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Is Economic Growth Sustainable? Environmental Quality Of Indian States Post 1991

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  • Sacchidananda Mukherjee

    (MSE)

  • Vinish Kathuria

Abstract

This study is an attempt to investigate the relationship between environmental quality and per capita NSDP (i.e., Environment Kuznets Curve, EKC) of 14 major Indian States in the light of their very high economic growth in the post-liberalisation period. The analysis involves first ranking the States on the basis of their environmental quality, and then checking the relationship. The analysis captures both temporal and spatial aspects of environmental quality by ranking the States in two time periods (i) early 1990s (1990 - 1996) and (ii) late 1990s (1997 - 2001). The results indicate that the relationship between environmental quality and per capita NSDP is slanting S-shaped. Except Bihar all other States are on the upward sloping curve of the EKC. The results suggest that the economic growth is mostly at the cost of environmental quality.

Suggested Citation

  • Sacchidananda Mukherjee & Vinish Kathuria, 2006. "Is Economic Growth Sustainable? Environmental Quality Of Indian States Post 1991," Development Economics Working Papers 22504, East Asian Bureau of Economic Research.
  • Handle: RePEc:eab:develo:22504
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    References listed on IDEAS

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    1. de Bruyn, S. M. & van den Bergh, J. C. J. M. & Opschoor, J. B., 1998. "Economic growth and emissions: reconsidering the empirical basis of environmental Kuznets curves," Ecological Economics, Elsevier, vol. 25(2), pages 161-175, May.
    2. Andreoni, James & Levinson, Arik, 2001. "The simple analytics of the environmental Kuznets curve," Journal of Public Economics, Elsevier, vol. 80(2), pages 269-286, May.
    3. Jha, Raghbendra & Murthy, K. V. Bhanu, 2003. "An inverse global environmental Kuznets curve," Journal of Comparative Economics, Elsevier, vol. 31(2), pages 352-368, June.
    4. CARSON, RICHARd T. & JEON, YONGIL & McCUBBIN, DONALD R., 1997. "The relationship between air pollution emissions and income: US Data," Environment and Development Economics, Cambridge University Press, vol. 2(04), pages 433-450, November.
    5. Dinda, Soumyananda, 2004. "Environmental Kuznets Curve Hypothesis: A Survey," Ecological Economics, Elsevier, vol. 49(4), pages 431-455, August.
    6. Annegrete Bruvoll & Hege Medin, 2003. "Factors Behind the Environmental Kuznets Curve. A Decomposition of the Changes in Air Pollution," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 24(1), pages 27-48, January.
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    Cited by:

    1. repec:wsi:jeapmx:v:19:y:2017:i:03:n:s1464333217500168 is not listed on IDEAS
    2. Piero Esposito & Fabrzio Patriarca & Luigi Perini & Luca Salvati, 2016. "Land degradation, economic growth and structural change: evidences from Italy," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 18(2), pages 431-448, April.

    More about this item

    Keywords

    Environmental Quality; per capita NSDP; economic growth; post-liberalisation period; S-shape; Environment Kuznets Curve; economic growth;

    JEL classification:

    • O47 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Empirical Studies of Economic Growth; Aggregate Productivity; Cross-Country Output Convergence
    • O41 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - One, Two, and Multisector Growth Models
    • O40 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - General

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