The regional economic impacts of voluntary pollution prevention in New Jersey

✍ Scribed by Kelly Robinson

• Publisher: John Wiley and Sons
• Year: 1997
• Tongue: English
• Weight: 155 KB
• Volume: 6
• Category: Article
• ISSN: 0964-4733
• DOI: 10.1002/(sici)1099-0836(199707)6:3<133::aid-bse105>3.0.co;2-b

✦ Synopsis

Recent experience with voluntary pollution prevention (P2) for ®ve industries in the state of New Jersey is examined. Using a regional econometric model, it is estimated that P2 will increase regional value added between $3 million and $5 million per year between and 2005 (1994 US dollars) US dollars). Most of this gain is in the chemical sector. While small, given the size of the industries studied, the level of P2 in these industries is also small. Furthermore, these estimates exclude environmental bene®ts and returns from recycling. One signi®cant contribution of the research is to examine the economic impact on the chemical industry of P2-related reductions in sales. Surprisingly, it is found that P2 may well increase the demand for chemicals locally, because increased ef®ciency will allow local ®rms to expand exports.