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Pollution Abatement and Control Expenditure in Romania: A Multilevel Analysis

Author

Listed:
  • Caporale, Guglielmo Maria

    () (Brunel University)

  • Rault, Christophe

    () (University of Orléans)

  • Sova, Robert

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

  • Sova, Anamaria

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

Abstract

The transition process in Central and Eastern Europe was associated with growing environmental awareness. This paper analyses the determinants of Pollution Abatement and Control Expenditure (PACE) at plant level in the case of Romania using survey data and a Multilevel Regression Model (MRM). Our findings suggest that, although Romania has improved its environmental performance, formal and informal regulation are still only partially developed due to the difficulties of economic transition, and heterogeneity across regions remains considerable.

Suggested Citation

  • Caporale, Guglielmo Maria & Rault, Christophe & Sova, Robert & Sova, Anamaria, 2010. "Pollution Abatement and Control Expenditure in Romania: A Multilevel Analysis," IZA Discussion Papers 5041, Institute for the Study of Labor (IZA).
  • Handle: RePEc:iza:izadps:dp5041
    as

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    References listed on IDEAS

    as
    1. Fredriksson, Per G. & Wollscheid, Jim R., 2008. "The political economy of investment: The case of pollution control technology," European Journal of Political Economy, Elsevier, vol. 24(1), pages 53-72, March.
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    4. R. H. Coase, 2013. "The Problem of Social Cost," Journal of Law and Economics, University of Chicago Press, vol. 56(4), pages 837-877.
    5. 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.
    6. Fredriksson, Per G. & Neumayer, Eric & Damania, Richard & Gates, Scott, 2005. "Environmentalism, democracy, and pollution control," Journal of Environmental Economics and Management, Elsevier, vol. 49(2), pages 343-365, March.
    7. Shimshack, Jay P. & Ward, Michael B., 2008. "Enforcement and over-compliance," Journal of Environmental Economics and Management, Elsevier, vol. 55(1), pages 90-105, January.
    8. 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
    • C29 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Other
    • C40 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods: Special Topics - - - General

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