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Economic agents and the level of pollution control

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  • Bruce Yandle

Abstract

At the outset several propositions were stated regarding the logic of support by economic agents for strict setting of environmental standards and levels of enforcement. By focusing on potential rents generated by output restrictions, particular groups of gainers and losers were identified. The statistical test of the propositions lends support to the notion that rent-seeking behavior matters. Since the tests were based on a period when federal activity in the environmental arena was rather limited, it is assumed that state and local actions would have been more effectively influenced by those immediately associated with the result of efforts to regulate environmental use. The fact that environmental control eventually migrated from the state-local level to the federal level suggests that some potential gainers or losers were not satisfied with the mid-1960 result. Firms could relocate and escape the control net. Unions could lose members. Land values would fall concomitantly. By imposing uniform standards and levels of enforcement across space, most of the principal rent-seeking groups could gain. That assertion, a proposition itself, however, awaits the arrival of empirical evidence to support or reject it. Copyright Martinus Nijhoff Publishers 1983

Suggested Citation

  • Bruce Yandle, 1983. "Economic agents and the level of pollution control," Public Choice, Springer, vol. 40(1), pages 105-109, January.
    • Handle: RePEc:kap:pubcho:v:40:y:1983:i:1:p:105-109
    DOI: 10.1007/BF00175001
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    Cited by:

    1. Martin Gassebner & Noel Gaston & Michael J Lamla, 2008. "Relief For The Environment? The Importance Of An Increasingly Unimportant Industrial Sector," Economic Inquiry, Western Economic Association International, vol. 46(2), pages 160-178, April.
    2. Fredriksson, Per G. & Gaston, Noel, 1999. "The "greening" of trade unions and the demand for eco-taxes," European Journal of Political Economy, Elsevier, vol. 15(4), pages 663-686, November.
    3. Leon Taylor, 1998. "Do the states try to trade off environmental quality tomorrow for jobs today?," Public Economics 9810006, University Library of Munich, Germany, revised 20 Oct 1998.

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