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Re-examining the pollution haven hypothesis from ambient regions

Bibliographic Data

ID21691040
AuthorsRong Ma (0000-0001-8941-6966, Beihang University), Xiaojun Shi (0000-0002-3676-7786, Renmin University of China, corresponding author)
Year2023
Volume28
Issue1
Pages47-67
Publication date2023-02-01
Peer ReviewedYes
Open AccessYes
TypeARTICLE
VenueEnvironment and Development Economics (JOURNAL)
Journal identifiersISSN: 1355-770X • E-ISSN: 1469-4395
PublisherCambridge University Press (CUP) (PUBLISHER)
DOI10.1017/s1355770x22000158
OpenAlexW4287219046
LanguageEN
Citations received3
References cited23

This paper re-examines the pollution haven hypothesis (PHH) by taking environmental regulation in ambient regions as a critical determinant concurrent with own regulation. Exploiting the Two Control Zones policy in China as a quasi-natural experiment, we find that both the curbing effect of the local environmental regulation and the spillover effect of ambient regions affect high-polluting foreign direct investment (FDI) location. Moreover, reallocated FDI results in redistributing instead of reducing pollutant emissions. Our evidence enriched by spatial spillover primarily supports the PHH in the context of China. It suggests a national-wide coordinated environmental policy with a unified goal performs better than separately implementing stringent regulations in highly polluted areas

Biology · Business · China · Economics · Environmental policy · Environmental regulation · Foreign direct investment · Geography · Haven · International economics · International trade · Macroeconomics · Natural resource economics · Political science · Pollution haven hypothesis · Spillover effect · Climate Change Policy and Economics · Energy, Environment, Economic Growth · Fiscal Policy and Economic Growth · Ecology · Pollution

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Unique citing works3
Citations per year1,5
Citation span2024 - 2025 (2)
Citation velocityrecent
Highly citedNo
Citation typesNeutral: 3

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