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Ecological dumping and environmental capital flight: The economics behind the propaganda

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  • Kuhn, Michael
  • Tivig, Thusnelda

Abstract

In this paper we analyze the connection between ecological dumping and environmental capital flight which in the literature is presented in three versions: capital flees in order to ecologically dump, firms flee and thus ecologically dump, and capital flees because governments ecologically dump. We find that 'ecological dumping' describes an ill posed problem: it has little to do with dumping and need not have any impact on the environment. Looking at the existing literature we find that although 'capital flight' is a misnomer, too, there are real problems dealt with under this heading. Nevertheless, because of their emotive and misleading undertone, we should better give up both notions.

Suggested Citation

  • Kuhn, Michael & Tivig, Thusnelda, 1996. "Ecological dumping and environmental capital flight: The economics behind the propaganda," Discussion Papers, Series II 324, University of Konstanz, Collaborative Research Centre (SFB) 178 "Internationalization of the Economy".
    • Handle: RePEc:zbw:kondp2:324
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    References listed on IDEAS

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    More about this item

    Keywords

    Dumping; Capital Flight; Delocation; Environment;
    All these keywords.

    JEL classification:

    • F13 - International Economics - - Trade - - - Trade Policy; International Trade Organizations
    • F21 - International Economics - - International Factor Movements and International Business - - - International Investment; Long-Term Capital Movements
    • H73 - Public Economics - - State and Local Government; Intergovernmental Relations - - - Interjurisdictional Differentials and Their Effects
    • Q28 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Government Policy

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