Globalization and Environment in the Presence of Cross-border Pollution

  title={Globalization and Environment in the Presence of Cross-border Pollution},
  author={Panos Hatzipanayotou and Sajal Lahiri and Michael N. Michael},
We construct a two-country, two-good general equilibriummodel of international trade where pollution from production is transmitted across borders. Governments in both countries impose emission taxes non-cooperatively. Within this framework, we examine the effect of trade liberalization on Nash emission taxes, emission levels, and welfare. We also examine how the endogeniety of terms of trade affects Nash equilibrium emmision taxes and total emission level. 

From This Paper

Topics from this paper.


Publications referenced by this paper.
Showing 1-3 of 3 references

International trade and the environment: policy reform in a polluted small open economy

  • B. Copeland
  • Journal of Environmental Economics and Management…
  • 1994
Highly Influential
4 Excerpts

Trade and environment: theory and evidence

  • B. R. Copeland, M.S
  • Canadian Journal of Economics
  • 2003

Cooperative control of international pollution and common property resources, Quarterly Journal of Economics

  • J. Markusen
  • 1975
1 Excerpt

Similar Papers

Loading similar papers…