This note shows that, by reducing agency costs, an environmental regulation may enhance pollution-reducing innovation while at the same time increasing firms'private benefit.

The Porter hypothesis asserts polluting firms can benefit from environmental policies, arguing that well-designed environmental regulations stimulate innovation, which by increasing either productivity or product value, leads to private benefits. As a consequence, environmental regulations would...

The Porter hypothesis asserts polluting firms can benefit from environmental policies, arguing that well-designed environmental regulations stimulate innovation, which, by increasing either productivity or product value, leads to private benefits. As a consequence, environmental regulations...

Cet article présente de manière non technique certains des fondements théoriques possibles de l'hypothèse de Porter selon laquelle, des réglementations environmentales strictes peuvent améliorer le profit des industries qui y sont soumises. Après une brève présentation de l'hypothèse,...