Pollution Havens and the Trade in Toxic Chemicals: Evidence from U.S. Trade Flows
Does increased environmental protection decrease the emission of pollutants or merely displace them? Using newly available trade data, this study examines the flows of a panel of chemicals designated as toxic by the U.S. Environmental Protection Agency’s Toxics Release Inventory (TRI). Estimates from a differences-in-differences model indicate a significant increase in net imports when a chemical is listed on TRI, which suggests production offshoring. Furthermore, I find that increased imports due to this “pollution haven effect” are sourced disproportionately from poorer countries, which are likely to have lower environmental protection standards. At the same time, I observe the bulk of American trade in toxic chemicals occurs with other wealthy countries, which may be attributed to the capital intensity of chemical production.
|Date of creation:||Jun 2010|
|Date of revision:|
|Contact details of provider:|| Postal: |
Phone: (301) 763-6460
Fax: (301) 763-5935
Web page: http://www.census.gov/ces
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.:
- Arik Levinson & M. Scott Taylor, 2008.
"Unmasking The Pollution Haven Effect,"
International Economic Review,
Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 49(1), pages 223-254, 02.
- Arik Levinson & M. Scott Taylor, 2004. "Unmasking the Pollution Haven Effect," NBER Working Papers 10629, National Bureau of Economic Research, Inc.
- Arik Levinson, 2006. "Unmasking the Pollution Haven Effect," Working Papers 2008-02, Department of Economics, University of Calgary, revised 01 Jan 2008.
- Werner Antweiler & Brian R. Copeland & M. Scott Taylor, 1998.
"Is Free Trade Good for the Environment?,"
NBER Working Papers
6707, National Bureau of Economic Research, Inc.
- Khanna, Madhu & Quimio, Wilma Rose H. & Bojilova, Dora, 1998. "Toxics Release Information: A Policy Tool for Environmental Protection," Journal of Environmental Economics and Management, Elsevier, vol. 36(3), pages 243-266, November.
- Josh Ederington & Jenny Minier, 2000.
"Is Environmental Policy a Secondary Trade Barrier? An Empirical Analysis,"
Econometric Society World Congress 2000 Contributed Papers
1507, Econometric Society.
- Josh Ederington & Jenny Minier, 2003. "Is environmental policy a secondary trade barrier? An empirical analysis," Canadian Journal of Economics, Canadian Economics Association, vol. 36(1), pages 137-154, February.
- Jeffrey A. Frankel & Andrew K. Rose, 2005.
"Is Trade Good or Bad for the Environment? Sorting Out the Causality,"
The Review of Economics and Statistics,
MIT Press, vol. 87(1), pages 85-91, February.
- Jeffrey A. Frankel & Andrew K. Rose, 2002. "Is Trade Good or Bad for the Environment? Sorting Out the Causality," NBER Working Papers 9201, National Bureau of Economic Research, Inc.
- Frankel, Jeffrey & Rose, Andrew K., 2003. "Is Trade Good or Bad for the Environment? Sorting Out the Causality," Working Paper Series rwp03-038, Harvard University, John F. Kennedy School of Government.
- Randy Becker & Vernon Henderson, 2000. "Effects of Air Quality Regulations on Polluting Industries," Journal of Political Economy, University of Chicago Press, vol. 108(2), pages 379-421, April.
- Ederington Josh & Levinson Arik & Minier Jenny, 2004.
"Trade Liberalization and Pollution Havens,"
The B.E. Journal of Economic Analysis & Policy,
De Gruyter, vol. 3(2), pages 1-24, November.
- Josh Ederington, 2005. "Trade Liberalization And Pollution Havens," Working Papers id:51, eSocialSciences.
- Josh Ederington, Arik Levinson, and Jenny Minier, 2004. "Trade Liberalization and Pollution Havens," Working Papers gueconwpa~04-04-05, Georgetown University, Department of Economics.
- Josh Ederington & Arik Levinson & Jenny Minier, 2004. "Trade Liberalization and Pollution Havens," NBER Working Papers 10585, National Bureau of Economic Research, Inc.
- Cole, Matthew A. & Elliott, Robert J. R., 2003. "Determining the trade-environment composition effect: the role of capital, labor and environmental regulations," Journal of Environmental Economics and Management, Elsevier, vol. 46(3), pages 363-383, November.
- Konar, Shameek & Cohen, Mark A., 1997. "Information As Regulation: The Effect of Community Right to Know Laws on Toxic Emissions," Journal of Environmental Economics and Management, Elsevier, vol. 32(1), pages 109-124, January.
- Hamilton James T., 1995. "Pollution as News: Media and Stock Market Reactions to the Toxics Release Inventory Data," Journal of Environmental Economics and Management, Elsevier, vol. 28(1), pages 98-113, January.
- John Tang, 2010. "Globalization and Price Dispersion: Evidence from U.S. Trade Flows," Working Papers 10-07, Center for Economic Studies, U.S. Census Bureau.
- Linda Bui, 2005. "Public Disclosure of Private Information as a Tool for Regulating Environmental Emissions: Firm-Level Responses by Petroleum Refineries to the Toxics Release Inventory," Working Papers 05-13, Center for Economic Studies, U.S. Census Bureau.
When requesting a correction, please mention this item's handle: RePEc:cen:wpaper:10-12. 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: (Fariha Kamal)
If references are entirely missing, you can add them using this form.