ECON 262

In Class Exercise Eighteen – The Environment and Economic Growth

1.  Is the optimal amount of pollution zero?  Why or why not -  (how would an economist answer)?

2.  Draw an environmental Kuznets Curve.

3.  What are the theories behind the environmental Kuznets Curve?

4.  Criticize the environmental Kuznets Curve. 

5.  Criticize the critics.

6.  Is there some evidence to support the theory?  Explain.

7.  What questions do you still have about this material?