Does industry concentration matter for pollution haven effects?
AbstractThis paper focuses on the role of firm’s market power and industry concentration in a still debated issue of pollution haven effects or carbon ’leakage’ representedas increased trade fows in the most polluting sectors from the developing worldspurred by regulations in developed countries. A firm in a relatively competitiveindustry with less market power has no option to transfer costs of environmentalregulations to consumers and may be more likely to resort to ’importing pollution’from places with lax environmental standards that insure cheaper inputs as a resultof such regulations at home. This paper finds that a degree of industry’s concentration has an effect on firms’ margins of products that were affected by the EU ETSpolicy in 2005 and that are imported from the developing world. Firms in from the developing world post 2005 more than firms in a less competitive setting.
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 Grantham Research Institute on Climate Change and the Environment in its series Grantham Research Institute on Climate Change and the Environment Working Papers with number 90.
Date of creation: Sep 2012
Date of revision:
This paper has been announced in the following NEP Reports:
- NEP-AGR-2013-04-06 (Agricultural Economics)
- NEP-ALL-2013-04-06 (All new papers)
- NEP-COM-2013-04-06 (Industrial Competition)
- NEP-ENE-2013-04-06 (Energy Economics)
- NEP-ENV-2013-04-06 (Environmental 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.:
- Fernando Broner & Paula Bustos & Vasco Carvalho, 2012.
"Sources of Comparative Advantage in Polluting Industries,"
655, Barcelona Graduate School of Economics.
- Fernando Broner & Paula Bustos & Vasco M. Carvalho, 2012. "Sources of Comparative Advantage in Polluting Industries," NBER Working Papers 18337, National Bureau of Economic Research, Inc.
- Broner, Fernando A & Bustos, Paula & Carvalho, Vasco M, 2012. "Sources of Comparative Advantage in Polluting Industries," CEPR Discussion Papers 9111, C.E.P.R. Discussion Papers.
- Matthew A. Cole & Robert J.R. Elliott & Toshihiro Okubo, 2010.
"Trade, Environmental Regulations and Industrial Mobility: An Industry-Level Study of Japan,"
Discussion Paper Series
DP2010-22, Research Institute for Economics & Business Administration, Kobe University.
- Cole, Matthew A. & Elliott, Robert J.R. & Okubo, Toshihiro, 2010. "Trade, environmental regulations and industrial mobility: An industry-level study of Japan," Ecological Economics, Elsevier, vol. 69(10), pages 1995-2002, August.
- Levinson, Arik, 2007.
"Technology, International Trade, and Pollution from U.S. Manufacturing,"
dp-07-40, Resources For the Future.
- 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, 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.
- Arik Levinson, 2007. "Technology, International Trade, and Pollution from U.S. Manufacturing," Working Papers gueconwpa~07-07-05, Georgetown University, Department of Economics.
- Arik Levinson, 2007. "Technology, International Trade, and Pollution from U.S. Manufacturing," NBER Working Papers 13616, National Bureau of Economic Research, Inc.
- Cole, Matthew A. & Elliott, Robert J.R. & Shimamoto, Kenichi, 2005. "Industrial characteristics, environmental regulations and air pollution: an analysis of the UK manufacturing sector," Journal of Environmental Economics and Management, Elsevier, vol. 50(1), pages 121-143, July.
- Andrew B. BERNARD & Emily J. BLANCHARD & Ilke VAN BEVEREN & Hylke Y. VANDENBUSSCHE, 2012.
Discussion Papers (IRES - Institut de Recherches Economiques et Sociales)
2012020, Université catholique de Louvain, Institut de Recherches Economiques et Sociales (IRES).
- Bernard, Andrew B. & Blanchard, Emily & van Beveren, Ilke & Vandenbussche, Hylke, 2012. "Carry-Along Trade," CEPR Discussion Papers 9067, C.E.P.R. Discussion Papers.
- Andrew B. Bernard & Emily J. Blanchard & Ilke Van Beveren & Hylke Y. Vandenbussche, 2012. "Carry-Along Trade," NBER Working Papers 18246, National Bureau of Economic Research, Inc.
- Davide Castellani & Francesco Serti & Chiara Tomasi, 2010. "Firms in International Trade: Importers' and Exporters' Heterogeneity in Italian Manufacturing Industry," The World Economy, Wiley Blackwell, vol. 33(3), pages 424-457, 03.
- repec:ner:leuven:urn:hdl:123456789/419462 is not listed on IDEAS
- Copeland, Brian R & Taylor, M Scott, 1994. "North-South Trade and the Environment," The Quarterly Journal of Economics, MIT Press, vol. 109(3), pages 755-87, August.
- Fergal McCann, 2009. "Importing, Exporting and Productivity in Irish Manufacturing," Working Papers 200922, School Of Economics, University College Dublin.
- John A. List & Daniel L. Millimet & Per G. Fredriksson & W. Warren McHone, 2003. "Effects of Environmental Regulations on Manufacturing Plant Births: Evidence from a Propensity Score Matching Estimator," The Review of Economics and Statistics, MIT Press, vol. 85(4), pages 944-952, November.
- Markusen, James R. & Morey, Edward R. & Olewiler, Nancy, 1995. "Competition in regional environmental policies when plant locations are endogenous," Journal of Public Economics, Elsevier, vol. 56(1), pages 55-77, January.
- McGuire, Martin C., 1982. "Regulation, factor rewards, and international trade," Journal of Public Economics, Elsevier, vol. 17(3), pages 335-354, April.
- Robert A. Ritz, 2009. "Carbon leakage under incomplete environmental regulation: An industry-level approach," Economics Series Working Papers 461, University of Oxford, Department of Economics.
- Fernando Broner & Paula Bustos & Vasco Carvalho, 2011. "Sources of comparative advantage in polluting industries (with appendix)," Economics Working Papers 1331, Department of Economics and Business, Universitat Pompeu Fabra, revised Mar 2013.
- repec:ner:leuven:urn:hdl:123456789/387876 is not listed on IDEAS
- Pethig, Rudiger, 1976. "Pollution, welfare, and environmental policy in the theory of Comparative Advantage," Journal of Environmental Economics and Management, Elsevier, vol. 2(3), pages 160-169, February.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (The GRI Administration).
If references are entirely missing, you can add them using this form.