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Arming in the Global Economy : The Importance of Trade with Enemies and Friends

Garfinkel, Michelle R. - 2019

We analyze how trade openness matters for interstate conflict over productive resources. Our analysis features a terms-of-trade channel that makes security policies trade-regime dependent. Specifically, trade between two adversaries reduces each one’s incentive to arm given the opponent’s...

Persistent link: https://www.econbiz.de/10012892081

Trade Costs, Market Access and Economic Geography : Why the Empirical Specification of Trade Costs Matters

Bosker, Erik Maarten; Garretsen, Harry - 2021

Trade costs are crucial in new economic geography (NEG) models. The unavailability of actual trade costs data requires the approximation of trade costs. Most NEG studies do not deal with the ramifications of the particular trade costs specification used. This paper shows that the specification...

Persistent link: https://www.econbiz.de/10013316892

International Trade and Stable Resolutions of Resource Disputes

Garfinkel, Michelle R.; Syropoulos, Constantinos - 2022

We consider a dynamic setting in which two sovereign states with overlapping ownership claims on a resource/asset ﬁrst arm and then choose whether to resolve their dispute violently through war or peacefully through settlement. Both approaches depend on the states’ military capacities, but...

Persistent link: https://www.econbiz.de/10014243081

Resource Dependence, Recycling, and Trade

Egger, Peter H.; Keuschnigg, Christian - 2023

Recycling waste from used goods can substitute for scarce raw materials and reduce resource dependence. This paper presents a model of waste collection, recycling and final goods production using raw and recycled materials. Non-recycled waste must be safely stored by landfill to avoid...

Persistent link: https://www.econbiz.de/10014346450

Green havens and pollution havens

Poelhekke, Steven; van der Ploeg, Rick - 2012

We test for pollution haven effects in outward foreign direct investment (FDI) for different sectors using a … country significantly attracts FDI. What is important for these pollution haven effects is not only regulation but also … enforcement of environmental policy. In contrast to earlier results, it is not only footloose industries that display pollution …

Persistent link: https://www.econbiz.de/10010287196

CO2 Embedded in Trade : Trends and Fossil Fuel Drivers

Weber, Sylvain - 2019

The amount of CO2 embedded in trade has substantially increased over the last decades. We study the trends and some drivers of the carbon content of trade over the period 1995-2009. Our main findings are the following. First, the mix of traded goods tends to have higher emission intensity than...

Persistent link: https://www.econbiz.de/10012889755

Smart Hedging against Carbon Leakage

Böhringer, Christoph - 2019

Policy makers in the EU and elsewhere are concerned that unilateral carbon pricing induces carbon leakage through relocation of emission-intensive and trade-exposed industries to other regions. A common measure to mitigate such leakage is to combine an emission trading system (ETS) with...

Persistent link: https://www.econbiz.de/10012859992

Strategic Export Motives and Linking Emission Markets

Antoniou, Fabio; Hatzipanayotou, Panos; Tsakiris, Nikos - 2021

We explore the possibility of achieving a cooperative outcome when governments act non-cooperatively in a strategic environmental policy model where emission permit markets are linked. We introduce a specific distribution scheme of the permit revenues between the exporting countries so as to...

Persistent link: https://www.econbiz.de/10013250035

Advancing Global Carbon Abatement with a Two-Tier Climate Club

Iverson, Terrence - 2022

A two-tier climate club exploits the comparative advantage of large countries to mete out punishments through trade, while taking their capacity to resist punishment as a constraint. Countries outside the coalition price carbon at a fixed fraction of the average carbon price adopted within the...

Persistent link: https://www.econbiz.de/10014081042

Trade, Trees, and Contingent Trade Agreements

Harstad, Bård - 2022

Can trade agreements motivate environmental conservation? I first present a model whereby the government in the South expands its production capacity (e.g., deforest) before trading with the North. After deriving negative relationships between tariff reductions and conservation, I show how all...

Persistent link: https://www.econbiz.de/10013299239

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