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Carbon Dioxide Emissions - Essay Example

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The purpose of this report is to assess whether a country's carbon dioxide CO2 emissions depended on the economic development level of the country. The Environment Kuznets curve hypothesis was to be tested in principle. The influence of the dummy variables was also tested…
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Carbon Dioxide Emissions
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Download file to see previous pages The average World Carbon Dioxide Emissions were 4.53 metric tones/capita in 2005. United States of America ranked first then with average emissions of 19.54 metric tones/capita followed by Canada, Russia and UK. Developing countries like India and China lagged at the tail end then.
The Fourth Assessment Report of Intergovernmental Panel on Climate Change concluded among other things that "warming of the climate system is unequivocal" and that "anthropogenic warming over the last three decades has likely had discernible influence at the global scale on observed changes in many physical and biological systems." The report also stated that human activities have significant impact on climate change.
The Gross Domestic Product is one of the primary indicators calculated to assess the health of a country's economy. It representsthe total dollar value of all goods and services produced over a specific time period. According to the Environment Kuznets hypothesis, environmental pressure increases faster than the income in the early stages of development and slows down relative to GDP growth as higher income levels are reached. The EKC proposes that indicators of environmental degradation first rise, and then fall with increasing income per capita.
There are views supporting and criticizing this theory. ...
According to the Environment Kuznets hypothesis, environmental pressure increases faster than the income in the early stages of development and slows down relative to GDP growth as higher income levels are reached. The EKC proposes that indicators of environmental degradation first rise, and then fall with increasing income per capita.
Environmental Kuznets Curve : Different Scenarios

Source: Reference 1
There are views supporting and criticizing this theory. Those views supporting it emphasize that the curve exists though its becoming smaller in nature and shifting to the left(revised EKC) whereas those criticizing it argue that even if certain pollutants are reduced as income increases, industrial society continuously creates new, unregulated and potentially toxic pollutants. In their the curve will rise to a horizontal line at maximum existing pollution levels, as globalization promotes a "race to the bottom" in environmental standards, as shown in Figure In their view, the overall environmental risks from these new pollutants may continue to grow even if some sources of pollution are reduced, as shown by the "new toxics" line in the above figure.
The relationship between economic growth and environmental quality has been a source of great controversy for a very long time. Multiple factors contribute to this. The complex nature of GDP calculation, data on environmental quality are patchy themselves and also that though the per capita capability to pay for clean technology increases, it does not necessarily imply a proportionate increase in the willingness to pay.
This report makes an attempt to verify the Environmental Kuznets hypothesis while establishing a relation between additional variables like the energy ...Download file to see next pagesRead More
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