TY - JOUR
T1 - Is a voluntary approach an effective environmental policy instrument?. A case for environmental management systems
AU - Arimura, Toshi H.
AU - Hibiki, Akira
AU - Katayama, Hajime
N1 - Funding Information:
T.H. Arimura and H. Katayama are grateful for financial support from the Showa Shell Sekiyu Foundation for Promotion of Environmental Research. A. Hibiki acknowledges research support from Environmental Global Fund, Ministry of the Environment, Japan. The data upon which this study is based were collected as part of the OECD's project, “Environmental Policy and Firm-Level Management” ( www.oecd.org/env/cpe/firms ). We appreciate comments from Takuya Takahashi, anonymous referees, Co-Editor Aart De Zeeuw, Editor Charles Mason as well as seminar participants at the University of Illinois, the University of Minnesota, and Resources for the Future, and Kobe University.
PY - 2008/5
Y1 - 2008/5
N2 - Using Japanese facility-level data from an OECD survey, we estimate the effects of implementation of ISO14001 and publication of environmental reports on the facilities' environmental performance. While most previous studies focused on an index of emissions toxicity, this study examines three areas of impacts, none of which have been explored in the literature: natural resource use, solid waste generation, and wastewater effluent. The study is also unique in that the effectiveness of ISO14001 is considered in relation to environmental regulations. Our findings are summarized as follows. First, both ISO14001 and report publication help reduce all three impacts; the former appears more effective in all areas except wastewater. Second, environmental regulations do not weaken the effect of ISO14001. Third, assistance programs offered by local governments-a voluntary approach-promote facilities' adoption of ISO14001. These findings suggest that governments can use command-and-control and voluntary approaches concurrently.
AB - Using Japanese facility-level data from an OECD survey, we estimate the effects of implementation of ISO14001 and publication of environmental reports on the facilities' environmental performance. While most previous studies focused on an index of emissions toxicity, this study examines three areas of impacts, none of which have been explored in the literature: natural resource use, solid waste generation, and wastewater effluent. The study is also unique in that the effectiveness of ISO14001 is considered in relation to environmental regulations. Our findings are summarized as follows. First, both ISO14001 and report publication help reduce all three impacts; the former appears more effective in all areas except wastewater. Second, environmental regulations do not weaken the effect of ISO14001. Third, assistance programs offered by local governments-a voluntary approach-promote facilities' adoption of ISO14001. These findings suggest that governments can use command-and-control and voluntary approaches concurrently.
KW - Discrete choice model
KW - Endogeneity
KW - Environmental impacts
KW - Environmental management systems
KW - Environmental reports
KW - GHK simulator
KW - Governmental assistance programs
KW - ISO14001
KW - Voluntary actions
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UR - http://www.scopus.com/inward/citedby.url?scp=43049181877&partnerID=8YFLogxK
U2 - 10.1016/j.jeem.2007.09.002
DO - 10.1016/j.jeem.2007.09.002
M3 - Article
AN - SCOPUS:43049181877
SN - 0095-0696
VL - 55
SP - 281
EP - 295
JO - Journal of Environmental Economics and Management
JF - Journal of Environmental Economics and Management
IS - 3
ER -
