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Green cities? Urbanization, trade and the environment

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  • Borck, Rainald
  • Pflüger, Michael

Abstract

We study environmental pollution in an economic geography framework with two cities, where pollution arises from commuting within cities, goods transport between cities, production of manufacturing and agricultural goods, and residential energy use. We find that city size has an ambiguous effect on pollution levels. We also analyse how pollution changes with varying trade freeness, skilled wage income, and commuting costs.

Suggested Citation

  • Borck, Rainald & Pflüger, Michael, 2013. "Green cities? Urbanization, trade and the environment," Annual Conference 2013 (Duesseldorf): Competition Policy and Regulation in a Global Economic Order 79763, Verein für Socialpolitik / German Economic Association.
  • Handle: RePEc:zbw:vfsc13:79763
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    References listed on IDEAS

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    6. Gaigné, Carl & Riou, Stéphane & Thisse, Jacques-François, 2012. "Are compact cities environmentally friendly?," Journal of Urban Economics, Elsevier, vol. 72(2), pages 123-136.
    7. Fujita,Masahisa, 1991. "Urban Economic Theory," Cambridge Books, Cambridge University Press, number 9780521396455, March.
    8. Murata, Yasusada & Thisse, Jacques-Francois, 2005. "A simple model of economic geography a la Helpman-Tabuchi," Journal of Urban Economics, Elsevier, vol. 58(1), pages 137-155, July.
    9. Desmet, Klaus & Rossi-Hansberg, Esteban, 2015. "On the spatial economic impact of global warming," Journal of Urban Economics, Elsevier, vol. 88(C), pages 16-37.
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    14. Borck, Rainald, 2016. "Will skyscrapers save the planet? Building height limits and urban greenhouse gas emissions," Regional Science and Urban Economics, Elsevier, vol. 58(C), pages 13-25.
    15. Murata, Yasusada, 2003. "Product diversity, taste heterogeneity, and geographic distribution of economic activities:: market vs. non-market interactions," Journal of Urban Economics, Elsevier, vol. 53(1), pages 126-144, January.
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    Cited by:

    1. Borck, Rainald & Tabuchi, Takatoshi, 2015. "Pollution and city size: can cities be too small?," Annual Conference 2015 (Muenster): Economic Development - Theory and Policy 113124, Verein für Socialpolitik / German Economic Association.
    2. Rainald Borck, 2014. "Will skyscrapers save the planet?," ERSA conference papers ersa14p1342, European Regional Science Association.
    3. Borck, Rainald, 2016. "Will skyscrapers save the planet? Building height limits and urban greenhouse gas emissions," Regional Science and Urban Economics, Elsevier, vol. 58(C), pages 13-25.

    More about this item

    JEL classification:

    • Q54 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Climate; Natural Disasters and their Management; Global Warming
    • R12 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Size and Spatial Distributions of Regional Economic Activity; Interregional Trade (economic geography)
    • F12 - International Economics - - Trade - - - Models of Trade with Imperfect Competition and Scale Economies; Fragmentation

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