A CAUTIONARY NOTE ON ENVIRONMENTAL ECONOMICS

Environmental questions have become a permanent feature of the political landscape in contemporary Australia and now play a significant role in election campaigns at both state and federal levels. Indeed, one of the most significant policy debates in the 1996 Federal election focussed on the environmental policy proposed by the Liberal/National Party coalition, which sought to fund a host of environmental programs from the proceeds of a part privatisation of Telstra. The trade-offs involved in this policy have generated substantial opposition to it and served to underline the prominence of environmental questions in Australian politics. Despite the importance of ‘the environment’ in popular thought, public debate is still typically characterised by ‘feel good’ policy announcements by politicians, sensationalist media reporting and deceptive claims by some environmental interest groups. Whilst progress has undoubtedly been made, the result has often been a plethora of inchoate and frequently conflicting policies. Not surprisingly this ‘muddle through’ approach has produced numerous instances of government intervention not only failing to meet its planned objectives but also generating unintended consequences.     

Comparing the effectiveness of market-based and choice-based environmental policy

This paper examines the welfare effects of market-based (permits, taxes) and choice-based (voluntary emission certifications, eco-labels) environmental policy. My analysis shows that choice-based eco-labels can be a welfare-improving policy. However, these welfare gains occur through “green” consumer surplus as opposed to (social benefiting) emission reductions while emission taxes and permits increase welfare by causing “dirtier” or less efficient firms to leave the market. Although greater environmental conscientiousness makes eco-labeling an effective tool to improve overall welfare, eco-labels are not as effective at reducing environmental damage relative to traditional market-based emission taxes or permits. Using research on consumer preferences and previously implemented environmental policies, the effectiveness of traditional emission taxes and eco-labeling programs are estimated. The results suggest that consumers participation in the eco-labeled product market benefits producers, but overall, eco-labeling programs are an inefficient policy tool relative to traditional market-based emission taxes or permits.     

Effects of Conservative Sociopolitical Attitudes on Public Support for Drug Rehabilitation Spending

Objective . In this article we investigate why traditionally conservative social groups show less support for spending on drug rehabilitation programs than for drug control spending in general. Methods . Using data from the 1984 through 1998 General Social Surveys, we first estimate logistic regressions of support for drug control spending across five sociopolitical cleavages. We then estimate effects of three types of sociopolitical attitudes on support for drug spending within traditionally conservative groups. Results . Resistance to rehabilitation spending among conservatives is related to their opposition to the welfare state, punitive attitudes toward criminals, and among whites, racial attitudes. Conclusions . Our findings suggest that citizens may withhold support for a social policy to the extent that it evokes negative associations with other salient sociopolitical issues or attitudes. We discuss the importance of these associations for understanding the relationships among political debate, public opinion, and policy outcomes.     

Environmental Policy Attitudes: Issues,Geographical Scale,and Political Trust*

Objectives. This article examines environmental policy attitudes, focusing on the differences in preferences across issue type (i.e., pollution, resource preservation) and geographical scale (i.e., local, national, global). In addition, we study whether an individual's trust in government influences environmental policy attitudes. Methods. Analyzing data from the 2007 Cooperative Congressional Election Study, we estimate a series of OLS regression models to examine the public's environmental policy attitudes. Results. We find stronger public support for government action to address pollution issues than resources issues, and stronger support for local and national pollution abatement than dealing with global problems. We also find that Republicans and ideological conservatives are less likely to support further government effort to address the environment, and that more trusting individuals are more favorable to government action to address pollution and global issues. Conclusion. Environmental policy attitudes vary by the nature of the issue; however, political ideology and partisan affiliation are consistent predictors of preferences across issues, even when controlling for an individual's level of trust in government.     

Brokering Interests: The Use of Market-Based Policies by Interest Groups

Objective. This article begins the process of broadly evaluating the role of nongovernmental actors in regulatory markets by specifically examining environmental groups’ use of the sulfur dioxide (SO2) market established by Title IV of the Clean Air Act Amendments of 1990. This research posits that the use of nonexclusionary markets in environmental quality regulation allows interest groups a nonpareil opportunity to seek to directly affect policy outcomes. Methods. This article uses two forms of analysis. The first part of the article provides a qualitative analysis of the motives of interest groups that use incentive‐based policies in an attempt to achieve their desired policy outcomes. The last section of the article uses empirical data from the Environmental Protection Agency's Allowance Tracking System to evaluate interest groups’ use of market‐based policies. Results. The use of market‐based mechanisms in public policies offers interest groups a new form of participation in the policy process, yet it seems that only “new” groups are willing to enter the market. Further, I find that though the participating groups may not be able to affect the relative price of allowances (as they claim they will), they nonetheless are able to reduce the absolute number of allowances available. Finally, using market‐based policies to achieve their preferred outcomes may be a “rational” decision for groups in that the “return” on their investment may indeed be quite high. Conclusions. One aspect of pollution markets is clear—they do create an interesting new mechanism of public activism for groups that wish to protect the environment but do not want to “lobby or litigate.” By purchasing pollution allowances groups attempt to directly affect environmental policy outputs without entering the policy cycle as it has been previously understood. As market‐based policies are employed more broadly, opportunities accorded to environmental groups for active involvement in seeking to limit ambient pollutants, as well as the groups’ potential impact, may only expand.     

Testing the state environmental protection literature in a nonregulatory policy arena: implementation of pollution prevention policy in California and Colorado

Despite the litany of studies examining state environmental protection efforts, few studies have examined environmental policy arenas where target compliance is voluntary and incentives based rather than mandatory and command-and-control. One such nonregulatory approach is pollution prevention policy, an alternative environmental protection strategy that shifts the focus from downstream mitigation strategies to upstream reduction strategies. This article uses the extant policy literature to analyze implementation of pollution prevention policy in California and Colorado. The findings indicate that the extant environmental protection literature produces mixed results, when applied to the pollution prevention policy arena. Of the five variables tested, only three produced findings consistent with previous research, suggesting that nonregulatory policy arenas differ enough from regulatory policy arenas that they require different causal explanations.     

Disentangling Energy Policy from Environmental Policy*

Objectives. I attempt to disentangle energy policy from environmental policy in order to explain the shifting politics surrounding the former. I can then explain why energy policies have historically provided distributive benefits but also the implications of the fact that energy proposals have in recent years become more regulatory in nature. Methods. I use a range of methods. These include qualitative accounts of the evolution of energy policy, graphic depictions of congressional activity, spending, and partisanship, and multivariate analyses of oversight activities. Results. I find that policymakers have historically treated energy issues as distributive policy, resulting in an emphasis on spending and oversight but not on substantial legislation. Over the last three decades, as policymakers push energy proposals that are more regulatory in nature, energy politics have become more divisive and partisan. Conclusion. Ultimately, I conclude that the enactment of strong energy policies will necessarily involve conditions that have been conducive to passage of other strong regulatory policies.     

Solidarity and tension between age-groups in the United States: challenge for an aging America in the 21st century

In this article, we argue that intergenerational tensions in the United States reflect a strategy for serving the aged that stresses the underlying values of individualism and self-reliance. Using national survey data, we examine the extent to which Americans' view of public responsibility for the aged has shifted between the mid-1980s and late-1990s, a period characterized by the intensification of "generational" politics, as well as a growing hostility toward "big government." We consider four factors that may be responsible for the escalation of intergenerational tensions as they are manifest in the erosion of public support for programs and policies serving the elderly: (1) Declining intergenerational solidarity with the aged ; (2) Increasing concerns over age-inequity in public programs ; (3) Increasing concerns over resource-inequity in public programs; and (4) Increasing opposition to big government . Results indicate that the public has generally grown more apprehensive about the value and costs of government programs serving both the elderly and the poor. Yet, the fact that Social Security enjoys far more support than social programs serving the poor suggests that the elderly are perceived as more deserving of their benefits than other dependent groups in society. The public also appears increasingly reluctant to redistribute old age benefits according to need. Age-group contrasts revealed little evidence of direct tension between the generations. The results suggest that growing distrust of government and reluctance to help the poor has indirectly fueled opposition to public spending on the older population. Proposed changes to programs and policies affecting the elderly will need to take into account the ambivalence felt by many Americans toward a government they expect to make good on its promise to care for all older citizens, but to use fewer resources in doing so.     

Conflict and cooperation in environmental administration

Cleavages exist between agencies on the implementation of environmental policies and the management of environmental programs. Although these cleavages are not deep enough to cause an agency immobilisme, they slow down the pace of pollution control. Within the agencies, much time is wasted when environmental specialists quibble on regulatory matters, when relationships between environmental scientists and resource managers are strained, and when regional units suffer from the stultifying effect of divided loyalties. To compound the problem, cooperative programs that are supposed to maximize the outcome of environmental protection leave much to be desired. In light of these problems, the time has come to re-invent the whole spectrum of environmental bureaucracy and recharge the entire subsystem of environmental policy making.     

Immigration and environment in the U.S.: A spatial study of air quality

Environmental consequences are frequently cited as a justification for restricting immigration to the United States, but there is little empirical research on the environmental consequences of immigration to support such arguments. The research that does exist shows immigration to be less environmentally harmful than native population growth, but is hampered by small samples and fails to account for spatial autocorrelation of air quality. We use the air quality domain of the Environmental Protection Agency’s Environmental Quality Index (EQI) to examine the association between immigrant and native populations and local air quality across all counties in the continental U.S. We employ spatial models to account for spatial autocorrelation of air quality across the counties, controlling for indicators of economic development and location characteristics. We find that native population is strongly associated with worse air quality, while foreign-born population is associated with better air quality. However, this association varies by immigrant country of origin, with East Asian immigrants in particular associated with worse air quality, and by immigrants’ year of entry, with some immigration cohorts positively associated with air quality, and others negatively. These findings highlight the importance of population characteristics in understanding population-environment linkages.     

Determinants of environmental public participation in China: an aggregate level study based on political opportunity theory and post-materialist values theory

The level of public participation in response to environmental issues in China has significantly increased over the past 10 years. This expansion of participation occurred as the government was pursuing legislative and regulatory approaches to address environmental pollution. Factors contributing to the development of environmental public participation are explored based on the political opportunity theory and post-materialist values theory. Two participation styles are used as dependent variables in a panel data framework. The empirical results of an analysis of provincial level data indicate that the degree of openness to participation and economic development level show consistently significant impacts on the levels of different environmental participation styles, thus demonstrating the applicability of the political opportunity theory and Inglehart’s post-materialist values theory in predicting environmental public participation in China. The results also show that other variables, including educational level and environmental pollution level have different or even reverse effects depending on the form of participation examined. In general, the results are consistent with cross-national studies of environmental policy development and political participation.     

Who Lives on the Wrong Side of the Environmental Tracks? Evidence from the EPA's Risk‐Screening Environmental Indicators Model*

Objective. We analyze the social and economic correlates of air pollution exposure in U.S. cities. Methods. We combine 1990 Census block group data for urbanized areas with 1998 data on toxicity‐adjusted exposure to air pollution. Using a unique data set created as a byproduct of the EPA's Risk‐Screening Environmental Indicators Model, we improve on previous studies of environmental inequality in three ways. First, where previous studies focus on the proximity to point sources and the total mass of pollutants released, our measure of toxic exposure reflects atmospheric dispersion and chemical toxicity. Second, we analyze the data at a fine level of geographic resolution. Third, we control for substantial regional variations in pollution, allowing us to identify exposure differences both within cities and between cities. Results. We find that African Americans tend to live both in more polluted cities in the United States and in more polluted neighborhoods within cities. Hispanics live in less polluted cities on average, but they live in more polluted areas within cities. We find an extremely consistent income‐pollution gradient, with lower‐income people significantly more exposed to pollution. Conclusions. Communities with higher concentrations of lower‐income people and people of color experience disproportionate exposure to environmental hazards. Our findings highlight the importance of controlling for interregional variation in pollution levels in studies of the demographic correlates of pollution.     

The Clean Air Act of 1970 and Adult Mortality

Previous research has established an association between air pollution and adult mortality. However, studies utilizing short-term fluctuations in pollution may detect mortality changes among the already ill or dying, while prospective cohort studies, which utilize geographic differences in long-run pollution levels, may suffer from severe omitted variables bias. This study utilizes the long-run reduction in total suspended particulates (TSPs) pollution induced by the Clean Air Act of 1970, which mandated aggressive regulation of local polluters in heavily polluted counties. We find that regulatory status is associated with large reductions in TSPs pollution but has little association with reductions in either adult or elderly mortality. These findings are interpreted with caution due to several caveats.     

Neoliberalism and the reform of regulation policy in the Australian trucking sector: policy innovation or a repeat of known pitfalls?

This study explores the influences of neoliberalism on the design and operation of regulation policy in the Australian trucking sector. It examines the introduction of a programme of voluntary self-regulation and considers why despite known weaknesses, regulators persist with such policy reforms. The study draws on qualitative research involving representatives of policy and regulatory agencies as well as industry participants. The analysis examines the role of markets in directing truck operator interest towards public policy compliance objectives. This generates a diversity of responses from firms ranging from willing compliance to deceptive ritualism. The findings reveal how voluntary self-regulation appeals to some segments of industry and how in this case it also signals a shift in regulatory culture, facilitating a new and more engaging dialogue between industry and regulators around compliance and safety concerns. This study shows that advances in industry-regulator engagement help explain why neoliberal policy influences are often readily embraced by regulatory agencies. Here, we see how programmes of voluntary self-regulation present both symbolic and substantive value for key policy actors.     

Public Opinion and Dynamic Representation in the American States: The Case of Environmental Attitudes*

Objective. We investigate causal processes linking environmental conditions, attitudes, and policies in the American states: Is public opinion about ecology shaped by environmental conditions? Are state policymakers responsive to environmental opinions? Does public opinion respond to policy adoption? Methods. Using public opinion data from the DDB Worldwide Life Style Survey to measure aggregate state attitudes about the environment, as well as measures of water quality and policy intervention, we capture the dynamics of representation in the American states on the environment during the late 1980s and early 1990s. Results. Our findings support a thermostatic model of representation—state environmental opinions are influenced by environmental conditions and are responsive to policy outputs alongside improved environmental conditions. Conclusions. This model of the opinion‐policy linkage refines our understanding of representation and focuses us not just on the passage of public policy to address public desires, but the effectiveness of that policy as well.     

Camping,climbing trees and marching to Parliament: spatial dimensions of environmental protest in New Zealand

Environmental movements are key actors in challenging social and political constructions of the physical environment. A wide variety of protest campaigns have been undertaken in New Zealand, from local issues of pollution and road building through to national opposition to native forest logging and genetic engineering (GE). The aim of this paper is to examine the scales at which environmental protest in New Zealand have taken place and the impact upon the actions and durability of environmental campaigns. Through an analysis of a catalogue of protest events over the period 1997–2013, this paper describes patterns of actions, before examining the campaigns against GE field trials and mineral extraction in more detail. The findings point to the importance of cross-scale operations in enabling campaigns to capitalise on and respond to changes in the external environment including governance structures, resources and countermovement actors.     

Modeling compliance to environmental regulation: Evidence from manufacturing industries

We examine the demand for pollution control equipment from 1973 to 1991 by those U.S. manufacturing industries that are highly sensitive to environmental regulation. We also consider the political determinants of the U.S. Environmental Protection Agency (EPA) enforcement budget. Because, as we demonstrate, the EPA enforcement budget is an important determinant of the industries' investment in pollution control equipment, we are able to establish a relationship between political factors and economic decision making on the part of the industries. Thus, our analysis demonstrates that the demand for pollution control equipment is sensitive to both economic and political factors.     

Emergency contraception: the politics of post-coital contraception

The literature and events related to the politicization of emergency contraceptive pills (ECPs) in the United States is reviewed. The basis of opposition to the regimen, rooted in the mode of action of ECPs, the confusion with mifepristone, and the challenges this presents for ECP advocates is also discussed. Legislative actions that impact the availability of ECPs are described, as well as efforts to increase access and availability through innovative programs, legislation, and changes in medical practice. Recommendations for future research, service delivery, and public policy are also presented .     

Does self-policing reduce chemical emissions?

The U.S. Environmental Protection Agency's Self-Policing Policy (more commonly referred to as the Audit Policy) waives or reduces penalties when companies voluntarily discover, disclose, and correct environmental violations. One goal of the Audit Policy is to encourage companies to conduct environmental audits in order to identify poor environmental performance. Thus, the regulatory flexibility associated with the Audit Policy should reduce subsequent chemical emissions. While several studies examine predictors of the Audit Policy, no studies examine if facilities that use the Policy decrease their chemical emissions as a result. The purpose of this research is to examine the impact of the Audit Policy on changes in Toxic Release Inventory (TRI) emissions among a sample of 178 facilities operating in the chemical and allied product industry. The results of that analysis suggest that facilities that use the policy have similar subsequent emissions trends as facilities that do not use the policy. Moreover, the results also suggest that formal enforcement actions are the best predictor of TRI reductions. These findings persist despite other regulator and company controls. In terms of environmental policy, the results suggest that self-policing may not improve or deteriorate environmental performance in the chemical and allied products industry.     

Smoking Restrictions as a Self-Control Mechanism

Using data from Current Population Survey Tobacco Use Supplements spanning 1992–2002, this study shows that smokers who plan to quit smoking are more supportive of regulations than are other smokers. Failed quitters who plan to try again are more supportive of restrictions than are smokers planning to quit for the first time. These findings indicate that many smokers support regulatory restrictions to reduce their costs of quitting by exploiting the discipline offered by regulatory control. From 1992 to 2002, support for smoking restrictions in public areas rose dramatically among both nonsmokers and smokers.JEL Classification: I180, I120, H000