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Environmental improvement with trade liberalization

Authors
Journal
European Journal of Political Economy
0176-2680
Publisher
Elsevier
Publication Date
Volume
15
Issue
4
Identifiers
DOI: 10.1016/s0176-2680(99)00037-3
Keywords
  • Environmental Policy
  • Trade Liberalization
  • Political Economy
  • Nafta
Disciplines
  • Ecology
  • Geography
  • Political Science

Abstract

Abstract Past studies predict that trade liberalization agreements (and NAFTA in particular) harm the environment. These studies have focused on adjustments in production and have assumed that environmental policy is exogenously given. We show why trade liberalization and improved environmental quality are mutually compatible — when environmental policy is recognized as politically endogenous. We also present empirical evidence to support the basic assumptions underlying the consistency of more liberal trade policy and an improved environment.

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