The Robustness of Parametric Estimates of Pollution Abatement Costs on Manufacturing Plant Births Across U.S. States
نویسندگان
چکیده
The impact of environmental stringency on capital flows remains a hotly contested issue. Moreover, existing parametric estimates using counts of new foreign-owned manufacturing plant births provide counter-intuitive results: pollution abatement costs are only found to have an impact in non-pollution-intensive sectors. Applying recently developed nonparametric count data methods, we re-visit this issue through the analysis of panel data across U.S. states from 1977 – 1994. While there are gains to the nonparametric approach, we continue to find a modest deterrent effect in non-pollution-intensive sectors only. JEL: C14, C52, F21, Q52, R12
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