Empirical Economics
https://doi.org/10.1007/s00181-018-1494-8
Economic development and environmental sustainability:
evidence from Asia
Thai-Ha Le
1
· Youngho Chang
2,3
· Donghyun Park
4
Received: 16 May 2017 / Accepted: 17 May 2018
© Springer-Verlag GmbH Germany, part of Springer Nature 2018
Abstract
We examine the relationship between economic development and environmental sus-
tainability in Asia with a panel data of 34 Asian countries in 2000–2012. Along with
the full sample of countries, we also examine three subsamples based on income level.
We use six indicators of environmental sustainability—pesticide regulation, air pollu-
tion (PM2.5), PM2.5 exceedance, terrestrial protected areas (national biome weights),
terrestrial protected areas (global biome weights), and child mortality. Our results
indicate that Asian countries as a whole have managed well in pesticide regulation
and child mortality, but poorly in air quality, as measured by PM2.5 exceedance. Apart
from the poor management in air quality, we do not find any evidence of sustainabil-
ity in protected areas. However, for the subsample of high-income countries, we find
similar results to those of the entire sample but confirm evidence of sustainability in
biodiversity and habitat. For the subsample of upper-middle-income countries, we find
evidence of sustainability in pesticide regulation and child mortality, but air quality
management has been poor and there is no evidence of sustainability in biodiversity
and habitat. The subsample of low- and lower-middle-income countries, where air
quality is at risk, appears to have achieved sustainability only in pesticide regulation.
Keywords Environmental sustainability · Economic development · Asia · GDP · Panel
data analysis
JEL Classification Q56
1 Introduction
The negative correlation between economic development and environmental sustain-
ability is more evident in Asia than other parts of the world (Iwami 2001; Hall 2002;
Salze-Lozach et al 2015). Asia is the world’s largest continent, covering about 30% of
all land. Asia is also the most populous continent, home to 60% of global population.
Extended author information available on the last page of the article
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