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| Author: | Eliste, P. Fredriksson, P. G. |
| Title: | Environmental regulations, transfers, and trade: theory and evidence |
| Journal: | Journal of Environmental Economics and Management
2002 : MAR, VOL. 43:2, p. 234-250 |
| Index terms: | ENVIRONMENTAL POLICY REGULATIONS TRADE TRANSFER PAYMENTS |
| Language: | eng |
| Abstract: | The paper develops a theory of compensation of producers for the costs associated with environmental regulations. The authors show that the existence of transfers can give counter-intuitive effects of environmental policy on both output and trade flows. In particular, the compensation obtained by producers neutralizes the effect of environmental policy on output, and consequently on trade flows. |
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