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Why environmental regulation may lead to no-regret pollution abatement?

April 26, 2017abatement Environmental lead pollution regulation

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Why environmental regulation may lead to no-regret pollution abatement?

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Thierry Bréchet and Pierre-André Jouvet No 2006-12, EconomiX Working Papers from University of Paris West – Nanterre la Défense, EconomiX Abstract: Empirical evidence support the existence of pollution abatement possibilities at negative costs, the so-called ‘no-regret options’. We provide a microeconomic rationale for the existence of such potential at the firm’s level under environmental regulation. An econometric application confirms that marginal pollution abatement cost curves with no-regret options are compatible with a standard production function, as stated in our theoretical model. Keywords: No-regret options; pollution; regulation (search for similar items in EconPapers) JEL-codes: D20 Q50 (search for similar items in EconPapers) New Economics Papers: this item is included in nep-agr, nep-ene, nep-env and nep-reg Date: 2006 View list of references Track citations by RSS feed Downloads: (external link) http://economix.u-paris10.fr/pdf/dt/2006/WP_EcoX_2006-12.pdf (application/p