Trade Liberalization and Environmental Pollution in Iran

Seyed Nezamuddin Makiyan () and Mehdi Nejati Mahsa Saeedi
Additional contact information
Seyed Nezamuddin Makiyan: Yazd University, Deartment of Economics, Yazd, Iran
Mehdi Nejati Mahsa Saeedi: Shahid Bahonar University of Kerman, Deartment of Economics, Kerman, Iran

Journal of Economic Policy Researches, 2022, vol. 9, issue 2, 557-573

Abstract: The environment is one of the main concerns in global policies and affects many other factors including the economy. Trade liberalization would affect environmental quality through its effect on production. This study aims to express the effect of the trade liberalization policy on environmental pollution in the frame of a multi-regional system model. Thus, the GTAP-E model was utilized for the year 2019, so that the environmental consequences (in terms of measurement of CO2 emission) could be studied as the result of reducing the tariffs on import in the forms of two scenarios. In the first scenario, the import tariff on agricultural, industry and services products was reduced by 5%, and in the second scenario, the import tariff on the agricultural, industry and services sectors was reduced by 5%, 10% and 15%, respectively. The results obtained in both cases indicate a reduction in the effect of scale, technique and composition. The results indicate that an import tariff reduction in the various sectors of the economy reduces pollution emissions and its effects improve the environment. The second scenario has a greater effect on the different sectors and also is closer to the reality of Iran’s economy.

Keywords: Trade liberalization; Environment pollution; CO2 emission; Global trade analysis project model; Tariff JEL Classification : F13; Q53; C68 (search for similar items in EconPapers)
Date: 2022
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://cdn.istanbul.edu.tr/file/JTA6CLJ8T5/01ADCCFB03584EE3A55CE85CE57681B3 (application/pdf)
https://iupress.istanbul.edu.tr/en/journal/jepr/ar ... al-pollution-in-iran (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:ist:iujepr:v:9:y:2022:i:2:p:557-573

Access Statistics for this article

Journal of Economic Policy Researches is currently edited by Halil TUNALI

More articles in Journal of Economic Policy Researches from Istanbul University, Faculty of Economics Contact information at EDIRC.
Bibliographic data for series maintained by Istanbul University Press Operational Team (Ertuğrul YAŞAR) ().