‘Race to the Bottom’ or ‘Race to Brussels’? Environmental Competition in Europe

Katharina Holzinger · Thomas Sommerer

78 citations0/0 files storedJCMS Journal of Common Market Studies

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European Union Policy and Governance Energy, Environment, Economic Growth Regulation and Compliance Studies

Abstract

The theory of regulatory competition in environmental policy predicts a ‘race to the bottom’ of standards. This article tests the theory using environmental output data for 24 countries from 1970 to 2005. It finds a clear ‘race to the top’ and a search for international harmonization when competition is imminent.

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References

1956A Pure Theory of Local Expenditures 2002The Impacts of Environmental Regulations on Industrial Activity: Evidence from the 1970 and 1977 Clean Air Act Amendments and the Census of Manufactures 1988Economic competition among jurisdictions: efficiency enhancing or distortion inducing?1996National diversity and global capitalism 1996National Diversity and Global Capitalism 2001Globalization and Policy Convergence 2005Causes and conditions of cross-national policy convergence 2002Do Lax Environmental Regulations Attract Foreign Investment?

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