The empirical relationship between trade, growth, and the environment

Lewis R. Gale, Jose Mendez

Research output: Chapter in Book/Report/Conference proceedingChapter

Abstract

This note reestimates Grossman and Krueger’s (1993) SO 2 emissions regression, including regressors to capture the effects of scale, trade, and trade policy. Several new results are obtained. Increases in economic activity have a negative effect on the environment separate from changes in per capita income, whose relation to the environment is now positive and linear, not inverted U-shaped. The trade policy measure is not significant, but its effect is ambiguous a priori. Finally, in line with specialization patterns based on traditional sources of comparative advantage, pollution rises with the capital abundance of a country (since this favors capital-intensive and generally dirtier industries) and falls with increases in labor and land abundance.

Original languageEnglish (US)
Title of host publicationThe Economics of International Trade and the Environment
PublisherCRC Press
Pages309-315
Number of pages7
ISBN (Electronic)9781420032628
ISBN (Print)9781566705301
StatePublished - Jan 1 2001

Fingerprint

trade policy
Economics
comparative advantage
Growth
economic activity
labor
pollution
income
industry
economics
specialization
Industry
regression
effect
land
effect on the environment
per-capita income

ASJC Scopus subject areas

  • Social Sciences(all)
  • Agricultural and Biological Sciences(all)
  • Environmental Science(all)

Cite this

Gale, L. R., & Mendez, J. (2001). The empirical relationship between trade, growth, and the environment. In The Economics of International Trade and the Environment (pp. 309-315). CRC Press.

The empirical relationship between trade, growth, and the environment. / Gale, Lewis R.; Mendez, Jose.

The Economics of International Trade and the Environment. CRC Press, 2001. p. 309-315.

Research output: Chapter in Book/Report/Conference proceedingChapter

Gale, LR & Mendez, J 2001, The empirical relationship between trade, growth, and the environment. in The Economics of International Trade and the Environment. CRC Press, pp. 309-315.
Gale LR, Mendez J. The empirical relationship between trade, growth, and the environment. In The Economics of International Trade and the Environment. CRC Press. 2001. p. 309-315
Gale, Lewis R. ; Mendez, Jose. / The empirical relationship between trade, growth, and the environment. The Economics of International Trade and the Environment. CRC Press, 2001. pp. 309-315
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