The Effect of Economic Growth on Environmental Quality: Using Meta-Analysis Method

The Kuznets Environmental Curve (EKC) hypothesis shows that there is an inverse relationship between environmental pollution and per capita income. This study examines the impact of economic growth on environmental quality using meta-analysis in Iran and a number of selected countries. We have chosen and examined 13 research works with 84 regression models. The related data are analyzed using STATA and CMA softwares. The results show that the effect of economic growth on environmental quality is approximately 0.22, hence confirming the EKC hypothesis. In other words, by achieving higher levels of economic growth the quality of the environment would improve. The effect size of energy consumption and urbanization is 1.4 and 0.34, respectively. This result, according to Kuhn's interpretation, indicates the effect size at the upper and lower levels, respectively. Population, literacy rate, degree of trade openness and fixed foreign investment are also other variables affecting the quality of the environment.