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Export Bans, Environmental Protection, and Unemployment

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  • Dean, Judith M
  • Gangopadhyay, Shubhashis

Abstract

This study investigates the case for an export ban on intermediate goods which generate environmental damage. Since export restrictions on intermediates have long been advocated as a method of stimulating domestic industries in developing countries, we consider whether the case for an export ban is strengthened or weakened by the presence of unemployment in the industrial sector. We find that, in the short run, an export restriction worsens unemployment, thus weakening the case for a ban. In the long run, however, the results are reversed. If the environmental problem is severe, unemployment has a negligible impact on the case for an export ban. Copyright 1997 by Blackwell Publishing Ltd

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Bibliographic Info

Article provided by Wiley Blackwell in its journal Review of Development Economics.

Volume (Year): 1 (1997)
Issue (Month): 3 (October)
Pages: 324-36

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Handle: RePEc:bla:rdevec:v:1:y:1997:i:3:p:324-36

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Web page: http://www.blackwellpublishing.com/journal.asp?ref=1363-6669

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Cited by:
  1. Gilbert, John & Wahl, Thomas, 2001. "Export restrictions, urban unemployment, and the location of processing activities," Economics Letters, Elsevier, vol. 71(1), pages 105-110, April.
  2. Yusuf, Arief Anshory, 2007. "Who Pay for the Cleaner Air? Distributional Impact of Environmental Policy in a Dualistic Economy," MPRA Paper 1735, University Library of Munich, Germany.
  3. Pierre-Louis Vezina, 2014. "Illegal Trade in Natural Resources: Evidence from missing exports," OxCarre Working Papers 139, Oxford Centre for the Analysis of Resource Rich Economies, University of Oxford.

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