Transfer of Pollution Abatement Technology and Unemployment：（污染治理技术的转移和失业）.pdfVIP

Transfer of Pollution Abatement Technology and Unemployment Muneyuki Saito Yasuyuki Sugiyama Graduate School of Economics, Osaka University Graduate School of Economics, Osaka University Abstract This paper investigates the effects of the transfer of pollution abatement technology on the level of urban unemployment, the total amount of pollution, and social welfare in a small, open Harris--Todaro economy. We show that these transfers reduce urban unemployment and decrease the total amount of pollution. However, social welfare is unchanged because the technology transfer does not affect factor prices. We would like to thank Kenzo Abe for many helpful comments and suggestions. All remaining errors are our responsibility. Citation: Saito, Muneyuki and Yasuyuki Sugiyama, (2007) Transfer of Pollution Abatement Technology and Unemployment. Economics Bulletin, Vol. 6, No. 5 pp. 1-8 Submitted: February 15, 2007. Accepted: February 21, 2007. URL: /2007/volume6/EB-07F10003A.pdf 1 Introduction In most trade negotiations, the difference in economic environments between developed and developing countries has been a major source of conflict. This is because the main interest of developing countries is often the elimination of poverty and structural unemployment through economic extension and growth, while the management of environmental problems is given rather less attention. The cooperation of developing countries is indispensable for solving many global environmental problems. In recent years, developed countries have supported pollution abatement activities in many developing countries 1 . The transfer of pollution