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Private vs. public regulation: political economy of the international environment

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  • Heyes, Anthony G.
  • Maxwell, John W.

Abstract

Minimum standards set by a ‘World Environmental Organisation’ (WEO) and NGO labelling are promoted as alternative approaches to international environmental protection. We explore the potential inter-play between these two approaches when the WEO is subject to pressure from producers. We find that if WEO and NGO schemes are mutually exclusive then the existence of an NGO ‘alternative’ increases industry resistance to WEO proposals and this may reduce welfare. If, however, the schemes are run in parallel, existence of the NGO lessens producer opposition to WEO activities. This allows the WEO to be ‘bolder’ in its proposals, which is good for welfare.

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Bibliographic Info

Article provided by Elsevier in its journal Journal of Environmental Economics and Management.

Volume (Year): 48 (2004)
Issue (Month): 2 (September)
Pages: 978-996

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Handle: RePEc:eee:jeeman:v:48:y:2004:i:2:p:978-996

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Web page: http://www.elsevier.com/locate/inca/622870

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Cited by:
  1. Bonroy, O. & Constantatos, C., 2014. "On the economics of labels : how their introduction affects the functioning of markets and the welfare of all participants," Working Papers, Grenoble Applied Economics Laboratory (GAEL) 2014-03, Grenoble Applied Economics Laboratory (GAEL).
  2. H. Eggert & M. Greaker, 2011. "Trade, GMOs and Environmental Risk: Are Current Policies Likely to Improve Welfare?," Environmental & Resource Economics, European Association of Environmental and Resource Economists, European Association of Environmental and Resource Economists, vol. 48(4), pages 587-608, April.
  3. Bonroy, O. & Constantatos, C., 2013. "On the economics of labels : a review of the theoretical literature," Working Papers, Grenoble Applied Economics Laboratory (GAEL) 2013-01, Grenoble Applied Economics Laboratory (GAEL).
  4. Thomas P. Lyon & John W. Maxwell, 2007. "Corporate Social Responsibility and the Environment: A Theoretical Perspective," Working Papers, Indiana University, Kelley School of Business, Department of Business Economics and Public Policy 2007-16, Indiana University, Kelley School of Business, Department of Business Economics and Public Policy.
  5. Eftichios Sartzetakis & Anastasios Xepapadeas & Emmanuel Petrakis, . "The role of information provision as a policy instrument to supplement environmental taxes: Empowering consumers to choose optimally," DEOS Working Papers, Athens University of Economics and Business 1012, Athens University of Economics and Business.
  6. Patricia Crifo & Vanina Forget, 2012. "The Economics of Corporate Social Responsibility: A Survey," Working Papers, HAL hal-00720640, HAL.
  7. Arguedas, Carmen & Blanco, Esther, 2014. "On Fraud and Certification of Corporate Social Responsibility," Working Papers in Economic Theory, Universidad Autónoma de Madrid (Spain), Department of Economic Analysis (Economic Theory and Economic History) 2014/02, Universidad Autónoma de Madrid (Spain), Department of Economic Analysis (Economic Theory and Economic History).
  8. Lucie Bottega & Jenny De Freitas, 2009. "Public, private and nonprofit regulation for environmental quality," DEA Working Papers, Universitat de les Illes Balears, Departament d'Economía Aplicada 33, Universitat de les Illes Balears, Departament d'Economía Aplicada.
  9. Chema Abderrazak & Adel Ben Youssef, 2009. "Multiplicity of eco-labels, competition, and the environment," Post-Print, HAL halshs-00937183, HAL.
  10. Soham Baksi & Pinaki Bose, 2007. "Credence Goods, Efficient Labelling Policies, and Regulatory Enforcement," Environmental & Resource Economics, European Association of Environmental and Resource Economists, European Association of Environmental and Resource Economists, vol. 37(2), pages 411-430, June.
  11. Cheng, Chu-Chuan & Lai, Yu-Bong, 2012. "Does a stricter enforcement policy protect the environment? A political economy perspective," Resource and Energy Economics, Elsevier, Elsevier, vol. 34(4), pages 431-441.
  12. Patricia Crifo & Vanina Forget, 2013. "La responsabilité sociale et environnementale des entreprises : mirage ou virage ?," Working Papers, HAL hal-00830642, HAL.
  13. Buehler, B. & Schuett, F., 2012. "Certification and Minimum Quality Standards when Some Consumers are Uninformed," Discussion Paper, Tilburg University, Tilburg Law and Economic Center 2012-040, Tilburg University, Tilburg Law and Economic Center.
  14. Adel Ben Youssef & Rim Lahmandi-Ayed, 2008. "Eco-labelling, Competition and Environment: Endogenization of Labelling Criteria," Environmental & Resource Economics, European Association of Environmental and Resource Economists, European Association of Environmental and Resource Economists, vol. 41(2), pages 133-154, October.

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