Environmental Pollution and Sustainable Development in Developing Countries

Abstract

Environmental Pollution is cost of economic growth via increased industrialisation, urbanisation, mechanisation, use of fertiliser and pesticides in agriculture and mismanagement to dump human waste, especially in developing countries, where environmental laws usually are relatively less strict. Hence growth and pollution are positively linked in developing countries expectedly. Sustainable development may be defined as continuous increase in the socio-economic standard of living of a country‘s population, normally accomplished by improving the quality of its physical and human capital. The research‘s foremost objective is the generation of environmental pollution index that incorporate various production and consumption side indicators that are majorly responsible for pollution. While, the at-most objective of the study is to examine the causal relationship between the generated pollution index and human development through a panelcausality analysis using a panel of 32developing countries over the period 2000-2013. JEL Classification:Q2, Q3, Q4, O13 Keywords:Pollution Indices, HDI, Renewable Energy, Panel Causality, Sustainable Development