Journal
SOUTH AFRICAN JOURNAL OF ECONOMICS
Volume 73, Issue 4, Pages 803-814Publisher
ECONOMIC SOC SOUTH AFRICA
DOI: 10.1111/j.1813-6982.2005.00055.x
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Evidence that the environmental Kuznets curve (EKC) may be explained by trade patterns casts doubt on the oft-stated conclusion that economic growth automatically leads to environmental improvement. Trends in net exports as a proportion of consumption for both USA and UK trade with SACU were examined for various dirty industries. Some evidence of pollution haven effects is found, although a similar trend for clean industries suggests that this effect is weak. However, even a general shift in manufacturing industries from North to South (as opposed to a shift in specifically dirty industries) may explain the EKC to some extent.
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