Trade liberalization on total suspended particulates: Determinants and effects

• Main Authors: Birrey, Karen Anne, Magpantay, Ivanhoe, Soliman, Ernalyn
• Format: text
• Language: English
• Published: Animo Repository 2006
• Subjects: Free trade > Philippines; Air > Pollution > Philippines; Environmental degradation > Philippines; Econometric models; Economics
• Online Access: https://animorepository.dlsu.edu.ph/etd_bachelors/7779
• Institution: De La Salle University

This study attempted to verify the effects of trade liberalization to pollution. It used the Philippines' degree of openness to trade, the number of registered vehicles, the number of air polluting establishments, levels of population and several trade policies that were in effect or were abolished during the period 1970 t0 2002 as determinants of total suspended particulates level (TSP). A linear econometric model was employed to come up with the effects of several trade liberalization factors on increasing TSP levels in the country. The results found were in line with previous literature. A higher degree of openess to trade decreases pollution concentrations in the event that consumers become more aware of the state of the environment. As expected, increases in the number of registered vehicles in the country do increase TSP levels. Vehicles contribute to increasing TSP concentration levels by means of the incomplete combustion of fossil fuels that power vehicles in the country. Another determinant that has a significant positive relation to TSP is the number of air polluting establishments. Trade causes these establishments to increase production processes together with its externalities. Using a dummy variaible for trade policies on the other hand increases TSP concentrations. However, it was not a significant factor as compared to the other variables used in the study.