The j-curve for the relationship between pollution abatement expenditure and income per capita: A new empirical investigation from us regional data

• Monica Das ^[1] ; Debasri Mukherjee ^[1]
  1. [1] Western Michigan University

     Western Michigan University

     City of Kalamazoo, Estados Unidos

     
• Localización: Applied econometrics and international development, ISSN 1578-4487, Vol. 11, Nº. 2, 2011, págs. 83-100
• Idioma: inglés
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• Resumen

  • The main objective of our paper is to investigate the validity of the theoretically postulated J type relationship between pollution control expenditures/capita and income/capita. We use the Pollution Abatement Costs and Expenditures dataset to examine the validity of this postulated relationship for the US states during the years 1986 – 1994. Using a flexible nonparametric framework, we do not find any evidence to support the J type relationship between abatement/capita and income/capita for the U.S. economy. We attribute this result to the presence of increasing returns to pollution abatement or increasing marginal efficacy of pollution abatement.