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Do Environmental Regulations Influence the Location Behavior of French Firms?

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Do Environmental Regulations Influence the Location Behavior of French Firms?

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Author InfoSébastien Raspiller Nicolas Riedinger Abstract This paper investigates the impact of environmental regulations on the location choices made by firms for their industrial activities, using a sample of newly appeared imports of French firms from foreign industrial subsidiaries. A simple static model based on the production cost minimization is developed in order to control for heterogeneous factor costs within countries, distinguishing skilled labor, unskilled labor, and capital. Environmental regulations are then shown to be neither statistically nor economically a significant determinant of the location behavior of French firms. Download InfoTo download: If you experience problems downloading a file, check if you have the proper application to view it first. Information about this may be contained in the File-Format links below. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.

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