IDEAS home Printed from https://ideas.repec.org/p/ags/ubzefd/18764.html
   My bibliography  Save this paper

On Export Rivalry And The Greening Of Agriculture - The Role Of Eco-Labels

Author

Listed:
  • Basu, Arnab K.
  • Chau, Nancy H.
  • Grote, Ulrike

Abstract

Why do some countries establish their own national eco-labeling programs and some do not? In this paper, we provide both theoretical arguments and empirical evidence suggesting that the answer to this question can shed new light on three questions that have taken center-stage in the trade and environment debate: (i) does trade exacerbate the exploitation of the environment; (ii) are countries competing in export markets engaged in a race to the bottom in environmental performance; and (iii) do market-based environmental instruments benefit the rich and hurt the poor? Our analysis shows that a country's decision to adopt eco-labeling programs is systematically related to a country's: (i) stage of development, (ii) existing environmental performance in the absence of eco-labeling initiatives, and (iii) scale of production. To be appended to this set of essentially non-trade related factors is a set of additional factors that apply in the presence of export rivalry. These include (i) a country's comparative cost advantage and net export orientation, and (ii) the extent of peer or strategic interactions between export competitors.

Suggested Citation

  • Basu, Arnab K. & Chau, Nancy H. & Grote, Ulrike, 2003. "On Export Rivalry And The Greening Of Agriculture - The Role Of Eco-Labels," Discussion Papers 18764, University of Bonn, Center for Development Research (ZEF).
    • Handle: RePEc:ags:ubzefd:18764
    DOI: 10.22004/ag.econ.18764
    as

    Download full text from publisher

    File URL: https://ageconsearch.umn.edu/record/18764/files/dpdp0068.pdf
    Download Restriction: no
    File URL: https://libkey.io/10.22004/ag.econ.18764?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    Other versions of this item:

    References listed on IDEAS

    as
    1. Arnab K. Basu & Nancy Chau, 1998. "Asymmetric Country‐of‐Origin Effects on Intraindustry Trade and the International Quality Race," Review of Development Economics, Wiley Blackwell, vol. 2(2), pages 140-166, June.
    2. Nancy H. Chau & Ravi Kanbur, 2006. "The Race to the Bottom, from the Bottom," Economica, London School of Economics and Political Science, vol. 73(290), pages 193-228, May.
    3. Basu, Arnab K. & Chau, Nancy H., 2001. "Market Access Rivalry and Eco-labeling Standards: Are Eco-labels Non-tariff Barriers in Disguise?," Working Papers 127662, Cornell University, Department of Applied Economics and Management.
    4. repec:bla:rdevec:v:2:y:1998:i:2:p:140-66 is not listed on IDEAS
    5. Arnab K. Basu & Nancy H. Chau & Ulrike Grote, 2003. "Eco‐Labeling and Stages of Development," Review of Development Economics, Wiley Blackwell, vol. 7(2), pages 228-247, 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. José-Antonio Monteiro, 2010. "Eco-label Adoption in an Interdependent World," IRENE Working Papers 10-01, IRENE Institute of Economic Research.
    2. Vincenzina Caputo & Jayson L. Lusk, 2020. "What agricultural and food policies do U.S. consumers prefer? A best–worst scaling approach," Agricultural Economics, International Association of Agricultural Economists, vol. 51(1), pages 75-93, January.
    3. Basu, Arnab K. & Hicks, Robert L., 2008. "Label Performance and the Willingness to Pay for Fair Trade Coffee: A Cross-National Perspective," Discussion Papers 44336, University of Bonn, Center for Development Research (ZEF).
    4. Grote, Ulrike, 2009. "Environmental Labeling, Protected Geographical Indications and the Interests of Developing Countries," Estey Centre Journal of International Law and Trade Policy, Estey Centre for Law and Economics in International Trade, vol. 10(1), pages 1-17.
    5. Andrea Cristina Dorr & Jaqueline Carla Guse & Rubia Strassburger & Aline Zulian & Marivane Vestena Rossato, 2012. "Economic Analysis of the Marketing Channels in Citrus Industry in Brazil," Annals of the University of Petrosani, Economics, University of Petrosani, Romania, vol. 12(1), pages 93-108.
    6. Peter E. Robertson, 2007. "Global Resources and Eco‐labels: a Neutrality Result," Review of International Economics, Wiley Blackwell, vol. 15(4), pages 735-743, September.
    7. Li, Yi, 2020. "Competing eco-labels and product market competition," Resource and Energy Economics, Elsevier, vol. 60(C).
    8. Li, Yuanhao & van 't Veld, Klaas, 2015. "Green, greener, greenest: Eco-label gradation and competition," Journal of Environmental Economics and Management, Elsevier, vol. 72(C), pages 164-176.

    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. Bernhard G. GUNTER & Rolph HOEVEN, 2004. "The social dimension of globalization: A review of the literature," International Labour Review, International Labour Organization, vol. 143(1-2), pages 7-43, March.
    2. Peter E. Robertson, 2007. "Global Resources and Eco‐labels: a Neutrality Result," Review of International Economics, Wiley Blackwell, vol. 15(4), pages 735-743, September.
    3. Andrea Moro & Peter Norman, 2019. "Endogenous Comparative Advantage," Scandinavian Journal of Economics, Wiley Blackwell, vol. 121(3), pages 1088-1124, July.
    4. Zhiqi Chen & Afshan Dar‐Brodeur, 2020. "Trade and labour standards: Will there be a race to the bottom?," Canadian Journal of Economics/Revue canadienne d'économique, John Wiley & Sons, vol. 53(3), pages 916-948, August.
    5. Sara Kahn-Nisser, 2017. "Channels of Influence: The EU and Delta Convergence of Core Labour Standards in the Eastern Neighbourhood," The European Journal of Development Research, Palgrave Macmillan;European Association of Development Research and Training Institutes (EADI), vol. 29(1), pages 127-143, January.
    6. Laixun Zhao, 2006. "International Labor Standards and Southern Competition," Discussion Paper Series 193, Research Institute for Economics & Business Administration, Kobe University.
    7. Yanan Li & Ravi Kanbur & Carl Lin, 2019. "Minimum Wage Competition between Local Governments in China," Journal of Development Studies, Taylor & Francis Journals, vol. 55(12), pages 2479-2494, December.
    8. Bodo E. Steiner, 2004. "Australian wines in the British wine market: A hedonic price analysis," Agribusiness, John Wiley & Sons, Ltd., vol. 20(3), pages 287-307.
    9. Mehdi M. Chowdhury, 2009. "Migration, Remittances and Competition in International Labour Market," Discussion Papers 09/02, University of Nottingham, CREDIT.
    10. Elizabeth Waithanji & Nadhem Mtimet & Pauline Muindi, 2019. "Contagious Bovine Pleuropneumonia Vaccine Delivery and Adoption by Women and Men in North-Eastern Kenya," The European Journal of Development Research, Palgrave Macmillan;European Association of Development Research and Training Institutes (EADI), vol. 31(3), pages 364-387, July.
    11. Alejando Donado & Klaus Wälde, 2010. "How Bad is Globalization for Labour Standards in the North?," Working Papers 1011, Gutenberg School of Management and Economics, Johannes Gutenberg-Universität Mainz, revised 19 Aug 2010.
    12. Kimberly Ann Elliott, 2003. "Labor Standards and the Free Trade Area of the Americas," Working Paper Series WP03-7, Peterson Institute for International Economics.
    13. Junyi Shen, 2008. "Understanding the determinants of consumers f willingness to pay for eco-labeled products: An empirical analysis of the China Environmental Label," OSIPP Discussion Paper 08E001, Osaka School of International Public Policy, Osaka University.
    14. Nancy H. Chau & Ravi Kanbur, 2006. "The Race to the Bottom, from the Bottom," Economica, London School of Economics and Political Science, vol. 73(290), pages 193-228, May.
    15. Donado, Alejandro. & Wälde, Klaus., 2012. "Globalization, trade unions and labour standards in the North," ILO Working Papers 994694483402676, International Labour Organization.
    16. Ivanova, Daniela, 2018. "Сертификацията – Инструмент За „Зелени“ Комуникации В Глобалната Търговия [Certification - a tool for “green” communications in global trade]," MPRA Paper 96038, University Library of Munich, Germany.
    17. Aguilar, Francisco X. & Cai, Zhen, 2010. "Conjoint effect of environmental labeling, disclosure of forest of origin and price on consumer preferences for wood products in the US and UK," Ecological Economics, Elsevier, vol. 70(2), pages 308-316, December.
    18. Gerhard Clemenz, 2010. "Eco-Labeling and Horizontal Product Differentiation," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 45(4), pages 481-497, April.
    19. Beuchelt, Tina D. & Zeller, Manfred, 2011. "Profits and poverty: Certification's troubled link for Nicaragua's organic and fairtrade coffee producers," Ecological Economics, Elsevier, vol. 70(7), pages 1316-1324, May.
    20. Chau, Nancy H., 2016. "On sweatshop jobs and decent work," Journal of Development Economics, Elsevier, vol. 121(C), pages 120-134.

    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:ags:ubzefd:18764. 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: AgEcon Search (email available below). General contact details of provider: https://edirc.repec.org/data/zefbnde.html .

    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.