Economics
Enforcement of pollution regulations in a declining industry
Document Type
Article
Abstract
A regulatory agency enforcing compliance in a declining industry might recognize that certain plants would close rather than comply, imposing large costs on the local community. Data on EPA enforcement activity in the U.S. steel industry are examined for evidence of this with a two-equation model linking EPA enforcement decisions and firms' plant-closing decisions. The results indicate that the EPA directed fewer enforcement actions toward plants with a high predicted probability of closing and plants that were major employers in their community; also, plants predicted to face relatively heavy enforcement were more likely to close. © 1991.
Publication Title
Journal of Environmental Economics and Management
Publication Date
1991
Volume
21
Issue
3
First Page
260
Last Page
274
ISSN
0095-0696
DOI
10.1016/0095-0696(91)90030-M
Keywords
steel, Environmental Protection Agency
Repository Citation
Deily, Mary E. and Gray, Wayne B., "Enforcement of pollution regulations in a declining industry" (1991). Economics. 137.
https://commons.clarku.edu/faculty_economics/137