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An Empirical Multi-country Analysis of the Impact of Environmental Regulations on Foreign Trade Flows

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Author Info
van Beers, Cees
van den Bergh, Jeroen C J M

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Abstract

In this paper, it is argued that the inconclusiveness in previous empirical studies on the relationship between antipollution standards and foreign trade is due to inaccurate variables used to represent environmental regulations strictness. Two variables of environmental policy stringency are composed and evaluated against the polluter pays principle. In the framework of a trade flow equation, it is found that, with an environmental policy strictness variable closely connected to the polluter pays principle, the impact of stricter regulations on export and import flows is negative. This result implies the existence of government actions to impede imports. Copyright 1997 by WWZ and Helbing & Lichtenhahn Verlag AG

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Publisher Info
Article provided by Blackwell Publishing in its journal Kyklos.

Volume (Year): 50 (1997)
Issue (Month): 1 ()
Pages: 29-46
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Handle: RePEc:bla:kyklos:v:50:y:1997:i:1:p:29-46

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  1. Legge, Thomas & Scott, Susan, 2009. "Policy Options to Reduce Ireland's Greenhouse Gas Emissions," Research Series, Economic and Social Research Institute (ESRI), number RS9. [Downloadable!]
  2. Mark N. Harris & László Kónya & László Mátyás, 2000. "Modelling the Impact of Environmental Regulations on Bilateral Trade Flows: OECD 1990-96," Melbourne Institute Working Paper Series wp2000n11, Melbourne Institute of Applied Economic and Social Research, The University of Melbourne. [Downloadable!]
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  3. Quiroga, Miguel & Sterner, Thomas & Persson, Martin, 2007. "Have Countries with Lax Environmental Regulations a Comparative Advantage in Polluting Industries?," Discussion Papers dp-07-08, Resources For the Future. [Downloadable!]
  4. de Melo, Jaime & Grether, Jean-Marie, 2003. "Globalization and Dirty Industries: Do Pollution Havens Matter?," CEPR Discussion Papers 3932, C.E.P.R. Discussion Papers. [Downloadable!] (restricted)
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  5. Robert Hoffmann & Chew-Ging Lee & Bala Ramasamy & Matthew Yeung, 2005. "FDI and pollution: a granger causality test using panel data," Journal of International Development, John Wiley & Sons, Ltd., vol. 17(3), pages 311-317. [Downloadable!]
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  6. Qureshi, M.S., 2006. "Trade Liberalization, Environment and Poverty: A Developing Country Perspective," Working Papers RP2006/45, World Institute for Development Economic Research (UNU-WIDER). [Downloadable!]
  7. de Melo, Jaime & Grether, Jean-Marie & Mathys, Nicole Andréa, 2006. "Unravelling the World-Wide Pollution Haven Effect," CEPR Discussion Papers 5815, C.E.P.R. Discussion Papers. [Downloadable!] (restricted)
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  8. Abay Mulatu & Raymond J.G.M. Florax & Cees A.A.M. Withagen, 2001. "Environmental Regulation and Competitiveness," Tinbergen Institute Discussion Papers 01-039/3, Tinbergen Institute. [Downloadable!]
  9. Jeroen C.J.M. van den Bergh & Peter Nijkamp, 1998. "Advances in Environmental Economics: Analysis and Modelling," Tinbergen Institute Discussion Papers 98-094/3, Tinbergen Institute. [Downloadable!]
  10. Xinpeng Xu & Ligang Song, 2000. "Regional cooperation and the environment: Do “dirty” industries migrate?," Review of World Economics (Weltwirtschaftliches Archiv), Springer, vol. 136(1), pages 137-157, March. [Downloadable!] (restricted)
  11. Kirkpatrick, Colin & Shimamoto, Kenichi, 2005. "The Effect of Environmental Regulation on the Locational Choice of Japanese Foreign Direct Investment," Impact Assessment Research Centre (IARC) Working Papers 30584, University of Manchester, Institute for Development Policy and Management (IDPM). [Downloadable!]
  12. Xinpeng Xu, 2000. "International Trade and Environmental Regulation: Time Series Evidence and Cross Section Test," Environmental & Resource Economics, European Association of Environmental and Resource Economists, vol. 17(3), pages 233-257, November. [Downloadable!] (restricted)
  13. Pieter J.H. van Beukering & Jeroen C.J.M. van den Bergh & Marco A. Janssen & Harmen Verbruggen, 2000. "International Material-Product Chains: An Alternative Perspective on International Trade and Trade Theories," Tinbergen Institute Discussion Papers 00-034/3, Tinbergen Institute. [Downloadable!]
  14. Jeroen C.J.M. van den Bergh & D.B. van Veen-Groot, 1999. "Constructing Aggregate Environmental-Economic Indicators: A Comparison of 12 OECD Countries," Tinbergen Institute Discussion Papers 99-064/3, Tinbergen Institute. [Downloadable!]
  15. Savaþ Alpay, 1999. "What Do We Know About the Interactions Between Trade and the Environment? A Survey of the Literature," Departmental Working Papers 991, Bilkent University, Department of Economics. [Downloadable!]
  16. Henri L.F.M. de Groot & Erik T. Verhoef & Peter Nijkamp, 1999. "Energy Saving by Firms: Decision-Making, Barriers and Policies," Tinbergen Institute Discussion Papers 99-031/3, Tinbergen Institute. [Downloadable!]
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  17. Jenkins, Rhys, 1998. "Environmental Regulation and International Competitiveness: A Review of Literature and Some European Evidence," Discussion Papers 01, United Nations University, Institute for New Technologies. [Downloadable!]
  18. Yuquing Xing & Charles Kolstad, 2002. "Do Lax Environmental Regulations Attract Foreign Investment?," Environmental & Resource Economics, European Association of Environmental and Resource Economists, vol. 21(1), pages 1-22, January. [Downloadable!] (restricted)
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  19. Larson, Bruce, 2002. "European Union Environmental Policies And Imports Of Agricultural Products From The United States," 2002 Annual meeting, July 28-31, Long Beach, CA 19613, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association). [Downloadable!]
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