The more recent asset market literature on flexible exchange rates seems to share the opinion that it is not possible to treat the stock-flow interaction on the adjustment path to a new long-run equilibrium adequately in continuous time. The present paper discloses some severe inconsistencies...

In this paper we analyze the connection between ecological dumping and environmental capital flight which in the literature is presented in three versions: capital flees in order to ecologically dump, firms flee and thus ecologically dump, and capital flees because governments ecologically dump....