We investigate the effectiveness of voluntary pollution prevention activities in reducing toxic releases from facilities that reported to the U.S. Environmental Protection Agency's Toxics Release Inventory from 1991-2001, using generalized method of moments dynamic panel data models that recognize the potential endogeneity of the pollution prevention adoption decision on toxic releases. We find that pollution prevention adoption had a negative impact on toxic releases. The estimated coefficients suggest that the effect of pollution prevention adoption is substantial, but short-lived, dissipating within 4 to 5 years. However, a continual adoption of pollution prevention techniques leads to lower steady-state releases, with estimated reductions between 35% and 50%.

Original languageEnglish (US)
Pages (from-to)199-221
Number of pages23
JournalLand Economics
Issue number2
StatePublished - May 2014

ASJC Scopus subject areas

  • Environmental Science (miscellaneous)
  • Economics and Econometrics


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