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Does S. Kuznets's belief question the Environmental Kuznets Curves?

Alain Bousquet () and Pascal Favard ()

Canadian Journal of Economics, 2005, vol. 38, issue 2, 604-614

Abstract: This paper examines the link between pollution and income. The main purpose is to assess whether the introduction of income inequality in a Environmental Kuznets Curve (EKC) analysis can give new insights into the relationship between pollution and economic growth. The EKC hypothesis proposes that there is an inverted U-shape relation between environmental degradation and income per capita. We question this common result, in a simple model where the income inequality evolution is exogenous and where the planner could use only one instrument. For a set of parameter values we find, for example, a two-hump curve.

JEL-codes: D3 H4 Q2 (search for similar items in EconPapers)
Date: 2005
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Handle: RePEc:cje:issued:v:38:y:2005:i:2:p:604-614