China’s accession to the WTO increased pollution via coal powerplants, not exporters or their suppliers and consumers

As countries consider trade deals to foster development, the question of how trade impacts pollution keeps resurfacing. This column examines how China’s rapid entry into world markets in the early 2000s affected pollution through three channels. The authors find that (1) when firms export more, pollution near their manufacturing plants tends to fall; (2) pollution ...

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