2010•China Industrial EconomyRequires access

Analysis of Chinese Industry Environmental Kuznets Curve——Empirical Study Based on Spatial Panel Model

Wuyi Zeng

Open publisher page 16 citations

Abstract

The Environmental Kuznets Curve is a classic hypothesis in environmental economics,but empirical study based on spatial econometric approaches is rare.This paper tests the 7 industry environmental pollutions’ Kuznets curve models by using of spatial fixed-effect models based on Chinese interprovincial panel data set of yearly observations covering the time period 1989—2007.The results show that there exists strong spatial dependence in interprovincial pollution Emission data;estimation results of spatial panel data modes are robust compared to conventional panel data models and the goodness-of-fit and coefficients’ significance levels of the spatial models are improved;An inverted-N-shaped curve with only one inflection point exists between per capita industrial waste water emissions and per capita GDP.So does an inverted-N-shaped curve with two inflection points between per capita industrial waste gas emissions and per capita GDP,and inverted-U-shaped relationships are founded between five types of industrial pollution emissions and per capita GDP.

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What this paper is about

The Environmental Kuznets Curve is a classic hypothesis in environmental economics,but empirical study based on spatial econometric approaches is rare.This paper tests the 7 industry environmental pollutions’ Kuznets curve models by using of spatial fixed-effect models based on Chinese interprovincial panel data set of yearly observations covering the time period 1989—2007.The results show that there exists strong spatial dependence in interprovincial pollution Emission data;estimation results of spatial panel data modes are robust compared to conventional panel data models and the goodness-of-fit and coefficients’ significance levels of the spatial models are improved;An inverted-N-shaped curve with only one inflection point exists between per capita industrial waste water emissions and per capita GDP.So does an inverted-N-shaped curve with two inflection points between per capita industrial waste gas emissions and per capita GDP,and inverted-U-shaped relationships are founded between five types of industrial pollution emissions and per capita GDP.

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Available abstract

The Environmental Kuznets Curve is a classic hypothesis in environmental economics,but empirical study based on spatial econometric approaches is rare.This paper tests the 7 industry environmental pollutions’ Kuznets curve models by using of spatial fixed-effect models based on Chinese interprovincial panel data set of yearly observations covering the time period 1989—2007.The results show that there exists strong spatial dependence in interprovincial pollution Emission data;estimation results of spatial panel data modes are robust compared to conventional panel data models and the goodness-of-fit and coefficients’ significance levels of the spatial models are improved;An inverted-N-shaped curve with only one inflection point exists between per capita industrial waste water emissions and per capita GDP.So does an inverted-N-shaped curve with two inflection points between per capita industrial waste gas emissions and per capita GDP,and inverted-U-shaped relationships are founded between five types of industrial pollution emissions and per capita GDP.

Key concepts: Kuznets curve, Panel data, Inflection point, Economics, Per capita, Econometrics, Spatial dependence, Environmental pollution

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