No 2009/2: Environmental policy and profitability. Evidence from Swedish industry

Abstract: The purpose of this paper is to investigate the existence of a “Porter effect” using firm level data on output and inputs from Swedish industry between 1990 and 2004. By utilizing a factor demand modeling approach, and specifying a profit function which has a technology component dependent upon firm specific effective tax on CO2, we are able to separate out the effect of regulatory pressure on technological progress. The results indicate that there is evidence of a reversed “Porter effect” in most industrial sectors, specifically energy intensive industries.

Keywords: CO2 tax; factor demands; induced technological change; Porter argument

35 pages, March 21, 2009

Full text files

getfile.ashx?cid=48377&cc=3&refid=2  

Download statistics

• Sustainable Investment Research Platform
• Home page for this series

Questions (including download problems) about the papers in this series should be directed to Pontus Cerin ()
Report other problems with accessing this service to Sune Karlsson ().

RePEc:hhb:sicgwp:2009_002This page generated on 2024-09-13 22:18:34.