A BEJEAP Topics article.

Abstract

It is shown how corruption in the management of environmental resources can give rise to a comparative advantage in environment-intensive industries. International trade, in this setting, is not necessarily welfare improving. When corruption responds endogenously to the over-exploitation of resources, it is possible for international trade to generate forces that improve resource management by reducing corruption. Therefore, in this case trade could provide gains in addition to the usual gains.

Submitted: October 10, 2005 · Accepted: July 4, 2006 · Published: September 9, 2006

Originally published in Topics in Economic Analysis & Policy.

Recommended Citation

Ranjan, Priya and Bakshi, Baishali (2006) "Corruption, Environmental Resources, and International Trade," Topics in Economic Analysis & Policy: Vol. 6 : Iss. 1, Article 17.
Available at: http://www.bepress.com/bejeap/topics/vol6/iss1/art17