The Relationship between Carbon Emission and Economic Activity in the United States

Abstract

The objective of this paper is to analyze the relationship between the carbon emission, GDP and its growth rate, energy consumption, and unemployment rate in case of the United States and moreover, we also aim to explore where US and the fifty states now lie on the Kuznets curve. By using the panel data to investigate five different districts from 2000 to 2015 and the US as a whole, the empirical results indicate a long-run equilibrium relationship between variables and the positions the United States and its different states now lie on the curve. These findings suggest that the United States should adopt other low-carbon supporting policies and technologies to real-ize the movement from the left side of the curve to the right side of it, with the major goal to abstain from negatively affecting economic development by decreasing vitality utilization.