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Revealed Preferences of an International Trade and Environment Institution

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  • Linda Fernandez

Abstract

International cooperation on environmental problems is examined through the factors influencing aNorthAmerican Free Trade Agreement (NAFTA) institution’s decisions over environmental problems along the U.S.-Mexico border. An econometric study relates the approval by the NAFTA institution of environmental improvement projects to observed attributes of the proposed projects. Results show strong preference for projects solving transboundary wastewater pollution and the polluter pays principle. The institution does not prefer projects that generate revenues nor minimize costs. Bi-national grants and loans dominate the funding for approved projects, implying both countries pay. More U.S. proj

Suggested Citation

  • Linda Fernandez, 2004. "Revealed Preferences of an International Trade and Environment Institution," Land Economics, University of Wisconsin Press, vol. 80(2), pages 224-238.
  • Handle: RePEc:uwp:landec:v:80:y:2004:i:2:p:224-238
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    File URL: http://le.uwpress.org/cgi/reprint/85/2/224
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    Cited by:

    1. Fischhendler, Itay, 2007. "Escaping the "polluter pays" trap: Financing wastewater treatment on the Tijuana-San Diego border," Ecological Economics, Elsevier, vol. 63(2-3), pages 485-498, August.
    2. Melina Kourantidou & Brooks A. Kaiser, 2017. "Research Agendas for Profitable Invasive Species," Working Papers 1/17, University of Southern Denmark, Department of Sociology, Environmental and Business Economics.

    More about this item

    JEL classification:

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

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