trade and environmental regulations

Jenny Minier

from Palgrave Macmillan

Abstract: To what extent do environmental regulations affect trade flows? Early cross-sectional studies of the relationship generally found little effect. More recent research that controls for industry heterogeneity, the endogeneity of trade policy, and the type of trade and industry has found sizeable, statistically significant effects of environmental regulations on trade. There is little evidence, however, that production of ‘dirty’ goods has shifted to countries with lax environmental standards.

Keywords: environmental regulations; footloose industries; pollution haven; trade policy (search for similar items in EconPapers)
JEL-codes: F18 (search for similar items in EconPapers)
Date: 2010
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