Does regulation affect the pace and nature of innovation and if so, by how much? We build a tractable and quantifiable ….4% lower due to the regulation, a 2.2% consumption equivalent welfare loss. Four-fifths of this loss is due to lower innovation … changes in the direction of R&D, and find that regulation's negative effects only matter for incremental innovation (as …

The passage of landmark government regulation is often the culmination of evolving social pressure and incremental … policy change. During this process, firms may preemptively adjust behavior in anticipation of impending regulation, making it … 1970 Clean Air Act (CAA) on the power sector. This unique long panel provides us an extended pre-regulation benchmark …