Between Prosperity and Preservation: An Empirical Analysis of the Interaction Between Economic Development and Environmental Awareness

Keyi Duan, Mingyao Cao, Nurhafiza Abdul Kader Malim and Yan Song

Growth and Change, 2024, vol. 55, issue 4

Abstract: The present study employs fixed‐effect models to examine the complex and dynamic relationship between economic growth and environmental awareness. The empirical analysis reveals a discernible negative correlation between economic growth and environmental awareness, indicating a potential trade‐off between economic development and environmental sustainability. This finding aligns with the theoretical underpinnings of the environmental Kuznets curve. Moreover, consistent patterns in the impact of economic growth on environmental awareness are identified across different platforms. Additionally, regional heterogeneity is observed in the influence of economic growth on environmental awareness. These findings underscore the necessity for nuanced policymaking tailored to the specific regional contexts and stages of economic development. This study advocates for strategies that strike a balance between fostering economic growth and promoting environmental awareness, thereby contributing to the scholarly discourse on sustainable economic development.

Date: 2024
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