Analysing the nexus of environmental performance and human well-being: an empirical study of selected emerging economies

Abstract

Certain economists today contend that externalities and public goods are the leading causes of market failure, holding a significant level of relevance for green and environmental economics. These externalities can be categorised based on the impacts delivered to following channels or on the sectors responsible for causing that type of environmental effects. To understand the environmental impact in the era of development, the present study aims to investigate the empirical linkages among economic growth, human development, and environmental performance for the selected emerging nations over the period 2008-2016. The authors have employed dynamic panel modelling. To have a holistic overview, other macroeconomic and capital flow have been considered. The findings suggest the strong positive influence of economic growth variables on environmental performance, especially in selected emerging economies along with a contentious relationship between financial openness and environmental adversity. The results recommend crucial policy implications in the context of climate change.