Diskussionsbeiträge: Serie II, Sonderforschungsbereich 178 "Internationalisierung der Wirtschaft", Universität Konstanz 324
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.