Comparative analysis of the effect of international trade on China’s CO2 emission before and after joining WTO

Zou Qing; Chen Xun; Lv Junna

Science Research Management ›› 2013, Vol. 34 ›› Issue (11) : 137-146.

Comparative analysis of the effect of international trade on China’s CO₂ emission before and after joining WTO

Zou Qing, Chen Xun, Lv Junna

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Abstract

In order to calculate the differences of international trade's impact on CO₂ emission before and after joining WTO and test the Factor Endowment Hypothesis and the Pollution Haven Hypothesis, this paper uses 29 provinces' panel data from 1995 to 2010 to do the 3SLS estimation by establishing the simultaneous equation model and introducing the dummy variables. The test results indicate that: (1) before and after joining WTO, the scale, structure and technical effects of international trade on CO₂ emission have significant differences; (2) the total effect elastic coefficient of international trade on CO₂ emission has increased after joining WTO, which has led to further deterioration of the environment; and (3) the two hypotheses have both passed the tests, but as the environmental regulation plays a leading role, the structure effect has a negative impact on the environment.

Key words

international trade / scale effect / structure effect / technical effect / CO₂ emission

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Zou Qing, Chen Xun, Lv Junna. Comparative analysis of the effect of international trade on China’s CO₂ emission before and after joining WTO[J]. Science Research Management. 2013, 34(11): 137-146

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