Democracy, economic development and air pollution: insights from global evidence

Thi Tuyet Thanh Le () and Cong Minh Huynh ()
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Thi Tuyet Thanh Le: Ho Chi Minh City University of Technology and Education

Economics of Governance, 2025, vol. 26, issue 2, No 3, 185-209

Abstract: Abstract This paper examines the impact of democracy and economic development on air pollution for a global sample of 143 countries during 2000–2020. The findings from the fixed effects and the System Generalized Method of Moments estimators demonstrate that: i) democracy reduces air pollution through the channels of resource availability, institutional capacity, public awareness, and policy enforcement; ii) the effectiveness of democracy in reducing air pollution is stronger in upper middle-income and high-income countries compared to low-income and lower middle-income countries, due to the enhanced functioning of these channels in richer democracies; iii) the Environmental Kuznets Curve is validated for the global sample, but not for sub-samples. While democratic governance can lead to environmental improvements universally, the challenges faced by low-income and lower middle-income countries can limit the extent of these benefits.

Keywords: Air pollution; Democracy; Economic Development (search for similar items in EconPapers)
JEL-codes: H11 O18 O43 Q53 (search for similar items in EconPapers)
Date: 2025
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DOI: 10.1007/s10101-025-00327-1

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