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Environmental Regulations and Industrial Competitiveness Case Studies of Toxic Industries in Southern California - Original PDF
Environmental Regulations and Industrial Competitiveness Case Studies of Toxic Industries in Southern California - Original PDF
نویسندگان: Ward Thomas • Paul Ong خلاصه: 1 Chapter 1 Environmental Regulations and Industrial Competitiveness Abstract Industries in the U.S. emit billions of pounds of toxic chemicals into the environment every year, resulting in a major risk to human health. Many economists and policy makers, however, are strongly opposed to environmental regulations based on an assumption that regulations lead to a loss of jobs and a declining stan- dard of living for U.S. citizens. The empirical literature on this question has pro- duced mixed results, and this chapter critically assesses several conceptual and methodological issues that are embedded in this literature. Our thesis is that strin- gent environmental regulations have the potential to effectively and efficiently reduce toxic emissions from polluting firms and industries while having a negligible impact on the economic competitiveness of firms and industries. We investigate this thesis through three empirical case studies of polluting industries in Southern California that are highly regulated by the South Coast Air Quality Management District (AQMD): metal finishing, wood furniture, and dry cleaning. We also attempt to reveal the institutional process by which firms comply with environmen- tal regulations. Keywords Environmental regulations · Economic competitiveness · Environmental pollution · Economic externalities · Market failure · Environmental compliance · Technological uncertainty · Innovation · Adoption Introduction Over the last half century, the US federal government has played an active role in regulating the emission of toxic chemicals from polluting firms and industries (Rosenbaum, 2019; Telsey, 2016). Congress passed the Clean Air Act of 1970 “to protect and enhance the quality of the nation’s air resources so as to promote the public health and welfare and the productive capacity of the population” (US Environmental Protection Agency, 2007, p. 2). Congress also created the EPA (Environmental Protection Agency) in 1970 to implement and enforce the nation’s environmental law

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