Cropper and Oates (1992)

Cropper, Maureen, and Wallace Oates. "Environmental Economics: A Survey." Journal of Economic Literature, June 1992.

Policy-oriented survey of environmental economics, but includes some microeconomic studies. The authors comment: "Why have domestic [pollution control] measures not induced 'industrial flight,' and the development of pollution havens? The primary reason seems to be that the costs of pollution control have not, in fact, been very large even in heavily polluting industries. Existing estimates suggest that control costs have run on the order of only 1% to 2 % of total costs in most pollution-intensive industries."

Link to paper:  http://econweb.umd.edu/~oates/research/EnvironmentalEconomicsSurvey.pdf