A pollution haven may arise if environmental stringency differs between countries, when capital is mobile, and when trade rules allow firms to relocate and still sell their products to the same customers.

Contents: Preface 1. Unbundling the Pollution Haven Hypothesis M. Scott Taylor 2. Environmental Policy, Population Dynamics and Agglomeration Chris Elbers and Cees Withagen 3. Managed Trade, Trade Liberalisation and Local Pollution Pierre M. Regibeau and Alberto Gallegos 4. Pollution Havens and the Regulation of Multinationals with Asymmetric Information Xiaodong Wu 5. Trade Integration and Political Turbulence: Environmental Policy Consequences Per G. Fredriksson and Muthukumara Mani 6. Pollution Abatement Expenditure by US Manufacturing Plants: Do Community Characteristics Matter? Randy A. Becker 7. Environmental Regulation as Export Promotion: Product Standards for Dirty Intermediate Goods Carol McAusland 8. Unilateral Emission Reductions and Cross-Country Technology Spillovers Rolf Golombek and Michael Hoel 9. Trade Liberalization and Pollution Havens Josh Ederington, Arik Levinson and Jenny Minier 10. Testing for Pollution Havens Inside and Outside of Regional Trading Blocs Matthew E. Kahn and Yutaka Yoshino 11. Environmental Regulation and International Trade: Empirical Results for Germany, the Netherlands and the US, 1977–1992 Abay Mulatu, Raymond J.G.M. Florax and Cees Withagen 12. Pollution Havens and Foreign Direct Investment: Dirty Secret or Popular Myth? Beata Smarzynska Javorcik and Shang-Jin Wei 13. The Unintended Disincentive in the Clean Air Act John A. List, Daniel L. Millimet and Warren McHone 14. Trade Pessimists vs Technology Optimists: Induced Technical Change and Pollution Havens Corrado Di Maria and Sjak A. Smulders 15. Does Trade Promote Environmental Coordination? Pollution in International Rivers Hilary Sigman 16. Cross-Country Policy Harmonization with Rent-Seeking Patrik T. Hultberg and Edward B. Barbier Index