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Environmental Product Standards in North-South Trade

Jota Ishikawa and Toshihiro Okubo ()

No 27, CCES Discussion Paper Series from Center for Research on Contemporary Economic Systems, Graduate School of Economics, Hitotsubashi University

Abstract: One channel through which environment is damaged is consumption. To protect environment, various product standards are introduced all over the world. By using a new economic geography framework, this paper explores the effects of environmental product standards on environment in a North-South trade model. We examine a situation in which North unilaterally introduces an environmental product standard. Specifically, those products that do not meet the standard are not allowed to be sold in the North market. We find that such a standard may worsen North environment but improve South environment through firm relocation.

Keywords: environmental product standards; compliance costs; firm location; footloose capital model (search for similar items in EconPapers)
JEL-codes: F18 Q54 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-env
Date: 2010-02
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http://hermes-ir.lib.hit-u.ac.jp/rs/bitstream/10086/18229/1/070ccesDP_27.pdf

Related works:
Journal Article: Environmental Product Standards in North–South Trade (2011) Downloads
Working Paper: Environmental Product Standards in North-South Trade (2010) Downloads
Working Paper: Environmental Product Standards in North-South Trade (2010) Downloads
Working Paper: Environmental Product Standards in North-South Trade (2010) Downloads
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Persistent link: https://EconPapers.repec.org/RePEc:hit:ccesdp:27

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