This paper assesses the strength of the Environmental Kuznets Curve (EKC) which posits an inverted-U relationship between per capital income and pollution. Specifically, answers are sought to the following related questions: (1) How robust is the EKC relationship?; (2) To what extent can the EKC relationship be explained by changing trade patterns as opposed to growth-induced pollution abatement? With regard to question (1), the alleged weaknesses with the EKC are assessed and new EKCs are estimated using more appropriate econometric techniques. Turning to question (2), it is argued that the impact of trade liberalization on the environment will differ from country to country depending on whether or not they have a comparative advantage in pollution-intensive production. In turn, it is argued that this depends on a country's relative factor endowments and/or its relative environmental regulations. EKCs are therefore estimated in a manner that allows the impact of trade liberalization on pollution to depend on these country characteristics. The results indicate that the inverted-U relationship between per capita income and emissions is reasonably robust and little evidence is found to suggest that trade patterns are a significant determinant of the inverted-U shape.

The purpose of this study is to test empirically the hypothesis of the inverted U-shaped relationship between environmental damage from sulfur emissions and economic growth as expressed by GDP. Using a large database of panel data consisting of 73 OECD and non-OECD countries for 31 years (1960–1990) we apply for the first time random coefficients and Arellano-Bond Generalized Method of Moments (A–B GMM) econometric methods. Our findings indicate that the EKC hypothesis is not rejected in the case of the A–B GMM. On the other hand there is no support for an EKC in the case of using a random coefficients model. Our turning points range from $2805–$6230/c. These results are completely different compared to the results derived using the same database and fixed and random effects models.

In this paper we study a group of policies aimed at discouraging the use of private transportation during peak hours, both directly and indirectly, by increasing the attractiveness of the only available substitute, the bus. This is done using a choice experiment constructed to find the answer to the following basic question: Given fixed house-to work structures and no working hour flexibility, by how much is the choice of travel mode for commuters to work sensitive to changes in travel time, changes in costs for each mode and other service attributes? This information is then used to identify the most suitable combination of policies dealing with air pollution and congestion in the typical developing country context of metropolitan Costa Rica. We also provide estimates of the value of travel time as a measure of the potential benefits gained from reduced congestion.

This study investigates the relationship between property rights, resource degradation, and productivity among herders in semi-arid regions of Kenya using survey data. Binary and conditional logit models are used to explain migration, while ordinary least squares and fixed effects models are used to explain productivity. The main findings of the study are that private property right regimes discourage migration with livestock, while private property right regimes and migration increase productivity. The study recommends that if privatization is not feasible, then the existing common rights system should be strengthened through promotion of collective action and limiting of group sizes.

Lithuania is one of ten countries in Central and Eastern Europe that is aligning its environmental policies with those of the European Union (EU). The costs of harmonizing environmental policies are expected to be extremely high and to fall disproportionately on local governments. One policy option for financing these service upgrades is to use increased tariffs. We evaluate the feasibility of this strategy by estimating household willingness to pay for upgraded landfill, sewerage, and recycling programs. We then compare estimated benefits with costs from the literature. We find that household willingness to pay is substantial for upgraded landfill management and expanded sewerage service, but virtually zero for the two recycling programs considered. Relative to costs, households are willing to pay approximately 80–90 per cent of costs for landfill improvement, but less than 10 per cent for upgraded sewerage service and recycling programs. These results suggest that targeted subsidies will be critical to fund the municipal environmental expenditures required for Lithuania to join the EU.

In the present study, integrated models have been developed to find out the most appropriate cost of municipal solid waste (MSW) disposal using two potential and widely used methodologies, viz. landfill system with gas recovery (LFSGR) and aerobic composting (AC). Objective functions with important costs and benefits including externalities were developed to find out the net unit cost of disposal. Multivariate functional models have been developed for each activity of the objective functions. These integrated techno-economic models can be used not only to determine the most appropriate cost of waste disposal, but also to explain the interparametric linkages and even to compare the potentiality and suitability of a particular methodology for a set of conditions. This can give valuable information that can enhance environmental management leading to sustainable development.

In the simulation studies carried out, LFSGR with its proven energy generating potential from MSW in the form of landfill gas, was found to perform better than aerobic composting (AC) for rates of waste generation greater than 1,000–2,000 t/d (tons per day). LFSGR showed a better performance irrespective of the landfill collection system installation and operation costs. For both methodologies, unit cost of disposal was most sensitive to land rent followed by, in the case of LFSGR, the organic content.