Economics and Environmental Development: Testing the Environmental Kuznets Curve Hypothesis

Authors

  • Ni Putu Wiwin Setyari Universitas Udayana
  • Wayan Gita Ayu Kusuma Universitas Udayana

Abstract

The Environmental Kuznets Curve (EKC) shows the relationship between economic development, which is proxied in per capita income, and environmental quality. This study aims to view the existence of the EKC by arranging the distribution of 62 countries into four sub-samples based on per capita income from 1992 to 2017. By applying panel data, the model uses the Error Correction Mechanism (ECM) method to see the effect of economic growth on environmental quality (CO2 emission) in both the short and the long term. The results show that the EKCs on our four sub-samples used are not conclusive, and are more likely to refer to the “N” pattern. This result confirms that the impetus of development at a higher level will lead to a degradation of environmental quality. Therefore, policy intervention becomes an important thing.Keywords: Macroeconomics, Government Policy, Sustainable Economic Growth, Environmental Economics, Panel DataJEL Classifications: R11, Q58, Q56DOI: https://doi.org/10.32479/ijeep.11156

Downloads

Download data is not yet available.

Author Biographies

Ni Putu Wiwin Setyari, Universitas Udayana

Economics

Wayan Gita Ayu Kusuma, Universitas Udayana

Economics

Downloads

Published

2021-06-08

How to Cite

Setyari, N. P. W., & Kusuma, W. G. A. (2021). Economics and Environmental Development: Testing the Environmental Kuznets Curve Hypothesis. International Journal of Energy Economics and Policy, 11(4), 51–58. Retrieved from https://mail.econjournals.com/index.php/ijeep/article/view/11156

Issue

Vol. 11 No. 4 (2021)

Section

Articles

License

Submission of an article implies that the work described has not been published previously , that it is not under consideration for publication elsewhere, that its publication is approved by all authors and tacitly or explicitly by the responsible authorities where the work was carried out, and that, if accepted, will not be published elsewhere in the same form, without the written consent of the Publisher. The Editors reserve the right to edit or otherwise alter all contributions, but authors will receive proofs for approval before publication.