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Pollution havens and the trade in toxic chemicals: Evidence from U.S. trade flows

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  • Tang, John P.

Abstract

National registries of toxic chemical emissions and facilities are increasingly used to raise public awareness of potential health hazards in local areas, but an unintended consequence may be the offshoring of production to less regulated countries. Using disaggregated U.S. trade data, this study examines the impact of registry listing on subsequent bilateral trade flows. Estimates from a difference-in-differences model indicate a significant shift toward imports from poorer countries following registry listing. Assuming that environmental protection is a normal good, this result suggests the emergence of pollution havens due to more stringent U.S. environmental regulation.

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  • Tang, John P., 2015. "Pollution havens and the trade in toxic chemicals: Evidence from U.S. trade flows," Ecological Economics, Elsevier, vol. 112(C), pages 150-160.
  • Handle: RePEc:eee:ecolec:v:112:y:2015:i:c:p:150-160
    DOI: 10.1016/j.ecolecon.2015.02.022
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    1. repec:eee:enepol:v:113:y:2018:i:c:p:356-367 is not listed on IDEAS
    2. Markusen, James R., 2012. "Per-Capita Income as a Determinant of International Trade and Environmental Policies," Discussion Papers 2013-06, Graduate School of Economics, Hitotsubashi University.
    3. Michael Schymura & Andreas Löschel, 2012. "Trade and the Environment: An Application of the WIOD Database," EcoMod2012 3948, EcoMod.
    4. James R. Markusen, 2014. "Per-Capital Income as a Determinant of International Trade and Environment Policies," CESifo Working Paper Series 4618, CESifo Group Munich.
    5. Balsalobre-Lorente, Daniel & Shahbaz, Muhammad & Roubaud, David & Farhani, Sahbi, 2018. "How economic growth, renewable electricity and natural resources contribute to CO2 emissions?," Energy Policy, Elsevier, vol. 113(C), pages 356-367.
    6. repec:eee:eneeco:v:64:y:2017:i:c:p:13-23 is not listed on IDEAS
    7. repec:eco:journ2:2018-01-20 is not listed on IDEAS

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