Abstract

http://ssrn.com/abstract=756649
 


 



Globalization, Cross-Border Pollution and Welfare


Panos Hatzipanayotou


Athens University of Economics and Business; CESifo (Center for Economic Studies and Ifo Institute)

Sajal Lahiri


Southern Illinois University Carbondale - Department of Economics

Michael S. Michael


University of Cyprus - Department of Economics; CESifo (Center for Economic Studies and Ifo Institute)

June 2005

CESifo Working Paper No. 1479

Abstract:     
We construct a two-good general equilibrium model of international trade for two small open economies 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 and of changes in the perception of cross-border pollution on Nash emission taxes, emission levels, and welfare.

Number of Pages in PDF File: 27

Keywords: cross-border pollution, emission taxes, terms of trade, globalization, welfare

JEL Classification: Q28, H23

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Date posted: July 19, 2005  

Suggested Citation

Hatzipanayotou, Panos and Lahiri, Sajal and Michael, Michael S., Globalization, Cross-Border Pollution and Welfare (June 2005). CESifo Working Paper No. 1479. Available at SSRN: http://ssrn.com/abstract=756649

Contact Information

Panagiotis (Panos) Hatzipanayotou (Xatzipanagiotou) (Contact Author)
Athens University of Economics and Business ( email )
76 Patission Street
Athens, 104 34
Greece
CESifo (Center for Economic Studies and Ifo Institute)
Poschinger Str. 5
Munich, DE-81679
Germany
HOME PAGE: http://www.CESifo.de
Sajal Lahiri
Southern Illinois University Carbondale - Department of Economics ( email )
MC 415
1000 Faner Drive
Carbondale, IL 62901
United States
Michael S. Michael
University of Cyprus - Department of Economics ( email )
75 Kallipoleos Street
P.O. Box 20537
1678 Nicosia
Cyprus
357-22892433 (Phone)
357-22892432 (Fax)
HOME PAGE: http://www.econ.ucy.ac.cy/staff/michael.htm
CESifo (Center for Economic Studies and Ifo Institute)
Poschinger Str. 5
Munich, DE-81679
Germany
HOME PAGE: http://www.CESifo.de
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