In order to abate pollution, manufacturing facilities can either change their production processes (CPP) or introduce end-of-pipe technologies (EOP). The decision to undertake CPP rather than EOP is a reflection of the existence of economies of scope between production of the facility’s...

It has long been argued that the implementation of market-based environmental policy instruments such as environmentally-related taxes and tradable permits is likely to lead to greater technological innovation than more direct forms of regulation such as technology-based standards. One of the...

Jaffe and Palmer (1997) present three distinct variants of the so-called Porter Hypothesis. The weak version of the hypothesis posits that environmental regulation will stimulate certain kinds of environmental innovations. The narrow version of the hypothesis asserts that flexible environmental...