pages 604-614, May.
    • Handle: RePEc:cje:issued:v:38:y:2005:i:2:p:604-614
    DOI: 10.1111/j.0008-4085.2005.00294.x
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    Cited by:

    1. Sencer Atasoy, Burak, 2017. "Testing the environmental Kuznets curve hypothesis across the U.S.: Evidence from panel mean group estimators," Renewable and Sustainable Energy Reviews, Elsevier, vol. 77(C), pages 731-747.
    2. Jingling Chen & Tao Eric Hu & Rob van Tulder, 2019. "Is the Environmental Kuznets Curve Still Valid: A Perspective of Wicked Problems," Sustainability, MDPI, vol. 11(17), pages 1-17, August.
    3. Chris Belmert Milindi & Roula Inglesi-Lotz, 2023. "Impact of technological progress on carbon emissions in different country income groups," Energy & Environment, , vol. 34(5), pages 1348-1382, August.
    4. Aslanidis, Nektarios, 2009. "Environmental Kuznets Curves for Carbon Emissions: A Critical Survey," Working Papers 2072/15847, Universitat Rovira i Virgili, Department of Economics.
    5. Nicolli, Francesco & Gilli, Marianna & Vona, Francesco, 2025. "Inequality and climate change: Two problems, one solution?," Energy Economics, Elsevier, vol. 145(C).

    More about this item

    JEL classification:

    • D3 - Microeconomics - - Distribution
    • H4 - Public Economics - - Publicly Provided Goods
    • Q2 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation

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