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Determinants of Pollution Abatement and Control Expenditure: Evidence from Romania

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  • Caporale, Guglielmo Maria

    () (Brunel University)

  • Rault, Christophe

    () (University of Orléans)

  • Sova, Anamaria

    () (E.B.R.C. Bucharest)

  • Sova, Robert

    () (CREST & University of Paris 1 Panthéon-Sorbonne)

Abstract

The aim of the present study is to shed some light on the factors affecting Pollution Abatement and Control Expenditure (PACE) in the context of a transition economy such as Romania, in contrast to the existing literature which mostly focuses on developed economies. Specifically, we use survey data of the Romanian National Institute of Statistics and estimate Multilevel Regression Model (MRM) to investigate the determinants of environmental behaviour at plant level. Our results reveal some important differences vis-à-vis the developed countries, such as a less significant role for collective action and environmental taxes, which suggests some possible policy changes to achieve better environmental outcomes.

Suggested Citation

  • Caporale, Guglielmo Maria & Rault, Christophe & Sova, Anamaria & Sova, Robert, 2008. "Determinants of Pollution Abatement and Control Expenditure: Evidence from Romania," IZA Discussion Papers 3787, Institute for the Study of Labor (IZA).
  • Handle: RePEc:iza:izadps:dp3787
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    References listed on IDEAS

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    1. Delmas, Magali, 2003. "In Search of ISO: An Institutional Perspective on the Adoption of International Management Standards," Research Papers 1784, Stanford University, Graduate School of Business.
    2. Eric Neumayer & Richard Perkins, 2004. "What explains the uneven take-up of ISO 14001 at the global level? A panel-data analysis," Environment and Planning A, Pion Ltd, London, vol. 36(5), pages 823-839, May.
    3. Seroa da Motta, Ronaldo, 2006. "Analyzing the environmental performance of the Brazilian industrial sector," Ecological Economics, Elsevier, vol. 57(2), pages 269-281, May.
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    More about this item

    Keywords

    Multilevel Regression Model (MRM); pollution abatement and control expenditure; transition economy;

    JEL classification:

    • Q52 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Pollution Control Adoption and Costs; Distributional Effects; Employment Effects
    • C23 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Models with Panel Data; Spatio-temporal Models

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