Income Distribution, Human Capital and Environmental Quality: Empirical Study in China

Abstract

AbstractThis paper has structured the simultaneous equations including the environmental quality determined equation and the income distribution determined equation, which are then applied Chinese provincial panel data to from 1996 to 2008. From the econometrical result, it is concluded that there is a significantly negative relationship between environmental quality and the imbalance of income distribution in China at the present; the improvement of human capital can reduce the detrimental effects from the differences in income distribution and better the environmental quality in China