Economic Growth and the Environment: An Empirical Analysis by Sander M. de Bruyn

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By Sander M. de Bruyn

Is monetary progress stable for the surroundings? a couple of economists have claimed that financial progress can profit the surroundings, recruiting political help and finance for environmental coverage measures. This view has got expanding help because the early Nineties from empirical proof that has challenged the normal environmentalist's trust that monetary development degrades the surroundings. This publication studies the theoretical and empirical literature on development and the surroundings, giving an in-depth empirical therapy of the connection among the 2. a variety of hypotheses are formulated and demonstrated for a couple of signs of environmental strain. The try effects point out that replacement versions and estimation tools may be used, changing past conclusions concerning the influence of monetary progress at the surroundings and supplying an perception into the forces riding emission aid in built countries.

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4 of this chapter are based on de Bruyn and Anderberg (1997), de Bruyn et al. (1997a) and Vellinga et al. (1996). 4 An interesting question raised by van den Bergh (1996, p. 35) is whether the current methodological pluralism is an advantage for analyzing environmental problems. There is no common opinion: whereas some stress the fact that pluralism fosters the societal debates on the topic (Norgaard, cf van den Bergh), others aim for common principles in order to make results and analyses comparable (see also Klaassen and Opschoor, 1991).

Integrated assessment is a term that has been used to describe the two-way interaction between environmental change and human activities; nowadays the term is reserved exclusively for integrated economic-environmental modelling of climate change. In the assessment of climate change, this implies analysis that considers the social and economic factors that drive emissions, the biogeochemical cycles, and atmospheric chemistry that determines the development of emissions, the resulting effect on the climate globally and locally, and the impacts of climate change on managed and unmanaged ecosystems, and consequently on human activities and welfare.

Such costs may in the end pose a financial restriction on the possibility of economic growth, especially if the costs of these investments are larger than the additional income generated by economic growth. In that case society has manoeuvred itself into a difficult position and limiting economic growth may be the only possible alternative. Only then may one truly speak of 'limits to growth'. 1. Introduction It is widely recognized nowadays that most of the environmental problems that society faces have their origins in human society, and that the consequences, too, are of concern to such societies.

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