Evaluation of the hypothesis "Environmental Kuznets Curve" in the groups of the selected countries: A panel data analysis

The relationship between environmental pollution and economic growth is very important. While there is an increase in environmental pollution in case of an increase in economic activities, the increase in environmental pollution negatively affects sustainable economic growth. In the economic literature, the relationship between these two factors is explained with the help of the Enviromental Kuznets Curve hypothesis. In the study, in order to test validity of the hypothesis "Environmental Kuznets Curve" in the groups of selected countries, the period 1990-2021 was examined. In the group of middle-income country, evaluated in the framework of Model-1, long term relationship was not met. As a result of analysis in high income country for Model-1, validity of the hypotheses "Environmental Kuznets Curve" was identified. As a result of the analysis made in the group of lower middle –income group for Model-2, it was identified that the hypotheses "Environmental Kuznets Curve" was not valid, however, when cubic form was examined, that Environmental Kuznets Curve was in the shape of reverse N. For Model -2, as a result of the analyses made for the upper middle country and high income country groups, validity of the hypotheses "Environmental Kuznets Curve" was identified.