Abstract:
This paper measures environmental efficiency (EE) and environmental productivity (EP) in 38 countries over the period 1971 92. In the annex-I countries, an increase in income levels initially leads to an increase in the average EE but subsequently to a decline in EE. In non-annex I countries, EE is increasing over the range of income in these countries. This study also finds an EKC type relationship between EP and per capita GDP in annex-I countries. The degree of openness has a significant positive impact on EE in annex-I countries.
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