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On the green and innovative side of trade competitiveness? The impact of environmental policies and innovation on EU exports

  • Costantini, Valeria
  • Mazzanti, Massimiliano

This paper aims at exploring how the export competitiveness of the European Union has been affected by environmental regulation and innovation. Starting from the Porter idea that environmental policies may foster international competitiveness by inducing technological innovation. We test both the strong and narrowly strong versions of the Porter hypothesis, in order to understand if such a virtuous cycle is confined into the environmental goods sector (respecting the narrow criterion) or it spreads out through the whole economic system. For this purpose we adopt a theoretically based gravity model applied to the export dynamics of five aggregated manufacturing sectors classified by their technological or environmental content.

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Article provided by Elsevier in its journal Research Policy.

Volume (Year): 41 (2012)
Issue (Month): 1 ()
Pages: 132-153

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Handle: RePEc:eee:respol:v:41:y:2012:i:1:p:132-153
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