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The Economics of Environmental Monitoring and Enforcement

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  • Jay P. Shimshack

    (Frank Batten School of Leadership and Public Policy, University of Virginia, Charlottesville, Virginia 22904)

Abstract

Without monitoring and enforcement, environmental laws are largely nonbinding guidance. Although economists and philosophers have thought seriously about the broader public enforcement of law since at least the eighteenth century, environmental monitoring and enforcement remain both understudied and controversial. This article reviews what we do and do not know about the subject. I review common environmental enforcement institutions, prescriptive and descriptive theories, empirical evidence on regulator behavior, and empirical evidence on deterrence effects.

Suggested Citation

  • Jay P. Shimshack, 2014. "The Economics of Environmental Monitoring and Enforcement," Annual Review of Resource Economics, Annual Reviews, vol. 6(1), pages 339-360, October.
  • Handle: RePEc:anr:reseco:v:6:y:2014:p:339-360
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    More about this item

    Keywords

    inspections; sanctions; penalties; deterrence; pollution;
    All these keywords.

    JEL classification:

    • K32 - Law and Economics - - Other Substantive Areas of Law - - - Energy, Environmental, Health, and Safety Law
    • K42 - Law and Economics - - Legal Procedure, the Legal System, and Illegal Behavior - - - Illegal Behavior and the Enforcement of Law
    • Q53 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Air Pollution; Water Pollution; Noise; Hazardous Waste; Solid Waste; Recycling
    • Q58 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environmental Economics: Government Policy

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