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Intra-EU trade-embodied carbon emissions: Is there voting for dirty comparative advantages?

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  • Kaliske, Maren

Abstract

I use voting outcomes from the European Parliament to construct a novel sector-specific measure for revealed environmental policy preferences for EU member states. Applying a theory-consistent structural gravity model on intra-EU carbon embodied in trade between 2000 and 2014, this study finds that binding multilateral environmental agreements successfully eliminate comparative advantages for emission intensive industries.

Suggested Citation

  • Kaliske, Maren, 2023. "Intra-EU trade-embodied carbon emissions: Is there voting for dirty comparative advantages?," Economics Letters, Elsevier, vol. 231(C).
    • Handle: RePEc:eee:ecolet:v:231:y:2023:i:c:s0165176523003300
    DOI: 10.1016/j.econlet.2023.111305
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    References listed on IDEAS

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    1. Joseph S Shapiro, 2021. "The Environmental Bias of Trade Policy," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 136(2), pages 831-886.
    2. Wang, H. & Ang, B.W., 2018. "Assessing the role of international trade in global CO2 emissions: An index decomposition analysis approach," Applied Energy, Elsevier, vol. 218(C), pages 146-158.
    3. Rahel Aichele & Gabriel Felbermayr, 2015. "Kyoto and Carbon Leakage: An Empirical Analysis of the Carbon Content of Bilateral Trade," The Review of Economics and Statistics, MIT Press, vol. 97(1), pages 104-115, March.
    4. Jerneja Jug & Daniel Mirza, 2005. "Environmental Regulations in Gravity Equations: Evidence from Europe," The World Economy, Wiley Blackwell, vol. 28(11), pages 1591-1615, November.
    Full references (including those not matched with items on IDEAS)

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    More about this item

    Keywords

    Gravity model; EU; Pollution Haven Hypothesis;
    All these keywords.

    JEL classification:

    • F14 - International Economics - - Trade - - - Empirical Studies of Trade
    • F18 - International Economics - - Trade - - - Trade and Environment

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