2007jOURNAL OF southwest University for NationalitiesRequires access

The Empirical research on the relationship of economic growth and environment change in industrialization process in Sichuan province

Zheng Chang-de

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Abstract

The Environmental Kuznets Curve(EKC)hypothesis postulates an inverted-U-shaped relationship between different pollutions and per capita income,i.e.,environmental pressure increases up to a certain level as income goes up;after that,it decreases.This paper uses panel data on Sichuan's 21 areas during 1999-2005 to examine the EKC relationship between per capita income and six categories measured pollution indicators.We find that the results are highly sensitive to different pollution indicators,functional forms and econometric methods employed.We find that EKC hypothesis for the Industrial Waste Gas establishes,but for the industrial waste water,EKC hypothesis do not establish.Then we incorporate some dimensions of natural-social changes such as geography factor,technique,industrial structure change and population density,into our model to investigate the impact of various exogenous control variables on the EKC,which can be varied along the development process depending on the income level.

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The Environmental Kuznets Curve(EKC)hypothesis postulates an inverted-U-shaped relationship between different pollutions and per capita income,i.e.,environmental pressure increases up to a certain level as income goes up;after that,it decreases.This paper uses panel data on Sichuan's 21 areas during 1999-2005 to examine the EKC relationship between per capita income and six categories measured pollution indicators.We find that the results are highly sensitive to different pollution indicators,functional forms and econometric methods employed.We find that EKC hypothesis for the Industrial Waste Gas establishes,but for the industrial waste water,EKC hypothesis do not establish.Then we incorporate some dimensions of natural-social changes such as geography factor,technique,industrial structure change and population density,into our model to investigate the impact of various exogenous control variables on the EKC,which can be varied along the development process depending on the income level.

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Available abstract

The Environmental Kuznets Curve(EKC)hypothesis postulates an inverted-U-shaped relationship between different pollutions and per capita income,i.e.,environmental pressure increases up to a certain level as income goes up;after that,it decreases.This paper uses panel data on Sichuan's 21 areas during 1999-2005 to examine the EKC relationship between per capita income and six categories measured pollution indicators.We find that the results are highly sensitive to different pollution indicators,functional forms and econometric methods employed.We find that EKC hypothesis for the Industrial Waste Gas establishes,but for the industrial waste water,EKC hypothesis do not establish.Then we incorporate some dimensions of natural-social changes such as geography factor,technique,industrial structure change and population density,into our model to investigate the impact of various exogenous control variables on the EKC,which can be varied along the development process depending on the income level.

Key concepts: Kuznets curve, Per capita income, Industrialisation, Economics, Econometrics, Per capita, Industrial pollution, Panel data

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