Do Countries with Lax Environmental Regulations Have a Comparative Advantage in Polluting Industries?.
Miguel Angel Quiroga; Martin Persson; Thomas Sterner;
- Subject: trade, comparative advantage, pollution haven, environmental endowment,environmental regulation, Porter hypothesis, factor content, aggregation bias, nonhomothetic preferences.
We study whether lax environmental regulations induce comparative advantages, causing the least-regulated countries to specialize in polluting industries. We seek to improve three areas in the empirical literature based on the Heckscher-Ohlin-Vanek’s factor content of t... View more