International Trade in Used Vehicles: The Environmental Consequences of NAFTA
AbstractSince trade restrictions were eliminated in 2005, Mexico has imported over 2.5 million used vehicles from the United States. Using a unique, vehicle-level dataset, we find that traded vehicles are dirtier than the stock of vehicles in the United States and cleaner than the stock in Mexico, so when a vehicle is traded from the United States to Mexico average vehicle emissions per mile tend to decrease in both countries. Overall, however, the evidence suggests that trade has increased total lifetime emissions, primarily because of low vehicle retirement rates in Mexico. (JEL F13, F14, L62, O13, O19, Q53, Q56)
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Bibliographic InfoArticle provided by American Economic Association in its journal American Economic Journal: Economic Policy.
Volume (Year): 2 (2010)
Issue (Month): 4 (November)
Other versions of this item:
- Davis, Lucas, 2009. "International Trade in Used Vehicles: The Environmental Consequences of NAFTA," Department of Economics, Working Paper Series qt98j8m3r6, Department of Economics, Institute for Business and Economic Research, UC Berkeley.
- F13 - International Economics - - Trade - - - Trade Policy; International Trade Organizations
- F14 - International Economics - - Trade - - - Empirical Studies of Trade
- L62 - Industrial Organization - - Industry Studies: Manufacturing - - - Automobiles; Other Transportation Equipment
- O13 - Economic Development, Technological Change, and Growth - - Economic Development - - - Agriculture; Natural Resources; Environment; Other Primary Products
- O19 - Economic Development, Technological Change, and Growth - - Economic Development - - - International Linkages to Development; Role of International Organizations
- Q53 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Air Pollution; Water Pollution; Noise; Hazardous Waste; Solid Waste; Recycling
- Q56 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environment and Development; Environment and Trade; Sustainability; Environmental Accounts and Accounting; Environmental Equity; Population Growth
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Blog mentionsAs found by EconAcademics.org, the blog aggregator for Economics research:
- Relive the 1970s? You Can See Your Old Car in Caracas
by Matthew E. Kahn in Environmental and Urban Economics on 2010-12-13 15:48:00
- Does Free Trade Reduce the Female/Male Wage Gap?
by Matthew Kahn in Environmental and Urban Economics on 2012-07-14 04:47:00
- GHG Emissions Growth in LDCs and the Introduction of the $3,000 Nissan
by Matthew E. Kahn in The Reality-Based Community on 2012-10-02 15:28:19
- Mexico as a Lead Pollution Haven
by Matthew E. Kahn in Legal Planet on 2013-02-09 16:05:09
- E-Waste and International Gains to Trade in Used Durables
by Matthew Kahn in Environmental and Urban Economics on 2013-03-19 14:35:00
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- Davis, Lucas W., 2011. "The Effects Of Preferential Vat Rates Near International Borders: Evidence From Mexico," National Tax Journal, National Tax Association, vol. 64(1), pages 85-104, March Cit.
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