IDEAS home Printed from https://ideas.repec.org/a/eee/ecolec/v69y2010i5p1076-1082.html
   My bibliography  Save this article

Triple win for trade in renewable resource goods by use of export taxes

Author

Listed:
  • Flaaten, Ola
  • Schulz, Carl Erik

Abstract

We challenge the free trade paradigm, in particular for developing countries exporting natural resource goods, by demonstrating positive economic and environmental effects of an export tax for renewable resource goods. The two-sector general equilibrium model designed has an open-access renewable resource industry and a manufacturing industry. The economic, environmental and social effects of using an export tax on goods from the open-access renewable resource industry are analysed. It is demonstrated that the gross domestic product, the steady-state resource stock and the domestic consumption of both products increase with the resource export tax compared to free trade with no trade taxes.

Suggested Citation

  • Flaaten, Ola & Schulz, Carl Erik, 2010. "Triple win for trade in renewable resource goods by use of export taxes," Ecological Economics, Elsevier, vol. 69(5), pages 1076-1082, March.
    • Handle: RePEc:eee:ecolec:v:69:y:2010:i:5:p:1076-1082
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0921-8009(09)00478-9
    Download Restriction: Full text for ScienceDirect subscribers only
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Parzival Copes, 1986. "A Critical Review of the Individual Quota as a Device in Fisheries Management," Land Economics, University of Wisconsin Press, vol. 62(3), pages 278-291.
    2. James A. Brander & M. Scott Taylor, 1997. "International Trade and Open-Access Renewable Resources: The Small Open Economy Case," Canadian Journal of Economics, Canadian Economics Association, vol. 30(3), pages 526-552, August.
    3. Copes, Parzival, 1970. "The Backward-Bending Supply Curve Of The Fishing Industry," Scottish Journal of Political Economy, Scottish Economic Society, vol. 17(1), pages 69-77, February.
    4. Erwin Bulte & Edward Barbier, 2005. "Trade and Renewable Resources in a Second Best World: An Overview," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 30(4), pages 423-463, April.
    5. Pomeroy, Robert & Thi Nguyen, Kim Anh & Thong, Ha Xuan, 2009. "Small-scale marine fisheries policy in Vietnam," Marine Policy, Elsevier, vol. 33(2), pages 419-428, March.
    6. Emran, M. Shahe, 2005. "Revenue-increasing and welfare-enhancing reform of taxes on exports," Journal of Development Economics, Elsevier, vol. 77(1), pages 277-292, June.
    7. Frank Asche & Ola Flaaten & John R. Isaksen & Terje Vassdal, 2002. "Derived Demand and Relationships between Prices at Different Levels in the Value Chain: A Note," Journal of Agricultural Economics, Wiley Blackwell, vol. 53(1), pages 101-107, March.
    8. Nielsen, Max, 2006. "Trade liberalisation, resource sustainability and welfare: The case of East Baltic cod," Ecological Economics, Elsevier, vol. 58(3), pages 650-664, June.
    9. Raakjær, Jesper & Manh Son, Dao & Stæhr, Karl-Johan & Hovgård, Holger & Dieu Thuy, Nguyen Thi & Ellegaard, Kristine & Riget, Frank & Van Thi, Dang & Giang Hai, Phung, 2007. "Adaptive fisheries management in Vietnam: The use of indicators and the introduction of a multi-disciplinary Marine Fisheries Specialist Team to support implementation," Marine Policy, Elsevier, vol. 31(2), pages 143-152, March.
    10. Urs Steiner Brandt & Niels Vestergaard, 2006. "Illegal Landings: An Aggregate Catch Self-Reporting Mechanism," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 88(4), pages 974-985.
    11. Rögnvaldur Hannesson, 2000. "Renewable resources and the gains from trade," Canadian Journal of Economics, Canadian Economics Association, vol. 33(1), pages 122-132, February.
    12. Copes, Parzival, 1972. "Factor Rents, Sole Ownership and the Optimum Level of Fisheries Exploitation," The Manchester School of Economic & Social Studies, University of Manchester, vol. 40(2), pages 145-163, June.
    13. Susana Ferreira, 2007. "Trade Policy and Natural Resource Use: The Case for a Quantitative Restriction," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 37(2), pages 361-376, June.
    14. H. Scott Gordon, 1954. "The Economic Theory of a Common-Property Resource: The Fishery," Palgrave Macmillan Books, in: Chennat Gopalakrishnan (ed.), Classic Papers in Natural Resource Economics, chapter 9, pages 178-203, Palgrave Macmillan.
    15. H. Scott Gordon, 1954. "The Economic Theory of a Common-Property Resource: The Fishery," Journal of Political Economy, University of Chicago Press, vol. 62(2), pages 124-124.
    16. Wilen, James E., 2000. "Renewable Resource Economists and Policy: What Differences Have We Made?," Journal of Environmental Economics and Management, Elsevier, vol. 39(3), pages 306-327, May.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Louis Dupuy & Matthew Agarwala, 2014. "International trade and sustainable development," Chapters, in: Giles Atkinson & Simon Dietz & Eric Neumayer & Matthew Agarwala (ed.), Handbook of Sustainable Development, chapter 25, pages 399-417, Edward Elgar Publishing.
    2. Solleder, Jean-Marc, 2020. "Market power and export taxes," European Economic Review, Elsevier, vol. 125(C).
    3. Louis Dupuy, 2012. "International Trade and Sustainability: A survey," Larefi Working Papers 201201, Larefi, Université Bordeaux 4.
    4. Luca Mulazzani & Rosa Manrique & Giovanna Trevisan & Giulio Malorgio, 2015. "Fish market integration and demand analysis: a Mediterranean case study," Agricultural Economics, International Association of Agricultural Economists, vol. 46(1), pages 39-52, January.
    5. Louis Dupuy, 2012. "International Trade and Sustainability : A survey," Working Papers hal-00701426, HAL.
    6. Olga Solleder, 2013. "Panel Export Taxes (PET) Dataset: New Data on Export Tax Rates," IHEID Working Papers 07-2013, Economics Section, The Graduate Institute of International Studies.
    7. Gökhan Güven, 2024. "The effects of resource export and import taxes on resource conservation and welfare outcomes: triple win or loss reconsidered," Economic Change and Restructuring, Springer, vol. 57(4), pages 1-53, August.
    8. Ying Lin & Henry W. Kinnucan, 2020. "The optimal export tax for a primary commodity in a vertical market," Agricultural Economics, International Association of Agricultural Economists, vol. 51(6), pages 909-922, November.
    9. Liaila Tajibaeva, 2012. "Property Rights, Renewable Resources and Economic Development," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 51(1), pages 23-41, January.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Sabau, Gabriela & Boksh, F.I.M. Muktadir, 2017. "Fish Trade Liberalization Under 21st Century Trade Agreements: The CETA and Newfoundland and Labrador Fish and Seafood Industry," Ecological Economics, Elsevier, vol. 141(C), pages 222-233.
    2. Eggert, Håkan, 2006. "Fisheries Economics and 20 years with Marine Resource Economics: A Citation Analysis," Working Papers in Economics 203, University of Gothenburg, Department of Economics.
    3. Dube, Isha & Quaas, Martin, 2024. "Love of variety and the welfare effects of trade in renewable resources," Journal of Environmental Economics and Management, Elsevier, vol. 125(C).
    4. Wei-Bin ZHANG, 2014. "Human Capital, Wealth, and Renewable Resources," Expert Journal of Economics, Sprint Investify, vol. 2(1), pages 1-20.
    5. Bulte, Erwin H., 2003. "Open access harvesting of wildlife: the poaching pit and conservation of endangered species," Agricultural Economics, Blackwell, vol. 28(1), pages 27-37, January.
    6. Brian R. Copeland & M. Scott Taylor, 2017. "Environmental and resource economics: A Canadian retrospective," Canadian Journal of Economics/Revue canadienne d'économique, John Wiley & Sons, vol. 50(5), pages 1381-1413, December.
    7. Brander, James A. & Scott Taylor, M., 1997. "International trade between consumer and conservationist countries," Resource and Energy Economics, Elsevier, vol. 19(4), pages 267-297, November.
    8. Smith, I.R., 1979. "A research framework for traditional fisheries," Monographs, The WorldFish Center, number 12304, April.
    9. Susana Ferreira, 2007. "Trade Policy and Natural Resource Use: The Case for a Quantitative Restriction," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 37(2), pages 361-376, June.
    10. Gökhan Güven, 2024. "The effects of resource export and import taxes on resource conservation and welfare outcomes: triple win or loss reconsidered," Economic Change and Restructuring, Springer, vol. 57(4), pages 1-53, August.
    11. Schiff, Maurice, 2021. "Low, High and Super Congestion of a Renewable Natural Resource under Autarky and Trade," IZA Discussion Papers 14279, Institute of Labor Economics (IZA).
    12. José Ramón Ruiz Tamarit & Manuel Sánchez Moreno, 2006. "Optimal Regulation And Growth In A Natural-Resource-Based Economy," Working Papers. Serie AD 2006-21, Instituto Valenciano de Investigaciones Económicas, S.A. (Ivie).
    13. Bergeron, Nancy, 2002. "International Trade and Conservation with Costly Natural Resource Management," Cahiers de recherche 0204, GREEN.
    14. Schiff, Maurice, 2024. "Population Growth and the Tragedy of the Commons: Can Trade Prevent Natural Resource and Welfare Collapse?," GLO Discussion Paper Series 1477, Global Labor Organization (GLO).
    15. Horan, Richard D. & Bulte, Erwin H., 2001. "Resource Or Nuisance? Managing African Elephants As A Multi-Use Species," 2001 Annual meeting, August 5-8, Chicago, IL 20440, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    16. Ahmed S. Khan, 2012. "Understanding Global Supply Chains and Seafood Markets for the Rebuilding Prospects of Northern Gulf Cod Fisheries," Sustainability, MDPI, vol. 4(11), pages 1-24, November.
    17. Asche, Frank & Smith, Martin D., 2010. "Trade and fisheries: Key issues for the World Trade Organization," WTO Staff Working Papers ERSD-2010-03, World Trade Organization (WTO), Economic Research and Statistics Division.
    18. Barkley Rosser, J. Jr., 2001. "Complex ecologic-economic dynamics and environmental policy," Ecological Economics, Elsevier, vol. 37(1), pages 23-37, April.
    19. Horan, R.D. & Bulte, E.H., 2004. "Optimal and open access harvesting and multi-use species in a second best world," Other publications TiSEM 95000e50-7225-4f4d-aeaf-a, Tilburg University, School of Economics and Management.
    20. Kanchanaroek, Yingluk & Termansen, Mette & Quinn, Claire, 2013. "Property rights regimes in complex fishery management systems: A choice experiment application," Ecological Economics, Elsevier, vol. 93(C), pages 363-373.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:ecolec:v:69:y:2010:i:5:p:1076-1082. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/ecolecon .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.