Pollution Abatement and International Self-Sufficiency
Dorfman (1973) anticipates increases in international trade when pollution abatement reduces damage to polluted industries. We simulate the effect of abatement with a Heckscher-Ohlin-Samuelson model of a production on production externality. Both countries are Pigouvian and two levels of abatement effectiveness are endogenized. Although more effective pollution abatement increases total world production of both goods, trade decreases as a proportion of total world production. Our results with possibly greater pollution abatement by larger countries are useful in explaining Rose's (1991) findings that post-1973 increases in real output for large countries are associated with declines in international trade.
Volume (Year): 26 (2000)
Issue (Month): 2 (Spring)
|Contact details of provider:|| Postal: |
Phone: (201) 684-7346
Web page: http://www.ramapo.edu/eea/journal.html
More information through EDIRC
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Dean, Judith M., 1992. "Trade and the environment : a survey of the literature," Policy Research Working Paper Series 966, The World Bank.
- Robert C. Feenstra, .
"Integration Of Trade And Disintegration Of Production In The Global Economy,"
Department of Economics
98-06, California Davis - Department of Economics.
- Robert C. Feenstra, 1998. "Integration of Trade and Disintegration of Production in the Global Economy," Journal of Economic Perspectives, American Economic Association, vol. 12(4), pages 31-50, Fall.
- Robert Feenstra, 2003. "Integration Of Trade And Disintegration Of Production In The Global Economy," Working Papers 986, University of California, Davis, Department of Economics.
- 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.
- Andrew K. Rose, 1990.
"Why has trade grown faster than income?,"
International Finance Discussion Papers
390, Board of Governors of the Federal Reserve System (U.S.).
- Lopez Ramon, 1994. "The Environment as a Factor of Production: The Effects of Economic Growth and Trade Liberalization," Journal of Environmental Economics and Management, Elsevier, vol. 27(2), pages 163-184, September.
- Carlo Perroni & Randall M. Wigle, 1994. "International Trade and Environmental Quality: How Important Are the Linkages?," Canadian Journal of Economics, Canadian Economics Association, vol. 27(3), pages 551-67, August.
- James, Estelle, 1974. "Optimal pollution control and trade in collective goods," Journal of Public Economics, Elsevier, vol. 3(3), pages 203-216, August.
- H. David Robison, 1988. "Industrial Pollution Abatement: The Impact on Balance of Trade," Canadian Journal of Economics, Canadian Economics Association, vol. 21(1), pages 187-99, February.
- Rauscher, Michael, 1997. "International Trade, Factor Movements, and the Environment," OUP Catalogue, Oxford University Press, number 9780198290506.
When requesting a correction, please mention this item's handle: RePEc:eej:eeconj:v:26:y:2000:i:2:p:213-219. 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: (Victor Matheson, College of the Holy Cross)
If references are entirely missing, you can add them using this form.