Theory of Environmental Kuznets Curve
The paper develops a two-state-variable environmental growth model to derive the optimal growth path for the relationship between pollution and economic growth, which is used to verify the existence of the Environmental Kuznets Curve (EKC) hypothesis. It is found that the theoretical outcomes imply the existence of the EKC relationship between environmental degradation and economic growth, which is dependent on the combining effects of the pollution intensity, abatement technology of pollution emission, production technology, and the return rate of capital stock.
Qunjie Xu, Honghua Ge and Junxi Zhang
L. Xu "Theory of Environmental Kuznets Curve", Advanced Materials Research, Vols. 361-363, pp. 1697-1702, 2012