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Did the Financial Crisis Affect Environmental Efficiency? Evidence from the Japanese Manufacturing Sector

Fujii, Hidemichi and Assaf, A. George and Managi, Shunsuke and Matousek, Roman (2015): Did the Financial Crisis Affect Environmental Efficiency? Evidence from the Japanese Manufacturing Sector.

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Abstract

This study examined the impact of the financial crisis on the environmental and technical efficiencies of the Japanese manufacturing industry. Overall, we found that while the crisis had a negative impact on technical efficiency it did not affect environmental efficiency- the only exception was the transportation equipment sector which improved its environmental efficiency following the crisis. Additionally, we found that capital intensity does not necessarily affect environmental efficiency. We discuss the implications of these findings and provide directions for future research.

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