Green technical innovation, environmental expenditure, and the environmental Kuznets curve:a dynamics model

The relationship between the emission of pollutant and economic growth has attracted a lot of attention in the environmental debate of the recent decades. Based on some theoretical and empirical research on environmental Kuznets curve (EKC), this paper introduces the environmental technical innovation and environmental investment into Solow growth model to discuss the relationship between GDP per capital and the emission of pollutant. By the dynamic simulation and parameters analysis, the results of the model indicate: (1) when "green" technical progress and environmental investment are fixed, the relationship between GDP per capital and the emission shows the linear relationship; (2) "green" technical progress can lead to the positive growth rates with a decreasing level of emis-sion, which is compatible with an EKC; (3) the proportion of the environmental investment can lead the different growth rates and level of emission. These results can explain that developing countries are "too poor to be green" .

The relationship between the emission of pollutant and economic growth has attracted a lot of attention in the environmental debate of the recent decades. Based on some theoretical and empirical research on environmental Kuznets curve （EKC）, this paper introduces the environmental technical innovation and environmental investment into Salow growth model to discuss the relationship between GDP per capital and the emission of pollutant By the dynamic simulation and parameters analysis, the results of the model indicate： （1） when ＂green＂ technical progress and environmental investment are fixed, the relationship between GDP per capital and the emission shows the linear relationship; （2） ＂green＂ technical progress can lead to the positive growth rates with a decreasing level of emission, which is compatible with an EKC; （3） the proportion of the environmental investment can lead the different growth rates and level of emission. These results can explain that developing countries are ＂too poor to be green＂.