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Assessing Voluntary Commitments: Monitoring is Not Enough!

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Author Info
Böhringer, Christoph
Frondel, Manuel

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Abstract

This paper deals with a special type of voluntary approach to protect the environment, for example, that we would like to term voluntary commitment. Its major characteristic is that it represents a unilateral declaration without a decisively active role of regulators. In other words, voluntary commitments are, by definition, not the result of intensive mutual negotiations between participants and regulators. By combining theoretical considerations on the economic rationale for the popularity of voluntary commitments with an investigation of principal conceptual and statistical problems regarding their empirical assessment, it seems unlikely that voluntary commitments generally trigger significant deviations from business-as-usual. This casts doubt on the effectiveness and, hence, the efficiency of this specific type of voluntary approach. Effectiveness, guaranteed through more demanding goals, requires intensive mutual negotiations ? monitoring is not enough. --

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Publisher Info
Paper provided by ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research in its series ZEW Discussion Papers with number 02-62.

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Date of creation: 2002
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Handle: RePEc:zbw:zewdip:1337

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Related research
Keywords: Voluntary Agreements; Counterfactual; Evaluation;

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Find related papers by JEL classification:
D2 - Microeconomics - - Production and Organizations
Q4 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy
C1 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods: General

References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:

  1. Christoph Bohringer, 2002. "Climate Politics from Kyoto to Bonn: From Little to Nothing?," The Energy Journal, International Association for Energy Economics, vol. 23(2), pages 51-72.
  2. Wu, JunJie & Babcock, Bruce A., 1999. "The Relative Efficiency of Voluntary vs Mandatory Environmental Regulations," Journal of Environmental Economics and Management, Elsevier, vol. 38(2), pages 158-175, September. [Downloadable!] (restricted)
  3. Alberto Cavaliere, 2000. "Overcompliance and Voluntary Agreements," Environmental & Resource Economics, European Association of Environmental and Resource Economists, vol. 17(2), pages 195-202, October. [Downloadable!] (restricted)
  4. Frondel, Manuel & Schmidt, Christoph M., 2005. "Evaluating environmental programs: The perspective of modern evaluation research," Ecological Economics, Elsevier, vol. 55(4), pages 515-526, December. [Downloadable!] (restricted)
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  5. Khanna, Madhu, 2001. " Non-mandatory Approaches to Environmental Protection," Journal of Economic Surveys, Blackwell Publishing, vol. 15(3), pages 291-324, July. [Downloadable!] (restricted)
  6. Segerson, Kathleen & Miceli, Thomas J., 1998. "Voluntary Environmental Agreements: Good or Bad News for Environmental Protection?," Journal of Environmental Economics and Management, Elsevier, vol. 36(2), pages 109-130, September. [Downloadable!] (restricted)
  7. Anna Alberini & Kathleen Segerson, 2002. "Assessing Voluntary Programs to Improve Environmental Quality," Environmental & Resource Economics, European Association of Environmental and Resource Economists, vol. 22(1), pages 157-184, June. [Downloadable!] (restricted)
  8. Karine Nyborg, 2000. "Voluntary Agreements and Non-Verifiable Emissions," Environmental & Resource Economics, European Association of Environmental and Resource Economists, vol. 17(2), pages 125-144, October. [Downloadable!] (restricted)
  9. Wu, JunJie & Babcock, Bruce A., 1995. "Optimal Design of a Voluntary Green Payment Program under Asymmetric Information," Staff General Research Papers 843, Iowa State University, Department of Economics.
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Cited by:
(explanations, Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.)

  1. Norbert Eickhof, 2003. "Freiwillige Selbstverpflichtungen aus wirtschaftswissenschaftlicher Sicht," Volkswirtschaftliche Diskussionsbeiträge 61, Universität Potsdam, Wirtschafts- und Sozialwissenschaftliche Fakultät. [Downloadable!]
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