Industrial policy has long been criticized as subject to protectionist interests; accordingly, subsidies to domestic producers face disciplines under World Trade Organization agreements, without exceptions for environmental purposes. Now green industrial policy is gaining popularity as...

This paper surveys the literature on the relationship between international trade in goods and the factors and the environment. Traditional approaches based on the Heckscher-Ohlin trade model and more recent models looking at non-competetive market structures are discussed. Moreover, the paper...