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The simple analytics of the environmental Kuznets curve

  • Andreoni, James
  • Levinson, Arik

Evidence suggests that some pollutants follow an inverse-U-shaped pattern relative to countries' incomes. This relationship has been called the out a simple and straight-forward static model of the microfoundations of the pollution-income relationship. We show that the environmental Kuznets curve can be derived directly from the technological link between consumption of a desired good and abatement of its undesirable byproduct. The inverse-U shape does not depend on the dynamics of growth, political institutions, or even externalities, and can be consistent with a decentralized economy as well as a Pareto efficient policy.

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Article provided by Elsevier in its journal Journal of Public Economics.

Volume (Year): 80 (2001)
Issue (Month): 2 (May)
Pages: 269-286

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Handle: RePEc:eee:pubeco:v:80:y:2001:i:2:p:269-286
Contact details of provider: Web page: http://www.elsevier.com/locate/inca/505578

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