International Trade and Environmental Policy Under Imperfect Competition Available to Purchase

The objective of the present paper is to review the literature on the link between environmental policy and international trade, with a focus on imperfect competition on the world output markets. Special attention will be paid to the literature on oligopoly and strategic government policy and its potential consequences for the ecological dumping debate. We address partial equilibrium as well as general equilibrium approaches, and emphasize the fact that opposing conclusions can be reached.