Economic Growth and the Environment: Test of the Kuznets Environmental Corridor in the Egyptian Economy during the Period (1971 - 2017)

Document Type : Original Article

Authors

1 Economic Department Faculty Of Commerce Tanta University Tanta Egypt

2 Economic department Higher Institute of Management and Information Technology Kafr El Sheikh University Kafr El Sheikh Egypt

Abstract

This study examines the behavioral relationship between the economic growth measured by the GDP per capita and the environment measured through Carbon dioxide (CO2) emissions as an indicator of environmental degradation, for Egypt using the sample period from 1971 to 2017. The empirical study explores a relationship between economic growth and the environment, which sh-ows that in the short term economic growth generates greater environmental deterioration, but in the long term, economic growth is beneficial for the environment. The application of the model and the estimation of the parameters shows that the Egyptian economy in the period from 2012 to 2016 is going through the decline in the curve of Kuznets environmental. This means that economic growth with the implementation of environmental policies generates less pollution to the environment in recent years.

Keywords