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All Journal JURNAL ECONOMIA JIMF (JURNAL ILMIAH MANAJEMEN FORKAMMA) Jurnal Ilmiah Manajemen, Bisnis dan Kewirausahaan Journal of Management Analytical and Solution GEMBIRA (Pengabdian Kepada Masyarakat) Journal Of Management Analytical and Solution (JoMAS) JURNAL MANAJEMEN DAN BISNIS INDONESIA
Putri, Inda Meyllya
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Journal : JURNAL ECONOMIA

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Revisiting EKC hypothesis through Income Inequality and Environmental Degradation in ASEAN-5 Countries Agustin, Isnaini Nuzula; Putri, Inda Meyllya; Marheni, Dewi Khornida
Jurnal Economia Vol. 22 No. 1 (2026): February 2026
Publisher : Faculty of Economics and Business, Universitas Negeri Yogyakarta in collaboration with the Institute for

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.21831/economia.v22i1.82118

Abstract

This study examines the influence of GDP, corruption, financial development and Trade Openness on environmental degradation within the framework of the Environmental Kuznets Curve (EKC) hypothesis in ASEAN-5 emerging countries. Further, this study investigates the mediating role of income inequality. Utilizing panel data from 1990 to 2022 and the Autoregressive Distributed Lag (ARDL) approach, the findings found support the existence of a U-shaped EKC hypothesis, implying that while economic growth initially degrades environmental quality, it ultimately leads to improvements at higher income levels. The results noted that corruption exacerbates income inequality while trade openness and financial development affect income inequality in the long run. Additionally, the results posit the role of income inequality as a mediator. The results highlight the importance of implementing policies aimed at reducing corruption and income inequality to enhance environmental outcomes thus providing crucial insights for policymakers seeking to balance economic development with environmental sustainability.
Co-Authors agustin, isnaini nuzula Anantia, Rizqi Eviyani, Estin Rose Hutagalung, Rince Monica Kusumo, Pradino Lady Mahendra, Rizky Adi Marheni, Dewi Khornida Mey, Nabila Arinov Purwianty, Lily Putra, Edy Yulianto Shevia Sibagariang, Michael I B Anju Sibagariang, Michael Iken Bonar Anju