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The Rule of Law and the Pattern of Environment Protection

Author

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  • Muthukumara Mani
  • Per G. Fredriksson

Abstract

We develop and test a theory of the rule of law and environmental policy formation. In our model an increase in the degree of rule of law has two opposing partial effects on environmental policy: first, a greater share of policy decisions are implemented according to law; second, industry bribery efforts increase because more is at stake. Moreover, we find that an increase in corruptibility of policymakers lowers the stringency of environmental policy. The empirical findings suggest that a greater degree of rule of law raises environmental policy stringency, but the effect is lower where corruptibility is high.

Suggested Citation

  • Muthukumara Mani & Per G. Fredriksson, 2002. "The Rule of Law and the Pattern of Environment Protection," IMF Working Papers 02/49, International Monetary Fund.
  • Handle: RePEc:imf:imfwpa:02/49
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    References listed on IDEAS

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    Cited by:

    1. Busse, Matthias, 2004. "Trade, environmental regulations and the World Trade Organization : new empirical evidence," Policy Research Working Paper Series 3361, The World Bank.
    2. repec:ijb:journl:v:16:y:2017:i:1:p:49-74 is not listed on IDEAS

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