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The importance of the stakeholders’ involvement in building indicators. The case of environmental regulation in France

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  • Anne MUSSON

Abstract

The purpose of this study is to investigate the usefulness of stakeholders’ involvement, through surveys in the construction of indicators. In this paper, we deal with the case of environmental regulation and its impact on competitiveness. We first underline the disregard or lack of even a critical consideration of competitiveness’ indicators regarding environmental regulation. We explain that the literature does not justify this assumption. Focusing on the French case, we then examine the following question: Is environmental regulation detrimental to employment? Using an exploratory study involving semi-structured interviews with 36 business leaders, we reveal heterogeneity in entrepreneurs’ perceptions. Far from being a consistently heavy burden for companies, environmental regulation can be a source of opportunity and innovation, and may lead to job creation. Using empirical data on French industries, we present evidence of non-linear relationships between environmental regulation, FDI outflows, and employment in France over the period 1996-2006. We emphasize the positive impact of environmental regulation on the level of employment depending on trade liberalization. We conclude on the need to involve stakeholders in the construction of indicators.

Suggested Citation

  • Anne MUSSON, 2012. "The importance of the stakeholders’ involvement in building indicators. The case of environmental regulation in France," Working Papers 2011-2012_8, CATT - UPPA - Université de Pau et des Pays de l'Adour, revised Apr 2014.
  • Handle: RePEc:tac:wpaper:2011-2012_8
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    Keywords

    Employment; Environmental Regulations; FDI; Indicators; International Trade; Perception; SME; Sustainable Development; Computer-assisted Textual Analysis;

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