Environmental Kuznets Curve: An Envelope of Technological Progress

Soumyananda Dinda ()

MPRA Paper from University Library of Munich, Germany

Abstract: This paper develops a growth model to provide a theoretical explanation of the environmental Kuznets curve (EKC). Paper explains how EKC is shaped with economic development for a given technology. The EKC result arises in two ways – it can be observed from a single technology that matures and it can be observed as an economy develops new technologies. This second effect is represented as an envelope of Kuznets curves for technologies. This paper provides an interesting application of growth theory and of the envelope theorem. In economic development process, technology first diffuses, then become regulated and finally is phased out by another new technology. Thus, each technology may produce one EKC corresponding to a definite externality. Theoretically, a series of EKCs may exist and an envelope of them is observed in reality.

Keywords: Technological development; Innovation; Diffusion; Pollution sensitivity; regulation; EKC; social institution (search for similar items in EconPapers)
JEL-codes: D62 D83 E22 I00 J24 O32 O33 Q55 Z13 (search for similar items in EconPapers)
Date: 2004-01, Revised 2010-05
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

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Persistent link: https://EconPapers.repec.org/RePEc:pra:mprapa:28092

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