Skip header navigation

University of Stirling

×

Article

Technology-forcing through environmental regulation

Citation
Nentjes A, de Vries F & Wiersma D (2007) Technology-forcing through environmental regulation. European Journal of Political Economy, 23 (4), pp. 903-916. https://doi.org/10.1016/j.ejpoleco.2007.01.004

Abstract
This paper analyzes the demand characteristics of innovation in pollution abatement and the interaction between a regulator and a polluter under a technology-forcing policy. Important demand-driven determinants of innovation in pollution control are examined, such as uncertainties surrounding unexplored technologies, the length of the compliance period and the maximum abatement costs the regulator is willing to accept. We derive the formal condition that the regulator balances the marginal utility of emissions reduction against the marginal disutilities of a longer compliance time and the increased uncertainty about the feasibility of a more stringent standard.

Keywords
Innovation; Technology-forcing; Standards; Environmental regulation

Journal
European Journal of Political Economy: Volume 23, Issue 4

StatusPublished
Author(s)Nentjes, Andries; de Vries, Frans; Wiersma, Doede
Publication date31/12/2007
Publication date online06/04/2007
URLhttp://hdl.handle.net/1893/10266
PublisherElsevier
ISSN0176-2680
Scroll back to the top