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Environmental Sustainability and Economic Growth in Greenland: Testing the Environmental Kuznets Curve

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Institute of Social Science, Economics, and Journalism, University of Greenland/Ilisimatusarfik, Manutooq 1, 3905 Nuussuaq, Greenland
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Department of Economics, University of Aberdeen, Aberdeen AB24 3FX, UK
*
Author to whom correspondence should be addressed.
Academic Editor: Pauline Deutz
Sustainability 2021, 13(3), 1228; https://doi.org/10.3390/su13031228
Received: 30 December 2020 / Revised: 18 January 2021 / Accepted: 19 January 2021 / Published: 25 January 2021
(This article belongs to the Section Economic and Business Aspects of Sustainability)
The environmental Kuznets curve (EKC) hypothesis assumes there is an inverted U-shape relationship between pollution and income per capita, implying an improvement in environmental quality when a growing economy reaches a high level of economic development. This study evaluated empirically the existence of the environmental Kuznets curve in Greenland for the period 1970–2018. Using an autoregressive distributed lag (ARDL) approach, the results show evidence of a U-shaped EKC in Greenland instead of the hypothesized inverted U-shape. The findings indicate that Greenland had initially experienced a decoupling transition during an early development stage associated with structural conditions of a small subsistence economy. However, once the country began to expand its industry, the trend began to reverse, creating a positive and significant relationship between CO2 emissions and GDP per capita that is potentially detrimental to the Arctic natural environment. View Full-Text
Keywords: economic growth; environmental Kuznets curve; Greenland economic growth; environmental Kuznets curve; Greenland
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MDPI and ACS Style

Arnaut, J.; Lidman, J. Environmental Sustainability and Economic Growth in Greenland: Testing the Environmental Kuznets Curve. Sustainability 2021, 13, 1228. https://doi.org/10.3390/su13031228

AMA Style

Arnaut J, Lidman J. Environmental Sustainability and Economic Growth in Greenland: Testing the Environmental Kuznets Curve. Sustainability. 2021; 13(3):1228. https://doi.org/10.3390/su13031228

Chicago/Turabian Style

Arnaut, Javier, and Johanna Lidman. 2021. "Environmental Sustainability and Economic Growth in Greenland: Testing the Environmental Kuznets Curve" Sustainability 13, no. 3: 1228. https://doi.org/10.3390/su13031228

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