Pollution and International Trade in Services
AbstractTwo central topics in recent rounds of international trade negotiations have been environmental concerns, and services trade. While each is undoubtedly important, they are unrelated. In this paper I show that the services-environment link is small, for two reasons. First, services account for only a small fraction of overall pollution. For none of five major air pollutants does the service sector account for even four percent of total emissions; for three of the five services account for less than one percent. Second, those service industries that do pollute are the least likely to be traded internationally. Those services for which the U.S. collects and publishes international trade data - presumably those services that are traded internationally - are less polluting than services for which trade data do not exist - presumably because the services are not traded. Even if we limit attention to the services that are traded across borders, the service industries most intensively traded are the ones that pollute the least. The bottom line is simple. International services trade bears little relation to the environment, because services in general contribute relatively little to overall pollution, and those industries that are traded internationally are among the least polluting. Classification-JEL Codes: F18, D57, Q55, Q56
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by Georgetown University, Department of Economics in its series Working Papers with number gueconwpa~09-09-04.
Date of creation: 09 Jul 2009
Date of revision:
Contact details of provider:
Postal: Georgetown University Department of Economics Washington, DC 20057-1036
Web page: http://econ.georgetown.edu/
Postal: Marcia Suss Administrative Officer Georgetown University Department of Economics Washington, DC 20057-1036
Other versions of this item:
- Arik Levinson, 2010. "Pollution and international trade in services," International Environmental Agreements: Politics, Law and Economics, Springer, vol. 10(2), pages 93-105, June.
- F18 - International Economics - - Trade - - - Trade and Environment
- 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
This paper has been announced in the following NEP Reports:
- NEP-ALL-2009-08-08 (All new papers)
- NEP-ENE-2009-08-08 (Energy Economics)
- NEP-ENV-2009-08-08 (Environmental Economics)
- NEP-RES-2009-08-08 (Resource Economics)
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.:
- Josh Ederington, Arik Levinson, and Jenny Minier, 2004.
"Trade Liberalization and Pollution Havens,"
gueconwpa~04-04-05, Georgetown University, Department of Economics.
- Kahn, Matthew E., 2003. "The geography of US pollution intensive trade: evidence from 1958 to 1994," Regional Science and Urban Economics, Elsevier, vol. 33(4), pages 383-400, July.
- Arik Levinson, 2007.
"Technology, International Trade, and Pollution from U.S. Manufacturing,"
gueconwpa~07-07-05, Georgetown University, Department of Economics.
- Arik Levinson, 2009. "Technology, International Trade, and Pollution from US Manufacturing," American Economic Review, American Economic Association, vol. 99(5), pages 2177-92, December.
- Arik Levinson, 2007. "Technology, International Trade, and Pollution from U.S. Manufacturing," NBER Working Papers 13616, National Bureau of Economic Research, Inc.
- Arik Levinson, 2008. "Technology, International Trade, and Pollution from U.S. Manufacturing," NCEE Working Paper Series 200802, National Center for Environmental Economics, U.S. Environmental Protection Agency, revised Feb 2008.
- Levinson, Arik, 2007. "Technology, International Trade, and Pollution from U.S. Manufacturing," Discussion Papers dp-07-40, Resources For the Future.
- Gamper-Rabindran, Shanti, 2006. "NAFTA and the Environment: What Can the Data Tell Us?," Economic Development and Cultural Change, University of Chicago Press, vol. 54(3), pages 605-33, April.
- Hettige, Hemamala & Martin, Paul & Singh, Manjula & Wheeler,David R., 1995. "The industrial pollution projection system," Policy Research Working Paper Series 1431, The World Bank.
- Cole, Matthew A., 2004. "US environmental load displacement: examining consumption, regulations and the role of NAFTA," Ecological Economics, Elsevier, vol. 48(4), pages 439-450, April.
- de santis, roberta, 2011.
"Impact of environmental regulations on trade in the main EU countries: conflict or synergy?,"
37756, University Library of Munich, Germany.
- Roberta De Santis, 2012. "Impact of Environmental Regulations on Trade in the Main EU Countries: Conflict or Synergy?," The World Economy, Wiley Blackwell, vol. 35(7), pages 799-815, 07.
- Giulio Cainelli & Massimiliano Mazzanti, 2012.
"Environmental Innovations in Services. Manufacturing-Services Integration and Policy Transmissions,"
201208, University of Ferrara, Department of Economics.
- Cainelli, Giulio & Mazzanti, Massimiliano, 2013. "Environmental innovations in services: Manufacturing–services integration and policy transmissions," Research Policy, Elsevier, vol. 42(9), pages 1595-1604.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Marcia Suss).
If references are entirely missing, you can add them using this form.