Pollution content tariffs, environmental rent shifting.pdfVIP

JOWldOt INTENNAltONAL ECO1IOiWfCS EZXVIER Journal of International Economics 40 (1996) 459-476 Pollution content tariffs, environmental rent shifting, and the control of cross-border pollution Brian R. Copeland Department of Economics, University of British Columbia, Vancouver, B.C. V6T 121, Canada Received 1 November 1993; revised 1 June 1995 Abstract This paper considers the optimal unilateral policy for a country that imports a good from a neighbouring country and is harmed by pollution generated during the production of that good. If the foreign country has a variable abatement