Miguel Quiroga Presentation - The Porter Hypothesis at 20: Can Environmental Regulation Enhance...
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THE PORTER HYPOTHESIS AT 20: THE EFFECT OF ENVIRONMENTAL REGULATION ON PRODUCTIVITY AND COMPETITIVENESS Miguel Quiroga Economics Department, Universidad de Concepcion P o r t e r a t 2 0 - J u n e - 2 8 - 2 0 1 0
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Session 4: Effect of Environmental Regulation on Productivity and Competitiveness
Transcript of Miguel Quiroga Presentation - The Porter Hypothesis at 20: Can Environmental Regulation Enhance...
THE PORTER HYPOTHESIS AT 20:
THE EFFECT OF ENVIRONMENTAL REGULATION
ON PRODUCTIVITY AND COMPETITIVENESS
Miguel Quiroga
Economics Department, Universidad de Concepcion
Porte
r at 2
0 - Ju
ne-2
8-2
01
0
RESEARCH BACKGROUND
Joint with Thomas Sterner and Martin Persson
It is based in the Heckscher-Ohlin-Vanek model of trade.
Country’s net exports are expressed as a linear function of environmental endowments.
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ISSUES
• We have been testing an incorrect HOV equation. The correct factor content of trade definition includes a consumption condition that could be correlated with the environmental endowment (Trefler and Zhu, 2006).
• Parameters estimated using OLS would be downwards biased, increasing the possibility to find no evidence of pollution haven or the opposite result.
• Industrial aggregation matters
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