Logo
Munich Personal RePEc Archive

Does Entrepreneurial Behaviour Matter for the Strong Porter Hypothesis

Bianco, Dominique (2020): Does Entrepreneurial Behaviour Matter for the Strong Porter Hypothesis.

[thumbnail of MPRA_paper_100116.pdf]
Preview
PDF
MPRA_paper_100116.pdf

Download (344kB) | Preview

Abstract

The traditional economic argument states that compliance with environmental policy diverts resources from innovation. In his engaging paper, Porter (1991) argues counterintuitively that more stringent environmental policies induce innovations the benefits of which exceed the costs. We build a Schumpeterian endogenous growth model that takes account of both arguments by including satisficing and profit-maximizing managers. Our theoretical results enable us to determine the validity condition of the strong Porter hypothesis which is consistent with empirical results.

Atom RSS 1.0 RSS 2.0

Contact us: mpra@ub.uni-muenchen.de

This repository has been built using EPrints software.

MPRA is a RePEc service hosted by Logo of the University Library LMU Munich.