IDEAS home Printed from https://ideas.repec.org/a/bpj/buspol/v17y2015i4p633-659n5.html
   My bibliography  Save this article

Polluting industries as climate protagonists: cap and trade and the problem of business preferences

Author

Listed:
  • Grumbach Jacob M.

    (Department of Political Science, University of California, Berkeley, CA, USA)

Abstract

In the US, the failure of climate legislation and the implementation of EPA rules are the subject of intense scholarly and public debate. However, the debate has not investigated – and at times has further obfuscated – the preferences and expected tactics of industry stakeholders. Scholars of management and regulation argue that firms’ profit motives can be aligned with socially beneficial outcomes, but they assume that firms prefer market-based regulation over the status quo. Correspondingly, corporate stakeholders have been portrayed as protagonists in campaigns for climate legislation. In a case study of the cap and trade fight during 2009 and 2010, I find that industry stakeholders primarily mobilized to maintain the status quo, but simultaneously joined the cap and trade coalition in order to favorably shape potentially inevitable climate legislation. The case underlines the importance of deeper investigation of business preferences and provides evidence for theories that prioritize power resources and the structural power of business.

Suggested Citation

  • Grumbach Jacob M., 2015. "Polluting industries as climate protagonists: cap and trade and the problem of business preferences," Business and Politics, De Gruyter, vol. 17(4), pages 633-659, December.
    • Handle: RePEc:bpj:buspol:v:17:y:2015:i:4:p:633-659:n:5
    DOI: 10.1515/bap-2015-0012
    as

    Download full text from publisher

    File URL: https://doi.org/10.1515/bap-2015-0012
    Download Restriction: For access to full text, subscription to the journal or payment for the individual article is required.
    File URL: https://libkey.io/10.1515/bap-2015-0012?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Michael I. Cragg & Yuyu Zhou & Kevin Gurney & Matthew E. Kahn, 2013. "Carbon Geography: The Political Economy Of Congressional Support For Legislation Intended To Mitigate Greenhouse Gas Production," Economic Inquiry, Western Economic Association International, vol. 51(2), pages 1640-1650, April.
    2. George J. Stigler, 1971. "The Theory of Economic Regulation," Bell Journal of Economics, The RAND Corporation, vol. 2(1), pages 3-21, Spring.
    3. Robert Boyer, 2005. "From shareholder value to CEO power: The paradox of the 1990s," PSE Working Papers halshs-00590848, HAL.
    4. Robert Boyer, 2005. "From shareholder value to CEO power: The paradox of the 1990s," Working Papers halshs-00590848, HAL.
    5. Robert Boyer, 2005. "From Shareholder Value to CEO Power: the Paradox of the 1990s," Post-Print halshs-00754109, HAL.
    6. Jacob S. Hacker & Paul Pierson, 2010. "Winner-Take-All Politics: Public Policy, Political Organization, and the Precipitous Rise of Top Incomes in the United States," Politics & Society, , vol. 38(2), pages 152-204, June.
    7. Vormedal Irja, 2011. "From Foe to Friend? Business, the Tipping Point and U.S. Climate Politics," Business and Politics, De Gruyter, vol. 13(3), pages 1-31, October.
    8. Mares,Isabela, 2003. "The Politics of Social Risk," Cambridge Books, Cambridge University Press, number 9780521534772, September.
    9. Mares,Isabela, 2003. "The Politics of Social Risk," Cambridge Books, Cambridge University Press, number 9780521827416, September.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Irja Vormedal & Lars H. Gulbrandsen & Jon Birger Skjærseth, 2020. "Big Oil and Climate Regulation: Business as Usual or a Changing Business?," Global Environmental Politics, MIT Press, vol. 20(4), pages 143-166, Autumn.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. repec:hal:cepnwp:hal-03987909 is not listed on IDEAS
    2. Wiid, Ria & Pitt, Leyland & Mills, Adam J., 2012. "Every story tells a picture: Lessons from cartoons on corporate governance," Business Horizons, Elsevier, vol. 55(6), pages 543-550.
    3. Gerhard Schnyder, 2012. "Measuring Corporate Governance: Lessons from the 'Bundles Approach'," Working Papers wp438, Centre for Business Research, University of Cambridge.
    4. Giovanni Dosi & Valérie Revest & Alessandro Sapio, 2016. "Financial regimes, financialization patterns and industrial performances : preliminary remarks," Post-Print halshs-01418040, HAL.
    5. Mustafa Erdem Sakinç, 2017. "Share Repurchases in Europe A Value Extraction Analysis," Working Papers hal-03987909, HAL.
    6. Gimet, Céline & Lagoarde-Segot, Thomas & Reyes-Ortiz, Luis, 2019. "Financialization and the macroeconomy. Theory and empirical evidence," Economic Modelling, Elsevier, vol. 81(C), pages 89-110.
    7. Batiz-Lazo, Bernardo & Martínez-Rodríguez, Susana, 2022. "Gender and the financialization of Spanish retail banking, 1949-1970," MPRA Paper 114629, University Library of Munich, Germany.
    8. Sanjukta Brahma & Fotini Economou, 2024. "CEO power and corporate strategies: a review of the literature," Review of Quantitative Finance and Accounting, Springer, vol. 62(3), pages 1069-1143, April.
    9. Dünhaupt, Petra., 2013. "Determinants of functional income distribution : theory and empirical evidence," ILO Working Papers 994841223402676, International Labour Organization.
    10. Tiago Cardao-Pito, 2017. "Classes in Maximizing Shareholders’ Wealth: Irving Fisher’s Theory of the Economic Organization in Corporate Financial Economics Textbooks," Contemporary Economics, University of Economics and Human Sciences in Warsaw., vol. 11(4), December.
    11. Froud, Julie & Johal, Sukhdev & Leaver, Adam & Williams, Karel, 2014. "Financialization across the Pacific: Manufacturing cost ratios, supply chains and power," CRITICAL PERSPECTIVES ON ACCOUNTING, Elsevier, vol. 25(1), pages 46-57.
    12. Callaghan, Helen, 2013. "Who cares about financialization? Explaining the decline in political salience of active markets for corporate control," MPIfG Discussion Paper 13/4, Max Planck Institute for the Study of Societies.
    13. repec:ilo:ilowps:484122 is not listed on IDEAS
    14. Höpner, Martin & Waclawczyk, Maximilian, 2012. "Opportunismus oder Ungewissheit? Mitbestimmte Unternehmen zwischen Klassenkampf und Produktionsregime," MPIfG Discussion Paper 12/1, Max Planck Institute for the Study of Societies.
    15. Robert Boyer, 2008. "Democracy and social democracy facing contemporary capitalisms: A "régulationist" approach," Working Papers halshs-00586315, HAL.
    16. Busemeyer, Marius R., 2011. "Varieties of cross-class coalitions in the politics of dualization: Insights from the case of vocational training in Germany," MPIfG Discussion Paper 11/13, Max Planck Institute for the Study of Societies.
    17. Wonik Kim, 2007. "Social Insurance Expansion and Political Regime Dynamics in Europe, 1880–1945," Social Science Quarterly, Southwestern Social Science Association, vol. 88(2), pages 494-514, June.
    18. repec:zbw:rwirep:0364 is not listed on IDEAS
    19. Kinderman, Daniel, 2014. "Challenging varieties of capitalism's account of business interests: The new social market initiative and German employers' quest for liberalization, 2000-2014," MPIfG Discussion Paper 14/16, Max Planck Institute for the Study of Societies.
    20. Thibault Darcillon, 2012. "Do Interactions between Finance and Labor Market Institutions Affect Wage Distribution?," Université Paris1 Panthéon-Sorbonne (Post-Print and Working Papers) halshs-00768908, HAL.
    21. Fernando Gomez-Pomar & Mireia Artigot-Golobardes, "undated". "Wer sollte die Kosten von Unfällen am Arbeitsplatz tragen? Die schwierige Koordination von Arbeiterunfallversicherung und Delikthaftung aus ökonomischer Sicht," German Working Papers in Law and Economics 2004-1-1105, Berkeley Electronic Press.
    22. van der Ven Hamish, 2014. "Socializing the C-suite: why some big-box retailers are “greener” than others," Business and Politics, De Gruyter, vol. 16(1), pages 31-63, April.
    23. Fleckenstein, Timo & Lee, Soohyun Christine, 2017. "The politics of labor market reform in coordinated welfare capitalism: comparing Sweden, Germany, and South Korea," LSE Research Online Documents on Economics 68210, London School of Economics and Political Science, LSE Library.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bpj:buspol:v:17:y:2015:i:4:p:633-659:n:5. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Peter Golla (email available below). General contact details of provider: https://www.degruyter.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.