Question

What country in East Asia has resorted to "pollution exporting" where dirtier factories are moved overseas as a way to improve its environment?A) SingaporeB) JapanC) ChinaD) North KoreaE) All of the choices are correct.

Answer 1

Answer:

B) Japan

Explanation:

The pollution export hypothesis suggests the need for capital control and foreign trade operations. The economic policy implications of the Jones and Manuelli model suggest that developed countries such as Japan that are not able to establish efficient anti-pollution policies could benefit from international assistance that allows them to establish efficient control institutions. Finally, the equilibrium models discussed imply that any public policy that accelerates the transition from corner solutions to interior solutions would be beneficial for the environment. Normally, these public policies should be policies to promote economic growth and increase investments for the improvement of the environment.