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Does the Squeaky Wheel Get More Grease? The Direct and Indirect Effects of Citizen Participation on Environmental Governance in China

Author

Listed:
  • Mark T. Buntaine
  • Michael Greenstone
  • Guojun He
  • Mengdi Liu
  • Shaoda Wang
  • Bing Zhang

Abstract

We conducted a nationwide field experiment in China to evaluate the direct and indirect impacts of assigning firms to public or private citizen appeals when they violate pollution standards. There are three main findings. First, public appeals to the regulator through social media substantially reduce violations and pollution emissions, while private appeals cause more modest environmental improvements. Second, public appeals appear to tilt regulators' focus away from facilitating economic growth and toward avoiding pollution-induced public unrest. Third, pollution reductions by treated firms are not offset by control firms, based on randomly varying the proportion of treated firms at the prefecture level.

Suggested Citation

  • Mark T. Buntaine & Michael Greenstone & Guojun He & Mengdi Liu & Shaoda Wang & Bing Zhang, 2024. "Does the Squeaky Wheel Get More Grease? The Direct and Indirect Effects of Citizen Participation on Environmental Governance in China," American Economic Review, American Economic Association, vol. 114(3), pages 815-850, March.
  • Handle: RePEc:aea:aecrev:v:114:y:2024:i:3:p:815-50
    DOI: 10.1257/aer.20221215
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    Cited by:

    1. Chen, Fanglin & Zhang, Tianzi & Chen, Zhongfei, 2024. "Assessment of environmental concern for enterprise pollution reduction," Economic Analysis and Policy, Elsevier, vol. 81(C), pages 772-786.
    2. Fanlin Kong & Shaojun Chen & Jie Gou, 2023. "How Does Differential Public Participation Influence Outcome Justice in Energy Transitions? Evidence from a Waste-to-Energy (WTE) Project in China," Sustainability, MDPI, vol. 15(24), pages 1-15, December.
    3. Liu, Yazhou & Cheng, Yunqian & Li, Tianshu & Ni, Jinlan & Norman, Stephen, 2024. "Information disclosure and public participation in environmental management: Evidence from the river chief system in China," China Economic Review, Elsevier, vol. 85(C).
    4. Araujo, Rafael & Costa, Francisco J M & Garg, Teevrat, 2022. "Public Attention and Environmental Action: Evidence from Fires in the Amazon," SocArXiv xj3f6, Center for Open Science.

    More about this item

    JEL classification:

    • D22 - Microeconomics - - Production and Organizations - - - Firm Behavior: Empirical Analysis
    • L82 - Industrial Organization - - Industry Studies: Services - - - Entertainment; Media
    • P28 - Political Economy and Comparative Economic Systems - - Socialist and Transition Economies - - - Natural Resources; Environment
    • P31 - Political Economy and Comparative Economic Systems - - Socialist Institutions and Their Transitions - - - Socialist Enterprises and Their Transitions
    • Q52 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Pollution Control Adoption and Costs; Distributional Effects; Employment Effects
    • Q53 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Air Pollution; Water Pollution; Noise; Hazardous Waste; Solid Waste; Recycling
    • Q58 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environmental Economics: Government Policy

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