Consumption Pattern, Income Distribution and the Environment in Brazil

IPEA Working Paper No. 856

49 Pages Posted: 31 Jul 2002

See all articles by Ronaldo Seroa da Motta

Ronaldo Seroa da Motta

Universidade do Estado do Rio de Janeiro (UERJ)

Date Written: November 2001

Abstract

To analyze the environmental pattern of urban consumption in Brazil, we have estimated household degradation level (E) for ten income classes calculated by the product of its propensity to degrade to the average household income. In turn, propensity to degrade (Pmg) is estimated as the propensity to consume weighted by the pollution or natural resource use intensity of each consumption item. Note that Pmg will be related to the cross effect of the pollution intensity, a technological factor, and income elasticity of demand captured by the propensity to consume that, in turn, is an income composition factor. Total degradation E, on the other hand, will also capture income scale effects since it will be also dependent on income levels. Our results show that income scale effects always exceed any demand and technological effects for the 1995 urban consumption level in Brazil.

Keywords: environment, consumption pattern, inequality

JEL Classification: Q210

Suggested Citation

Seroa da Motta, Ronaldo, Consumption Pattern, Income Distribution and the Environment in Brazil (November 2001). IPEA Working Paper No. 856. Available at SSRN: https://ssrn.com/abstract=315670 or http://dx.doi.org/10.2139/ssrn.315670

Ronaldo Seroa da Motta (Contact Author)

Universidade do Estado do Rio de Janeiro (UERJ) ( email )

Av Borges de Medeiros 3709 ap 401
ap 401
Lagoa, 22470-001
Brazil
21997775494 (Phone)

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