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Environmental Kuznets Curves in the People’s Republic of China: turning points and regional differences

  • Jiang, Yi
  • Lin, Tun
  • Zhuang, Juzhong

This paper examines the relationship between economic growth and environmental sustainability in the People’s Republic of China by empirically estimating environmental Kuznets curve (EKC) models using provincial-level panel data from 1985 to 2005. The results show that there exists an inverted-U shaped relationship as hypothesized by the EKC model between per capita income and per capita emissions (or discharges) in the cases of waste gas from fuel burning and waste water, with a turning point at per capita gross domestic product of $12,903 and $3,226, respectively, in 2005 purchasing power parity terms. This relationship does not hold in the case of waste gas from production or solid waste. The estimation results from the model allowing region-specific slope coefficients show that the EKCs of the more developed coastal region have a flatter rising portion with turning points occurring at a higher income level than those of the less developed central and western regions. The paper argues that this may reflect technology diffusion and leapfrogging and institution imitation across regions at different stages of development. Policy implications of these findings are discussed.

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Paper provided by University Library of Munich, Germany in its series MPRA Paper with number 21252.

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Date of creation: Dec 2008
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Handle: RePEc:pra:mprapa:21252
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  8. De GROOT, HENRI L.F. & WITHAGEN, CEES A. & MINLIANG, ZHOU, 2004. "Dynamics of China's regional development and pollution: an investigation into the Environmental Kuznets Curve," Environment and Development Economics, Cambridge University Press, vol. 9(04), pages 507-537, August.
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  24. Auffhammer, Maximilian & Carson, Richard T., 2007. "Forecasting the Path of China's CO2 Emissions Using Province Level Information," Department of Agricultural & Resource Economics, UC Berkeley, Working Paper Series qt6d28j8rg, Department of Agricultural & Resource Economics, UC Berkeley.
  25. Hettige, Hemamala & Mani, Muthukumara & Wheeler, David, 2000. "Industrial pollution in economic development: the environmental Kuznets curve revisited," Journal of Development Economics, Elsevier, vol. 62(2), pages 445-476, August.
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