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Economic structure, development policy and environmental quality: An empirical analysis of environmental Kuznets curves with Chinese municipal data

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  • He, Jie
  • Wang, Hua

Abstract

In many cases, the relationship between environmental pollution and economic development can be depicted by an inverted U-shaped curve, or an environmental Kuznets curve, where pollution initially increases with income and then decreases after a certain level of income has been reached. However, what determines the shape of an environmental Kuznets curve, such as the height and the turning point of the curve, has not been thoroughly studied. A good understanding of the determinants is vital to those interested indevelopment, especially in the developing world, where income growth is a high priority, yet environmental pollution also needs to be carefully controlled. This study analyzes the impact of economic structure, development strategy and environmental regulation on the shape of the environmental Kuznets curve by an analysis of a panel dataset at the city level obtained from China. The results show that economic structure, development strategy and environmental regulation can all have important implications for the relationship between environmental quality and economic development but that the impact can vary at different development stages.

Suggested Citation

  • He, Jie & Wang, Hua, 2012. "Economic structure, development policy and environmental quality: An empirical analysis of environmental Kuznets curves with Chinese municipal data," Ecological Economics, Elsevier, vol. 76(C), pages 49-59.
  • Handle: RePEc:eee:ecolec:v:76:y:2012:i:c:p:49-59
    DOI: 10.1016/j.ecolecon.2012.01.014
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    1. Matias Piaggio & Emilio Padilla & Carolina Roman, 2015. "The long-run relationshiop between C02 emissions and economic activity in a small open economy: Uruguay 1882-2010," Working Papers wpdea1506, Department of Applied Economics at Universitat Autonoma of Barcelona.
    2. Liu, Jin-Hu & Wang, Jun & Shao, Junming & Zhou, Tao, 2016. "Online social activity reflects economic status," Physica A: Statistical Mechanics and its Applications, Elsevier, vol. 457(C), pages 581-589.
    3. Chen, Ping-Yu & Chen, Sheng-Tung & Hsu, Chia-Sheng & Chen, Chi-Chung, 2016. "Modeling the global relationships among economic growth, energy consumption and CO2 emissions," Renewable and Sustainable Energy Reviews, Elsevier, vol. 65(C), pages 420-431.
    4. Hao, Yu & Liu, Yiming & Weng, Jia-Hsi & Gao, Yixuan, 2016. "Does the Environmental Kuznets Curve for coal consumption in China exist? New evidence from spatial econometric analysis," Energy, Elsevier, vol. 114(C), pages 1214-1223.
    5. Marbuah, George & Gren, Ing-Marie, 2015. "Carbon emission and social capital in Sweden," Working Paper Series 2015:5, Swedish University of Agricultural Sciences, Department Economics.
    6. Gozgor, Giray & Can, Muhlis, 2016. "Does Export Product Quality Matter for CO2 Emissions? Evidence from China," MPRA Paper 71873, University Library of Munich, Germany.
    7. Giwa, Adewale & Alabi, Adetunji & Yusuf, Ahmed & Olukan, Tuza, 2017. "A comprehensive review on biomass and solar energy for sustainable energy generation in Nigeria," Renewable and Sustainable Energy Reviews, Elsevier, vol. 69(C), pages 620-641.
    8. Kazi Sohag & Rawshan Begum & Sharifah Abdullah, 2015. "Dynamic impact of household consumption on its CO 2 emissions in Malaysia," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 17(5), pages 1031-1043, October.
    9. Hao, Yu & Wei, Yi-Ming, 2015. "When does the turning point in China's CO2 emissions occur? Results based on the Green Solow model," Environment and Development Economics, Cambridge University Press, vol. 20(06), pages 723-745, December.
    10. Hao, Yu & Zhang, Zong-Yong & Liao, Hua & Wei, Yi-Ming, 2015. "China’s farewell to coal: A forecast of coal consumption through 2020," Energy Policy, Elsevier, vol. 86(C), pages 444-455.
    11. Puyang Sun & Yan Yuan, 2015. "Industrial Agglomeration and Environmental Degradation: Empirical Evidence in Chinese Cities," Pacific Economic Review, Wiley Blackwell, vol. 20(4), pages 544-568, October.
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    15. Ren, Shenggang & Yuan, Baolong & Ma, Xie & Chen, Xiaohong, 2014. "The impact of international trade on China׳s industrial carbon emissions since its entry into WTO," Energy Policy, Elsevier, vol. 69(C), pages 624-634.
    16. Cheng, Jinhua & Dai, Sheng & Ye, Xinyue, 2016. "Spatiotemporal heterogeneity of industrial pollution in China," China Economic Review, Elsevier, vol. 40(C), pages 179-191.
    17. QIN, Bo & WU, Jianfeng, 2015. "Does urban concentration mitigate CO2 emissions? Evidence from China 1998–2008," China Economic Review, Elsevier, vol. 35(C), pages 220-231.
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