The Environmental Kuznets Curve and Sustainability: A Panel Data Analysis

By Sahbi Farhani, S. Mrizak, A. Chaibi, Christophe Rault. Social Science Research Network, 2014

254 citations recorded by the source corpus.

In recent years, sustainability has represented one of the most important policy goals explored in the environmental Kuznets curve (EKC) literature. But related hypotheses, performance measures and results continue to present a challenge. The present paper contributes to this ongoing literature by studying two different EKC specifications for 10 Middle East and North African (MENA) countries over the period 1990–2010 using panel data methods. For the first specification, namely EKC, we show that there is an inverted U-shape relationship between environmental degradation and income; while for the second specification, namely modified EKC (MEKC), we show that there is an inverted U-shape relationship between sustainability and human development (HD). The relationships are shaped by other factors such as energy, trade, manufacture added value and the role of law. More interestingly, findings from the estimation show that EKC hypothesis, HD and sustainability are crucial to build effective environmental policies.

Subfields: Economics and Econometrics, Management, Monitoring, Policy and Law

View Paper: https://www.semanticscholar.org/paper/d3b5e90c107b7d805ba103a59a5e5ba86b212d0d

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Citations in the corpus

An (a)symmetric analysis of the pollution haven hypothesis in the context of Pakistan: a non-linear approach (2019, background): “Further, connections among trade openness, urbanization, energy, financial development and population growth under the EKC hypothesis have been studied by many researchers; such studies include [23] in the case of China; [24] for Canada; [25] in the case of Malaysia; [26] in the case of Indonesia; [”
Foreign direct Investment–CO2 emissions nexus in Middle East and North African countries: Importance of biomass energy consumption (2019, result): “These results, which confirm the EKC empirical evidence in the region, are consistent with previous literature (AlMulali, 2011; Farhani et al., 2014; Sahli and Ben Reje, 2015; Abdallh and Abugamos, 2017).”
Co2 emission and economic growth in Algeria (2016, background): “Likewise, Farhani et al. (2014a) studied two different EKC specifications for 10 MENA countries over the period 1990–2010 using panel data methods, including sustainability, human development, energy, trade, manufacture added value and the role of law.”
The impact of economic growth on CO2 emissions in Azerbaijan (2018, unknown): “22 lnGDP1 IUS C QLF FMOLS.”
Modeling the nexus between carbon dioxide emissions and economic growth (2015, background): “(2014) find an inverted U-shaped model when studying the effect of economic growth on the environment in Tunisia from 1971 to 2010, but Fodha and Zaghdoud (2010) propose that carbon dioxide emissions monotonically increase along with economic growth from 1961 to 2004.”