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Environmental innovation in European transition countries

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  • Antonella Biscione
  • Raul Caruso
  • Annunziata de Felice

Abstract

The aim of this paper is to highlight the determinants of environmental innovation of manufacturing firms in European Transition countries. Following an established literature, the analysis relies upon data drawn from the Community Innovation Survey - CIS14 . The data are cross-section covering the period between 2012 and 2014. We employ a multivariate probit model to observe the effect of several drivers on eco-innovation, captured by: (i) eco-product; (ii) eco-process; (iii) eco-organization. Findings highlight that regulation influences all measures of eco-innovation. The results are confirmed also when we perform alternative estimations. It is worth noting that – after interacting expected regulation and turnover – expected regulation has an impact on the current decision on eco-innovation if and only if the firms have a large turnover. Another interaction term between turnover and tax rates is positively associated with eco-innovation, so suggesting that when tax rate appears to be too high, firms prefer to invest in environmental innovation rather than being taxed.

Suggested Citation

  • Antonella Biscione & Raul Caruso & Annunziata de Felice, 2021. "Environmental innovation in European transition countries," Applied Economics, Taylor & Francis Journals, vol. 53(5), pages 521-535, January.
  • Handle: RePEc:taf:applec:v:53:y:2021:i:5:p:521-535
    DOI: 10.1080/00036846.2020.1808185
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    Cited by:

    1. Katharina Friz, 2021. "A question of regulation or motivation? Environmental innovation activities in transition economies," Bremen Papers on Economics & Innovation 2107, University of Bremen, Faculty of Business Studies and Economics.
    2. Antonella Biscione & Dorothee Boccanfuso & Annunziata de Felice & Francesco Porcelli, 2021. "Barriers to Firms Energy Efficiency in Transition Countries," Working Papers 1014, European Centre of Peace Science, Integration and Cooperation (CESPIC), Catholic University 'Our Lady of Good Counsel'.
    3. Aldieri, Luigi & Bruno, Bruna & Makkonen, Teemu & Vinci, Concetto Paolo, 2023. "Environmental innovations, geographically mediated knowledge spillovers, economic and environmental performance," Resources Policy, Elsevier, vol. 81(C).
    4. Bai, Dongbei & Du, Lizhao & Xu, Yang & Abbas, Shujaat, 2023. "Climate policy uncertainty and corporate green innovation: Evidence from Chinese A-share listed industrial corporations," Energy Economics, Elsevier, vol. 127(PB).
    5. Antonella Biscione & Dorothée Boccanfuso & Annunziata De Felice, 2021. "Regulations and Corporate Environmental Responsibility: evidence from a panel of firms in Transition economies," Applied Economics, Taylor & Francis Journals, vol. 53(54), pages 6286-6299, November.
    6. Antonella Biscione & Chiara Burlina & Raul Caruso & Annunziata de Felice, 2021. "Innovation in Transition countries: the role of training," Working Papers 1013, European Centre of Peace Science, Integration and Cooperation (CESPIC), Catholic University 'Our Lady of Good Counsel'.
    7. Parrilli, M. Davide & Balavac-Orlić, Merima & Radicic, Dragana, 2023. "Environmental innovation across SMEs in Europe," Technovation, Elsevier, vol. 119(C).

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    JEL classification:

    • Q55 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environmental Economics: Technological Innovation
    • Q58 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environmental Economics: Government Policy
    • L6 - Industrial Organization - - Industry Studies: Manufacturing

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