ECS2606 Assignment 2
(COMPLETE ANSWERS)
Semester 1 2025 (157760) -
DUE 22 April 2025
FOR ASSISTANCE CONTACT:
,ECS2606 Assignment 2 (COMPLETE
ANSWERS) Semester 1 2025 (157760) - DUE
22 April 2025
1. Analyse the static perspectives of the
relationship between the economic growth and the
environment in developing countries. Use a graph
to illustrate your answer. [10] ECS2605
Static Perspectives on the Relationship Between Economic Growth and the
Environment in Developing Countries
The static perspective on the relationship between economic growth and the
environment in developing countries focuses on the short-term trade-offs and
immediate effects of economic activities on environmental quality. Unlike
dynamic perspectives that consider long-term sustainability, the static view
emphasizes how current economic expansion impacts the environment at a given
point in time.
Key Aspects of the Static Perspective:
1. Environmental Degradation as a Byproduct of Growth:
o In developing countries, economic growth is often driven by
industries such as mining, manufacturing, and agriculture, which lead
to deforestation, pollution, and resource depletion.
o The immediate effect of increased industrial activity is higher
emissions, water contamination, and habitat destruction.
2. Trade-Off Between Growth and Environmental Quality:
o Policymakers in developing nations often prioritize economic
development over environmental protection to reduce poverty and
increase employment.
o Environmental regulations may be weak due to the need to attract
foreign investment.
3. Limited Technological and Institutional Capacity:
o Developing countries may lack the technology or financial resources
to implement clean energy solutions and enforce environmental laws.
o This results in a continued reliance on fossil fuels and inefficient
resource use.
, 4. Short-Term Gains vs. Long-Term Costs:
o While economic growth initially leads to higher incomes and
improved living standards, the environmental costs (such as air
pollution and soil erosion) can reduce productivity in the long run.
o Poor environmental conditions can lead to health issues and lower
labor productivity, offsetting economic gains.
Graphical Representation: Environmental Kuznets Curve (EKC)
The Environmental Kuznets Curve (EKC) illustrates the relationship between
economic growth and environmental degradation.
X-axis: Per capita income (economic growth)
Y-axis: Environmental degradation
🔵 Stages of the EKC:
1. Early Stage (Low Income):
o High environmental degradation due to reliance on extractive
industries and lack of regulations.
2. Middle Stage (Industrialization):
o Degradation continues to rise as industrial output increases and
urbanization accelerates.
3. Later Stage (Higher Income):
o As income levels rise, societies demand cleaner environments, leading
to better policies and green technologies, which reduce environmental
harm.
Below is a conceptual graph illustrating this relationship:
📈 Graph (Environmental Kuznets Curve)
pgsql
CopyEdit
Environmental Degradation
|
| *
| * *
| * *
| * *
| * * * * * * * * * * * * * (Turning Point)
(COMPLETE ANSWERS)
Semester 1 2025 (157760) -
DUE 22 April 2025
FOR ASSISTANCE CONTACT:
,ECS2606 Assignment 2 (COMPLETE
ANSWERS) Semester 1 2025 (157760) - DUE
22 April 2025
1. Analyse the static perspectives of the
relationship between the economic growth and the
environment in developing countries. Use a graph
to illustrate your answer. [10] ECS2605
Static Perspectives on the Relationship Between Economic Growth and the
Environment in Developing Countries
The static perspective on the relationship between economic growth and the
environment in developing countries focuses on the short-term trade-offs and
immediate effects of economic activities on environmental quality. Unlike
dynamic perspectives that consider long-term sustainability, the static view
emphasizes how current economic expansion impacts the environment at a given
point in time.
Key Aspects of the Static Perspective:
1. Environmental Degradation as a Byproduct of Growth:
o In developing countries, economic growth is often driven by
industries such as mining, manufacturing, and agriculture, which lead
to deforestation, pollution, and resource depletion.
o The immediate effect of increased industrial activity is higher
emissions, water contamination, and habitat destruction.
2. Trade-Off Between Growth and Environmental Quality:
o Policymakers in developing nations often prioritize economic
development over environmental protection to reduce poverty and
increase employment.
o Environmental regulations may be weak due to the need to attract
foreign investment.
3. Limited Technological and Institutional Capacity:
o Developing countries may lack the technology or financial resources
to implement clean energy solutions and enforce environmental laws.
o This results in a continued reliance on fossil fuels and inefficient
resource use.
, 4. Short-Term Gains vs. Long-Term Costs:
o While economic growth initially leads to higher incomes and
improved living standards, the environmental costs (such as air
pollution and soil erosion) can reduce productivity in the long run.
o Poor environmental conditions can lead to health issues and lower
labor productivity, offsetting economic gains.
Graphical Representation: Environmental Kuznets Curve (EKC)
The Environmental Kuznets Curve (EKC) illustrates the relationship between
economic growth and environmental degradation.
X-axis: Per capita income (economic growth)
Y-axis: Environmental degradation
🔵 Stages of the EKC:
1. Early Stage (Low Income):
o High environmental degradation due to reliance on extractive
industries and lack of regulations.
2. Middle Stage (Industrialization):
o Degradation continues to rise as industrial output increases and
urbanization accelerates.
3. Later Stage (Higher Income):
o As income levels rise, societies demand cleaner environments, leading
to better policies and green technologies, which reduce environmental
harm.
Below is a conceptual graph illustrating this relationship:
📈 Graph (Environmental Kuznets Curve)
pgsql
CopyEdit
Environmental Degradation
|
| *
| * *
| * *
| * *
| * * * * * * * * * * * * * (Turning Point)
