IDEAS home Printed from https://ideas.repec.org/a/kap/openec/v9y1998i4p327-342.html
   My bibliography  Save this article

Environmental Protection by One or Both Trading Partners in a Heckscher-Ohlin-Samuelson Model

Author

Listed:
  • Robert Kohn

Abstract

In this Heckscher-Ohlin-Samuelson model, production of a pollutive good damages production of another good within the same country. Unilateral and bilateral shifts from laissez faire to Pigouvian policy are numerically simulated for cases of low emissions and a high volume of trade, high emissions and a high volume of trade, and finally, high emissions and a low volume of trade. A country can be worse off when it becomes Pigouvian and it can be worse off when its trading partner becomes Pigouvian. Nevertheless, a simple game theory version of the model suggests a “race to the top”, in which all countries become Pigouvian. Copyright Kluwer Academic Publishers 1998

Suggested Citation

  • Robert Kohn, 1998. "Environmental Protection by One or Both Trading Partners in a Heckscher-Ohlin-Samuelson Model," Open Economies Review, Springer, vol. 9(4), pages 327-342, October.
    • Handle: RePEc:kap:openec:v:9:y:1998:i:4:p:327-342
    DOI: 10.1023/A:1008313414694
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1023/A:1008313414694
    Download Restriction: Access to full text is restricted to subscribers.
    File URL: https://libkey.io/10.1023/A:1008313414694?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Dean, Judith M., 1992. "Trade and the environment : a survey of the literature," Policy Research Working Paper Series 966, The World Bank.
    2. Chichilnisky, Graciela, 1994. "North-South Trade and the Global Environment," American Economic Review, American Economic Association, vol. 84(4), pages 851-874, September.
    3. Chambers, Paul E. & Jensen, Richard A., 2002. "Transboundary Air Pollution, Environmental Aid, and Political Uncertainty," Journal of Environmental Economics and Management, Elsevier, vol. 43(1), pages 93-112, January.
    4. Brian R. Copeland & M. Scott Taylor, 1994. "North-South Trade and the Environment," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 109(3), pages 755-787.
    5. Batabyal, Amitrajeet A., 1994. "An open economy model of the effects of unilateral environmental policy by a large developing country," Ecological Economics, Elsevier, vol. 10(3), pages 221-232, August.
    6. Chen, Zhiqi, 1997. "Negotiating an Agreement on Global Warming: A Theoretical Analysis," Journal of Environmental Economics and Management, Elsevier, vol. 32(2), pages 170-188, February.
    7. Horst Siebert, 1977. "Environmental Quality And The Gains From Trade," Kyklos, Wiley Blackwell, vol. 30(4), pages 657-673, November.
    8. Baumol, William J, 1972. "On Taxation and the Control of Externalities," American Economic Review, American Economic Association, vol. 62(3), pages 307-322, June.
    9. Robert E. Kohn, 1991. "Global Pollution: A Heckscher-Ohlin-Samuelson Model of Pigouvian Taxation," Eastern Economic Journal, Eastern Economic Association, vol. 17(3), pages 337-343, Jul-Sep.
    10. Robert E. Kohn, 1998. "Pollution and the Firm," Books, Edward Elgar Publishing, number 1313.
    11. James, Estelle, 1974. "Optimal pollution control and trade in collective goods," Journal of Public Economics, Elsevier, vol. 3(3), pages 203-216, August.
    12. Krutilla, Kerry, 1991. "Environmental regulation in an open economy," Journal of Environmental Economics and Management, Elsevier, vol. 20(2), pages 127-142, March.
    13. Conrad Klaus, 1993. "Taxes and Subsidies for Pollution-Intensive Industries as Trade Policy," Journal of Environmental Economics and Management, Elsevier, vol. 25(2), pages 121-135, September.
    14. James A. Tobey, 1990. "The Effects of Domestic Environmental Policies on Patterns of World Trade: An Empirical Test," Kyklos, Wiley Blackwell, vol. 43(2), pages 191-209, May.
    15. Siebert, Horst, 1977. "Environmental Quality and the Gains from Trade," Kyklos, Wiley Blackwell, vol. 30(4), pages 657-673.
    16. Leger, Lawrence A, 1995. "Environmental Degradation as an Incentive for Trade," Review of International Economics, Wiley Blackwell, vol. 3(3), pages 307-318, October.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Kohn, Robert E., 2003. "Environmental standards as barriers to trade," Socio-Economic Planning Sciences, Elsevier, vol. 37(3), pages 203-214, September.
    2. Kohn, Robert E., 2001. "Unilateral transfer of abatement capital," Resource and Energy Economics, Elsevier, vol. 23(2), pages 85-95, April.
    3. Kohn, Robert E., 2000. "The effect of environmental taxes on the volume of international trade," Ecological Economics, Elsevier, vol. 34(1), pages 77-87, July.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Haixiao Huang, Walter C. Labys, 2002. "Environment and trade: a review of issues and methods," International Journal of Global Environmental Issues, Inderscience Enterprises Ltd, vol. 2(1/2), pages 100-160.
    2. Anriquez, Gustavo, 2002. "Trade And The Environment: An Economic Literature Survey," Working Papers 28598, University of Maryland, Department of Agricultural and Resource Economics.
    3. Xing, Yuqing & Kolstad, Charles, 1996. "Environment and Trade: A Review of Theory and Issues," MPRA Paper 27694, University Library of Munich, Germany.
    4. Rauscher, Michael, 2001. "International trade, foreign investment, and the environment," Thuenen-Series of Applied Economic Theory 29, University of Rostock, Institute of Economics.
    5. Zaman, Rubaiya, 2012. "CO2 Emissions, Trade Openness and GDP Percapita : Bangladesh Perspective," MPRA Paper 48515, University Library of Munich, Germany.
    6. Quiroga, Miguel & Sterner, Thomas & Persson, Martin, 2007. "Have Countries with Lax Environmental Regulations a Comparative Advantage in Polluting Industries?," RFF Working Paper Series dp-07-08, Resources for the Future.
    7. 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.
    8. Carol Lehr & John Maxwell, 2000. "Comparative Advantage, Trade, and Transboundary Pollution," Open Economies Review, Springer, vol. 11(3), pages 205-227, July.
    9. Pham Thai Hung & Bui Anh Tuan & Nguyen The Chinh, 2016. "The Impact of Trade Liberalization on Industrial Pollution: Empirical Evidence from Vietnam," EEPSEA Research Report rr2016042, Economy and Environment Program for Southeast Asia (EEPSEA), revised Apr 2016.
    10. Larson, Bruce A., 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).
    11. Sturm, Daniel & Ulph, Alistair, 2002. "Environment, trade, political economy and imperfect information: a survey," Discussion Paper Series In Economics And Econometrics 0204, Economics Division, School of Social Sciences, University of Southampton.
    12. Rock, Michael T., 1996. "Pollution intensity of GDP and trade policy: Can the World Bank be wrong?," World Development, Elsevier, vol. 24(3), pages 471-479, March.
    13. Kohn, Robert E., 1995. "Exporting toxic waste," Socio-Economic Planning Sciences, Elsevier, vol. 29(3), pages 187-195, September.
    14. Adam B. Jaffe et al., 1995. "Environmental Regulation and the Competitiveness of U.S. Manufacturing: What Does the Evidence Tell Us?," Journal of Economic Literature, American Economic Association, vol. 33(1), pages 132-163, March.
    15. Álvaro Quijandría, 1993. "El comercio internacional y el medio ambiente," Apuntes. Revista de ciencias sociales, Fondo Editorial, Universidad del Pacífico, vol. 20(33), pages 49-59.
    16. Gulati, Sumeet, 2003. "The Effect Of Free Trade On Pollution Policy And Welfare," Working Papers 15849, University of British Columbia, Food and Resource Economics.
    17. Soete, Luc & Ziesemer, Thomas, 1997. "Gains from trade and environmental policy under imperfect competition and pollution from transport," Research Memorandum 003, Maastricht University, Maastricht Economic Research Institute on Innovation and Technology (MERIT).
    18. Xinpeng Xu & Ligang Song, 2000. "Regional cooperation and the environment: Do “dirty” industries migrate?," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 136(1), pages 137-157, March.
    19. Aleksandra Falkowska, 2020. "The impact of environmental policy on location patterns in the waste management industry," Economia Politica: Journal of Analytical and Institutional Economics, Springer;Fondazione Edison, vol. 37(1), pages 167-195, April.
    20. Caminada, Koen, 1992. "Environmental tax competition among jurisdictions," MPRA Paper 20186, University Library of Munich, Germany.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:kap:openec:v:9:y:1998:i:4:p:327-342. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.