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Economic Growth and Environment: An Empirical Analysis Applied to Morocco, Algeria, Tunisia, and Egypt

  • Aïcha EL Alaoui
  • Hassane Nekrache
Chapter

Abstract

The main objective for many developing countries in the coming years is to improve the economic growth, which is perceived as necessary to meet the increasing demand of their populations, to improve their well-being, and to help manage existing environmental challenges. This work attempts to investigate the links between economic growth and environment in four countries from the MENA region (Morocco, Algeria, Tunisia, and Egypt, hereafter ‘MATE’). To do so, two steps are followed: in the first one, a basic Environmental Kuznets Curve (EKC) equation for each country over the period 1970–2010 is tested to measure the effect of economic growth on environmental quality, and to determine the possibility of the existence of an EKC; in the second one, a few variables are introduced in the basic EKC equation (model tested in the first step) such as economic openness indicator and enrollment and urbanization rates. The purpose is to measure the possible influence of these variables (including economic growth) on environmental quality, and also to determine the possibility of the existence of an EKC. The results of both models show that the linkages between economic growth and environment are still uncertain, complex and ambiguous. It is not possible to find a unique form of this linkage and each variable introduced in the model can give some explanation where the application of EKC is unclear and uncertain. Therefore, these countries through policymaking, and the involvement of private actors (such as corporations and NGOs), must apply preventive and precautionary measures to reduce environmental damage. These measures must be adapted to specific economic and environmental conditions benefiting from the experiences and good practices developed in other regions and avoiding others’ past mistakes related to pollution, regional development, and natural resource management.

Keywords

Growth Environmental degradation EKC OLS CO2 emissions 

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Copyright information

© Springer International Publishing AG, part of Springer Nature 2019

Authors and Affiliations

  • Aïcha EL Alaoui
    • 1
  • Hassane Nekrache
    • 2
  1. 1.Sultan My Slimane University, Chief of Research group of “the social economy and social justice”Beni MellalMorocco
  2. 2.Statistician and Demographer EngineerThe High Commission for PlanningRabatMorocco

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