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Employment and Innovations in the Environmental Sector: Determinants and Econometrical Results for Germany

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  • Jens Horbach

    (University of Applied Sciences Anhalt, Germany)

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    Abstract

    Besides other determinants environmental regulation, institutions like environmental agencies and social customs lead to a demand for environmental goods and services. On the basis of the public choice theory it can be shown that environmental regulation is endogenous and can be influenced by the environmental awareness of voters and interest groups. Following the so-called Porter hypothesis early developed environmental legislation induces environmental innovations and creates first mover advantages connected with a high international competitiveness of the environmental industry. An empirical analysis based on the establishment panel of the Institute for Employment Research (IAB) shows that more than 900,000 persons are employed in the environmental sector in Germany. Following the results of an econometrical analysis of employment perspectives and innovation behaviour integrated environmental technologies will become more relevant whereas employment in “traditional” end-of-pipe fields like the prevention of waste water pollution or air pollution will be reduced.

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    Bibliographic Info

    Paper provided by Fondazione Eni Enrico Mattei in its series Working Papers with number 2003.47.

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    Date of creation: Jun 2003
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    Handle: RePEc:fem:femwpa:2003.47

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    Keywords: Employment; Environmental sector; Innovation behaviour;

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    Cited by:
    1. Horbach, Jens, 2008. "The impact of innovation activities on employment in the environmental sector : empirical results for Germany at the firm level," IAB Discussion Paper 200816, Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany].
    2. Frondel, Manuel & Horbach, Jens & Rennings, Klaus & Requate, Till, 2004. "Environmental Policy Tools and Firm-Level Management Practices : Empirical Evidence for Germany," Economics Working Papers 2004,02, Christian-Albrechts-University of Kiel, Department of Economics.
    3. Frondel, Manuel & Horbach, Jens & Rennings, Klaus, 2004. "End-of-Pipe or Cleaner Production? An Empirical Comparison of Environmental Innovation Decisions Across OECD Countries," ZEW Discussion Papers 04-82, ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research.

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