We survey the recent literature on the theoretical and empirical developments of the relationship between trade and the environment. The theory, driven by empirical findings, has progressed from the environment as a pure source of international comparative advantage in trade to a simultaneous...

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...