Overview: Introduction to the Topic and Literature Review: Globalization and environmental issues

Overview:

Introduction to the Topic and Literature Review:

Globalization and environmental issues have been

intricately linked in academic discussions for decades.

A pivotal paper by Copeland et al. (2022) outlines nine

key stylized facts that highlight the interaction

between international trade and environmental

pollution. These include the exposure of dirty

industries to trade, the correlation between different

types of pollution, the upstream position of dirty

industries, and the differential pollution emission rates

across countries. Additionally, the paper notes the

significant contribution of developing countries to

global emission growth and the role of international

trade in global pollution emissions, among other

insights.

Key papers in this field include:

• “Environmental and Economic Impacts of

Globalization: A Framework for Analysis” by

Grossman and Krueger (1991).

• “International Trade and the Environment: A

Review of the Literature” by Copeland and

Taylor (2004).

• “The Environmental Implications of

Globalization” by Frankel (2003).

These works provide a foundational understanding of

the complex dynamics between trade policies and

environmental outcomes.

Methods:

To answer the research question, this project will:

Replicate the analysis conducted by Copeland

et al. (2022) using the World Input Output

Database (WIOD).

Data Sources:

Potential data sources for this research include:

• World Input Output Database (WIOD)

• FIGARO input-output tables: FIGARO

• EORA input-output tables: EORA

• Environmental Protection Agency (EPA) data

• Emissions Database for Global Atmospheric

Research (EDGAR)

• Trade and environmental datasets from the

World Bank

• United Nations Comtrade database

• Country-specific environmental and trade data

from national statistical agencies

Policy Relevance:

This research is highly relevant to current policy

debates on the environmental impacts of

globalization. By providing updated and robust

evidence on the relationship between trade and

pollution, the findings can inform policymakers on how

to design trade policies that minimize environmental

harm. Furthermore, understanding the outsourcing of

pollution by rich countries to developing nations can

guide international environmental agreements and

regulations. This research could also contribute to the

ongoing discussions around sustainable development

goals (SDGs) and climate change mitigation

strategies.