Testing the effectiveness of enforcing industrial pollution regulations in Montevideo, Uruguay

Marcelo Caffera

No 201466, Working Papers from Latin American and Caribbean Environmental Economics Program

Abstract: This paper fills a gap in the literature by providing empirical estimates of the effect that enforcement actions by municipal and national authorities have on the level of both reported and actual emissions (as measured by sampling inspections) of industrial plants. In a regulatory framework where non-complying is ubiquitous and most violations are not followed by a sanction, we provide evidence consistent with under-reporting of BOD discharges by industrial plants. Previous empirical analyses on environmental enforcement either did not deal with this question or were not able to find such evidence.

Pages: 27 pages
Date: 2014, Revised 2014
New Economics Papers: this item is included in nep-agr, nep-ene, nep-env and nep-res
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