The Effect of Trade Liberalization on the Environment: an Empirical Analysis in Zhongshan City

A reduction in trade barriers generally will affect the environment by expanding the scale of economic activity, by altering the composition of economic activity, and by bringing about a change in the techniques of production. This article presents empirical evidence to assess the relative magnitudes of these three effects as they apply to further trade liberalization in Zhongshan city. The author also puts forward some proposals on how to achieve coordinated development of trade and the environment in Zhongshan city.