Does more stringent environmental regulation induce or reduce technology adoption? When the rate of technology adoption is inverted U-shaped

Journal of Environmental Economics and Management

Volumn 64, Issue 3, 2012, Pages 456-467

  Perino, Grischa ^a   Requate, Till ^b  

^a UNIVERSITY OF EAST ANGLIA   (United Kingdom)

^b UNIVERSITY OF KIEL   (Germany)

Author keywords

Environmental policy; Induced diffusion

Indexed keywords

ENVIRONMENTAL POLICY; MARGINAL ABATEMENT COSTS; SOCIAL OPTIMUMS; TECHNOLOGICAL PROGRESS; TECHNOLOGY ADOPTION; U-SHAPED;

CLIMATE CHANGE; ENVIRONMENTAL PROTECTION;

ENVIRONMENTAL REGULATIONS;

ABATEMENT COST; ENVIRONMENTAL POLICY; POLICY ANALYSIS; POLICY IMPLEMENTATION; TECHNOLOGICAL DEVELOPMENT; TECHNOLOGY ADOPTION;

EID: 84869870737     PISSN: 00950696     EISSN: 10960449     Source Type: Journal    
DOI: 10.1016/j.jeem.2012.03.001     Document Type: Article

References (36)

1. Amir R., Germain M., van Steenberghe V. On the impact of innovation on the marginal abatement cost curve. Journal of Public Economic Theory 2008, 10:985-1010.
2. Baker E., Clarke L., Shittu E. Technical change and the marginal cost of abatement. Energy Economics 2008, 30:2799-2816.
3. Baker E., Shittu E. Profit-maximizing R&D in response to a random carbon tax. Resource and Energy Economic 2006, 28:160-180.
4. Baudry M. Joint management of emission abatement and technological innovation for stock externalities. Environmental and Resource Economics 2000, 16:161-183.
5. Bauman Y., Lee M., Seeley K. Does technological innovation really reduce marginal abatement costs some theory, algebraic evidence, and policy implications. Environmental and Resource Economics 2008, 40:507-527.
6. Brechet T., Jouvet P. Environmental innovation and the cost of pollution abatement revisited. Ecological Economics 2008, 65:262-265.
7. Brechet, T. and Meunier, G. (2012) Are clean technology and environmental quality conflicting policy goals? CORE Discussion Paper 2012/6.
8. Brunnermeier S.B., Cohen M.A. Determinants of environmental innovation in US manufacturing industries. Journal of Environmental Economics and Management 2003, 45:278-293.
9. Calel, R. (2011) Market-based instruments and technology choices: a synthesis, Grantham Research Institute on Climate Change and the Environment, Working Paper No. 57.
10. Carrión-Flores C.E., Innes R. Environmental innovation and environmental performance. Journal of Environmental Economics and Management 2010, 59:27-42.
11. Denicolò V. Pollution-reducing innovations under taxes or permits. Oxford Economic Papers 1999, 51:184-199.
12. Farzin Y.H., Kort P.M. Pollution abatement investment when environmental regulation is uncertain. Journal of Public Economic Theory 2000, 2(2):183-212.
13. Fischer C., Parry I.W.H., Pizer W.A. Instrument choice for environmental protection when technological innovation is endogenous. Journal of Environmental Economics and Management 2003, 45:523-545.
14. 2 abatement policies. Resource and Energy Economics 1999, 21:211-253.
15. Jaffe A.B., Palmer K. Environmental regulation and innovation: a panel data study. Review of Economics and Statistics 1997, 79(4):610-619.
16. Jaffe A.B., Newell R.G., Stavins R.N. Environmental policy and technological change. Environmental and Resource Economics 2002, 22:41-69.
17. Jung Ch., Krutilla K., Boyd R. Incentives for advanced pollution abatement technology at the industry level: an evaluation of policy alternatives. Journal of Environmental Economics and Management 1996, 30:95-111.
18. Kerr S., Newell R.G. Policy-induced technology adoption: evidence from the US lead phasedown. Journal of Industrial Economics 2003, 51(3):317-343.
19. Levhari D. A nonsubstitution theorem and switching of techniques. Quarterly Journal of Economics 1965, 79(1):98-105.
20. Levhari D., Samuelson P. The nonswitching theoreom is false. Quarterly Journal of Economics 1966, 80:518-519.
21. Löschel A. Technological change in economic models of environmental policy: a survey. Ecological Economics 2002, 43:105-126.
22. Milliman S.R., Prince R. Firms incentives to promote technological change in pollution control. Journal of Environmental Economics and Management 1989, 17:247-265.
23. Newell R.N., Jaffe A.B., Stavins R.N. The induced innovation hypothesis and energy-saving technological progress. Quarterly Journal of Economics 1999, 114:941-975.
24. Nordhaus W.D. Modeling induced innovation in climate change policy. Technological Change and the Environment 2002, 182-209. RFF and IIASA, Washington DC. and Laxenburg, Austria. A. Grubler, N. Nakicenovic, W.D. Nordhaus (Eds.).
25. Perino G. Technology diffusion with market power in the upstream industry. Environmental and Resource Economics 2010, 46(4):403-428.
26. Popp D. Induced innovation and energy prices. American Economic Review 2002, 92:160-180.
27. Requate T. Dynamic incentives by environmental policy instruments - a survey. Ecological Economics 2005, 54:175-195.
28. Requate T. Timing and commitment of environmental policy, adoption of new technologies and repercussions on R&D. Environmental and Resource Economics 2005, 31(2):175-199.
29. Requate T., Unold W. On the incentives created by policy instruments to adopt advanced abatement technology if firms are asymmetric. Journal of Institutional and Theoretical Economics 2001, 157:536-554.
30. Requate T., Unold W. Environmental policy incentives to adopt advanced abatement technology: will the true ranking please stand up?. European Economic Review 2003, 47:125-146.
31. Robinson J. The unimportance of reswitching. Quarterly Journal of Economics 1975, 89:32-39.
32. Rosendahl K.E. Cost-effective environmental policy: implications of induced technological change. Journal of Environmental Economics and Management 2004, 48(3):1099-1121.
33. Samuelson P. Steady state and transient relations: a reply on reswitching. Quarterly Journal of Economics 1975, 89:40-47.
34. Samuelson P. A summing up. Quarterly Journal of Economics 1966, 80:568-583.
35. Simpson D., Bradford R.L. Taxing variable cost: environmental regulation as industrial policy. Journal of Environmental Economics and Management 1996, 30:282-300.
36. Ulph D. Environmental policy and technological innovation. New Directions in the Economic theory of the Environment 1997, 43-68. Cambridge University Press, Cambridge. C. Carraro, D. Siniscalco (Eds.).