The Mutual Relationship Between Regional Income and Deforestation: A Study on Turkey

2018-6-28
Elburz, Zeynep
Çubukçu, K. Mert
Nijkamp, Peter
This paper addresses the bilateral relationship between growth and environment. It aims to show how regional economic growth causes environmental deterioration, while the environmental resources function in turn as a supply factor for economic development. A simultaneousequations model is developed and applied to test this two-way relationship statistically, where economic growth is measured by regional income, and environmental deterioration by deforestation. Using data from 26 NUTS 2 regions in Turkey between the years 2004 and 2014, the results of the twostage least squares (2SLS) regression analysis reveal strong evidence on the presence of a mutual relationship between deforestation and regional income, while lagged deforestation is a statistically significant positive determinant of income growth, and vice versa.

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Citation Formats
Z. Elburz, K. M. Çubukçu, and P. Nijkamp, “The Mutual Relationship Between Regional Income and Deforestation: A Study on Turkey,” ODTÜ Mimarlık Fakültesi Dergisi, vol. 35, no. 2, pp. 77–87, 2018, Accessed: 00, 2020. [Online]. Available: http://jfa.arch.metu.edu.tr/archive/0258-5316/articles/metujfa2018204.pdf.