IDEAS home Printed from https://ideas.repec.org/a/bla/kyklos/v30y1977i4p657-673.html
   My bibliography  Save this article

Environmental Quality And The Gains From Trade

Author

Listed:
  • Horst Siebert

Abstract

The paper analyzes the trade‐off between environmental quality and the gains from trade. For a world with pollutants as a joint product of output it is shown that gains from trade by exporting a pollution‐intensively produced commodity are accompanied by a loss of environmental quality and that improving environmental quality will adversely affect the gains from trade. The paper analyzes with a two sector model which adjustment processes occur, if a country untertakes environmental policy. The results are explained diagrammatically. A condition is specified for a positive change in welfare from environmental policy taking into consideration the reduction in the gains from trade. Finally, the paper suggests that in an open economy emission taxes have to be set according to the same rule as in a closed economy, namely in the optimum the emission tax must equal marginal environmental damage prevented.

Suggested Citation

  • Horst Siebert, 1977. "Environmental Quality And The Gains From Trade," Kyklos, Wiley Blackwell, vol. 30(4), pages 657-673, November.
  • Handle: RePEc:bla:kyklos:v:30:y:1977:i:4:p:657-673
    DOI: 10.1111/j.1467-6435.1977.tb02694.x
    as

    Download full text from publisher

    File URL: https://doi.org/10.1111/j.1467-6435.1977.tb02694.x
    Download Restriction: no

    File URL: https://libkey.io/10.1111/j.1467-6435.1977.tb02694.x?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
    ---><---

    Other versions of this item:

    References listed on IDEAS

    as
    1. Horst Siebert, 1974. "Environmental protection and international specialization," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 110(3), pages 494-508, September.
    2. Siebert, Horst, 1974. "Comparative advantage and environmental policy: A note," Open Access Publications from Kiel Institute for the World Economy 3516, Kiel Institute for the World Economy (IfW Kiel).
    3. James R. MARKUSEN, 2021. "International Externalities And Optimal Tax Structures," World Scientific Book Chapters, in: BROADENING TRADE THEORY Incorporating Market Realities into Traditional Models, chapter 16, pages 341-355, World Scientific Publishing Co. Pte. Ltd..
    4. Siebert, Horst, 1977. "Die Grundprobleme des Umweltschutzes: Eine wirtschaftstheoretische Analyse," Open Access Publications from Kiel Institute for the World Economy 3551, Kiel Institute for the World Economy (IfW Kiel).
    5. 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.
    6. Ingo Walter, 1974. "International trade and resource diversion: The case of environmental management," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 110(3), pages 482-493, September.
    Full references (including those not matched with items on IDEAS)

    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. Jayadevappa, Ravishankar & Chhatre, Sumedha, 2000. "International trade and environmental quality: a survey," Ecological Economics, Elsevier, vol. 32(2), pages 175-194, February.
    2. Siebert, Horst, 1979. "Environmental policy in the two-country-case," Open Access Publications from Kiel Institute for the World Economy 3526, Kiel Institute for the World Economy (IfW Kiel).
    3. Siebert, Horst, 1978. "Environmental policy, allocation of resources, sector structure and comparative price advantage," Open Access Publications from Kiel Institute for the World Economy 3524, Kiel Institute for the World Economy (IfW Kiel).
    4. Duan, Yuwan & Ji, Ting & Lu, Yi & Wang, Siying, 2021. "Environmental regulations and international trade: A quantitative economic analysis of world pollution emissions," Journal of Public Economics, Elsevier, vol. 203(C).
    5. 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.
    6. 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.
    7. Batabyal, Amitrajeet A., 1990. "A Model Of Potentially Immiserizing Unilateral Environmental Controls," Staff Papers 14037, University of Minnesota, Department of Applied Economics.
    8. Amitrajeet A. Batabyal, 1996. "Game models of environmental policy in an open economy," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 30(2), pages 185-200.
    9. Rauscher, Michael, 2001. "International trade, foreign investment, and the environment," Thuenen-Series of Applied Economic Theory 29, University of Rostock, Institute of Economics.
    10. Seo, Kami & Taylor, Jonathan, 2003. "Forest resource trade between Japan and Southeast Asia: the structure of dual decay," Ecological Economics, Elsevier, vol. 45(1), pages 91-104, April.
    11. Cropper, Maureen L & Oates, Wallace E, 1992. "Environmental Economics: A Survey," Journal of Economic Literature, American Economic Association, vol. 30(2), pages 675-740, June.
    12. Sylwia Bialek & Alfons J. Weichenrieder, 2021. "Do Stringent Environmental Policies Deter FDI? M&A versus Greenfield," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 80(3), pages 603-636, November.
    13. Óscar Rodil-Marzábal & Hugo Campos-Romero, 2021. "The Intra-EU Value Chain: An Approach to Its Economic Dimension and Environmental Impact," Economies, MDPI, vol. 9(2), pages 1-17, April.
    14. Brian R. Copeland & M. Scott Taylor, 1994. "North-South Trade and the Environment," The Quarterly Journal of Economics, Oxford University Press, vol. 109(3), pages 755-787.
    15. Gulati, Sumeet, 2003. "The Effect Of Free Trade On Pollution Policy And Welfare," Working Papers 15849, University of British Columbia, Food and Resource Economics.
    16. Hémous, David, 2016. "The dynamic impact of unilateral environmental policies," Journal of International Economics, Elsevier, vol. 103(C), pages 80-95.
    17. McGinty Matthew, 2008. "An Evolutionary Race to the Top: Trade, Oligopoly and Convex Pollution Damage," The B.E. Journal of Economic Analysis & Policy, De Gruyter, vol. 8(1), pages 1-26, July.
    18. Sylwia Bialek & Alfons J. Weichenrieder, 2016. "Environmental Regulation and Foreign Direct Investment: The Role of Mode of Entry," ifo DICE Report, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 13(4), pages 41-47, 02.
    19. Hamid Beladi & Lu Liu & Reza Oladi, 2011. "A Holistic View of Trade, Pollution Permits and Abatement," Working Papers 0002, College of Business, University of Texas at San Antonio.
    20. Xiao Chen & Alan Woodland, 2013. "International trade and climate change," International Tax and Public Finance, Springer;International Institute of Public Finance, vol. 20(3), pages 381-413, June.

    More about this item

    Statistics

    Access and download statistics

    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:bla:kyklos:v:30:y:1977:i:4:p:657-673. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: . General contact details of provider: http://www.blackwellpublishing.com/journal.asp?ref=0023-5962 .

    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: Wiley Content Delivery (email available below). General contact details of provider: http://www.blackwellpublishing.com/journal.asp?ref=0023-5962 .

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

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.