Studying the Effects of Economic Activities on the World's Environmental System

Abstract

Traditional economy aims at maximizing Gross Domestic Product to achieve economic and social welfare in the absence of environmental quality concerns. Although, this aim achieved quality transformation in the economic and social life of the world, but it was not free negative consequences on the environmental system. The theoretical side of the study summarized it through analyzing the relation of Gross Domestic Product with the environment, and concluded that openness policy, rise of the mean of per capita income, and the decreasing the consumption of exhaustive energy have a positive effect on environment. To make sure, that this relationship is causative, the empirical side is summarized through adopting empirical models to measure the current and future relationship, and the extent of its response to environments variables on this basis some variables that interpret the economic and social variables were selected, these variables are Gross Domestic Product, the population, depleted energy consumption, and economic openness policy, to indicate the significance of the extent of its response to the chosen variables expressing the environmental system as they are a responsive variables, which include, carbon dioxide, chlorofluorcarbon, methane, nitrous, other gases, forests areas, forests, energy, and minerals depletion. There have impact on green houses gases phenomena, ozone decomposition, air pollution, soil pollution and water pollution. The analysis indicated that there is a relationship among economical activities and the environmental system variables. It was conclude that the modified environmental national income has to been considered and the decreasing pollution through awareness of the danger of this increment and inarching research on renewable energies, openness economic policy provided by regulation legislations, and agreements to protect the environmental world system.