On the green and innovative side of trade competitiveness? The impact of environmental policies and innovation on EU exports

Costantini, Valeria; Mazzanti, Massimiliano

doi:10.1016/j.respol.2011.08.004

Cited by 417 publications

(257 citation statements)

References 93 publications

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“…In addition, the strong version of the Porter hypothesis claims that environmental regulation enhances economic performance-at least in the medium run-for compliant firms, the sector to which they belong, and, eventually, the economy as a whole. In particular, Costantini and Mazzanti (2012) find evidence in support of the strong Porter hypothesis.…”

Section: Introductionmentioning

confidence: 71%

“…We address this issue by using the following gravity model in line with Costantini and Mazzanti (2012) …”

Section: Trade Modelmentioning

confidence: 99%

“…In the presence of heteroskedasticity, both the efficiency and the consistency of the 11 Costantini and Mazzanti (2012) consider the role of innovative capacity by using "general R&D expenditure by public institutions for environmental protection purposes," which is obtained from Eurostat. It is important to consider the role of technological capabilities also in our analysis.…”

Section: Trade Modelmentioning

confidence: 99%

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Do Environmental Regulations Increase Bilateral Trade Flows?

Tsurumi

Managi

Hibiki

2015

The B.E. Journal of Economic Analysis &Amp; Policy

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The argument that stringent environmental regulations are generally thought to harm export flows is crucial when determining policy recommendations related to environmental preservation and international competitiveness. By using bilateral trade data, we examine the relationships between trade flows and various environmental stringency indices. Previous studies have used energy intensity, abatement cost intensity, and survey indices for regulations as proxies for the strictness of environmental policy. The inconclusiveness of the findings of previous studies may be because they overlook both the direct and the indirect effects of regulation. Regulation may increase GDP and thus raise export flows. In addition, the strong version of the Porter hypothesis claims that environmental regulation enhances economic performance-at least in the medium run-for compliant firms, the sector to which they belong, and, eventually, the economy as a whole. In particular, Costantini and Mazzanti (2012) find evidence in support of the strong Porter hypothesis.The contradictory nature of the results of previous research might also be driven by authors using various proxies of environmental variables. Energy intensity, abatement cost intensity, and survey indices have been generally used as proxies for the stringency of regulations. However, each of these proxies is distinct. Energy intensity, defined as energy use relative to the gross domestic product (GDP), is likely to reflect regulations that are strongly related to energy, whereas abatement cost intensity, defined as abatement cost relative to GDP, tends to reflect regulations that relate to a relatively wide range of industries. Moreover, previous works have typically used three survey whether the strong version of the Porter hypothesis is confirmed and (ii) the overall effect of regulation on export flows.The remainder of the paper is organized as follows. The next section presents the background. Section 3 explains our model and Section 4 discusses the empirical results.

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Section: Introductionmentioning

confidence: 71%

“…We address this issue by using the following gravity model in line with Costantini and Mazzanti (2012) …”

Section: Trade Modelmentioning

confidence: 99%

Section: Trade Modelmentioning

confidence: 99%

See 1 more Smart Citation

Do Environmental Regulations Increase Bilateral Trade Flows?

Tsurumi

Managi

Hibiki

2015

The B.E. Journal of Economic Analysis &Amp; Policy

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“…Hence, further research should control for the effects of an industry-specific export promotion program in the relationship between the eco-efficiency of government policy and exports of bioenergy technologies. Further, while additional factors influence the RE technology sector, such as environmental regulations [8,25], other RE technology policies [27,91], and economic and social factors [66,93,94], this study does not consider such factors. Therefore, further research should control for these omitted variables.…”

Section: Discussionmentioning

confidence: 99%

“…The increased importance of government policy for the promotion of the renewable energy (RE) technology sector globally has created two research fields: an experimental setting for discussions about the efficiency of policy-the capacity of policy measures to induce continuous incentives for innovation creation (e.g., [2][3][4][5][6])-and empirical research into the link between government policy and exports (e.g., [7][8][9][10][11][12]). Although research on the measurement of the efficiency of government policy which originates from a dynamic industry model with heterogeneous firms [40] that focuses on the productivity premium derived from innovation in promoting export performance, states that export performance is positively affected by firm innovation.…”

Section: Introductionmentioning

confidence: 99%

Eco-Efficiency of Government Policy and Exports in the Bioenergy Technology Market

2017

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This study investigates how the eco-efficiency of government policy-continuously implementing innovation-friendly policy based on both environmental and economic considerations-affects the export performance of bioenergy technologies, using panel data from 16 countries during 1995-2012. Various heterogeneous panel framework tests are conducted. Our panel unit root and co-integration tests, which allow for cross-sectional dependence in the panel, show that the time series data on the eco-efficiency of public support, exports, and gross domestic product (GDP) are integrated and co-integrated. We set up a panel vector error correction model (VECM) to empirically test the casual relationship among the variables examined. The long-term parameters of the variables were calculated using dynamic ordinary lease squares (DOLS). Panel difference generalized method of moments (GMM) estimations were conducted to test the short-term relationship among the variables. The results of this study therefore show that the eco-efficiency of government policy positively influences export performance in the long run, but not in the short run. The presented findings also indicate that efficiently implemented government policy plays a crucial role in achieving environmentally sound and sustainable development, showing path dependence among the eco-efficiency of government policy, exports, and GDP. We finally suggest policy implications based on the results.

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A Survey of the Literature on Environmental Innovation Based on Main Path Analysis

Barbieri

Ghisetti

Gilli

et al. 2017

Environmental Economics and Sustainability

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This paper reviews the literature on environmental innovation (EI) and systematizes it by means of an original methodology identifying the main directions in which the literature on EI has developed over time. In order to do so, two algorithms are adopted and used to analyze a citation network of journal articles and books. The main path analysis reveals that this literature revolves around the following topics: i) determinants of EI; ii) economic effects of EI; iii) environmental effects of EI; and iv) policy inducement in EI. Each of these topics is discussed and implications from the main findings as well as possible future research extensions are outlined.

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On the green and innovative side of trade competitiveness? The impact of environmental policies and innovation on EU exports

Cited by 417 publications

References 93 publications

Do Environmental Regulations Increase Bilateral Trade Flows?

Do Environmental Regulations Increase Bilateral Trade Flows?

Eco-Efficiency of Government Policy and Exports in the Bioenergy Technology Market

A Survey of the Literature on Environmental Innovation Based on Main Path Analysis

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