Are Exporters More Environmentally Friendly than Non-Exporters? Theory and Evidence
This paper studies the firm-level relationship between decision to export and environmental performance. To guide the empirical work, we introduce environmental pollution and technology choice into a trade model with heterogeneous firms. The model predicts that a productive firm is more likely to adopt emission-saving technology and to export. Using facility-level criteria air emission data in the U.S. manufacturing industry, for a variety of pollutants, empirical tests are supportive of our two primary theoretical predictions. First, facility productivity is negatively correlated with emission intensity, measured by emissions per value of sales. Second, conditional on the estimated facility productivity and the facility's exposure to environmental regulation, exporters have lower emission per value of sales than non-exporters within the same industry.
|Date of creation:||12 Oct 2012|
|Contact details of provider:|| Postal: Iowa State University, Dept. of Economics, 260 Heady Hall, Ames, IA 50011-1070|
Phone: +1 515.294.6741
Fax: +1 515.294.0221
Web page: http://www.econ.iastate.edu
More information through EDIRC
References listed on IDEAS
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.:
- Randy A Becker & Vernon Henderson, 1999.
"Costs of Air Quality Regulation,"
99-9, Center for Economic Studies, U.S. Census Bureau.
- Toshihiro Okubo, 2009. "Firm heterogeneity and Ricardian comparative advantage within and across sectors," Economic Theory, Springer;Society for the Advancement of Economic Theory (SAET), vol. 38(3), pages 533-559, March.
- Svetlana Batrakova & Ronald Davies, 2012.
"Is there an environmental benefit to being an exporter? Evidence from firm-level data,"
Review of World Economics (Weltwirtschaftliches Archiv),
Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 148(3), pages 449-474, September.
- Svetlana Batrakova & Ronald Davies, 2010. "Is there an environmental benefit to being an exporter? Evidence from firm level data," The Institute for International Integration Studies Discussion Paper Series iiisdp322, IIIS, revised Mar 2010.
- Svetlana Batrakova & Ronald B. Davies, 2010. "Is there an environmental benefit to being an exporter? Evidence from firm level data," Working Papers 201007, School of Economics, University College Dublin.
- Randy Becker, 2010.
"Local Environmental Regulation and Plant-Level Productivity,"
10-30r, Center for Economic Studies, U.S. Census Bureau, revised Aug 2011.
- Becker, Randy A., 2011. "Local environmental regulation and plant-level productivity," Ecological Economics, Elsevier, vol. 70(12), pages 2516-2522.
- Greenstone, Michael, 2004.
"Did the Clean Air Act cause the remarkable decline in sulfur dioxide concentrations?,"
Journal of Environmental Economics and Management,
Elsevier, vol. 47(3), pages 585-611, May.
- Michael Greenstone, 2003. "Did the Clean Air Act Cause the Remarkable Decline in Sulfur Dioxide Concentrations?," Working Papers 0407, Massachusetts Institute of Technology, Center for Energy and Environmental Policy Research.
- Michael Greenstone & John A. List & Chad Syverson, 2012.
"The Effects of Environmental Regulation on the Competitiveness of U.S. Manufacturing,"
NBER Working Papers
18392, National Bureau of Economic Research, Inc.
- Michael Greenstone & John A. List & Chad Syverson, 2011. "The Effects of Environmental Regulation on the Competiveness of U.S. Manufacturing," Working Papers 11-03, Center for Economic Studies, U.S. Census Bureau.
- Michael Greenstone & John List & Chad Syverson, 2012. "The Effects of Environmental Regulation on the Competitiveness of U.S. Manufacturing," Natural Field Experiments 00590, The Field Experiments Website.
- Forslid, Rikard & Okubo, Toshihiro & Ulltveit-Moe, Karen-Helene, 2011.
"Why are firms that export cleaner? International trade and CO2 emissions,"
CEPR Discussion Papers
8583, C.E.P.R. Discussion Papers.
- Rikard Forslid & Toshihiro Okubo & Karen Helene Ulltveit-Moe, 2014. "Why are Firms that Export Cleaner? International Trade and CO2 Emissions," CESifo Working Paper Series 4817, CESifo Group Munich.
- Managi, Shunsuke & Hibiki, Akira & Tsurumi, Tetsuya, 2009.
"Does trade openness improve environmental quality?,"
Journal of Environmental Economics and Management,
Elsevier, vol. 58(3), pages 346-363, November.
- MANAGI Shunsuke & HIBIKI Akira & TSURUMI Tetsuya, 2008. "Does Trade Liberalization Reduce Pollution Emissions?," Discussion papers 08013, Research Institute of Economy, Trade and Industry (RIETI).
- Girma, Sourafel & Hanley, Aoife & Tintelnot, Felix, 2008. "Exporting and the environment: a new look with micro-data," Kiel Working Papers 1423, Kiel Institute for the World Economy (IfW).
When requesting a correction, please mention this item's handle: RePEc:isu:genres:35549. 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: (Curtis Balmer)
If references are entirely missing, you can add them using this form.