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Assessing the agricultural trade and environment interaction: Taking stock and looking ahead

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Author Info
Thilo W. Glebe () (Environmental Economics and Agricultural Policy Group, Technical University of Munich)
Abstract

This paper reviews the literature on the interface of trade liberalisation, the environment and environmental policies in the context of the agricultural sector. The theoretical literature has been ambiguous concerning the sign of the net welfare effect of trade liberalisation if externalities are present, and empirical studies have not been able to resolve this ambiguity. Analyses of environmental policies, on the other hand, have focused on identifying optimal environmental measures to maximise domestic welfare, but have neglected the impact of environmental policies on global welfare. The paucity of a theoretical framework for the global welfare analysis of agricultural trade and environmental policies constrains the ability to classify agri-environmental or agricultural trade policies as trade-neutral, trade-distorting or trade-correcting.

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Paper provided by Technische Universität München, Environmental Economics and Agricultural Policy Group in its series Discussion Papers with number 022003.

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Length: 25 pages
Date of creation: Feb 2003
Date of revision:
Handle: RePEc:tuu:papers:022003

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    Other versions:
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    Other versions:
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    Other versions:
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