Economists generally hold that environmental regulations impose constraints on the production possibilities set and are therefore potentially harmful to economic growth. In recent years, however, it has been recognized that environmental regulation can enhance the prospects for growth if improved environmental quality increases the productivity of inputs or the efficiency of the education system. It is also held that environmental regulation promotes pollution abatement activity and can lead to the exploitation of increasing returns to scale in abatement. Furthermore, expectations of a better environment may encourage households to save. Finally, it has been conjectured that environmental regulations can stimulate innovation because R&D's a relatively clean activity and because the market share of clean innovations increases.

/pdf/channels-of-transmission-of-environmental-policy-to-economic-3ljecg5qar.pdf

Channels of Transmission of Environmental Policy to Economic Growth: A Survey of the Theory

The traditional view that has predominated in the industrial world has been that of a total clash between economic activity and the protection of the environment. This perception has evolved somewhat and currently environmental considerations have become a fundamental part of business practices. The first step that may help organizations to face these new challenges lies in recognizing the competitive advantages that environmental management systems, EMSs, can bring. This article presents the findings of a recent survey of Spanish firms. The results suggest that a positive relationship exists between the effects of EMSs and improving firms' competitiveness. Copyright © 2003 John Wiley & Sons, Ltd. and ERP Environment

Using environmental management systems to increase firms' competitiveness

Channels of transmission of environmental policy to economic growth: A survey of the theory

Environmental policy affects the distribution of market shares if intermediate goods are differentiated in their pollution intensity. When innovations are environment-friendly, a tax on emissions skews demand towards new goods which are the most productive. In this case, the tax has to increase along a balanced growth path to keep the market shares of goods of different vintages constant. Comparing balanced growth paths, we find that tightening the policy stance spurs innovation, because it increases the market share of recent vintages, and promotes environment-friendly technological progress. As a result the cost of environmental policy in terms of slower growth is weaker.

/pdf/environmental-policy-and-growth-when-inputs-are-uty8etu6cr.pdf

Environmental policy and growth when inputs are differentiated in pollution intensity

The deleterious impact of industrial activities on safety health and environmental quality has motivated industries to adopt environmental management systems (EMSs). This paper examines the implementation of EMSs in industries that interact with the Atlantic coast of Cameroon, which has been plagued with effluents emanating from industrial activities.



Through a questionnaire based survey that was conducted from January 2005 to June 2005 with all the industries along the Atlantic coast of Cameroon, this paper seeks to address the motivating factors, implementation hurdles and benefits accrued by these industries as a result of implementing EMSs. Although enormous benefits have been accrued as a result of EMS implementation, a plethora of hurdles still persist in the realm of EMS implementation in these industries. Against this background, this paper concludes by prescribing a number of recommendations that could be used to promote the implementation of EMSs in industries that interact with the Atlantic coast of Cameroon. Copyright © 2006 John Wiley & Sons, Ltd and ERP Environment.

Implementing environmental management systems in industries along the Atlantic coast of Cameroon: drivers, benefits and barriers

This paper explores the trade-off between economic growth and environmental quality along two paradigms of endogenous growth theory: variety expansion (HIP) and quality improvements (VIP). We compare the policies that match the decentralised economies' paths with the optimal "strong sustainable" growth path, characterised by growth in consumption and improvements in environmental quality. Three policy tools are employed: subsidies to monopolists and R&D, and taxes on emissions. The latter is increasing at the optimum, to keep the weight of tax revenues over output constant. All policy tools equal, the growth rate is higher in the VIP than in the HIP. The optimal subsidy to R&D is therefore greater and the cumulative loss in output smaller under HIP than the VIP.

/pdf/the-growth-environment-trade-off-horizontal-vs-vertical-26fgtzegai.pdf

The Growth-Environment Trade-Off: Horizontal vs. Vertical Innovations

We argue that education exerts positive external effects on health, beyond the standard internal effects documented in the literature. We implement an innovative approach to control for endogeneity and omitted variables problems, and present evidence for the significant role played by higher education in explaining longevity across countries. Our findings provide empirical evidence in support of our hypothesis of educational externalities on health.

Education Externalities on Longevity

The Growth-Environment Trade-off: Horizontal vs Vertical Innovations

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The Growth-Environment Trade-Off: Horizontal vs. Vertical Innovations

Education Externalities on Longevity

The Growth-Environment Trade-off: Horizontal vs Vertical Innovations