Environmental quality: impact of economic growth

2014 ◽  
Vol 20 (5) ◽  
pp. 673-696 ◽  
Author(s):  
Sangeeta Bansal
Keyword(s):  
Economic Growth ◽  
Income Inequality ◽  
Income Distribution ◽  
Environmental Quality ◽  
Quality Attribute ◽  
Product Model ◽  
Environmental Friendliness ◽  
The Poor ◽  
Regulatory Measure

AbstractUsing a vertically differentiated product model, the paper aims to investigate the effects of economic growth on market provision of product quality. The quality attribute considered is the environmental friendliness of products. Economic growth is modeled as a shift in income distribution. It shows that the effect of economic growth depends on the form it takes. A growth in income that is uniform across consumers improves the cleanup levels adopted by both firms. However, a growth in income that is accompanied by changes in income inequality may result in the lowering of one of the two qualities. More specifically, if the growth in income is accompanied by increased disparities in income distribution, the quality of the (environmentally) inferior variant is reduced. This has serious implications for the poor consumers if the product has safety or health hazards. The paper suggests a regulatory measure to prevent such deterioration in the quality of the inferior variant.

scholarly journals Governance and Income Inequality

2006 ◽  
Vol 45 (4II) ◽  
pp. 751-760 ◽  
Author(s):  
Saima Shafique ◽  
Rashida Haq
Keyword(s):  
Economic Growth ◽  
Growth Rate ◽  
Developing Countries ◽  
Economic Policy ◽  
Income Inequality ◽  
Income Distribution ◽  
Growth And Development ◽  
Well Being ◽  
Low Level ◽  
The Poor

Major problems of developing countries are unequal income distribution and low growth rate, which affect their welfare aspects. It was implicitly assumed that whenever we achieve target of higher growth rate, benefit of growth would automatically trickle down to the poor. History of developing countries shows that the rich benefited more than the poor as evidenced by rising income inequality during the period of higher economic growth. The economic policy changes are often triggered by the logic of low level of equilibrium of output level, employment and income distribution. To overcome this low level of equilibrium trap, government often adopt polices so as to achieve high level of income and employment growth and development, and equitable income distribution. Coherent policy instruments are essential to meet these policy targets. Impact of any macro economic policy has been examined by studying its impact on economic growth and income distribution. In recent years polices have been directed toward reducing the level of poverty and inequality through raising quality of life in society by providing efficient and effective governance. This new economic philosophy has resulted in a massive change in the policy orientation of countries; the priority is now centred on issue of governance and focus is now shifted towards a qualitative nature of its growth and development. According to Sen (1983), the realisation of human capabilities, that enlarge the range of human choices, is essential for a broader notion and measure of economic well-being. The institutional frame work is then considered as one of the essential elements for translating growth and well-being into a sustainable process.

scholarly journals Economic Development Paper

2019 ◽  
Author(s):  
Diana Annisa
Keyword(s):  
Economic Growth ◽  
Economic Development ◽  
Income Inequality ◽  
Income Distribution ◽  
High Growth ◽  
Relative Poverty ◽  
Low Level ◽  
The Poor ◽  
The Rich ◽  
Distribution Of Income

The main problems in economic development are increasing economic growth, eliminating poverty and eliminating poverty. In some destination countries it is sometimes a dilemma between emphasizing economic growth or reducing inequality in income distribution (Deininger and Olinto, 2000). High growth does not necessarily guarantee that the inequality of income distribution will be low.Poverty and income inequality are two things that are being intensely emphasized by the government's growth. Inequality is closely related to poverty because fundamentally inequality is an indicator of relative poverty, namely the gap between the rich and the poor. The low level of inequality, or the more even distribution of income, is certainly one of the important agendas of economic development.To measure economic inequality can be seen using the Gini ratio. Gini ratio is an indicator of income distribution level indicated by a coefficient of zero to one, which means the higher the coefficient, the more uneven distribution of income of the population.

The effects of debt restructurings on income inequality in the developing world

2021 ◽  
pp. 135406612110014
Author(s):  
Glen Biglaiser ◽  
Ronald J. McGauvran
Keyword(s):  
Developing Countries ◽  
Panel Data ◽  
Income Inequality ◽  
Income Distribution ◽  
Government Spending ◽  
Tax Reform ◽  
Social Spending ◽  
The Poor ◽  
The Rich ◽  
The Impact

Developing countries, saddled with debts, often prefer investors absorb losses through debt restructurings. By not making full repayments, debtor governments could increase social spending, serving poorer constituents, and, in turn, lowering income inequality. Alternatively, debtor governments could reduce taxes and cut government spending, bolstering the assets of the rich at the expense of the poor. Using panel data for 71 developing countries from 1986 to 2016, we assess the effects of debt restructurings on societal income distribution. Specifically, we study the impact of debt restructurings on social spending, tax reform, and income inequality. We find that countries receiving debt restructurings tend to use their newly acquired economic flexibility to reduce taxes and lower social spending, worsening income inequality. The results are also robust to different model specifications. Our study contributes to the globalization and the poor debate, suggesting the economic harm caused to the less well-off following debt restructurings.

Are Jobs and the Quality of the Environment Mutually Exclusive?

1995 ◽  
Vol 27 (5) ◽  
pp. 781-791 ◽  
Author(s):  
O Izraeli ◽  
L Mobley
Keyword(s):  
Economic Growth ◽  
Economic Theory ◽  
Empirical Evidence ◽  
Environmental Quality ◽  
General Public ◽  
Maintenance Costs ◽  
Trade Off

In this paper it is shown that there is no support in economic theory for the suggested trade-off between jobs and the environment. Moreover, improved environmental quality may accelerate economic growth via improved health and productivity of workers, lower maintenance costs, and enhanced productivity of capital inputs. Also, empirical evidence is presented on the preference of the general public regarding environmental quality. The empirical evidence indicates that people are ready to trade part of their income for improved environmental quality.

scholarly journals Economic Growth and Income Inequality in Developing Countries

2015 ◽  
Vol 9 (6) ◽  
pp. 79-82 ◽  
Author(s):  
Morteza Nemati ◽  
Ghasem Raisi
Keyword(s):  
Economic Growth ◽  
Developing Countries ◽  
Income Inequality ◽  
Income Distribution ◽  
Economic System ◽  
Development Strategy ◽  
Low Income ◽  
Poverty Eradication ◽  
The Relationship ◽  
Selection Of

Nowadays, improvement in income distribution and poverty eradication and hence low inequality are served as the main objectives of economic and social development strategy even prior than primary tasks of governments. to manifest importance of income distribution, some economists adopt income inequality and income distribution in society as criteria for economic system of the community, although these criteria and measures are theoretical for the economic system and this varies from the perspective of different people, however, it denotes on  importance of income distribution among individuals. The main objective of this study was to evaluate the effect of economic growth on income inequality in the selection of low-income developing countries.To this end, using panel data and data for 28 developing countries over the period 1990-2010 the relationship between GDP and the Gini coefficient was examined. The results indicate that as per hypothesis Kuznets in the early stages of growth, income inequality increases and then it declines in later stage.

scholarly journals PERTUMBUHAN EKONOMI, KETIMPANGAN PEDAPATAN DAN DESENTRALISASI DI INDONESIA

KINERJA ◽  
2016 ◽  
Vol 20 (1) ◽  
pp. 53
Author(s):  
Lestari Agusalim
Keyword(s):  
Economic Growth ◽  
Income Inequality ◽  
Linear Regression ◽  
Income Distribution ◽  
Gross Domestic Product ◽  
Gini Index ◽  
National Income ◽  
Secondary Data ◽  
Independent Variables ◽  
Regression Approach

AbstrakPenelitian ini bertujuan untuk mengkaji pengaruh desentralisasi dalam mendistribusikan pendapatan nasional untuk mengurangi ketimpangan pendapatan di Indonesia. Data yang digunakan adalah data sekunder, yaitu PDB sebagai representasi pendapatan nasional dan data indeks gini sebagai representasi tingkat ketimpangan pendapatan dengan rentang waktu 1978-2015. Metode analisis menggunakan regresi linear dengan pendekatan OLS dimana Indeks gini digunakan sebagai variabel dependen, dan PDB sebagai variabel independen. Selain itu, terdapat variabel independen lainnya, yaitu variabel dummy desentralisasi yang berguna untuk mengetahui pengaruh desentralisasi terhadap ketimpangan pendapatan. Hasil analisis menunjukkan bahwa dari aspek ekonomi, desentralisasi belum mampu mendistribusikan pertumbuhan ekonomi untuk memperkecil ketimpangan pendapatan masyarakat.Kata Kunci: Pertumbuhan Ekonomi, Ketimpangan Pendapatan, DesentralisasiAbstractThis research aims to analyze the effect of decentralization on national income distribution and the reduce of income Inequality in Indonesia. This research used secondary data with gross domestic product (GDP) representing national income and gini index data representing income inequality from 1978 to 2015. An OLS Linear Regression approach was employed where the gini index was the dependent variable, and the independent variables were GDP and the Dummy for decentralization implementation. The result revealed that decentralization had not been able to distribute economic growth to minimize income Inequality.Keywords: Economic Growth, Income Inequality, Decentralization

On the Impact of Government Institutions on Economic Growth and Income Inequality in Russia

2019 ◽  
Vol 7 (3) ◽  
pp. 14-17
Author(s):  
Леонид Басовский ◽  
Leonid Basovskiy ◽  
В. Бабанов ◽  
V. Babanov ◽  
Елена Басовская ◽  
...  
Keyword(s):  
Economic Growth ◽  
Income Inequality ◽  
Income Distribution ◽  
Local Governments ◽  
Positive Relationship ◽  
Negative Relationship ◽  
Government Officials ◽  
Government Institutions ◽  
State And Local ◽  
The Impact

In order to assess the extent to which the institutions of government in the current conditions in recent years in Russia — the activity of government officials and local governments affected economic growth, the correlation of the number of this category of workers with the growth rates of the economy was evaluated. The results show that by 2002 the positive correlation between the number of employees of state bodies and local self-government and the rate of economic growth was a negative one. The activities of employees of state and local governments began to slow down economic growth in the country. In order to assess how the change in the level of inequality of income distribution in modern Russia is due to the activities of employees of state-shock authorities and local self-government, its relation to the number of employees in this category of funds, which reflects the degree of income inequality, was evaluated. The results show that by 2011 the negative relationship between the number of employees of state bodies and local governments and the level of inequality of income distribution of growth replaced by a positive relationship. The activities of employees of state and local governments began to contribute to reducing the level of inequality of income distribution in the country.

scholarly journals Income Inequality: Do Different Inequality Measures Show Different Impacts on Economic Growth, at the State Level? An Analysis of the State of New Jersey

2016 ◽  
Vol 5 (12) ◽  
pp. 40
Author(s):  
Bertram Chukwudum Ifeanyi Okpokwasili
Keyword(s):  
Economic Growth ◽  
New Jersey ◽  
Income Inequality ◽  
Income Distribution ◽  
State Level ◽  
The State ◽  
Inequality Measure ◽  
Inequality Measures ◽  
Real Gdp ◽  
Different Levels

<p>This paper investigates whether the use of different inequality measures is instrumental in determining impact on economic growth at the State level. We find that different measures show different levels of significance with respect to economic health. We study New Jersey income distribution and shares from 1964 to 2014, using graphs and statistics. The dual analyses approach and the use of different inequality measures enabled conclusions to be reached, that only one view and one inequality measure would have made difficult, if not misleading. New Jersey Real GDP/Capita (RGC) was going up, whether or not the inequality measure was getting better. Inequality had little or no effect on the direction of the RGC. Economic Growth is not a good measure of the effects of inequality.</p>

scholarly journals ENVIRONMENTAL QUALITY AND POVERTY ASSESSMENT IN INDONESIA

2020 ◽  
Vol 10 (1) ◽  
pp. 89-97
Author(s):  
Fitri Kartiasih ◽  
Wanda Pribadi
Keyword(s):  
Economic Growth ◽  
Population Density ◽  
Natural Resources ◽  
Environmental Degradation ◽  
Environmental Quality ◽  
Simultaneous Equation ◽  
Exogenous Variables ◽  
Literacy Rate ◽  
The Poor ◽  
Poverty Assessment

Poverty is both a cause and a victim of deteriorating environmental quality. The poor are regarded as very dependent on the environment and natural resources in sustaining their lives so that the environment and natural resources are exploited regardless of their sustainability. On the other hand, environmental degradation causes the poor to get out of poverty. This study aims to (1) analyze the general picture of environmental quality and poverty, (2) analyze the effect of poverty on the environment, (3) analyze the effect of environmental quality on poverty along with other supporting factors in Indonesia 2012-2014. The analytical method used is simultaneous equation with EC2SLS method. The results show that poverty can affect environmental degradation but not vice versa. Exogenous variables that significantly affect the quality of the environment are the growth of the number of poor, economic growth, population density, and literacy rate. Exogenous variables that have significant effect on poverty are economic growth, wage, population density, and literacy rate.

Sign in / Sign up

Export Citation Format

Share Document