研討日期	2010年09月25日10:20 ~ 12:00
研討地點	台大社會科學院26教室
題目	Wind Direction and Pollution Policy under International Outsourcing
作者	Laixun Zhao
文獻出處	Working paper
報告人	Laixun Zhao
參加人員	Laixun Zhao、黃鴻、王光正、梁文榮、吳芝文、陳宏易、張民忠、彭正浩、蔡明芳、許凱威、曾靜枝、徐靖、王羿傑、高國峯、林晏如、涂光億、丁虹仁、周冰瑤、施姵全
摘要	This paper examines how wind direction and home environmentalism affect incentives to curb pollution in a three-country framework. With the externality generated by wind direction,country/plant location is critical in determining whether governments choose tough or lax environmental policies. It is shown that strong home environmentalism might deviate the ranking of pollution taxes from the first best if countries do not cooperate, even under a single multinational firm. Also, large production cost differences can cause outsourcing to the upwind country that brings more foreign pollution back home. Under oligopoly, several undesirable scenarios may arise: (i) the government loosens pollution control if the domestic firm has a worse abatement technology,to compete with foreign rivals; (ii) under free trade, an increase in home environmentalism may even loosen home pollution control but tighten those in foreign countries; (iii) if pollution becomes more trans-boundary, the upwind country may lower pollution tax and the downwind foreign country may do the same if environmentalism is strong. These counter-intuitive results can provide guidance to governments in designing pollution-control policies.
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