Management for a Variety of Environmental Pollution and North-South Trade

Etsuyo Michida

No 23, IDE Discussion Papers from Institute of Developing Economies, Japan External Trade Organization(JETRO)

Abstract: A simple static model incorporating a variety of environmental pollution is developed. An autarky model shows that a developing country regulates fewer types of pollution by income-induced environmental policy. As income grows, the types of regulated pollution increase and also introduced regulations become tougher.Then the model incorporates international trade between a developed country and a developing country. The model gives a new interpretation for the pollution haven hypothesis. Some types of pollution abated with inefficient technology are emitted more in a developing country but other types necessarily increase in a developed country in order to meet the trade balance.

Keywords: Pollution; Trade; A developing country; Developing countries; Developed countries; Environmental policy; International trade; Trade problem; 公害; 貿易; 発展途上国; 先進国; 環境政策; 貿易問題 (search for similar items in EconPapers)
JEL-codes: F11 O11 Q25 (search for similar items in EconPapers)
Date: 2005-03-01
New Economics Papers: this item is included in nep-ene, nep-env and nep-int
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Published in IDE Discussion Paper = IDE Discussion Paper, No. 23. 2005-03-01

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