Impacts Of Foreign Trade Scale On Industrial Pollution In China: A Quantitive Study

Under the trend of economic globalization, international trade, known as the "economic growth engine", is taking up a very important part in the economic development. But at the same time, it also brings a big challenge to the global ecological system. Therefore, the two tides of trade and environment begin to collide and influence each other. The issue between trade and environment, particularly industrial pollution is becoming more and more outstanding. Figer out the corresponding between the two is especially more important to a developing country like China.But the study of this field is more like a beginning in China, far behind the western countries. And the widely used single-equation econometric models always have some shortage. It can't reflex the two-way interruption of industrial pollution and trade scale.This paper first gives a qualitative analysis about the two, and builds an industrial pollution index that can reflex the industrial pollution status, meanwhile settles the problem caused by the change of statistic scale. And second, it amends the frame model of Dean and specifies it considering related theories and the reality of China. At last it makes a quantificational analysis of the interactions between the two, as well as giving some suggestions on policy.There are some main conclusions of this paper. First, the amendment to Dean is effective. Second, there are indeed complicated interactions between China Industrial Pollution and Trade Scale, and it is consistent with nowadays theories. But you can't get that China has any comparative advantage in the pollution-intensity products. And also the "Pollution Heaven Hypothesis" does not get any empirical support here. Third, due to effective environment regulations, Trade Scale have an active impact on industrial pollution in China.And fourth, we can get a continuable development in China by enhancing environment regulation, education and supporting to Environment Frendly Enterprises while encourage trade liberlazation.