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Sources of Comparative Advantage in Polluting Industries / Fernando Broner, Paula Bustos, Vasco M. Carvalho.
- Format:
- Book
- Author/Creator:
- Broner, Fernando.
- Series:
- Working Paper Series (National Bureau of Economic Research) no. w18337.
- NBER working paper series no. w18337
- Language:
- English
- Physical Description:
- 1 online resource: illustrations (black and white);
- Place of Publication:
- Cambridge, Mass. National Bureau of Economic Research 2012.
- Summary:
- We study the determinants of comparative advantage in polluting industries. We combine data on environmental policy at the country level with data on pollution intensity at the industry level to show that countries with laxer environmental regulation have a comparative advantage in polluting industries. Further, we address the potential problem of reverse causality. We propose an instrument for environmental regulation based on meteorological determinants of pollution dispersion identi...ed by the atmospheric pollution literature. We find that the effect of environmental regulation on the pattern of trade is causal and comparable in magnitude to the effect of physical and human capital.
- Notes:
- Print version record
- August 2012.
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