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Environmental Policies, Product Market Regulation and Innovation in Renewable Energy

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  • Lionel Nesta

    (SciencesPo, OFCE-DRIC)

  • Francesco Vona

    (SciencesPo, OFCE-DRIC)

  • Francesco Nicolli

    (University of Ferrara)

Abstract

We investigate the effectiveness of policies in favor of innovation in renewable energy under different levels of competition. Using information regarding renewable energy policies, product market regulation and high-quality green patents for OECD countries since the late 1970s, we develop a pre-sample mean count-data econometric specification that also accounts for the endogeneity of policies. We find that renewable energy policies are significantly more effective in fostering green innovation in countries with deregulated energy markets. We also find that public support for renewable energy is crucial only in the generation of high-quality green patents, whereas competition enhances the generation of green patents irrespective of their quality.

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Paper provided by Fondazione Eni Enrico Mattei in its series Working Papers with number 2012.90.

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Date of creation: Dec 2012
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Handle: RePEc:fem:femwpa:2012.90

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Keywords: Renewable Energy Technology; Patents; Environmental Policies; Product Market Regulation; Policy Complementarity;

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Cited by:
  1. Valentina Bosetti & Elena Verdolini, 2013. "Clean and Dirty International Technology Diffusion," Working Papers 2013.43, Fondazione Eni Enrico Mattei.
  2. Francesco Vona & Francesco Nicolli, 2014. "Energy market liberalization and renewable energy policies in OECD countries," Working Papers 2014/18, Institut d'Economia de Barcelona (IEB).
  3. Fabio Antoniou & Roland Strausz, 2014. "The Effectiveness of Taxation and Feed-in Tariffs," CESifo Working Paper Series 4788, CESifo Group Munich.
  4. Rexhäuser, Sascha & Löschel, Andreas, 2014. "Invention in energy technologies: Comparing energy efficiency and renewable energy inventions at the firm level," ZEW Discussion Papers 14-036, ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research.

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