,' Econometrica, 71 (2): 1695-1725 -- Pethig, R. (1976), 'Pollution, Welfare, and Environmental Policy in the Theory of Comparative … technology transfer? Is the abatement achieved by unilateral pollution control offset by increased pollution elsewhere? The … competitiveness, evidence on the pollution haven hypothesis, effects of trade on the sustainability of renewable resources …

externality of harvesting and the inter‐industry pollution externality often coexist in reality. In a small open economy framework … industries on the environment, which in turn are functions of the pollution intensity and bioeconomic parameters, it is possible … that the inter‐sectoral pollution externality persists and specialization in manufacturing is not optimal from a welfare …