The effects of regulated facilities' perceptions about the effectiveness of government interventions on environmental compliance

Earnhart, Dietrich and Friesen, Lana (2017) The effects of regulated facilities' perceptions about the effectiveness of government interventions on environmental compliance. Ecological Economics, 142 282-294. doi:10.1016/j.ecolecon.2017.06.014


Author Earnhart, Dietrich
Friesen, Lana
Title The effects of regulated facilities' perceptions about the effectiveness of government interventions on environmental compliance
Journal name Ecological Economics   Check publisher's open access policy
ISSN 0921-8009
1873-6106
Publication date 2017-12-01
Sub-type Article (original research)
DOI 10.1016/j.ecolecon.2017.06.014
Open Access Status Not yet assessed
Volume 142
Start page 282
End page 294
Total pages 13
Place of publication Amsterdam, Netherlands
Publisher Elsevier
Language eng
Abstract Our study explores the effects of regulatory monitoring and enforcement activities on facilities' compliance with environmental regulatory laws. In particular, our study examines regulated facilities' perceptions of the effectiveness of monitoring and enforcement efforts for inducing compliance and the influence of these perceptions on facilities' responses to actual inspections and enforcement actions. No previous study explores this influence. For our conceptual analysis, we extend standard deterrence theory by incorporating the behavioral dimension of intrinsic motivation. For our empirical analysis, we examine chemical manufacturing facilities permitted under the Clean Water Act during the years 2002 to 2004. Using an original survey, we collect data on facilities' perceptions. We then compare responses to government interventions between facilities that perceive enforcement as effective and those that do not. For facilities perceiving enforcement as effective, increased deterrence of any type generates little gain. In contrast, for those facilities who perceive enforcement as ineffective, increased deterrence from inspections improves compliance with the Clean Water Act.
Keyword Environmental enforcement
Compliance
Perceptions
Wastewater
Q-Index Code C1
Q-Index Status Provisional Code
Institutional Status UQ

Document type: Journal Article
Sub-type: Article (original research)
Collections: HERDC Pre-Audit
School of Economics Publications
 
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Created: Tue, 15 Aug 2017, 16:15:37 EST by Alys Hohnen on behalf of School of Economics