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Trade openness and air pollution: City-level empirical evidence from China

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  • Lin, Faqin

Abstract

We seek to contribute to the debate over trade openness and the environment by taking specific account of the endogeneity of trade openness. We use exogenous geographic determinants of trade as instrumental variables as well as distance to Huai River for identification which is based on China's heating policy. Using air quality measure from NASA, we find that trade increases three measures of air pollution: SO2, NO2, and Aerosol concentration.

Suggested Citation

  • Lin, Faqin, 2017. "Trade openness and air pollution: City-level empirical evidence from China," China Economic Review, Elsevier, vol. 45(C), pages 78-88.
    • Handle: RePEc:eee:chieco:v:45:y:2017:i:c:p:78-88
    DOI: 10.1016/j.chieco.2017.07.001
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    More about this item

    Keywords

    Trade openness; Air pollution; Instrument variable;
    All these keywords.

    JEL classification:

    • F18 - International Economics - - Trade - - - Trade and Environment
    • F64 - International Economics - - Economic Impacts of Globalization - - - Environment
    • O13 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Agriculture; Natural Resources; Environment; Other Primary Products

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