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A Modified Environmental Kuznets Curve for sustainable development assessment using panel data

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  • Valeria Costantini
  • Chiara Martini

Abstract

Many empirical studies have tried to analyse the causal relations between economic growth and environmental degradation by using the Environmental Kuznets Curve (EKC). Despite the huge diffusion of EKC studies, this model has been criticised for incompleteness in a sustainable development context. The aim of this paper is to build a Modified EKC (MEKC) including well-being aspects and sustainability of the development process, based on a panel dataset. Finally, an indicator for technological capabilities has been added, accounting for the role of diffusion of technical progress. Comparing the turning points of the, respectively, MEKC and EKC, some useful policy implications apply.

Suggested Citation

  • Valeria Costantini & Chiara Martini, 2010. "A Modified Environmental Kuznets Curve for sustainable development assessment using panel data," International Journal of Global Environmental Issues, Inderscience Enterprises Ltd, vol. 10(1/2), pages 84-122.
  • Handle: RePEc:ids:ijgenv:v:10:y:2010:i:1/2:p:84-122
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    Cited by:

    1. Elżbieta Antczak, 2012. "Aplikacja przestrzennych modeli panelowych do weryfikacji hipotezy Środowiskowej Krzywej Kuznetsa na przykładzie Polski," Collegium of Economic Analysis Annals, Warsaw School of Economics, Collegium of Economic Analysis, issue 27, pages 113-129.
    2. repec:gam:jecomi:v:6:y:2018:i:1:p:7-:d:129170 is not listed on IDEAS
    3. Silvia Coderoni & Roberto Esposti, 2014. "Is There a Long-Term Relationship Between Agricultural GHG Emissions and Productivity Growth? A Dynamic Panel Data Approach," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 58(2), pages 273-302, June.
    4. Alvarez-Herranz, Agustin & Balsalobre-Lorente, Daniel & Shahbaz, Muhammad & Cantos, José María, 2017. "Energy innovation and renewable energy consumption in the correction of air pollution levels," Energy Policy, Elsevier, vol. 105(C), pages 386-397.
    5. Farhani, Sahbi & Mrizak, Sana & Chaibi, Anissa & Rault, Christophe, 2014. "The environmental Kuznets curve and sustainability: A panel data analysis," Energy Policy, Elsevier, vol. 71(C), pages 189-198.
    6. Zheng, Xinye & Yu, Yihua & Wang, Jing & Deng, Huihui, 2013. "Identifying the determinants and spatial nexus of provincial carbon intensity in China: A dynamic spatial panel approach," MPRA Paper 56088, University Library of Munich, Germany.
    7. Auci, Sabrina & Trovato, Giovanni, 2011. "The environmental Kuznets curve within European countries and sectors: greenhouse emission, production function and technology," MPRA Paper 53442, University Library of Munich, Germany.
    8. Germani, Anna Rita & Morone, Piergiuseppe & Testa, Giuseppina, 2014. "Environmental justice and air pollution: A case study on Italian provinces," Ecological Economics, Elsevier, vol. 106(C), pages 69-82.
    9. Wang, Kuan-Min, 2012. "Modelling the nonlinear relationship between CO2 emissions from oil and economic growth," Economic Modelling, Elsevier, vol. 29(5), pages 1537-1547.
    10. Kuheli Dutt, 2009. "Governance, institutions and the environment-income relationship: a cross-country study," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 11(4), pages 705-723, August.
    11. Costantini, Valeria & Mazzanti, Massimiliano & Montini, Anna, 2013. "Environmental performance, innovation and spillovers. Evidence from a regional NAMEA," Ecological Economics, Elsevier, vol. 89(C), pages 101-114.
    12. Awudu Abdulai & Linda Ramcke, 2008. "New Empirical Evidence for the Impact of Trade and Economic Growth on the Environment," DEGIT Conference Papers c013_022, DEGIT, Dynamics, Economic Growth, and International Trade.

    More about this item

    Keywords

    modified EKC; environmental Kuznets curve; sustainable development; human development; genuine savings; panel data; sustainability; economic growth; human well-being; technological capabilities; technical diffusion.;

    JEL classification:

    • O15 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration
    • Q01 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - General - - - Sustainable Development
    • Q56 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environment and Development; Environment and Trade; Sustainability; Environmental Accounts and Accounting; Environmental Equity; Population Growth

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