Relationship between Trade, Investment and Environment: A Review of Issues
AbstractThe inter-linkage between economic openness and environmental repercussions is a widely researched area. The current study contributes in the existing pool of research by conducting a cross-country empirical analysis for the year 2008 by exploring the interrelationship between openness indicators (trade and investment) and environmental performance of a country. For this purpose, the analysis separately considers export orientation, import orientation, FDI inwardness and FDI outwardness of the countries in different variations of the proposed empirical model. The regression results do not provide strong support to the Pollution Haven Hypothesis (PHH). The findings also confirm a relationship between socio-economic and socio-political factors in a country and its environmental performance.
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Bibliographic InfoPaper provided by University Library of Munich, Germany in its series MPRA Paper with number 23333.
Date of creation: 16 Jun 2010
Date of revision:
Trade and Environment; International Investment;
Find related papers by JEL classification:
- F18 - International Economics - - Trade - - - Trade and Environment
- F21 - International Economics - - International Factor Movements and International Business - - - International Investment; Long-Term Capital Movements
This paper has been announced in the following NEP Reports:
- NEP-ALL-2010-06-26 (All new papers)
- NEP-ENV-2010-06-26 (Environmental Economics)
- NEP-INT-2010-06-26 (International Trade)
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