The human rights foundations of an EKC with a minimum consumption requirement: theory, implications, and quantitative findings
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Andreoni and Levinson’s (J Public Econ 80:269–286, 2001) EKC model is modified to include Stone (Econ J 63:511–527, 1954) and Geary (Rev Econ Stud 18(99):65–66, 1950) preferences where the economic agent has a minimum consumption requirement (MCR). We show that at each level of income, an increase in the MCR is associated with higher levels of pollution, and the threshold level of income at which the EKC inverts changes with a change in the MCR. A numerical exercise further supports these findings. We offer a policy discussion within the context of the environmental impacts of meeting a MCR noting that doing so is costly in terms of the impact on pollution and the resources required to mitigate pollution in its presence.
KeywordsEKC Minimum standard of living Pollution Economic growth
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