Efficiency of Environmental Protection Expenditures in EU Countries

Abstract

Environmental protection policy is a widely discussed issue in scientific works. However, special attention should be also paid to the effectiveness of expenditures on environmental protection, and this is the main goal of this paper. The countries of the European Union were selected for this analysis due to the fact that, in recent years, this region has become an informal world leader with respect to the implementation of policy measures in the field of environmental protection. For that reason, the data envelopment analysis methodology was used, which allows the calculation of input-output efficiency for the years 2005–2015. The analysis shows that, among the 30 analyzed countries, the most effective in environmental protection actions is Finland. The hypothesis that higher environmental protection expenditures does not result in better environmental results has been confirmed. Our analysis confirmed the problem of the deteriorating efficiency of environmental expenditures across the selected European Union Member States, caused by increases in spending. This research may contribute to the discussion on environmental protection policy design and its assessment, as well as environmental policy results measurement.

Which Determinants Matter for Working Capital Management in Energy Industry? The Case of European Union Economy

“…It aimed to harmonize energy production regulations and to establish the same competences for national regulators. Environmental goals also play a significant role in the EU's energy policy and require technological development with the increasing use of renewable energy sources [2,3]. At the same time, market demonopolization and liberalization are becoming priorities of EU energy policy [4,5].…”

Determinants of the expenditure side of environmental federalism – panel data research on countries in Europe

“…Carbon dioxide emissions per capita (natural log), (excluding LULUCF * , tonnes of CO 2 equivalent) OECD This is a variable applied as a proxy for environmental degradation (Hatmanu et al, 2022). Scholars examined the ties between government expenditures on environmental protection and environmental quality (emissions of pollutants) (Barrell et al, 2021;Halkos & Paizanos, 2014;Donkor et al, 2022;Wójtowicz et al, 2022). Barrell et al (2021) confirmed the problem of deteriorating efficiency of environmental expenditures across the selected EU countries.…”

“…Scholars examined the ties between government expenditures on environmental protection and environmental quality (emissions of pollutants) (Barrell et al, 2021;Halkos & Paizanos, 2014;Donkor et al, 2022;Wójtowicz et al, 2022). Barrell et al (2021) confirmed the problem of deteriorating efficiency of environmental expenditures across the selected EU countries. Donkor et al (2022) found both positive and negative influence of government finance expenditures on environmental quality in different countries.…”

“…In literature, multiple studies concentrate on the effects and the efficiency of public expenditures on environmental protection (Wójtowicz et al, 2022;Barak & Tunç, 2022;Barrell et al, 2021;Gholipour & Farzanegan, 2018). The sectoral issues are analysed here, as well as the characteristics of the expenditures in the local budgets, e.g., values, aims, and functions (Beke-Trivunac et al, 2014;Broniewicz, 2007).…”