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    Rights statement: This is the author’s version of a work that was accepted for publication in European Economic Review. Changes resulting from the publishing process, such as peer review, editing, corrections, structural formatting, and other quality control mechanisms may not be reflected in this document. Changes may have been made to this work since it was submitted for publication. A definitive version was subsequently published in European Economic Review, 136, 2021 DOI: 10.1016/j.euroecorev.2021.103742

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    Embargo ends: 20/04/23

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Firm Behavior and Pollution in Small Geographies

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Firm Behavior and Pollution in Small Geographies. / De Silva, Dakshina; McComb, Robert P.; Schiller, Anita; Slechten, Aurelie.

In: European Economic Review, Vol. 136, 103742, 31.07.2021.

Research output: Contribution to Journal/MagazineJournal articlepeer-review

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De Silva, Dakshina ; McComb, Robert P. ; Schiller, Anita ; Slechten, Aurelie. / Firm Behavior and Pollution in Small Geographies. In: European Economic Review. 2021 ; Vol. 136.

Bibtex

@article{5b9ad26be31b4417ba1e55bc56eadd4f,
title = "Firm Behavior and Pollution in Small Geographies",
abstract = "We consider the relationship between the location choices of potentiallypolluting firms and local income. Unlike previous research in the area ofenvironmental justice, we distinguish between pollution potential and actualreleases of toxic substances in the locality. We explore the relationship between the profit maximizing behavior of potentially polluting firms in their choice of both location and expenditures to influence the likelihood of toxic releases and their expected financial costs. We proxy the expenditures on prudential behavior by observing the co-localization of waste remediation activities. Evidence supports the conclusion that firms behave rationally in managing risk of toxic release, which may result in disparities in exposure to toxic releases faced by certain population groups.",
keywords = "Environment and Toxic Release, Profit Maximizing Behavior, Firm Localization, waste management, Firm Entry",
author = "{De Silva}, Dakshina and McComb, {Robert P.} and Anita Schiller and Aurelie Slechten",
note = "This is the author{\textquoteright}s version of a work that was accepted for publication in European Economic Review. Changes resulting from the publishing process, such as peer review, editing, corrections, structural formatting, and other quality control mechanisms may not be reflected in this document. Changes may have been made to this work since it was submitted for publication. A definitive version was subsequently published in European Economic Review, 136, 2021 DOI: 10.1016/j.euroecorev.2021.103742",
year = "2021",
month = jul,
day = "31",
doi = "10.1016/j.euroecorev.2021.103742",
language = "English",
volume = "136",
journal = "European Economic Review",
issn = "0014-2921",
publisher = "Elsevier",

}

RIS

TY - JOUR

T1 - Firm Behavior and Pollution in Small Geographies

AU - De Silva, Dakshina

AU - McComb, Robert P.

AU - Schiller, Anita

AU - Slechten, Aurelie

N1 - This is the author’s version of a work that was accepted for publication in European Economic Review. Changes resulting from the publishing process, such as peer review, editing, corrections, structural formatting, and other quality control mechanisms may not be reflected in this document. Changes may have been made to this work since it was submitted for publication. A definitive version was subsequently published in European Economic Review, 136, 2021 DOI: 10.1016/j.euroecorev.2021.103742

PY - 2021/7/31

Y1 - 2021/7/31

N2 - We consider the relationship between the location choices of potentiallypolluting firms and local income. Unlike previous research in the area ofenvironmental justice, we distinguish between pollution potential and actualreleases of toxic substances in the locality. We explore the relationship between the profit maximizing behavior of potentially polluting firms in their choice of both location and expenditures to influence the likelihood of toxic releases and their expected financial costs. We proxy the expenditures on prudential behavior by observing the co-localization of waste remediation activities. Evidence supports the conclusion that firms behave rationally in managing risk of toxic release, which may result in disparities in exposure to toxic releases faced by certain population groups.

AB - We consider the relationship between the location choices of potentiallypolluting firms and local income. Unlike previous research in the area ofenvironmental justice, we distinguish between pollution potential and actualreleases of toxic substances in the locality. We explore the relationship between the profit maximizing behavior of potentially polluting firms in their choice of both location and expenditures to influence the likelihood of toxic releases and their expected financial costs. We proxy the expenditures on prudential behavior by observing the co-localization of waste remediation activities. Evidence supports the conclusion that firms behave rationally in managing risk of toxic release, which may result in disparities in exposure to toxic releases faced by certain population groups.

KW - Environment and Toxic Release

KW - Profit Maximizing Behavior

KW - Firm Localization

KW - waste management

KW - Firm Entry

U2 - 10.1016/j.euroecorev.2021.103742

DO - 10.1016/j.euroecorev.2021.103742

M3 - Journal article

VL - 136

JO - European Economic Review

JF - European Economic Review

SN - 0014-2921

M1 - 103742

ER -