This paper aims to test the pollution haven hypothesis within the European Union (EU), especially among newcomer countries, through the participation in global value chains (GVCs). The study used a combination of multiregional input–output method and multilevel mixed econometric analysis to investigate the relationship between global value chain trade flows, foreign direct investment flows, energy consumption, and carbon emissions across countries, sectors, and time. The study tested both the “pollution haven” and “pollution halo” hypotheses and found a non-linear relationship between foreign capital flows and carbon emissions, which became less relevant after the economic integration process. The results suggest the existence of a pollution haven in Europe. Although Eastern economies still exhibit problematic issues in relation to pollution control, they have made significant progress in reducing their emissions intensity. The conclusions include some policy recommendations based on the main findings of the research.

The recent global financial crisis represents a serious threat to the growth of economies. This crisis deeply affects the real economy through a phenomenon known as the wealth effect, which assumes that a fall in wealth leads to a reduction of private consumption. Thus, this paper analyzes the wealth effect on consumption using quarterly macro-data for 10 Eurozone countries in the period 2000-2010. The results suggest the existence of a positive and significant wealth effect on consumption with the predominance of a financial effect on housing, showing larger consumption sensitivity to changes in the value of financial assets.

The Environmental Kuznets Curve (EKC) hypothesis has become an important topic in the literature on the effects of growth on the environment, albeit surrounded by some controversy and nuance. Although this hypothesis has been analyzed in the literature in multiple ways and using different variables, there is still a gap in the consideration of global value chains (GVCs), which delve into the international division of production. This is particularly important in the intermediate stages of production, as they include tasks with a greater environmental impact. This research aims to analyze the environmental effects of economic growth and foreign trade linked to GVCs in a sample of 12 countries of East and Southeast Asia, given their strong insertion in GVCs. Based on the EKC, variables such as GDP per capita, environmental impact, and renewable energy consumption are incorporated. As a novelty, the research also includes GVCs participation and position indexes, and different measures of CO₂ emissions. Our results confirm the existence of a nonlinear relationship between economic activity and its environmental effects, although with important nuances depending on the mode of insertion of each country in GVCs. In this sense, although all the selected countries increased their total emissions, substantial disparities are observed depending on the perspective considered (producer, consumer, and exports). Ultimately, it is concluded that, for an effective reduction of the environmental impact in these countries, it is essential to design policy measures, targeting new technologies, consumption and production patterns, and attracting green foreign direct investment.

The aim of this paper is to analyze the participation in the global textile and apparel value chain with special attention, first, to the case of three dynamic and interrelated economies (Mexico, the United States, and China); and second, to a general approach to a larger sample of countries through the analysis of trade in value added. From the descriptive analysis, a high domestic share in each country’s exports is found. However, China is the leading exporter in the industry, accounting for around a third of the domestic value added in the global textile final demand. An econometric estimation has also been carried out to observe the effects of tariffs, FDI, and labor costs on the total and backward participation in the textile GVC. In this case, the sample has been extended to 39 developed and 22 developing countries. The results reveal tariff protection as a determinant of the degree of participation of the sector, especially when backward participation and developing economies are considered. However, FDI and labor costs only show the expected results in the case of developing countries. This may be due to the different tasks performed by developing economies (primarily manufacturing) versus developed economies (branding, design) within the sector’s value chain.