International Trade and Green Growth

This paper reviews the challenges and opportunities raised by international trade for developing countries considering a green growth strategy. A key concern is the effect of environmental policies on international competitiveness. For production-g...

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Bibliographic Details
Main Author:	Copeland, Brian R.
Format:	Policy Research Working Paper
Language:	English en_US
Published:	World Bank, Washington, DC 2013
Subjects:	ABATEMENT ABATEMENT COST ABATEMENT COSTS ACID ACID RAIN ADVERSE EFFECT ADVERSE EFFECTS ADVERSE IMPACTS AGRICULTURAL ECONOMICS AGRICULTURE AIR AIR POLLUTANTS AIR QUALITY ALLOCATION ALLOWANCE ALTERNATIVE POLICIES BASELINE LEVELS CAP AND TRADE SYSTEMS CAPITAL GOODS CAPS CARBON CARBON EMISSION CARBON EMISSIONS CARBON INTENSITY CARBON LEAKAGE CARBON TAX CARBON TAXES CHEMICALS CLEAN AIR CLEAN AIR ACT CLEAN TECHNOLOGIES CLEARCUTTING CLIMATE CLIMATE CHANGE CLOSED ECONOMIES CLOSED ECONOMY CO COAL COMPARATIVE ADVANTAGE COMPETITION POLICY COMPETITIVENESS COMPLIANCE COSTS CONSUMERS COST SAVINGS DEFORESTATION DEVELOPED COUNTRIES DEVELOPMENT ECONOMICS DEVELOPMENT POLICY DIFFUSION ECOLOGICAL ECONOMICS ECONOMIC ACTIVITY ECONOMIC ANALYSIS ECONOMIC DEVELOPMENT ECONOMIC EFFECTS ECONOMIC GROWTH ECONOMIC GROWTH RATES ECONOMIC HISTORY ECONOMIC RESEARCH ECONOMIC THEORY ECONOMICS ECONOMIES OF SCALE ELASTICITIES ELASTICITY ELECTRIC POWER ELECTRIC POWER PLANTS ELECTRICITY ELECTRICITY SECTOR EMISSION EMISSION CHARGES EMISSION CONTROL EMISSION INTENSITY EMISSION PERMITS EMISSION REDUCTION EMISSION REDUCTIONS EMISSION STANDARDS EMISSION TARGETS EMISSION TAX EMISSION TAXES EMISSION TRADING EMISSIONS EMISSIONS LEAKAGE EMISSIONS POLICY EMISSIONS TARGETS EMISSIONS TAXES EMPIRICAL ANALYSIS EMPIRICAL EVIDENCE ENDANGERED SPECIES ENERGY ECONOMICS ENERGY POLICY ENVIRONMENTAL ENVIRONMENTAL BENEFITS ENVIRONMENTAL COSTS ENVIRONMENTAL DEGRADATION ENVIRONMENTAL ECONOMICS ENVIRONMENTAL ISSUES ENVIRONMENTAL POLICIES ENVIRONMENTAL POLICY ENVIRONMENTAL PROBLEMS ENVIRONMENTAL QUALITY ENVIRONMENTAL REGULATION ENVIRONMENTAL REGULATIONS ENVIRONMENTALLY FRIENDLY TECHNOLOGIES EQUILIBRIUM ESTIMATES OF CARBON EXTERNALITIES EXTERNALITY FAIR TRADE FEASIBILITY FISH FISHERIES FISHERS FISHING FOREIGN COMPETITION FOREIGN DIRECT INVESTMENT FOREST FORESTRY FORESTS FOSSIL FUEL FOSSIL FUELS FREE MARKET FREE TRADE FUEL PRICES FUTURE RESEARCH GDP GLOBAL CARBON EMISSIONS GLOBAL EMISSIONS GLOBAL ENVIRONMENTAL PROBLEMS GLOBAL WARMING GOVERNMENT REGULATIONS GREENHOUSE GREENHOUSE GASES GREENHOUSE-GAS GROWTH MODELS GROWTH RATE HAZARDOUS WASTE ILLEGAL FISHING IMPERFECT COMPETITION INCOME INCOME LEVELS INCREASING RETURNS INCREASING RETURNS TO SCALE INDUSTRIAL POLLUTION INDUSTRIALIZATION INFANT INDUSTRY ARGUMENT INTERMEDIATE GOODS INTERMEDIATE INPUTS INTERNATIONAL TRADE LABOR COSTS LABOR FORCE LABOR PRODUCTIVITY LAKES LAND ECONOMICS LONG LAGS LOWER COSTS LUMP SUM LUMP SUM TRANSFERS MARGINAL ABATEMENT MARGINAL ABATEMENT COSTS MARKET FAILURE MARKET FAILURES MARKET POWER MONETARY ECONOMICS MONTREAL PROTOCOL NATURAL CAPITAL NET EXPORTS NET IMPORTS NEWLY INDUSTRIALIZED COUNTRIES NITROGEN NITROGEN OXIDE NITROGEN OXIDES NOX OIL OPEN ECONOMIES OPEN ECONOMY OZONE PARETO EFFICIENCY PARTICULATE PARTICULATE MATTER PARTICULATES PASTURES PER CAPITA INCOME PERFORMANCE STANDARDS POLICY IMPLICATIONS POLICY INSTRUMENTS POLICY MAKERS POLITICAL ECONOMY POLLUTERS POLLUTION POLLUTION ABATEMENT POLLUTION CONTROL POLLUTION REGULATION POLLUTION TAX POLLUTION TAXES POSITIVE EXTERNALITIES PP PRODUCERS PRODUCTIVITY GROWTH PROPERTY RIGHTS PUBLIC ECONOMICS PUBLIC GOOD PUBLIC GOODS QUOTAS REBATES REDUCING EMISSIONS RESOURCE MANAGEMENT RETURNS TO SCALE SHADOW PRICE SO2 SOCIAL COSTS SPILLOVER EFFECTS SULFUR SULFUR DIOXIDE SULFUR DIOXIDE EMISSIONS SULPHUR SULPHUR DIOXIDE SUPPLY CURVES SUSPENDED SOLIDS SUSTAINABLE DEVELOPMENT TAX INCIDENCE TECHNOLOGICAL CHANGE TERMS OF TRADE TOXIC SUBSTANCES TRADE LIBERALIZATION TRADE POLICIES TRADE POLICY TRADEOFFS VOLUNTARY EXPORT RESTRAINTS WATER POLLUTION WATER QUALITY WTO
Online Access:	http://documents.worldbank.org/curated/en/2012/10/16836189/international-trade-green-growth-international-trade-green-growth http://hdl.handle.net/10986/12086

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Summary:	This paper reviews the challenges and opportunities raised by international trade for developing countries considering a green growth strategy. A key concern is the effect of environmental policies on international competitiveness. For production-generated pollution, there is evidence that stringent environmental policy reduces some indicators of competitiveness, but the effect is small in most sectors. However, tightening up environmental standards is unlikely to reduce international competitiveness when pollution is generated by consumption. And where depletion of natural capital is a threat, effective environmental policy is an important component of a policy aimed at developing long-run international competitiveness. The effects of trade on environmental policy, the interaction between trade and technology transfer, and the interaction between trade and transboundary environmental problems are also reviewed. An emerging issue is the potential use of border taxes to curtail carbon leakage. The paper discusses some of the possible responses by developing countries. Some work has indicated that export taxes or voluntary export restraints applied to carbon-intensive production in non-coalition countries may be preferable to a carbon tariff regime. The paper concludes by suggesting some topics for further research.

International Trade and Green Growth

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