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Does One Size Fit All? A Reexamination of the Environmental Kuznets Curve Using the Dynamic Panel Data Approach

Chien-Chiang Lee, Yi-Bin Chiu and Chia-Hung Sun
Review of Agricultural Economics
Vol. 31, No. 4 (Winter 2009), pp. 751-778
Stable URL: http://www.jstor.org/stable/40588527
Page Count: 28
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Does One Size Fit All? A Reexamination of the Environmental Kuznets Curve Using the Dynamic Panel Data Approach
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Abstract

This article applies the dynamic panel generalized method of moments technique to reexamine the environmental Kuznets curve (EKC) hypothesis for carbon dioxide (CO₂) emissions and asks two critical questions: "Does the global data set fit the EKC hypothesis?" and "Do different income levels or regions influence the results of the EKC?" We find evidence of the EKC hypothesis for CO₂ emissions in a global data set, middle-income, and American and European countries, but not in other income levels and regions. Thus, the hypothesis that one size fits all cannot be supported for the EKC, and even more importantly, results, robustness checking, and implications emerge.

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