Environmental Kuznets curve Kuznets curve

environmental kuznets curve: application of kuznets curve in environmental studies.

the environmental kuznets curve hypothesized relationship between environmental quality , economic development: various indicators of environmental degradation tend worse modern economic growth occurs until average income reaches point on course of development. although subject of continuing debate, evidence supports claim environmental health indicators, such water , air pollution, show inverted u-shaped curve. has been argued trend occurs in level of many of environmental pollutants, such sulfur dioxide, nitrogen oxide, lead, ddt, chlorofluorocarbons, sewage, , other chemicals released directly air or water.

for example, between 1970 , 2006, united states inflation-adjusted gdp grew 195%, number of cars , trucks in country more doubled, , total number of miles driven increased 178%. however, during same time period regulatory changes meant annual emissions of carbon monoxide fell 197 million tons 89 million, nitrogen oxides emissions fell 27 million tons 19 million, sulfur dioxide emissions fell 31 million tons 15 million, particulate emissions fell 80%, , lead emissions fell more 98%.

however, there little evidence relationship holds true other pollutants, natural resource use or biodiversity conservation. example, energy, land , resource use (sometimes called ecological footprint ) not fall rising income. while ratio of energy per real gdp has fallen, total energy use still rising in developed countries. example emission of many greenhouse gases, higher in industrialised countries. in addition, status of many key ecosystem services provided ecosystems, such freshwater provision , regulation (perman, et al., 2003), soil fertility, , fisheries, have continued decline in developed countries.

in general, kuznets curves have been found environmental health concerns (such air pollution) not others (such landfills , biodiversity). advocates of ekc argue not invalidate hypothesis – scale of kuznets curves may differ different environmental impacts , different regions. if search scalar , regional effects can salvage concept, may yet case given area need more wealth in order see decline in environmental pollutants. in contrast, thermodynamically enlightened economics suggests outputs of degraded matter , energy inescapable consequence of use of matter , energy (so holds second law); of degraded outputs noxious wastes, , whether , how production eliminated depends more on regulatory schemes , technologies @ use on income or production levels. in 1 view, then, ekc suggests solution pollution more economic growth; in other, pollution seen regrettable output should reduced when benefits brought production exceeded costs imposes in externalities health decrements , loss of ecosystem services.

deforestation may follow kuznets curve (cf. forest transition curve). among countries per capita gdp of @ least $4,600, net deforestation has ceased exist. yet has been argued wealthier countries able maintain forests along high consumption ‘exporting’ deforestation.

it has been suggested kuznets curve applies both littering , cigarette smoking.

criticisms

critics argue still struggling attain income level necessary prioritize environmental pollutants such carbon emissions, have yet follow ekc. other pollutants however, sulfur dioxide, production seems coincide country s economic development , @ threshold level of income mitigation of environmental damage occurs. related rather causal, because economic growth without institutional reform not accomplish environmental improvement. appears gdp growth, government policies strengthened , populations experience rise in demand improved environmental quality. may case, however, regulation in relatively wealthy countries shifts production , pollution less-regulated, poorer countries; if true, total size of negative externalities of production remains same or larger, though in wealthier country ekc appears have been obtained.

this reason why environmental kuznets curves have been found applicable types of pollutants. yandle et al. argue ekc has not been found apply carbon because pollutants create localized problems lead , sulfur, there greater urgency , response cleaning such pollutants. country develops, marginal value of cleaning such pollutants makes large direct improvement quality of citizens lives. conversely, reducing carbon dioxide emissions not have dramatic impact @ local level, impetus clean them altruistic reason of improving global environment. becomes tragedy of commons efficient pollute , no 1 clean up, , worse result (hardin, 1968). thus, in country high level of income, carbon emissions not decreasing in accordance ekc.

there seems little consensus whether ekc formed regard co2 emissions, co2 global pollutant has yet prove validity within kuznet s curve. many ekc research papers touch upon co2 emissions have been published far, various controversial results regarding existence of ekc. therefore, ekc co2 remains matter of further research, , various international measures have been undertaken address global warming, , researchers interested in whether or not structural changes regard co2 emissions have arisen on account of such measures. in addition, since co2 global pollutant, ekc different depending on countries, , many factors such whether developing or developed income factors affect graph.

arik levinson points out researchers disagree shape of curve when longer-term time scales evaluated. example, millimet , stengos regard traditional inverse u shape being n shape, indicating pollution increases country develops, decreases once threshold gdp reached, , begins increasing national income continues increase. while such findings still being debated, prove important because poses concerning question of whether pollution begins decline when economic threshold reached or whether decrease in local pollutants , pollution exported poorer developing countries. levinson concludes environmental kuznets curve insufficient support pollution policy regardless whether laissez-faire or interventionist, although literature has been used way press.

arrow et al. argue pollution-income progression of agrarian communities (clean) industrial economies (pollution intensive) service economies (cleaner) appear false if pollution increases again @ end due higher levels of income , consumption of population @ large. difficulty model lacks predictive power because highly uncertain how next phase of economic development characterized.

suri , chapman argue net pollution reduction may not occurring on global scales. wealthy nations have trend of exporting activities create pollution, manufacturing of clothing , furniture, poorer nations still in process of industrial development (suri , chapman, 1998). mean world s poor nations develop, have export pollution. thus, progression of environmental clean occurring in conjunction economic growth cannot replicated indefinitely because there may export waste , pollution intensive processes. however, gene grossman , alan b. krueger, authors made correlation between economic growth, environmental clean-up, , kuznets curve, conclude there no evidence environmental quality deteriorates steadily economic growth. , yandle et al. conclude policies stimulate growth (trade liberalization, economic restructuring, , price reform) should environment .

stern warns easy bad econometrics , , says history of ekc exemplifies can go wrong . finds little or no attention has been paid statistical properties of data used such serial dependence or stochastic trends in time series , few tests of model adequacy have been carried out or presented. however, 1 of main purposes of doing econometrics test apparent relationships ... valid , spurious correlations . states unequivocal finding: when take such statistics account , use appropriate techniques find ekc not exist (perman , stern 2003). instead, more realistic view of effect of economic growth , technological changes on environmental quality. seems indicators of environmental degradation monotonically rising in income though income elasticity less 1 , not simple function of income alone. time related effects reduce environmental impacts in countries @ levels of income. however, in rapidly growing middle income countries scale effect, increases pollution , other degradation, overwhelms time effect. in wealthy countries, growth slower, , pollution reduction efforts can overcome scale effect. origin of apparent ekc effect .