THE ENVIRONMENTAL EFFECTS OF TRADE

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FAZLOLAHI EHSAN; PAJOYAN JAMSHID

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Journal: IRANIAN JOURNAL OF APPLIED ECONOMICS Year:2016 | Volume:5 | Issue:- Page(s): 13-20

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Title

THE ENVIRONMENTAL EFFECTS OF TRADE

Author(s)

FAZLOLAHI EHSAN | PAJOYAN JAMSHID | Issue Writer Certificate

Keywords

TRADEQ2

ENVIRONMENTQ2

POLLUTIONQ1

POLLUTION HAVEN HYPOTHESISQ2

FACTOR ENDOWMENTS HYPOTHESISQ2

Abstract

The studies conducted into TRADE and ENVIRONMENT have not provided a definite answer to the effect of free TRADE on ENVIRONMENT, as some studies imply a positive effect of free TRADE on ENVIRONMENT, whereas the others imply a negative effect. The Purpose of the present paper is studying the relationship between TRADE and ENVIRONMENT in the selected countries of the world. Hence, this study, based on the theoretical principles, analyzes the validity of “Pollution Haven” and “Factor endowments” hypotheses by using the panel data for 77 countries from 1995 to 2013. The study of the “Pollution Haven” hypothesis implies countries with relatively weak ENVIRONMENTal policies, as many of them have low per capita income, have an advantage in production of polluting industries. Based on the “Factor endowments” hypothesis can be declared that the ENVIRONMENTal policies have little (or no) effect on the TRADE paradigm; while factors such as the differences between factors of production or TRADE technology, are the main determinant of relative advantage. Results show that the “Pollution Haven” and “Factor endowments” hypotheses cannot be accepted, and the POLLUTION emissions depend on other factors.

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APA: Copy

FAZLOLAHI, EHSAN, & PAJOYAN, JAMSHID. (2016). THE ENVIRONMENTAL EFFECTS OF TRADE. IRANIAN JOURNAL OF APPLIED ECONOMICS, 5(-), 13-20. SID. https://sid.ir/paper/201958/en

Vancouver: Copy

FAZLOLAHI EHSAN, PAJOYAN JAMSHID. THE ENVIRONMENTAL EFFECTS OF TRADE. IRANIAN JOURNAL OF APPLIED ECONOMICS[Internet]. 2016;5(-):13-20. Available from: https://sid.ir/paper/201958/en

IEEE: Copy

EHSAN FAZLOLAHI, and JAMSHID PAJOYAN, “THE ENVIRONMENTAL EFFECTS OF TRADE,” IRANIAN JOURNAL OF APPLIED ECONOMICS, vol. 5, no. -, pp. 13–20, 2016, [Online]. Available: https://sid.ir/paper/201958/en

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