The effects of environmental policies on private investment in Central Africa: A panel analysis
Sorel Ariane Tchatchouang  1@  
1 : University of Yaoundé II - Soa  (UYII)  -  Website

Debates on relationship between economic growth and the environment quality remain controversial. Investments which represent an important GDP component and, indeed, of growth rate are tributary of lot of environmental constraints. Environmental policies are a potential risk for the growth of investments level and per capita income level in developing countries such as Central Africa countries. In fact, pollution abatement reduces the output growth rate and that of capital accumulation of a same value. What impedes the realization of an Environmental Kuznets Curve. Data evidences on Central Africa countries confirm theory analysis which stipulates that environmental policies hinder capital accumulation. An inverted “N” relationship is in fact observed between private investments and environmental policies in those countries. This relationship reflects the fact that the environment is deteriorating as economic growth rate increases. However, after reaching a growth level able to give high per capita income, the environmental quality improves.

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