EEP 101econ 125 Environmental Kuznets Curve

							EEP 101/econ 125 Environmental Kuznets Curve

David Zilberman Katti Millock

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6) Learning and innovation
• If
• Only part of applied input is utilized YK   K XK • Pollution is residue ZK  (1  K )XK Where K is a model indicator • Increased  Krequires R&D • Richer countries can afford better models • They will choose them because
• They are concern about pollution=pollution policies • They prefer smaller product (computers)

• Very poor countries no modern technology -little pollution • Poorer countries or region may buy the cheaper models

Technology and trade
• What happened to old less fuel efficient Mercedes and Chevys? They may end up in developing countries • What happened to pesticides banned in the north? Some end in the south • What about coal qualities and regulations? Lower in the developing world? • All contribute to EKC

From Industrial To Service Economy

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EKG reflects technology choices

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Factors contributing to reduce Sox emission in Japan
Toshihiko MASUI*National Institute for Environmental Studies, Tsukuba

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Better understanding of the relations between technological change and the environment will lead netter understanding of the EKG and its meaning

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