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[Research]Does International Economic Integration Lead to a Cleaner Production in China?
2014.04.01 Views 763 경영학연구분석센터
| Production and Operations Management Vol. 23, No. 4, April 2014, pp. 525–536 Liguo Lin School of Economics, Shanghai University of Finance and Economics, Shanghai 200433, China, lin.liguo@mail.shufe.edu.cn Jon J. Moon Business School, Korea University, Seoul, 136-701, Korea, jonjmoon@korea.ac.kr Haitao YinAntai College of Economics and Management, Shanghai Jiao Tong University, Shanghai 200052, China, htyin@sjtu.edu.cn http://onlinelibrary.wiley.com/doi/10.1111/poms.12087/full Abstract In contrast to the Pollution Haven Hypothesis, the Trade-Up Hypothesis holds that international integration helpsimprove firms’ environmental performance in developing countries. Using firm-level data from Shanghai, this articleexamines how international linkages, in the form of foreign direct investment or international trade, affect firms’ environ-mental compliance and performance. We find that firms with international linkage via ownership exhibit better compli-ance with environmental regulation and emit less pollution than firms with no international linkage. We also find thatfirms with international linkage via market exposure are more likely to exhibit better compliance with environmental reg-ulation than firms with no international linkage, but find no evidence that the former emit less pollution than the latter.This provides a piece of empirical evidence for the Trade-Up Hypothesis. Key words Trade-Up Hypothesis; Pollution Haven Hypothesis; international integration; environment; China |