Assessing multi-dimensional performance: environmental and economic outcomes

Ron Shadbegian and Wayne Gray

Journal of Productivity Analysis, 2006, vol. 26, issue 3, 213-234

Abstract: This study examines economic performance, environmental performance, and regulatory activity for plants in three industries: pulp and paper, oil, and steel. Stochastic frontier production function models show significant deviations from production efficiency. Older plants are less efficient in production, but perform no worse on emissions. Plants spending more on pollution abatement tend to do worse on both production efficiency and emissions. Stricter local regulatory pressure is associated with somewhat lower emissions, but has mixed effects on production efficiency. Positive correlations between SUR residuals for emissions and production efficiency suggest unmeasured plant-level characteristics that drive both economic and environmental performance. Copyright Springer Science+Business Media, LLC 2006

Keywords: Productivity; Regulation; Emissions; Efficiency; Q52; D24 (search for similar items in EconPapers)
Date: 2006
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Citations: View citations in EconPapers (38)

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Working Paper: Assessing Multi-Dimensional Performance: Environmental and Economic Outcomes (2005)
Working Paper: Assessing Multi-Dimensional Performance: Environmental and Economic Outcomes (2005)
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Persistent link: https://EconPapers.repec.org/RePEc:kap:jproda:v:26:y:2006:i:3:p:213-234

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DOI: 10.1007/s11123-006-0017-3

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