Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/72232 
Year of Publication: 
2011
Series/Report no.: 
UCD Centre for Economic Research Working Paper Series No. WP11/01
Publisher: 
University College Dublin, UCD School of Economics, Dublin
Abstract: 
This paper looks at a reverse side of the pollution haven argument by answering a question on whether environmental regulations of the destination, rather than source countries play a role. The study utilises a firm-level dataset with aggregate export destinations of Europe and rest of the world (ROW) to establish whether a firm adjusts its energy use in response to a decision to start exporting to a more (Europe) or a less (ROW) regulated destination. Although on average, no energy adjustments are found for these destinations, focusing on the most polluting industries or the most energy-intensive firms reveals that firms' decision to start exporting to Europe brings about significant energy improvements, unlike a decision to start exporting to the ROW. Further estimations suggest that no adjustments found for firms exporting to the ROW are consistent with exporting to non-OECD region.
Subjects: 
Export destinations
Energy
Firm level
Regulations
JEL: 
F18
Q56
L23
C23
Document Type: 
Working Paper

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