Economic, Demographic and Political Determinants of Pollution Reassessed: A Sensitivity Analysis
ETH Zurich - KOF Swiss Economic Institute; CESifo (Center for Economic Studies and Ifo Institute)
Michael J. Lamla
ETH Zurich - KOF Swiss Economic Institute; University of Essex
KOF Swiss Economic Institute; CESifo (Center for Economic Studies and Ifo Institute); CESifo (Center for Economic Studies and Ifo Institute) - Ifo Institute
CESifo Working Paper Series No. 1699
Recent literature proposes many variables as significant determinants of pollution. This paper gives an overview of this literature and asks which of these factors have an empirically robust impact on water and air pollution, i.e., do not depend upon the conditioning information set. For this, we apply Extreme Bound Analysis (EBA) on a panel of 208 countries covering the period 1960-2001. We find supportive evidence of the existence of the environmental Kuznets curve. Furthermore, mainly demographic variables and variables capturing the economic structure of a country contribute to explaining air and water pollution.
Number of Pages in PDF File: 42
Keywords: pollution, environment, sensitivity analysis, environmental Kuznets
JEL Classification: C52, F18, L60, O13, Q53
Date posted: March 6, 2006
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