Does Competition Prevent Industrial Pollution? Evidence from a Panel Threshold Model
Michael Polemis () and
Thanasis Stengos ()
Working Paper series from Rimini Centre for Economic Analysis
The scope of this paper is to assess the impact of competition on industrial toxic pollution by using for the first time, a panel threshold model which allows evaluating the main drivers of toxic releases under two different market regimes. The empirical analysis is based on a unique micro level panel data set including thousands of industrial facilities dispersed among the US states over the period 1987-2012. We show that this relationship is statistically significant above and below the threshold, even after accounting for alternative specifications of market concentration. Finally, contrary to previous studies, we unmask a robust inverted "V-shaped" relationship between market concentration and industrial pollution, which calls for further future research on the implementation of policies targeted at the abatement of environmental degradation.
Keywords: Competition; Concentration; Threshold; Non-linearities; Inverted "V-shaped" (search for similar items in EconPapers)
JEL-codes: Q52 L10 L60 C23 C24 (search for similar items in EconPapers)
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (6) Track citations by RSS feed
Downloads: (external link)
Journal Article: Does competition prevent industrial pollution? Evidence from a panel threshold model (2019)
Working Paper: Does Competition Prevent Industrial Pollution? Evidence from a Panel Threshold Model (2017)
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
Persistent link: https://EconPapers.repec.org/RePEc:rim:rimwps:17-07
Access Statistics for this paper
More papers in Working Paper series from Rimini Centre for Economic Analysis Contact information at EDIRC.
Bibliographic data for series maintained by Marco Savioli ().