"Pollution Haven Hypothesis: A Case Study of Taiwanese Outward FDI", Selected poster at the 2014 AAEA Annual Meeting in Minneapolis.
Abstract
The outward foreign investment of Taiwanese manufacturing industries appears a significant surge both in terms of case and in terms of amount since 1987. During the same period, the government began to execute a series of revisions to the various environmental statutes and upgraded the effectiveness of the environmental supervision since the early 1990s. By using the firm-level data, this study examines whether the increasing stringency of environmental regulations in Taiwan accounts for a part of the increasing outward foreign investment of manufacturing sector and whether the foreign investment triggered by stricter environmental regulations locates at the countries with laxer environmental regulations (i.e. pollution haven hypothesis; PHH). The empirical results contradict the prediction of PHH. The results suggest that less polluting firms are more likely to be pollution haven seekers than polluting firms are. In addition, polluting firms undergoing more environmental protection expenditure tend to invest more in countries with stricter environmental regulations.
"Environmental Regulation and Competitiveness: Evidence from Trade and Production in the Manufacturing Sector", Selected paper at the 2014 AAEA Annual Meeting in Minneapolis.
Abstract
Previous empirical studies of the pollution haven hypothesis (PHH) have not reached a consistent conclusion. The existing literature is primarily based on anecdotes and scattered case studies. This study analyzes the trade flows and composition change of the most polluting industries in manufacturing sectors among countries in order to offer a more general conclusion. This study finds that stricter environmental regulation stringency decreases the net export and production share of the most polluting production, which provides the evidence for pollution haven effect (PHE). However, we find no evidence to support PHH. Contrary, we find stricter environmental regulation stringency corresponds to larger net export and polluting production as trade openness increases. We also find that the ability to innovate in environmental-related technology creates a comparative advantage in polluting production. This finding implies that governments do not have to constrain their policies on the tradeoff between pollution control and international competitiveness since the innovative ability may both obtain the goals of pollution control and strengthening international competitiveness.
"Measurement of Yield Distributions: Time-Varying Mixture Distribution Models," 2011, Selected paper at the AAEA Annual Meeting in Pittsburgh.
Abstract
A precise crop yield risk assessment depends on the accuracy of modeling the distribution. In order to avoid the possible bias associated with measuring the yield distribution in the conventional two-stage method, we adopt a more flexible parametric model, which simultaneously and coherently species the rst four moments using suitable polynomials. The coefficients of the polynomials are estimated simultaneously by maximizing the resulting likelihood function. A variety of specication tests and evaluations of forecasting performance suggest that our model better species the crop yield and provides superior forecasting performance relative to the conventional two-stage method.
"Marketability Productivity and Marketability Eciency of Taiwan Commercial Banks," 2005, The Sixth Annual Conference on Empirical Economics in Kaohsiung, Taiwan.
Abstract
Utilizing stochastic frontier analysis (SFA), this paper examines the marketability productivity and efficiency of 33 Taiwanese commercial banks. Compare to the results of previous studies, banks exhibit better performance on protability efficiency or cost efficiency do not necessarily perform better with respect to marketability.
"International Spillover Eect of Green Knowledge," work in progress
Abstract
Pollution is an appearance of unnecessary and incomplete utilization of resources, which suggests that pollution reduction may improve the eciency of rm's utilizing resources. This study, specically, aims to extract the international R & D spillover eect induced by dierential green knowledge among counties and through the channel of learning by trading.
"Do Foreign Direct Investments from Non-Developed Countries Have Fewer Contributions than That from Developed Countries?" work in progress
Abstract
By examining the U.S. data from 1998 to 2007, we nd that the contribution, in terms of industrial output value, of FDI from developed countries is less strong than that from non-developed countries. That may be due to the heterogeneity of technologies and knowledge between the U.S. rms and the firms of non-developed countries. That also might be because the multinationals from developed countries have more rigorous protection preventing technology leakage and spillover than the multinationals from non-developed countries. We further find that FDI from developed countries has a stronger contribution in manufacturing industry and FDI from non-develop countries has a stronger contribution in nance relative industries.
Abstract
The outward foreign investment of Taiwanese manufacturing industries appears a significant surge both in terms of case and in terms of amount since 1987. During the same period, the government began to execute a series of revisions to the various environmental statutes and upgraded the effectiveness of the environmental supervision since the early 1990s. By using the firm-level data, this study examines whether the increasing stringency of environmental regulations in Taiwan accounts for a part of the increasing outward foreign investment of manufacturing sector and whether the foreign investment triggered by stricter environmental regulations locates at the countries with laxer environmental regulations (i.e. pollution haven hypothesis; PHH). The empirical results contradict the prediction of PHH. The results suggest that less polluting firms are more likely to be pollution haven seekers than polluting firms are. In addition, polluting firms undergoing more environmental protection expenditure tend to invest more in countries with stricter environmental regulations.
"Environmental Regulation and Competitiveness: Evidence from Trade and Production in the Manufacturing Sector", Selected paper at the 2014 AAEA Annual Meeting in Minneapolis.
Abstract
Previous empirical studies of the pollution haven hypothesis (PHH) have not reached a consistent conclusion. The existing literature is primarily based on anecdotes and scattered case studies. This study analyzes the trade flows and composition change of the most polluting industries in manufacturing sectors among countries in order to offer a more general conclusion. This study finds that stricter environmental regulation stringency decreases the net export and production share of the most polluting production, which provides the evidence for pollution haven effect (PHE). However, we find no evidence to support PHH. Contrary, we find stricter environmental regulation stringency corresponds to larger net export and polluting production as trade openness increases. We also find that the ability to innovate in environmental-related technology creates a comparative advantage in polluting production. This finding implies that governments do not have to constrain their policies on the tradeoff between pollution control and international competitiveness since the innovative ability may both obtain the goals of pollution control and strengthening international competitiveness.
"Measurement of Yield Distributions: Time-Varying Mixture Distribution Models," 2011, Selected paper at the AAEA Annual Meeting in Pittsburgh.
Abstract
A precise crop yield risk assessment depends on the accuracy of modeling the distribution. In order to avoid the possible bias associated with measuring the yield distribution in the conventional two-stage method, we adopt a more flexible parametric model, which simultaneously and coherently species the rst four moments using suitable polynomials. The coefficients of the polynomials are estimated simultaneously by maximizing the resulting likelihood function. A variety of specication tests and evaluations of forecasting performance suggest that our model better species the crop yield and provides superior forecasting performance relative to the conventional two-stage method.
"Marketability Productivity and Marketability Eciency of Taiwan Commercial Banks," 2005, The Sixth Annual Conference on Empirical Economics in Kaohsiung, Taiwan.
Abstract
Utilizing stochastic frontier analysis (SFA), this paper examines the marketability productivity and efficiency of 33 Taiwanese commercial banks. Compare to the results of previous studies, banks exhibit better performance on protability efficiency or cost efficiency do not necessarily perform better with respect to marketability.
"International Spillover Eect of Green Knowledge," work in progress
Abstract
Pollution is an appearance of unnecessary and incomplete utilization of resources, which suggests that pollution reduction may improve the eciency of rm's utilizing resources. This study, specically, aims to extract the international R & D spillover eect induced by dierential green knowledge among counties and through the channel of learning by trading.
"Do Foreign Direct Investments from Non-Developed Countries Have Fewer Contributions than That from Developed Countries?" work in progress
Abstract
By examining the U.S. data from 1998 to 2007, we nd that the contribution, in terms of industrial output value, of FDI from developed countries is less strong than that from non-developed countries. That may be due to the heterogeneity of technologies and knowledge between the U.S. rms and the firms of non-developed countries. That also might be because the multinationals from developed countries have more rigorous protection preventing technology leakage and spillover than the multinationals from non-developed countries. We further find that FDI from developed countries has a stronger contribution in manufacturing industry and FDI from non-develop countries has a stronger contribution in nance relative industries.