The real effect of legal institutions: Environmental courts and firm environmental protection expenditure

This paper evaluates the real effects of environmental justice reform on environmental governance at the firm level. Using the establishment of environmental courts in China as a quasi-natural experiment, our difference-in-differences estimation shows that: (1) environmental courts significantly enhance environmental investment by firms, and this relationship is robust to different specifications and alternative measures; (2) three possible channels are the improved levels of justice and enforcement of environmental protection, and the mitigation of local government intervention; (3) our findings are particularly pronounced in subsamples with severe local protectionism, state-owned enterprises (SOEs), and non-SOEs with political connections; (4) at the city-level, environmental courts significantly increase air quality and promote cities to cross the inflection point of the environmental Kuznets curve earlier. Overall, this paper reveals the micro-mechanisms behind the real effects of environmental justice on firm environmental investment, thus providing timely implications for regulators concerned with environmental protection.     

武汉市“三废”排放的库兹涅茨特征及原因探析

通过分析武汉市1985-2001年近16年的“三废”排放量变化情况，发现武汉市“三废”的排放总量在波动中呈现上升趋势，但各类排放的时间规律相差明显。建立模型，将其人均GDP与“三废”排放的标准化值进行拟合，其计算结果显示：武汉市“三废”排放与人均GDP之间存在比较明显的三次曲线特征，在1985-1994年曲线呈持续下降趋势，而1995-2001年曲线初步显现出标准的环境库兹涅茨曲线。理论计算表明：武汉市“三废”排放的环境库兹涅茨曲线的转折点为人均GDP为12338．46元左右。通过环境经济学分析发现武汉市的经济发展、产业结构变动、能源结构变动和环境政策等4项因素是武汉市出现非标准环境库兹涅茨曲线的主要原因。     

剧烈人类活动区经济发展与环境污染水平关系--以广东省东莞市为例

近年来,经济发展与环境污染之间的关系成了社会经济发展的热点问题。本研究选取东莞市1990-2010年经济与环境数据,探究环境库兹涅茨曲线演替轨迹,得出研究时段内东莞市环境库兹涅茨曲线大体呈“倒U型”特征,其中“倒U型”峰值大约出现在2007年人均GDP为4.51万元时;工业废水、工业废气以及工业废渣排放量3项指标的环境库兹涅茨曲线,分别呈现弱的“倒U型”、“倒U型上升阶段”、“倒U型＋倒U型上升阶段”特征。结果表明,东莞市环境库兹涅茨曲线特征与污染物排放量、产业结构、环保政策及投资等有较为密切的关系。结论建议：东莞市可以通过调整产业结构、加大环境保护投资力度等措施促进经济转型,加速“倒U型”曲线后半段的形成。     

Cointegration and causality: considering Iberian economic activity sectors to test the environmental Kuznets curve hypothesis

Few studies have attempted to study the environmental Kuznets curve (EKC) hypothesis at the individual sector level using more than one sector at once. This paper investigates the existence of the EKC hypothesis in the Iberian countries (Portugal and Spain) using thirteen economic activity sectors for each, analyzing each individual sector’s cointegration and causality relationships considering carbon dioxide (CO2) emissions, sector gross value added and energy consumption. The findings of this paper using the autoregressive distributed lag (ARDL) approach only validate cointegration in six Portuguese sectors and in five of the Spanish sectors. Results confirm both short- and long-run bi-directional and unidirectional causality between economic growth, energy consumption and CO2 emissions, using the error correction model (ECM) and Toda and Yamamoto’s causality approaches. Moreover, results for Portuguese and Spanish sectors indicate an inverted U-shaped relationship only for one sector each. In some sectors there was evidence of a U-shaped relationship and in others the EKC hypothesis could be verified but no statistical significance was obtained. The study has significant contributions for sector policy, including implications to curtail energy pollutants by implementing environmental friendly regulations to sustain economic development at the sector level in the Iberian market. It also allows inferences to be made about the existence of different behaviors in comparative terms for the same economic activity sectors of the individual countries.     

青岛市“三废”排放的环境库兹涅茨特征分析

环境库兹涅茨曲线(Environmental Kuznets Curve,简称EKC)常用来描述经济增长与环境质量之间的关系,典型的EKC一般呈倒U形。通过对1986—2003年青岛市环境经济数据的经济计量模型研究,发现青岛市“三废”排放的EKC不完全符合典型的EKC特征,并对这一结果进行了初步分析。     

Is there an inverted U-shaped curve? Empirical analysis of the Environmental Kuznets Curve in agrochemicals

As the largest contributor to water impairment, agriculture-related pollution has attracted the attention of scientists as well as policy makers, and quantitative information is being sought to focus and advance the policy debate. This study applies the panel unit root, heterogeneous panel cointegration, and panel-based dynamic ordinary least squares to investigate the Environmental Kuznets Curve on environmental issues resulting from use of agricultural synthetic fertilizer, pesticide, and film for 31 provincial economies in mainland China from 1989 to 2009. The empirical results indicate a positive long-run co-integrated relationship between the environmental index and real GDP per capita. This relationship takes on the inverted U-shaped Environmental Kuznets Curve, and the value of the turning point is approximately 10,000–13,000, 85,000–89,000 and over 160,000 CNY, for synthetic fertilizer nitrogen indicator, fertilizer phosphorus indicator and pesticide indicator, respectively. At present, China is subject to tremendous environmental pressure and should assign more importance to special agriculture-related environmental issues.     

Economic Growth and Marine Biodiversity: Influence of Human Social Structure on Decline of Marine Trophic Levels

Abstract:  We assessed the effects of economic growth, urbanization, and human population size on marine biodiversity. We used the mean trophic level (MTL) of marine catch as an indicator of marine biodiversity and conducted cross-national time-series analyses (1960–2003) of 102 nations to investigate human social influences on fish catch and trends in MTL. We constructed path models to examine direct and indirect effects relating to marine catch and MTL. Nations' MTLs declined with increased economic growth, increased urbanization, and increased population size, in part because of associated increased catch. These findings contradict the environmental Kuznets curve hypothesis, which claims that economic modernization will reduce human impact on the environment. To make informed decisions on issues of marine resource management, policy makers, nonprofit entities, and professional societies must recognize the need to include social analyses in overall conservation-research strategies. The challenge is to utilize the socioeconomic and ecological research in the service of a comprehensive marine-conservation movement.     

北京市环境政策评价研究

选取北京市 1985— 1999年环境经济数据 ,建立北京市经济增长与环境污染水平计量模型 ,为评价北京市环境政策提供依据。此实证研究得出两个重要结论 :北京市环境指标与人均GDP演替轨迹呈现显著的环境库兹涅茨曲线特征 ;但比发达国家较早实现了其环境库兹涅茨曲线转折点     

A Cross-National Analysis of How Economic Inequality Predicts Biodiversity Loss

Abstract:  We used socioeconomic models that included economic inequality to predict biodiversity loss, measured as the proportion of threatened plant and vertebrate species, across 50 countries. Our main goal was to evaluate whether economic inequality, measured as the Gini index of income distribution, improved the explanatory power of our statistical models. We compared four models that included the following: only population density, economic footprint (i.e., the size of the economy relative to the country area), economic footprint and income inequality (Gini index), and an index of environmental governance. We also tested the environmental Kuznets curve hypothesis, but it was not supported by the data. Statistical comparisons of the models revealed that the model including both economic footprint and inequality was the best predictor of threatened species. It significantly outperformed population density alone and the environmental governance model according to the Akaike information criterion. Inequality was a significant predictor of biodiversity loss and significantly improved the fit of our models. These results confirm that socioeconomic inequality is an important factor to consider when predicting rates of anthropogenic biodiversity loss.     

CEO education and corporate environmental footprint

We analyze the effect of CEO education on environmental decision-making. Using a unique sample of Danish firms from 1996 to 2012, we find that CEO education significantly improves firms' energy efficiency. We seek to derive causality using health shocks: the hospitalization of highly educated CEOs induces a drop in energy efficiency, whereas the hospitalization of less educated CEOs does not have any significant effect. Exploring the mechanisms at play, we show that our results are largely driven by advanced education in business degrees. Moreover, we show that CEO education is associated with greater environmental awareness: highly educated CEOs exhibit greater concerns for climate change, as measured by a survey of social preferences, and drive more environmentally efficient cars. Taken together, our findings suggest that education shapes managerial styles giving rise to greater sustainability in corporate actions.     

浙江省废水排放增长的EKC曲线特征分析

选取浙江省1985~2004年经济和废水排放数据,通过分析经济因子与废水排放之间的相互关系,建立浙江省废水排放的库兹涅茨曲线模型。结果表明:浙江省废水排放与人均GDP的演替轨迹呈现显著的环境库兹涅茨曲线特征,1985~2004期间处于曲线的上升阶段。浙江省废水排放总量的EKC曲线理论转折点为人均GDP约34 305元,相应的废水排放总量峰值为35亿t,预测转折点出现的时间为2007年左右。工业废水排放量正处于EKC曲线的转折点附近,而生活废水排放量目前正处于EKC曲线加速上升的阶段,转折点出现的时间为2007年左右,对应的生活废水排放量的峰值为15亿t,是2004年生活废水排放量(11.6亿t)的1.3倍,形势非常严峻,应该引起重视。因此,十一五期间,浙江省尤其要注重对生活废水排放的控制和治理,并且保持较高的治理投入。     

Modeling a sustainable Saudi Arabian economy: the real issues

This paper develops a macroeconomic framework for creating a competitive and sustainable Saudi Arabian economy, taking into account the interrelationships among social, environmental, and economic factors. The objective of the research is to build a model that will allow for evaluating the effects of a wide range of emissions abatement policies on economic growth and development. The research methodology is grounded in econometric modeling of the Saudi economy over the period 1980–2010. The estimated parameters of the model were used to project long-term gross domestic product (GDP) growth paths based on three environmental degradation abatement scenarios. The results suggest that the sustainability of economic growth in Saudi Arabia critically depends on aggressive emissions-reduction policies since policy scenarios corresponding to higher pollution cuts yielded higher, sustained long-term GDP. The results also broadly reject the Environmental Kuznets Curve (EKC) hypothesis, implying that a turning point in the relationship between CO₂ emissions and per capita GDP is yet to be attained.     

Testing the Environmental Kuznets Curve Hypothesis with Bird Populations as Habitat-Specific Environmental Indicators: Evidence from Canada

Abstract:  The traditional environmental Kuznets curve (EKC) hypothesis postulates that environmental degradation follows an inverted U-shaped relationship with gross domestic product (GDP) per capita. We tested the EKC hypothesis with bird populations in 5 different habitats as environmental quality indicators. Because birds are considered environmental goods, for them the EKC hypothesis would instead be associated with a U-shaped relationship between bird populations and GDP per capita. In keeping with the literature, we included other variables in the analysis—namely, human population density and time index variables (the latter variable captured the impact of persistent and exogenous climate and/or policy changes on bird populations over time). Using data from 9 Canadian provinces gathered over 37 years, we used a generalized least-squares regression for each bird habitat type, which accounted for the panel structure of the data, the cross-sectional dependence across provinces in the residuals, heteroskedasticity, and fixed- or random-effect specifications of the models. We found evidence that supports the EKC hypothesis for 3 of the 5 bird population habitat types. In addition, the relationship between human population density and the different bird populations varied, which emphasizes the complex nature of the impact that human populations have on the environment. The relationship between the time-index variable and the different bird populations also varied, which indicates there are other persistent and significant influences on bird populations over time. Overall our EKC results were consistent with those found for threatened bird species, indicating that economic prosperity does indeed act to benefit some bird populations.     

Prospects for Reconciling the Conflict between Economic Growth and Biodiversity Conservation with Technological Progress

Abstract: The conflict between economic growth and biodiversity conservation is understood in portions of academia and sometimes acknowledged in political circles. Nevertheless, there is not a unified response. In political and policy circles, the environmental Kuznets curve (EKC) is posited to solve the conflict between economic growth and environmental protection. In academia, however, the EKC has been deemed fallacious in macroeconomic scenarios and largely irrelevant to biodiversity. A more compelling response to the conflict is that it may be resolved with technological progress. Herein I review the conflict between economic growth and biodiversity conservation in the absence of technological progress, explore the prospects for technological progress to reconcile that conflict, and provide linguistic suggestions for describing the relationships among economic growth, technological progress, and biodiversity conservation. The conflict between economic growth and biodiversity conservation is based on the first two laws of thermodynamics and principles of ecology such as trophic levels and competitive exclusion. In this biophysical context, the human economy grows at the competitive exclusion of nonhuman species in the aggregate. Reconciling the conflict via technological progress has not occurred and is infeasible because of the tight linkage between technological progress and economic growth at current levels of technology. Surplus production in existing economic sectors is required for conducting the research and development necessary for bringing new technologies to market. Technological regimes also reflect macroeconomic goals, and if the goal is economic growth, reconciliatory technologies are less likely to be developed. As the economy grows, the loss of biodiversity may be partly mitigated with end‐use innovation that increases technical efficiency, but this type of technological progress requires policies that are unlikely if the conflict between economic growth and biodiversity conservation (and other aspects of environmental protection) is not acknowledged.     

Fracking and indoor radon: Spurious correlation or cause for concern?

Unconventional gas development (fracking) is controversial in large part because of environmental and health concerns. We consider the concern that fracking leads to more carcinogenic radon gas in nearby buildings. Our empirical approach estimates treatment effects where treatment is continuous (number of wells) and varies in intensity (distance to the wells) and in duration of exposure (the time since wells were drilled). The approach allows any potential effect of fracking to vary non-linearly with the distance between the well and test site and, holding distance constant, the time between drilling and testing. Our main model gives a precisely estimated zero effect of wells on radon concentrations in nearby buildings. It also reveals that energy firms drilled wells in places with higher pre-existing radon levels, which, if ignored, makes it appear that wells within 2 km increase indoor radon but wells 3 km away do not. This explains the finding of a prior study showing a link between drilling and indoor radon.     

Competing land uses and fossil fuel,and optimal energy conversion rates during the transition toward a green economy under a pollution stock constraint

We study the transition to a carbon-free economy in a model with a polluting non-renewable resource and a clean renewable resource. Transforming primary energy into ready-to-use energy services is costly and more efficient energy transformation rates are more costly to achieve. Renewable energy competes with food production for land and the food productivity of land can be improved at some cost. To avoid catastrophic climate damages, the pollution stock is mandated to stay below a given cap. When the economy is not constrained by the cap, the efficiency of energy transformation increases steadily until the transition toward the ultimate green economy; when renewable energy is exploited, its land use rises at the expense of food production; food productivity increases together with the land rent but food production drops; the food and energy prices increase and renewables substitute for non-renewable energy. During the constrained phase, the economy follows a constant path of prices, quantities, efficiency rates, food productivity and land rent, a phenomenon we call the ‘ceiling efficiency paradox’.     

The impact of economic development on environmental degradation in Qatar

This study investigates the environmental Kuznets curve (EKC) hypothesis by employing the ecological footprint (EF) as an indicator of environmental degradation in Qatar over the 1980–2011 period. The results of the Autoregressive Distributed Lag (ARDL) estimation with structural breaks reveal that there is a long run relationship among the selected variables with a significant shift in the cointegration vector in 1996. The comparison of the short and long-run income elasticities indicates that the EKC hypothesis is not valid in Qatar. In particular, the long run effect of income is greater than its short run effect, which provides evidence of a monotonic relationship between EF and real GDP per capita. Moreover, the oil price and trade openness have a positive and negative long run impact on ecological footprint, respectively. We further investigate the robustness of the results by employing the Toda–Yamamoto causality tests and the estimation with regime approach. The outcome of TY shows that income and oil price increase significantly the ecological footprint. Moreover, the results of the estimation with two regimes (1980–1996 and 1997–2011) show that the impact of real GDP on the EF in the second regime is higher than the first regime, which confirm the ARDL estimation results.     

九龙江流域经济发展与河流水质时空关联分析

以闽西南地区的九龙江流域为例,综合采用数理统计、GIS技术和环境库兹涅茨曲线（EKC）方法,对该流域1981—2009年经济发展与河流水质变化进行时空关联分析。结果表明,九龙江流域呈现＂第1产业缓增,第2、3产业产值增加较快＂的总体经济格局,农业污染突出;农业种植面积呈现先增加后减少趋势,流域氮、磷肥平均施用强度呈线性增加趋势;氮、磷肥平均折纯施用量之比从1981年的4∶1下降到2009年的2∶1,引起水化学改变并增加水华发生风险;各县（市、区）污染源结构存在明显差异,河流水质变化和沿程分布与流域社会经济布局有很好的空间相关性;北溪流域畜禽养殖业的过快发展、西溪流域以经济作物为主的农业种植结构和高强度施肥、低效率利用是导致河流水质从20世纪90年代开始富营养化的主要原因;EKC曲线尚未出现明显拐点,若农业污染不能得到有效控制,流域水环境将持续恶化;九龙江水质演变规律是流域社会经济布局、污染源排放强度和方式发生变化的综合作用结果。     

When do environmental regulations backfire? Onsite industrial electricity generation,energy efficiency and policy instruments

More than half of all energy produced by electric utilities is lost in the form of waste heat. However, when manufacturing facilities choose to produce their own electricity, this waste heat is captured by Combined Heating and Power (CHP) technologies and used in the production process. As a result, manufacturers' pollution footprint can be dramatically reduced by choosing to produce electricity onsite rather than purchasing it from a utility. This paper uses Census microdata to study manufacturers’ decision to produce electricity onsite and examines how plants adjust onsite generation when they are subject to environmental regulations. Environmental regulations will backfire if they cause manufacturers to produce less electricity onsite and shift to electricity from less efficient, offsite electric utilities. We find that manufacturing plants subject to NOx command-and-control regulations decrease onsite electricity generation, increase electricity purchases from off-site utilities and see declines in their energy efficiency. However, manufacturers subject to cap-and-trade see no decline in onsite generation and experience improvements in energy efficiency. These findings demonstrate the importance of instrument selection and identify a new pathway through which emissions leakage may occur.     

Efficient air pollution abatement for regions in China

This paper computes the efficient air pollution abatement ratios of 30 regions in China during the period 1996–2002. Three air emissions (SO₂, soot and dust) are considered. Data envelopment analysis (DEA) with a single output (real GDP) and five inputs (labour, real capital stock, SO₂, dust and soot emissions) is used to compute the target emissions of each region for each year. The efficient abatement ratios of each region in each year are then obtained by dividing the target emission by the actual emission of an air pollutant. Our major findings are: 1. The eastern area is the most efficient region with respect to SO₂, soot and dust emissions in every year during the research period. 2. The eastern, central and western areas have the lowest, medium and highest 1996–2002 average target abatement ratios of SO₂ (22.09%, 42.23% and 57.58%), soot (26.19%, 56.34% and 66.37%) and dust (15.20%, 29.09% and 40.59%), respectively. 3. These results are consistent with the Environmental Kuznets Curve (EKC) theory, whereby a more developed area will use environmental goods more efficiently than a less developed area. 4. Compared to dust emission, the average target abatement ratios for SO₂ and soot emissions (as direct outcomes of burning coal) are relatively much higher for all three areas.