THE ENVIRONMENTAL KUZNETS CURVE: A LITERATURE SURVEY

Literature on the environmental Kuznets curve (EKC) is examined, focussing on the possibility that the EKC may be explained by trade patterns. If significant, this trade effect would cast doubt on the oft‐stated conclusion that economic growth automatically leads to environmental improvement. Research has been insufficient, although a number of promising approaches have been developed. Although evidence on the pollution‐haven hypothesis is mixed, there is enough to suggest that the EKC development path may not be available to today's developing countries. Other problems cast doubt on whether the EKC exists in any relevant sense at all.