Do Pollution Havens Exist? Evidence from East Asia

Soca Indriya and Tri Widodo ()

MPRA Paper from University Library of Munich, Germany

Abstract: The environmental policy about producing the dirty product has existed in East Asia. But in practice, countries in East Asia are often not strict in implementing the agreed policy. So until recently, environmental degradation due to pollution still occurs. The purpose of this study was to analyze indications of pollution havens in the East Asia and the trade patterns of dirty products in East Asia. This research uses secondary data, 10 East Asian countries namely Japan, Malaysia, Indonesia, Macao, Hong Kong, Singapore, Thailand, China, Korea, and Philippines are sourced from the United Nations Commodity Trade Statistics Database (UN-COMTRADE). The analysis was performed with the Trade Balance Index to analyze the trade in dirty products, the unit root test to see stationery data to identify indications of pollution havens. The research found that the weak indication of pollution havens. The existence of pollution havens but the trend is not significant, and the existence of comparative advantage in dirty products in East Asia.

Keywords: Dirty Product; Pollution Havens; Environmental Policy (search for similar items in EconPapers)
JEL-codes: F13 F17 Q5 Q56 (search for similar items in EconPapers)
Date: 2011-06-28
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