Carbon dioxide emissions and economic growth: A structural approach

This paper uses data for 44 countries from 1970-1990, to investigate the relationship between economic growth and carbon dioxide emissions. Empirical results are obtained from a structural model from the empirical growth literature modified to include environmental 'bads'. Results suggest that richer countries exhibit technical progress in a way that economizes on carbon dioxide emissions bur that poorer countries do not. Furthermore, there is no indication that the growth process is leading poorer countries to move towards the adoption of the same pollution-ammeliorating technology as characterizes richer countries.