IDEAS home Printed from https://ideas.repec.org/a/ucp/jaerec/doi10.1086-705828.html
   My bibliography  Save this article

Evaluating Voluntary Environmental Programs with Spillover Effects

Author

Listed:
  • Rong Zhou
  • Xiang Bi
  • Kathleen Segerson

Abstract

Voluntary environmental programs have the potential to impact not only participants but also nonparticipants, through, for example, the dissemination of information about abatement technologies, thereby creating spillover effects. Standard program evaluation techniques do not accurately estimate program impacts in such cases. This paper presents a theoretical and empirical analysis of spillovers in a voluntary environmental program (VEP). The theoretical model identifies the key distinction between the impact of participation and the impact of the program, as well as the nature of the bias that results from failure to incorporate spillover effects. It also motivates the inclusion of spillovers in both the participation and outcome equations of the empirical model. Using data from EPA’s 33/50 Program, we show that failure to account for spillovers can lead to significant underestimation of program impacts.

Suggested Citation

  • Rong Zhou & Xiang Bi & Kathleen Segerson, 2020. "Evaluating Voluntary Environmental Programs with Spillover Effects," Journal of the Association of Environmental and Resource Economists, University of Chicago Press, vol. 7(1), pages 145-180.
    • Handle: RePEc:ucp:jaerec:doi:10.1086/705828
    DOI: 10.1086/705828
    as

    Download full text from publisher

    File URL: http://dx.doi.org/10.1086/705828
    Download Restriction: Access to the online full text or PDF requires a subscription.
    File URL: http://dx.doi.org/10.1086/705828
    Download Restriction: Access to the online full text or PDF requires a subscription.
    File URL: https://libkey.io/10.1086/705828?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.

    Citations

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


    Cited by:

    1. Kathleen Segerson & Catherine L. Kling & Nancy E. Bockstael, 2022. "Contributions of women at the intersection of agricultural economics and environmental and natural resource economics," Applied Economic Perspectives and Policy, John Wiley & Sons, vol. 44(1), pages 38-53, March.
    2. Wang, Jing & Rickman, Dan S. & Yu, Yihua, 2022. "Dynamics between global value chain participation, CO2 emissions, and economic growth: Evidence from a panel vector autoregression model," Energy Economics, Elsevier, vol. 109(C).
    3. Zhang, Ruohao & Li, Huan & Khanna, Naha, 2020. "Firm Behavior under Unanticipated Change in Regulation: Power Plant Emissions During the 2018-2019 Federal Government Shutdown," 2020 Annual Meeting, July 26-28, Kansas City, Missouri 305182, Agricultural and Applied Economics Association.
    4. Xia Li & Timothy Simcoe, 2021. "Competing or complementary labels? Estimating spillovers in Chinese green building certification," Strategic Management Journal, Wiley Blackwell, vol. 42(13), pages 2451-2476, December.
    5. Matthew Kotchen & Kathleen Segerson, 2020. "The Use of Group-Level Approaches to Environmental and Natural Resource Policy," NBER Working Papers 27142, National Bureau of Economic Research, Inc.
    6. Kentaro Florian Mayr & Paolo Agnolucci, 2023. "Heterogeneous Impacts in Voluntary Agreements: A Changes-in-Changes Approach to the UK Climate Change Agreements," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 86(3), pages 345-379, November.
    7. Abdoul G. Sam & Danbee Song, 2022. "Corporate environmentalism and international trade: Evidence from industry‐level data," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 29(5), pages 1440-1455, September.

    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:ucp:jaerec:doi:10.1086/705828. 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.

    We have no bibliographic references for this item. You can help adding them by using 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: Journals Division (email available below). General contact details of provider: https://www.journals.uchicago.edu/JAERE .

    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.