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Unbundling the Pollution Haven Hypothesis

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Author Info
M. Taylor (University of Calgary)

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Abstract

The "Pollution Haven Hypothesis" (PHH) is one of the most hotly debated predictions in all of international economics. This paper explains the theory behind the PHH by dividing the hypothesis into a series of logical steps linking assumptions on exogenous country characteristics to predictions on trade flows and pollution levels. I then discuss recent theoretical and empirical contributions investigating the PHH to show how each contribution either questions the logical inevitability, or the empirical significance of one or more steps in the pollution haven chain of logic. Suggestions for future research are also provided.

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File URL: http://www.bepress.com/cgi/viewcontent.cgi?article=1408&context=bejeap
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Publisher Info
Article provided by Berkeley Electronic Press in its journal Advances in Economic Analysis & Policy.

Volume (Year): 4 (2005)
Issue (Month): 2 ()
Pages: 1408-1408
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Handle: RePEc:bep:eapadv:v:4:y:2005:i:2:p:1408-1408

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Related research
Keywords: trade pollution haven hypothesis environment

Find related papers by JEL classification:
Q0 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - General

References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:

  1. Brian R. Copeland & M. Scott Taylor, 2004. "Trade, Growth, and the Environment," Journal of Economic Literature, American Economic Association, vol. 42(1), pages 7-71, March. [Downloadable!] (restricted)
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  2. Per Fredriksson & Muthukumara Mani, 2004. "Trade Integration and Political Turbulence: Environmental Policy Consequences," Advances in Economic Analysis & Policy, Berkeley Electronic Press, vol. 4(2), pages 1215-1215. [Downloadable!] (restricted)
  3. Chris Elbers & Cees Withagen, 2004. "Environmental Policy, Population Dynamics and Agglomeration," Contributions to Economic Analysis & Policy, Berkeley Electronic Press, vol. 3(2), pages 1286-1286. [Downloadable!] (restricted)
  4. John List & Daniel Millimet & Warren McHone, 2004. "The Unintended Disincentive in the Clean Air Act," Advances in Economic Analysis & Policy, Berkeley Electronic Press, vol. 4(2), pages 1204-1204. [Downloadable!] (restricted)
  5. Copeland, Brian R. & Taylor, M. Scott, 2005. "Free trade and global warming: a trade theory view of the Kyoto protocol," Journal of Environmental Economics and Management, Elsevier, vol. 49(2), pages 205-234, March. [Downloadable!] (restricted)
    Other versions:
  6. Rauscher, Michael, 1991. "National environmental policies and the effects of economic integration," European Journal of Political Economy, Elsevier, vol. 7(3), pages 313-329, October. [Downloadable!] (restricted)
  7. Gallegos, Alberto & Régibeau, Pierre, 2004. "Managed Trade, Trade Liberalization and Local Pollution," CEPR Discussion Papers 4491, C.E.P.R. Discussion Papers. [Downloadable!] (restricted)
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  8. Arik Levinson & M. Scott Taylor, 2008. "Unmasking The Pollution Haven Effect," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 49(1), pages 223-254, 02. [Downloadable!] (restricted)
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  9. Beata K. Smarzynska & Shang-Jin Wei, 2001. "Pollution Havens and Foreign Direct Investment: Dirty Secret or Popular Myth?," NBER Working Papers 8465, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
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  10. Josh Ederington & Arik Levinson & Jenny Minier, 2004. "Trade Liberalization and Pollution Havens," NBER Working Papers 10585, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
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  11. Patrik Hultberg & Edward Barbier, 2004. "Cross-Country Policy Harmonization with Rent-Seeking," Contributions to Economic Analysis & Policy, Berkeley Electronic Press, vol. 3(2), pages 1293-1293. [Downloadable!] (restricted)
  12. Dean, Judith M., 1992. "Trade and the environment : a survey of the literature," Policy Research Working Paper Series 966, The World Bank. [Downloadable!]
  13. Randy Becker, 2004. "Pollution Abatement Expenditure by U.S. Manufacturing Plants: Do Community Characteristics Matter?," Contributions to Economic Analysis & Policy, Berkeley Electronic Press, vol. 3(2), pages 1231-1231. [Downloadable!] (restricted)
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  14. Copeland, Brian R & Taylor, M Scott, 1995. "Trade and Transboundary Pollution," American Economic Review, American Economic Association, vol. 85(4), pages 716-37, September. [Downloadable!] (restricted)
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  15. Xiaodong Wu, 2004. "Pollution Havens and the Regulation of Multinationals with Asymmetric Information," Contributions to Economic Analysis & Policy, Berkeley Electronic Press, vol. 3(2), pages 1265-1265. [Downloadable!] (restricted)
  16. Hilary Sigman, 2004. "Does Trade Promote Environmental Coordination?: Pollution in International Rivers," Contributions to Economic Analysis & Policy, Berkeley Electronic Press, vol. 3(2), pages 1251-1251. [Downloadable!] (restricted)
  17. Werner Antweiler & Brian R. Copeland & M. Scott Taylor, 2001. "Is Free Trade Good for the Environment?," American Economic Review, American Economic Association, vol. 91(4), pages 877-908, September. [Downloadable!] (restricted)
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  18. Grossman, Gene M & Krueger, Alan B, 1995. "Economic Growth and the Environment," The Quarterly Journal of Economics, MIT Press, vol. 110(2), pages 353-77, May. [Downloadable!] (restricted)
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  19. Carol McAusland, 2004. "Environmental Regulation as Export Promotion: Product Standards for Dirty Intermediate Goods," Contributions to Economic Analysis & Policy, Berkeley Electronic Press, vol. 3(2), pages 1367-1367. [Downloadable!] (restricted)
  20. Randy Becker & Vernon Henderson, 2000. "Effects of Air Quality Regulations on Polluting Industries," Journal of Political Economy, University of Chicago Press, vol. 108(2), pages 379-421, April. [Downloadable!] (restricted)
Full references

Cited by:
(explanations, Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.)

  1. David I. Stern, 2005. "The Effect of NAFTA on Energy and Environmental Efficiency in Mexico," Rensselaer Working Papers in Economics 0511, Rensselaer Polytechnic Institute, Department of Economics. [Downloadable!]
  2. Monica Das & Sandwip Das, 2007. "Can Stricter Environmental Regulations Increase Export of the Polluting Good?," Topics in Economic Analysis & Policy, Berkeley Electronic Press, vol. 7(1), pages 1717-1717. [Downloadable!] (restricted)
  3. Chintrakarn, Pandej & Millimet, Daniel, 2006. "Subnational Trade Flows and State-Level Energy Intensity," Departmental Working Papers 0601, Southern Methodist University, Department of Economics. [Downloadable!]
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