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Journal Article
Does the environmental Kuznets curve reliably explain a developmental issue?
2021
Overview
This study aims to achieve two main objectives; first, it provides a brief but critical description of the empirical literature on the environmental Kuznets curve (EKC) in terms of history, origin, micro-foundations, measurement of environmental degradation, methodologies and samples. Second, it examines the curious attraction of the EKC despite considerable criticism it has attracted over time. The motivation stems from the mixed results probably due to different econometric techniques, sample periods, country-specific factors and environmental indicators used to test EKC. The study concludes that of course, the EKC has attracted a great deal of criticism, but its survival power is undeniable. Different taxonomies of the approaches to explain income-environment nexus have been established by various commentators producing different results under different scenarios. It is still equally important among researchers to interpret the relationship between income and pollution due to its charismatic characteristics; therefore, the empirical literature on EKC continues to grow despite criticism on its validity and assumptions. However, we should not be convinced that economic growth on its own will solve environmental ills. The proposition that affluent countries will invest heavily to level off and gradually contain their environmental pollution should not be persuaded. Therefore, policymakers must not encourage unlimited economic growth to cure environmental problems.
Publisher
Springer Berlin Heidelberg,Springer Nature B.V
