IDEAS home Printed from
   My bibliography  Save this article

Impact of Pollution Abatement Costs on Manufacturing Employment in the U.S




This study empirically investigates whether pollution abatement costs have a negative impact on manufacturing employment in the U.S. Given that during the last quarter of a century, spending on environmental protection in the U.S. has grown even faster than has spending on healthcare, the social costs of pollution abatement efforts warrant attention. Conventional microeconomic theory suggests that there is a trade-off between environmental protection expenses and manufacturing activity, i.e., higher pollution abatement compliance costs borne by industries may contribute to plant shutdowns, lower production levels, and/or lack of investment, thereby leading to layoffs. However, improved environmental conditions may facilitate economic growth in regions with less pollution by attracting migration and may also serve to improve health status of its residents as well as help to protect the integrity of the environment. In any case, the existing literature offers no consensus on the impact of environmental protective measures on manufacturing employment in the U.S. Applying crosssectional analysis for all 50 states for year 2000, this study fi nds empirical that pollution abatement costs have a statistically signifi cant negative effect on employment in the U.S. manufacturing sector.

Suggested Citation

  • Cebula, Richard J. & Zelenskaya, Tatyana Zelenskaya, 2006. "Impact of Pollution Abatement Costs on Manufacturing Employment in the U.S," Economia Internazionale / International Economics, Camera di Commercio Industria Artigianato Agricoltura di Genova, vol. 59(4), pages 467-479.
  • Handle: RePEc:ris:ecoint:0071

    Download full text from publisher

    File URL:
    File Function: Full text
    Download Restriction: no

    More about this item


    Pollution abatement; regulatory costs; manufacturing;

    JEL classification:

    • D24 - Microeconomics - - Production and Organizations - - - Production; Cost; Capital; Capital, Total Factor, and Multifactor Productivity; Capacity
    • D62 - Microeconomics - - Welfare Economics - - - Externalities
    • L51 - Industrial Organization - - Regulation and Industrial Policy - - - Economics of Regulation


    Access and download statistics


    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ris:ecoint:0071. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Angela Procopio). General contact details of provider: .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.