Environmental inspection proclivity and state manufacturing growth: the US Experience from the 1990s

In this paper, we construct a ranking of states based on their proclivity to inspect facilities for environmental compliance. Our measure utilizes state-level inspections data supplied by the US Environmental Protection Agency. After developing our ranking, we use it to predict state-level growth in...

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Bibliographic Details
Published in:The Annals of regional science 2012-02, Vol.48 (1), p.263-282
Main Authors: Decker, Christopher S., Maxwell, John W.
Format: Article
Language:English
Subjects:
America
Analysis
Bgi / Prodig
Compliance
Costs
Data analysis
Econometrics
Economic growth
Economics
Economics and Finance
Employment
Enforcement
Environmental Economics
Environmental impact
Environmental policy
Environmental protection
Environmental quality
Environmental regulations
Federal regulation
Geography
Government
Human geography
Inspection
Landscape/Regional and Urban Planning
Location
Manufacturers
Manufacturing
Microeconomics
Original Paper
Public policy
Regional development
Regional/Spatial Science
Regulation
Service industries
State government
Studies
U.S.A
United States
United States Environmental protection agency
United States of America
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Summary:In this paper, we construct a ranking of states based on their proclivity to inspect facilities for environmental compliance. Our measure utilizes state-level inspections data supplied by the US Environmental Protection Agency. After developing our ranking, we use it to predict state-level growth in manufacturing establishments. In doing so, we find support for the notion that enforcement intensity adversely impacts such growth. Our results offer insight into why existing studies that examine the impact of environmental regulation on location and growth produce inconsistent results.
ISSN:0570-1864
1432-0592
DOI:10.1007/s00168-010-0371-y