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Convergence in pollution terms of trade

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  • Satoshi Honma
  • Yushi Yoshida

Abstract

To construct pollution terms of trade (PTT) on the basis of CO2 emissions, we implement the world input–output tables for 40 countries by 35 industries to account for intermediate trade. We examine whether the PTTs have converged among the 40 countries between 1995 and 2009. The empirical evidence supports PTT convergence; PTT growth is negatively related to its initial level and this empirical result is robust to various control variables.

Suggested Citation

  • Satoshi Honma & Yushi Yoshida, 2019. "Convergence in pollution terms of trade," The Journal of International Trade & Economic Development, Taylor & Francis Journals, vol. 28(5), pages 603-627, July.
  • Handle: RePEc:taf:jitecd:v:28:y:2019:i:5:p:603-627
    DOI: 10.1080/09638199.2019.1568523
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    JEL classification:

    • F18 - International Economics - - Trade - - - Trade and Environment

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