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Globalization and Emissions in Europe

  • Naughton, Helen Tammela

This paper examines the impact of five globalization variables on sulfur dioxide and nitrogen oxides emissions in Europe from 1980-2000 in the framework of one empirical model. The spatial autoregressive regression model is estimated using 2SLS. The five variables of interest are trade, foreign direct investment, neighboring countries wealth, cross-border pollution and participation in international environmental treaties. I then omit each of the globalization effects one at a time and find that omitted variable bias would be significant for four of the globalization variables, the exception being neighbors' wealth.

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File URL: http://mpra.ub.uni-muenchen.de/27684/1/MPRA_paper_27684.pdf
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Paper provided by University Library of Munich, Germany in its series MPRA Paper with number 27684.

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Date of creation: 25 Dec 2010
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Publication status: Published in The European Journal of Comparative Economics 2.7(2010): pp. 503-519
Handle: RePEc:pra:mprapa:27684
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Web page: http://mpra.ub.uni-muenchen.de

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  1. Werner Antweiler & Brian R. Copeland & M. Scott Taylor, 2001. "Is Free Trade Good for the Environment?," American Economic Review, American Economic Association, vol. 91(4), pages 877-908, September.
  2. William Harbaugh & Arik Levinson & David Wilson, 2000. "Reexamining the Empirical Evidence for an Environmental Kuznets Curve," NBER Working Papers 7711, National Bureau of Economic Research, Inc.
  3. Brian R. Copeland & M. Scott Taylor, 2004. "Trade, Growth, and the Environment," Journal of Economic Literature, American Economic Association, vol. 42(1), pages 7-71, March.
  4. Bruce A. Blonigen & Ronald B. Davies & Helen T. Naughton & Glen R. Waddell, 2005. "Spacey Parents: Spatial Autoregressive Patterns in Inbound FDI," NBER Working Papers 11466, National Bureau of Economic Research, Inc.
  5. 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.
  6. Robert J. Barro & Jong-Wha Lee, 2000. "International Data on Educational Attainment Updates and Implications," NBER Working Papers 7911, National Bureau of Economic Research, Inc.
  7. Kellenberg, Derek K., 2008. "A reexamination of the role of income for the trade and environment debate," Ecological Economics, Elsevier, vol. 68(1-2), pages 106-115, December.
  8. Jean-Marie Grether & Nicole Mathys & Jaime Melo, 2010. "Global manufacturing SO 2 emissions: does trade matter?," Review of World Economics (Weltwirtschaftliches Archiv), Springer, vol. 145(4), pages 713-729, January.
  9. Murdoch, James C. & Sandler, Todd & Vijverberg, Wim P. M., 2003. "The participation decision versus the level of participation in an environmental treaty: a spatial probit analysis," Journal of Public Economics, Elsevier, vol. 87(2), pages 337-362, February.
  10. Arik Levinson & M. Scott Taylor, 2004. "Unmasking the Pollution Haven Effect," NBER Working Papers 10629, National Bureau of Economic Research, Inc.
  11. Burtraw, Dallas & Szambelan, Sarah Jo, 2009. "U.S. Emissions Trading Markets for SO2 and NOx," Discussion Papers dp-09-40, Resources For the Future.
  12. Cole, Matthew A., 2006. "Does trade liberalization increase national energy use?," Economics Letters, Elsevier, vol. 92(1), pages 108-112, July.
  13. Cole, Matthew A., 2004. "Trade, the pollution haven hypothesis and the environmental Kuznets curve: examining the linkages," Ecological Economics, Elsevier, vol. 48(1), pages 71-81, January.
  14. Bruce A. Blonigen & Ronald B. Davies & Glen R. Waddell & Helen T. Naughton, 2004. "FDI in Space: Spatial Autoregressive Relationships in Foreign Direct Investment," NBER Working Papers 10939, National Bureau of Economic Research, Inc.
  15. 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.
  16. Managi, Shunsuke & Kumar, Surender, 2009. "Trade-induced technological change: Analyzing economic and environmental outcomes," Economic Modelling, Elsevier, vol. 26(3), pages 721-732, May.
  17. Frankel, Jeffrey & Rose, Andrew K., 2001. "An Estimate of the Effect of Common Currencies on Trade and Income," Working Paper Series rwp01-013, Harvard University, John F. Kennedy School of Government.
  18. World Bank, 2004. "World Development Indicators 2004," World Bank Publications, The World Bank, number 13890.
  19. Murdoch, James C & Sandler, Todd & Sargent, Keith, 1997. "A Tale of Two Collectives: Sulphur versus Nitrogen Oxides Emission Reduction in Europe," Economica, London School of Economics and Political Science, vol. 64(254), pages 281-301, May.
  20. Keith Head & Thierry Mayer, 2004. "Market Potential and the Location of Japanese Investment in the European Union," The Review of Economics and Statistics, MIT Press, vol. 86(4), pages 959-972, November.
  21. 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.
  22. repec:ubc:bricol:93-46 is not listed on IDEAS
  23. Michael Lamla, 2007. "Long-run Determinants of Pollution: A Robustness Analysis," KOF Working papers 07-164, KOF Swiss Economic Institute, ETH Zurich.
  24. 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.
  25. Maddison, David, 2006. "Environmental Kuznets curves: A spatial econometric approach," Journal of Environmental Economics and Management, Elsevier, vol. 51(2), pages 218-230, March.
  26. repec:ubc:bricol:93-02 is not listed on IDEAS
  27. Jean-Marie Grether & Nicole Mathys & Jaime de Melo, 2009. "Scale, Technique and Composition Effects in Manufacturing SO 2 Emissions," Environmental & Resource Economics, European Association of Environmental and Resource Economists, vol. 43(2), pages 257-274, June.
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