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Strategic Release of News at the EPA

Author

Listed:
  • Muehlenbachs, Lucija

    (Resources for the Future)

  • Newcomb Sinha, Elisabeth
  • Ranjan Sinha, Nitish

Abstract

Using advances in text analysis, we examine the content and timing of 21,493 press releases issued by the U.S. Environmental Protection Agency (EPA) between 1994 and 2009. Press releases announcing enforcement actions or regulatory changes were issued more often on Fridays and before holidays, a time when news has the least impact on media coverage and financial markets. Changing the timing of press releases may increase deterrence through awareness of regulation and market reaction to environmental news. We find no evidence of regulatory capture. We compare text analysis techniques that allow data collection from sources previously too expensive to access.

Suggested Citation

  • Muehlenbachs, Lucija & Newcomb Sinha, Elisabeth & Ranjan Sinha, Nitish, 2011. "Strategic Release of News at the EPA," RFF Working Paper Series dp-11-45, Resources for the Future.
    • Handle: RePEc:rff:dpaper:dp-11-45
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    File URL: http://www.rff.org/RFF/documents/RFF-DP-11-45.pdf
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    References listed on IDEAS

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    1. J.C. Bosch & E. Woodrow Eckard & Insup Lee, 1998. "EPA enforcement, firm response strategies, and stockholder wealth: an empirical examination," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 19(3), pages 167-177.
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    Cited by:

    1. Hitaj, Claudia & Stocking, Andrew, 2016. "Market efficiency and the U.S. market for sulfur dioxide allowances," Energy Economics, Elsevier, vol. 55(C), pages 135-147.
    2. Claudia Hitaj & Andrew Stocking, 2014. "Market Efficiency and the U.S. Market for Sulfur Dioxide Allowances: Working Paper 2014-01," Working Papers 45044, Congressional Budget Office.
    3. Joelle Noailly; Laura Nowzohour; Matthias van den Heuvel, 2021. "Heard the News? Environmental Policy and Clean Investments," CIES Research Paper series 70-2021, Centre for International Environmental Studies, The Graduate Institute.

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    More about this item

    Keywords

    text analysis; computational linguistics; regulation; environment; politics; Environmental Protection Agency;
    All these keywords.

    JEL classification:

    • Q58 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environmental Economics: Government Policy

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