Abstract:An index of environmental sensitivity performance (IESP) is constructed in order to measure and quantify the comparative environmental sensitivity of countries. The main emphasis of IESP is to obtain an overall measure of sensitiveness instead of focusing on various indicators designed for particular environmental issues. The sub-indices, however, can also be utilised for specific environmental concerns. IESP is built to analyse empirically certain economic relationships that appeared firstly in the emergence … Show more
“…In the second model (model II) we assume that stringency differentials between countries are constant over time. This approach is based on recent work by Cagatay and Mihci (2003), who develop an "Index of Environmental Sensitivity Performance" (IESP). The IESP consists of several subindices, among which an index referring to acidification.…”
Section: Model IImentioning
confidence: 99%
“…This dummy thus determines the marginal value of a strict environmental policy regime with respect to patent activity. The corresponding IESP levels in Cagatay and Mihci (2003) were categorized in different stringency regimes ranging from the extremes "strict" to "tolerant". More precisely, they distinguish six categories: strict, strict to moderate, moderate to strict, moderate, moderate to tolerant, and tolerant.…”
A weak version of the Porter hypothesis claims that strict environmental policy provides positive innovation incentives, hence triggering improved competitiveness and securing environmental quality. In a comparative way, this paper empirically tests this hypothesis across countries by linking environmental stringency to innovation-proxied by patents-in the field of SO 2 abatement over the period 1970-2000. Three different models of environmental stringency are examined. Two of these models do not reveal a positive significant effect on innovation as a result of increased stringency. In the theoretically preferred model, however, a positive relationship between environmental stringency and innovation is obtained.
“…In the second model (model II) we assume that stringency differentials between countries are constant over time. This approach is based on recent work by Cagatay and Mihci (2003), who develop an "Index of Environmental Sensitivity Performance" (IESP). The IESP consists of several subindices, among which an index referring to acidification.…”
Section: Model IImentioning
confidence: 99%
“…This dummy thus determines the marginal value of a strict environmental policy regime with respect to patent activity. The corresponding IESP levels in Cagatay and Mihci (2003) were categorized in different stringency regimes ranging from the extremes "strict" to "tolerant". More precisely, they distinguish six categories: strict, strict to moderate, moderate to strict, moderate, moderate to tolerant, and tolerant.…”
A weak version of the Porter hypothesis claims that strict environmental policy provides positive innovation incentives, hence triggering improved competitiveness and securing environmental quality. In a comparative way, this paper empirically tests this hypothesis across countries by linking environmental stringency to innovation-proxied by patents-in the field of SO 2 abatement over the period 1970-2000. Three different models of environmental stringency are examined. Two of these models do not reveal a positive significant effect on innovation as a result of increased stringency. In the theoretically preferred model, however, a positive relationship between environmental stringency and innovation is obtained.
“…The latter is assigned a stronger weight (0 for no policy, 1 only strategy, 2 policy). Prominent examples of overall environmental policy performance index setups for many countries based on a synthesis of diverse policy performances can be found inEliste and Fred- rikkson (1998) Cagatay and Mihci (2003;. provide an index of environmental sensitivity performance for 1990-1995, for acidification, climate change, water and even waste management.19 We can hypothesise that the backward effects of landfill policies and waste management actions on the MSW generated are not significant.…”
“…The reason is that these environmental taxes and regulations probably affect the same polluter agents or industries, and that the technological changes or innovations they encourage can even lead to the displacement of pollution to other sectors (such as the electricity industry) or other resources (such as water). To take these synergies into account, we included the variable ENVTAX, which captures the aggregate environmental taxes of the region, and ENVEXP, which captures the current expenditure companies have to incur as a consequence of the environmental policies, and which can potentially also influence emissions levels [1,7,50,51]. Their expected sign would therefore also be negative, although it is hard to assess the effectiveness of environmental policies due to their possible rebound effects: an increase in energy consumption could have been induced by a fall in the cost of using energy services as a result of, for example, greater energy efficiency caused by a regulation [9].…”
Section: Proposed Hypotheses For Estimating Industrial Air Emissionsmentioning
In this paper we study the effectiveness of environmental taxes and policies of the regional level of government to reduce GHG emissions. We use panel data for the 17 Spanish regions in the period 1999–2017, controlling the spatial nexus between regions and using a dynamic Durbin model. The results show there is spatial dependence and spatio-temporal persistence of GHG emissions at the regional level in Spain, and that in this context, the taxes and policies intended to manage emissions introduce a slight disincentive to generating them. This fact, together with some relative decoupling which seems to exist between growth and emissions at the regional level, would suggest the need for tougher measures to combat environmental pollution in order to meet EU commitments.
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