NAFTA and the pollution haven hypothesis

The "Pollution Haven Hypothesis" is the prediction that trade liberalization will lead to the movement of polluting industries from high income/stringent environmental regulation countries to low income/ lax environmental regulation countries. This prediction has led to concerns that NAFTA would be an environmental disaster for Mexico. The three articles included in this collection investigate the post-NAFTA environmental performance of Mexico using both aggregate data on pollution emissions as well as firm-level data on environmental abatement efforts. In this article, I summarize the contribution in the context of the trade/environmental literature and provide some suggestions for future work.