Question

Assess Raeworth’s analysis of the Kuznets Curve and its social implications for resource production.

Answer 1

The kuznets curve is a graph which denotes that as an economy develops, the economic inequality first rises and then declines. This kuznets curve was first proposed by Simon kuznets in the year of 1950s and1960s.

The environmental kuznets curve(EKC) denotes that when the natiin beacme richer in all aspects, then the environmental conditions in the nation became worse. But the environmental quality of the nation betters when the nation had attained a better economic development. The supporters of this hypothesis strongly believe that the nation had to reach a better level of income nefore they can maintain resources for the environmental protection. But this is not the case in poor nations. They have much livelihood problems and income problems, so they will not maintain the environmental protection.

In some areas, we cannot observe the EKC, it is because due to the effect of stock, the environmental indicators tends to diminish slowly. The worldwide degradation of biodiversity is the best example of the above statement. In those cases, it mostly depends the kind of environment indicators that had been selected.

In EKC, it is possible to tunnel through it. That is it is able to withstand huge capital levels and thus protect the environment.

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