Environmental Protection and Economic Growth: What Do the Residuals Tell Us?

John List and Mitch Kunce

Land Economics, 2000, vol. 76, issue 2, 267-282

Abstract: Conventional wisdom implies economic growth and environmental quality are incompatible policy objectives. Recent empirical evidence, however, suggests stringency of environmental regulations are only weakly (or not at all) associated with decreased manufacturing activity. This paper uses more recent (1982-1994) state-level panel data to test if environmental regulations affect manufacturing employment. Estimation results from our three-stage sample selection panel data model suggest that state environmental regulations adversely affect job growth in three of the four industries analyzed.

JEL-codes: Q28 R11 (search for similar items in EconPapers)
Date: 2000
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Citations: View citations in EconPapers (15)

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Persistent link: https://EconPapers.repec.org/RePEc:uwp:landec:v:76:y:2000:i:2:p:267-282

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