ABSTRACT
This article provides a plausible explanation for the seemingly counterintuitive observation that healthcare expenditure can be negatively correlated with environmental degradation, measured by CO2 emissions. A mathematical proof is presented to demonstrate that the relation between expenditure and degradation may be positive or negative, depending on the position of the underlying country or region on the environmental Kuznets curve. This proposition is confirmed by a diagrammatic exposition and a simulation exercise.
Acknowledgments
We are grateful to two anonymous referees for useful comments.
Disclosure statement
No potential conflict of interest was reported by the authors.