Poverty, Environmental Degradation, and Livability: Evaluating Iranian Provinces Using Principal Component Analysis
Subject Areas : Bi-quarterly Journal of development economics and planningNazi Mohammadzadeh Asl 1 , سهیل حاتمی نیا 2
1 - Assistant professor, Department of Economics, Faculty of Accounting and Economics, Islamic Azad University, Central Tehran Branch, Tehran, Iran
2 - M.A. Student in Economics – Economic Development and Planning, Department of Economics, Faculty of Literature and Humanities, Islamic Azad University, Kermanshah Branch, Kermanshah, Iran
Keywords: Welfare, Poverty, Inequality, Environment, Livability,
Abstract :
The relationship between poverty and the environment has multiple dimensions. On the one hand, poverty can lead to the destructive exploitation of the environment. On the other hand, achieving sustainable development and poverty reduction requires a healthy environment. This complex interaction highlights the concept of the livability index. Livability is based on the principle that improvements in quality of life, social well-being, and the ecosystem have a reciprocal effect on the level of societal welfare. Considering the geographical extent and economic diversity of Iran, this study focuses its analysis on provincial data and poverty monitoring information from the year 1400. The primary objective is to investigate the relationship between poverty and environmental degradation and to rank provinces based on an environmental degradation index. To achieve this objective, a composite index was created using Principal Component Analysis (PCA), and then the interactive dynamics between poverty and environmental degradation were analyzed. The findings indicate that economically wealthier provinces significantly experience higher levels of environmental degradation. This suggests that achieving a certain level of economic prosperity has been accompanied by regional environmental degradation and a reduction in livability indices in urban environments. Furthermore, mismanagement of water resources and desertification have been identified as key factors in increasing poverty and reducing the level of livability in Iranian provinces.
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