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The effect of environmental protection expenditures on industrial employment in Sweden

Author

Listed:
  • Amjadi, Golnaz

    (STATEC Research (National Institute of Statistics and Economic Studies), Luxembourg)

  • Bostian, Moriah

    (Lewis and Clark College, Portland, OR, USA)

  • Lindström, Hanna

    (Umeå School of Business, Economics and Statistics, Umeå University; Centre for Environmental and Resource Economics (CERE))

  • Lundgren, Tommy

    (Swedish University of Agricultural Sciences (SLU); Centre for Environmental and Resource Economics (CERE))

  • Vesterberg, Mattias

    (Umeå School of Business, Economics and Statistics, Umeå University; Centre for Environmental and Resource Economics (CERE))

Abstract

In this paper, we empirically investigate how environmental protection expenditures affect employment using detailed firm-level data for Sweden for the years 2002-2020. In our empirical approach, we use instrumental variables to account for corporate social responsibility and self-regulation. Our results reveal that the effect of environmental protection expenditures on employment vary across sectors but are generally very small. That is, our results suggest that there are relatively small trade-offs between jobs and the environment.

Suggested Citation

  • Amjadi, Golnaz & Bostian, Moriah & Lindström, Hanna & Lundgren, Tommy & Vesterberg, Mattias, 2023. "The effect of environmental protection expenditures on industrial employment in Sweden," CERE Working Papers 2023:3, CERE - the Center for Environmental and Resource Economics.
    • Handle: RePEc:hhs:slucer:2023_003
    Note: An earlier version of this paper was previously circulated as "Environment versus Jobs: An Industry-level Analysis of Sweden
    as

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    More about this item

    Keywords

    Environmental protection; Labor demand; Environmental regulation;
    All these keywords.

    JEL classification:

    • C33 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Models with Panel Data; Spatio-temporal Models
    • D22 - Microeconomics - - Production and Organizations - - - Firm Behavior: Empirical Analysis
    • J23 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Demand
    • K32 - Law and Economics - - Other Substantive Areas of Law - - - Energy, Environmental, Health, and Safety Law

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