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Does Host Market Regulation Induce Cross Border Environmental Innovation?

Giovanni Marin () and Antonello Zanfei ()
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Antonello Zanfei: Università di Urbino 'Carlo Bo', Italy

No 518, SEEDS Working Papers from SEEDS, Sustainability Environmental Economics and Dynamics Studies

Abstract: This paper evaluates the effect of host-country environmental policy stringency on the offshoring of environmental patents for 2000 top world R&D performers. It is shown that a more stringent environmental regulation triggers both the extensive and intensive margin of patent offshoring in the field of environmental technologies. Results are robust to various different specifications, alternative definitions of regulation restrictions and to the consideration of possible endogeneity of regulation. It is suggested inter alia that R&D subsidies and non-market based instrument are more important than market-based instruments as drivers of cross-border environmental innovation.

Keywords: MNE; environmental policy; patent data (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-cse, nep-env, nep-ino, nep-ipr, nep-reg, nep-sbm and nep-tid
Date: 2018-03, Revised 2018-03
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Related works:
Journal Article: Does host market regulation induce cross‐border environmental innovation? (2019) Downloads
Working Paper: Does Host Market Regulation Induce Cross Border Environmental Innovation? (2018) Downloads
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