Relationship between economic growth and environmental problems

relationship between economic growth and environmental problems

More specifically, this paper focuses on the analysis of the relationship between economic development and ecological damage, based on the EKC hypothesis. Moreover, all indicators in relation to environmental degradation prove a definite relationship between economic growth and environmental degradation. . Therefore, government must tackle current problems derived from. environment and climate change, and some challenges associated with . relationships between economic growth and pollution emissions.

Most reasons for this bleak situation come from economic activities or more specifically, from industrial expansion in the search for wealth.

Moreover, all indicators in relation to environmental degradation increase at the same time as does economic growth. They remained unchanged in the past when economic growth was rather poor. This fact serves to prove a definite relationship between economic growth and environmental degradation. They seem to develop with similar pattern, so whether they are directly proportional to each other or follow different trend.

Most of the researchers studied data of air pollution and income per capita. According to the research, turning points of NO2 and CO, respectively, are These figures agreed with practical occurrence in Taiwan in s. InDepartment of Environmental Protection released new regulation forcing installation of special equipment to reduce NO2 and CO emissions.

Improvement in air pollution has been observed since the economy reached these turning points. Same result has been collected through researches in other areas. Turning point when environmental improvement happens often varies at high level within 3.

In fact, cities with income per capita below 1.

Quality of Life in Urban China: economic growth and the environment

Cities with income per capita above Big cities like London or Los Angeles succeeded in keeping the concentration of pollutants at standard level approved by WHO.

GDP in Vietnam per capita are increasing. However, no considerable improvement in environmental quality has been experienced there, let alone in other cities, and more importantly, they are the two largest and prolific sources of pollutants.

Hanoi ranks the 1st city in Asia in terms of air pollution and one of the most heavily polluted cities in the world. Theoretically, there is a kind of an inverted U-shape relationship between environmental degradation and economic development in Vietnam, however, whether it should be applied to the real situation is open to debate. The environmental improvement observed in many developed countries does not necessarily derive from economic growth reaching a certain level of development.

Rich nations often have tendency to export pollution intensive activities, like manufacturing of clothing and furniture, to less developed countries, which is generously endowed with abundant natural resources. In turn, when poor countries develop, they may find nowhere to export their environmental pollution. Thus, the result of this process is decrease in environmental degradation in developed countries and increase in pollution indicators in less developed countries, as the rich outsource pollution to the poor.

In global scale, pollution does not deteriorate at all, instead it is only transferred from one to others. There are also flaws in econometric model used to estimate relationship between economy and degradation.

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It is easily to do wrong econometrics. Regression models invented so far are still simple. They take into account only income per capita and environmental indicators, while the relationship should not be simply decided by these factors.

More attention should be focused on the statistical properties of the data, such as serial dependence or stochastic trends in time series. In countries, time effect reduces environmental degradation at all levels of income, while scale effect, the expansion of the economy in scope, creates opposite impact on environment. The influence of these two effects is different, depending on each particular country. In rich countries, growth is slower, and time effect can surpass scale effect, while the opposite is recorded in developing countries: Secondly, we are too far away from the turning point and this turning point is projected by observable data, so there is all likelihood that the set of data may be imperfect or it fails to reflect real trend.

Thus, it is precarious to sit out until the whole economy reaches the nearest turning point, which might not be exact due to econometric error, or optimistically stick to the model while ignoring intrinsic recovery level of environment, beyond which we can never take back what we lose.

In fact, developing countries can still experience the same environmental improvement and attain lower turning point in shorter period in comparison to pioneering developed countries. This is called the advantage of countries which lag behind.

Global Forum on Environment and Economic Growth - OECD

Developing countries can save time by learning success lessons from developed ones, including lessons on government policies, regulations, environmental criteria, modern technology friendly to environment, treatment system… Solutions for environmentally sustainable development: Solutions for short-term period should concentrate on preventing potential ecological loss and minimizing adverse impacts of environmental degradation.

Following are some plausible suggestion for tackling short-term target. Firstly, deforestation and loss of biodiversity, which used to be endemic in places abounding in natural resources, are, deplorably, becoming rampant all over the country as economic expansion entails a tremendous amount of input from natural environment.

To solve this situation, the very first priority is to meticulously control illegal smuggling precious resources to neighbor countries. Prohibition of trafficking or imposition of tax on export of rare materials, such as wood, precious minerals … needs to be adopted, especially in hot spots of illegal smuggling. Besides, it is necessary to officially encourage people to regenerate forest.

Although the quality of regeneration forest is far below that of primitive forest, habitat of various kinds of ancient and valuable plants, regeneration at least, in short-term, can compensate for the loss of forest cover and at the same time remain soil fertility. During economic development, legal deforestation is indispensable because wood is crucial material for many industries, for example construction or interior furniture manufacture.

Therefore, to ensure that forest will not be exposed to any significant damage, government must stick to principle, that maintains balance between deforestation and forestation rates, by which one plant cut down will be replaced by newly grown one. Furthermore, regulations about giving farmers or firms authority on forestland must be articulated clearly to avoid potential conflict.

relationship between economic growth and environmental problems

Besides, government can utilize economic reward and punishment system to encourage forestation. Industrial waste is also a prominent source of public worry. The consequence of transition from agriculture based economy to modern economy relying on industry and service is Vietnam has been struggling with evasive pollution due to expansion of industrial zones. The majority of investment is focused on facility and production line innovation only, while waste treatment system is often omitted in investment list.

Factory owners and firm managers are motivated solely by self-interest, so their target is achieved when they succeed in selling products.

In terms of the next phase, post-production, they do not pay much attention. This dismissive attitude causes negative corollary to environment. Accordingly, waste and sewage discharged from intensive production activities are contaminating water, soil and air at an alarming rate.

Therefore, government must tackle current problems derived from emerging industrial zones by financially support them to change unfriendly production procedures to friendly procedures and legally forcing them to install proper waste treatment system.

In case entrepreneurs try to ignore mandatory regulations intentionally, there must be sanctions against them, from fining to depriving business permission. In heavily polluted areas, government should implement evacuation of production site from residential spots to avoid wide spread health problems, or suspend production activities of the culprits.

Sanctions will vary according to the seriousness of each case, as well as the cooperation attitude of entrepreneurs. Above all, the method will only take effect if authority obeys strictly and it is important not to yield or to indulge their every whim.

Authority of all levels is one of leading factors in improving the bleak situation in industrial zones. Other methods relating to planning and building industrial zones must be taken into careful consideration.

relationship between economic growth and environmental problems

The fact that factories and industrial zones are scattered around the country makes it difficult to manage and process waste materials. Therefore, we can benefit from defining industrial centers within specific areas to facilitate management as well as correction to environmental errors caused by producers.

By the way, to ensure expected result, supervisory role must be clearly assigned to a particular governmental organization or to a specialized unit. Examining production activities of production facilities closely helps avoid incidental consequences and guarantee immediate reaction to problems. Thus, a certain amount of investment should be directed to supervisory equipment to respond immediately to abnormal environmental occurrence.

Pollution caused by plant protection chemicals, pesticide or fertilizer arouses new concern about environmental quality and human health. In Vietnam, pollution emerged from agricultural activities has arisen as the most cross-cutting issue recently. Concentration of agricultural chemicals used exceeds the allowed amount and accumulates in soil and in agricultural products, causing health and environmental troubles. Excessive amount of poisonous substances not absorbed by plants, when penetrating into human tissues, is proved to cause genetic defect or, in some more serious cases, lethal diseases.

Salutary ingredients in arable soil are missing gradually after being exploited in excessive manner, then toxic substances from chemicals used during crop constitute these wholesome ingredients, turning arable into acidulous or pernicious soil inappropriate for reproducing. Thus, a number of policy goals have been set for agriculture, but not many achievements have been attained regarding to purify agricultural environment.

A lot more must been done before the situation worsens to an inexorable extent. Prohibition of toxic chemical consumption will be vital in improving quality of arable land, as well as preventing health issue. However, absolute prohibition of chemical use may cause damage to agricultural production, as under favorable tropical climate, the prosperity of insects will outweigh the persistence of plants, resulting in little yield.

Economic Growth & Environmental Problems | Bizfluent

Therefore, apart from releasing regulations concerning toxic consumption, science institutes must be encouraged to involve in the mission. They are responsible for inventing new healthy chemicals, environmentally friendly pesticides and fertilizers as salubrious substitutes for deleterious ones.

Along with rising awareness and responsibility campaigns intended for farmers, this may help solve partly the dilemma of chemical use. In India, as in other developing countries, the adoption of development strategy based primarily on large-scale industrialisation, energy-intensive technologies and biochemical-based agricultural technology, ignoring indigenous development paradigm based on locally self-sufficient technologies, has led to environmental degradation.

In this article, we shall explain various environmental issues and the adverse impact of climate change and explain the need for sustainable development. He urged upon the State governments to control environment pollution, clean rivers and fight climate change. This shows that we have not been taking adequate efforts to ensure sustainable development.

To stop further decline in our natural resources and protect environment from pollution stringent regulations and incentives are needed. But, as the PM has said, due to rampant corruption prevailing in the bureaucracy the rules regarding the use of our natural resources and protection of environment have been flouted with impunity. There are numerous instances when the Ministry of Environment and Forests has flouted all norms to give clearance to dubious projects at the cost of environment and communities that depend on it.

This is because increasing population causes environmental degradation. Increases in population cause over-exploitation of natural resources such as forests, water, fisheries and minerals at a rate far greater than their capacity to regenerate.

Besides, population pressure on land compels us to cultivate arable land more intensively by using chemical inputs such as fertilizers, pesticides which cause soil degradation.

Further, increase in population through its effect on deforestation by the rural and urban population for timber and fuel leads to the increase in carbon dioxide in the atmosphere and therefore causes air pollution. Thus the population impacts on environment primarily through the use and depletion of natural resources and is associated with environmental problems such as air and water pollution and loss of biodiversity and increased pressure on arable land.

As an example of estimate of loss, Tata Energy Research Institute TERI estimates that economic losses due to soil degradation, diseases caused by pollution and forest degradation is between Rs. Populations increases cause over-exploitation of land and water resources and loss of biodiversity and forests and will therefore endanger sustainability of agriculture and food security in the country. According to Prof MS.

It is manifest from above that rapidly increasing population in developing countries will lead to the over-exploitation and degradation of land and depletion of fisheries which will threaten the achievement of food security in the developing countries.

Besides, the growth of urban population in the absence of adequate infrastructure facilities has caused the lack of clean water to drink and given rise to slums with the poor sanitation which has increased the vulnerability of the people to several diseases.

It follows from above that to meet the expanding needs of the developing countries, environment degradation must be halted.

For that purpose, reduction in population growth will greatly help in easing the intensification of many environmental problems. Poverty in developing countries is also said to be responsible for environmental degradation. Poor people rely on natural resources more than the rich. For survival the rural poor are forced to cut forests for timber and fuel as well as graze animals on pasture lands more than the reproductive capacity of these natural resources.

relationship between economic growth and environmental problems

Besides, when the cultivable land becomes short relative to population, the poor are forced to make their subsistence by cultivating fragile land on hills and mountains resulting in soil erosion on a large scale.

It is in such environment that poverty becomes a vicious circle. Poverty leads to land degradation and land degradation accelerates the process of impoverishment because the poor people depend directly on exploitation of natural resources on which property rights are not properly assigned.

Thus, though a large number of poor people earn a good deal of their livelihood from the un-marketed natural resources such as common grazing lands, forests from where food, fuel and building materials are gathered by them, the degradation and loss of such resources may harm the poor and result in perpetuation of their poverty.

Thus, as mentioned above, in the use of natural resources by the poor, the vicious circle of poverty operates. It is important to note that the poorest in our society will suffer most if we use our resources unsustainably as their lives and livelihood depend very directly on water, land, seas and forests. This requires sound environment policies which attempt to conserve the natural resources and help the poor to use them properly so that forest cover is not destroyed, land is not degraded through soil erosion and its fertility is maintained.

With growing population the poor encroach upon large remote areas of forests and grasslands to make their livelihood. If there are strict regulations to prevent such encroachment, it is opposed with stiff resistance by the poor, especially in the tribal areas.

The solution to the poverty problem of these teeming millions lies in land reforms, generation of more employment opportunities and improvement in productivity of arable land already in use, for example, shifting the poor from poor resource-based to modern science-based agriculture.

This is what has been sought to be achieved through green revolution technology. However, the green revolution has also been criticised for environmental reasons, especially the use of fertilizers and pesticides that increase soil salinity. Besides, ample use of irrigation in green revolution technology without adequate drainage facilities results in soil degradation through salinity and water logging.

Adequate and appropriate steps should be taken to make the green revolution technology clean and environment-friendly. There can be no two opinions that major efforts must be made to overcome these defects through development of less poisonous chemicals, pest and insect control with reduced chemical application and improved drainage facilities. However, if the efforts to develop modern technology were abandoned because of these defects, employment and income-earning opportunities for marginal farmers and agricultural labourer would continue to be reduced under population pressure.

As a result, many would be forced to push cultivation frontiers into ecologically fragile lands resulting in increased incidence of food and soil erosion.