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Unbundling the Pollution Haven Hypothesis

Author

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  • Taylor M. Scott

    () (University of Calgary)

Abstract

The "Pollution Haven Hypothesis" (PHH) is one of the most hotly debated predictions in all of international economics. This paper explains the theory behind the PHH by dividing the hypothesis into a series of logical steps linking assumptions on exogenous country characteristics to predictions on trade flows and pollution levels. I then discuss recent theoretical and empirical contributions investigating the PHH to show how each contribution either questions the logical inevitability, or the empirical significance of one or more steps in the pollution haven chain of logic. Suggestions for future research are also provided.

Suggested Citation

  • Taylor M. Scott, 2005. "Unbundling the Pollution Haven Hypothesis," The B.E. Journal of Economic Analysis & Policy, De Gruyter, vol. 3(2), pages 1-28, June.
  • Handle: RePEc:bpj:bejeap:v:advances.4:y:2005:i:2:n:8
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    Citations

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    Cited by:

    1. Jitao Tang, 2015. "Testing the Pollution Haven Effect: Does the Type of FDI Matter?," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 60(4), pages 549-578, April.
    2. Chintrakarn, Pandej & Millimet, Daniel L., 2006. "The environmental consequences of trade: Evidence from subnational trade flows," Journal of Environmental Economics and Management, Elsevier, vol. 52(1), pages 430-453, July.
    3. David I. Stern, 2005. "The Effect of NAFTA on Energy and Environmental Efficiency in Mexico," Rensselaer Working Papers in Economics 0511, Rensselaer Polytechnic Institute, Department of Economics.
    4. Jean-Marie Grether & Nicole Andréa Mathys & Jaime de Melo, 2015. "Unravelling the Worldwide Pollution Haven Effect," World Scientific Book Chapters,in: Developing Countries in the World Economy, chapter 23, pages 581-612 World Scientific Publishing Co. Pte. Ltd..
    5. Aller, Carlos & Ductor, Lorenzo & Herrerias, M.J., 2015. "The world trade network and the environment," Energy Economics, Elsevier, vol. 52(PA), pages 55-68.
    6. Chintrakarn, Pandej & Millimet, Daniel, 2006. "Subnational Trade Flows and State-Level Energy Intensity," Departmental Working Papers 0601, Southern Methodist University, Department of Economics.
    7. Liguo Lin & Wei Sun, 2016. "Location choice of FDI firms and environmental regulation reforms in China," Journal of Regulatory Economics, Springer, vol. 50(2), pages 207-232, October.
    8. Yang, Yuan & Cai, Wenjia & Wang, Can, 2014. "Industrial CO2 intensity, indigenous innovation and R&D spillovers in China’s provinces," Applied Energy, Elsevier, vol. 131(C), pages 117-127.
    9. repec:bla:stratm:v:38:y:2017:i:11:p:2310-2329 is not listed on IDEAS
    10. repec:emx:esteco:v:32:y:2017:i:2:p:293-315 is not listed on IDEAS
    11. repec:eee:rensus:v:77:y:2017:i:c:p:990-1000 is not listed on IDEAS
    12. Bogmans, C.W.J., 2011. "Essays on international trade and the environment," Other publications TiSEM b7453a6c-33b3-49a2-b5cc-8, Tilburg University, School of Economics and Management.
    13. Xiaoyang Li & Yue Maggie Zhou, 2016. "Offshoring Pollution While Offshoring Production," Working Papers 16-09r, Center for Economic Studies, U.S. Census Bureau.
    14. repec:eee:eneeco:v:64:y:2017:i:c:p:13-23 is not listed on IDEAS
    15. Xiaoyang Li & Yue M. Zhou, 2016. "Offshoring Production while Offshoring Pollution?," Working Papers 16-09, Center for Economic Studies, U.S. Census Bureau.

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