Kuznets Curve: Ecological Production Certification Position Aspect

Oleksandr Tchaykin
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Oleksandr Tchaykin: Zhytomyr National Agroecological University

Ukrainian Journal Ekonomist, 2014, issue 6, 53-55

Abstract: The possibility of the Kuznets curve use to justify the relation of economic well-being and reduction of the environmental load has been studied. The relationship between the growth of per capita income and the number of environmentally certified production has been demonstrated. Ecological and economic Kuznets curve interpretation from the environmentally certified production position in Ukraine has been practically applied. Environmental Kuznets curve can be used as a methodological tool for the factors that influence the development of environmentally certified production study, the relationship between the growth of per capita income and the number of environmentally certified production representation. For ecological and economic curve interpretation of the environmentally certified production position a number of factors should be taken into account: historically determined level of welfare, especially the economic and political situation, industrial and technological structure, the degree and type of contamination areas and others. Based on the interpretation of the Kuznets curve, it can be pointed that when a country took the sustainable development direction, in the early stages of implementation and promotion of cleaner production, the number of certified enterprises is growing rapidly. Over time, the number of paying customers who are more demanding and are committed to purchase environmentally friendly product increases. The presence of environmental certificate becomes necessary technical rule for a market entrance that causes the positive impact on the environment. Gradual and steady long run growth of key economic indicators in Ukraine will lead to an automatic increase of the environmentally certified production number and reduce negative impacts on the environment. Thus, from Kuznets curve positions environmentally certified production in Ukraine can be applied, but only in case of the evolutionary development of the economy, the stable market environment and the supportive policy environment.

Date: 2014
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