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Who Blames Corruption for the Poor Enforcement of Environmental Laws? Survey Evidence from Brazil

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Abstract

Who blames corruption for the poor enforcement of environmental laws? The answer to this question is important since corruption is an important reason why environmental policies are not properly enforced, but previous studies of environmental public opinion do not address the issue. We analyze data from a survey fielded in Brazil in June 2012, immediately preceding the Rio+20 environmental summit. We test hypotheses on income, education, and perception of corruption as a cause of poor enforcement of environmental policy. We find that wealthy individuals are more likely to associate corruption with enforcement failure than poorer Brazilians. However, education is not associated with the belief that corruption is a primary cause of enforcement failure. These results suggest that since wealthy Brazilians have a higher exposure to corruption because of their interaction with government officials, they understand the role of corruption in policy failure. Conversely, the kind of general information that education offers does not raise concern about the role of corruption in environmental policy. The results have important implications particularly in democratic societies, where governments have stronger incentives to address the problem if concerned publics associate corruption with enforcement failure.

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... Initially, oil was seen as a national security and economic growth factor. It was only in the third phase of environmental regulation in Brazil (after 1989) that environmental concerns became a major issue [9]. When these resources are seen as economic growth factors, governments aim to attract new investments and environmental issues tend to be overlooked. ...
... In fact, concerning environmental policy, there is a gap between existing legislations and its effective enforcement [9]. According to Clemente and Leão [10], although the country has high quality environmental regulations, they are not properly implemented. ...
... It is important to note that there is an important interconnection between some governance indicators. For example, corruption makes effective enforcement of environmental regulation harder [9] hindering regulatory quality, government effectiveness and rule of law. It is widely recognized that natural resources, namely non-renewable ones, can generate large economic rents, thus there is always an incentive for rent-seeking with a risk of corruption. ...
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In this paper we analyze the role of governance quality on environmental policy in Brazil regarding natural resources exploration, particularly oil. Governance quality is reflected in five indicators following the approach of the World Bank: political stability, regulatory quality, government effectiveness, rule of law, and control of corruption. We highlight the main governance challenges faced by this country which can hinder environmental policy, particularly when they can influence oil exploration. The first problem detected is the political interference on environmental management. As governments change, so do environmental priorities, which raises immense costs. The second problem is that, despite the good environmental regulation, its effective implementation is hard. This happens due to low government effectiveness levels. Finally, the lack of political independence of environmental agencies increases the risk of corruption. Hence, it appears necessary for Brazil to carry out a self-assessment of its environmental policy and trace independent paths for technical and political resources management. Notwithstanding, we did not find an evident connection between the fluctuations in the governance indicators and data on oil production and CO2 emissions.
... Therefore, although compensation does not necessarily bring environmental benefits, it is a more economically viable compliance option for most landowners with vegetation deficits on productive agricultural land due to the substantial increase in land prices following the conversion of native vegetation to agriculture and positioning on fertile land [27]. While compensation strategies must rely on scientific ecological knowledge [28], on a political level, the dilemma between the economic and environmental factors of compensation acquires other aspects with various social pressures and possible occurrences of illicit acts [29][30][31]. Therefore, ecological compensation rarely achieves No Net Loss (NNL) [21,32], with frequent failures in Australia [33,34] and France [20] due to fluctuating regulations and weak support. ...
... Therefore, the study demonstrates that the increase in land prices after converting native vegetation and the productive gain establishes an environmental compensation strategy in which economic interests override ecological ones. This trend initially disregards the basic principles of ecological balance and progresses to eventual occurrences of illicit acts [27,[29][30][31]. This scenario of productive and financial advantages at the expense of sustainability and environmental preservation demonstrates the need to reevaluate compensation policies to ensure the adequate protection of natural ecosystems. ...
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This research investigates the illegal Vegetation Suppression Authorization (VSA) for Legal Reserve Compensation (LRC) in Tocantins, Brazil, between 2012 and 2014. The VSA is a license issued by state environmental agencies that authorizes the removal or clearing of native vegetation. This infraction resulted from the state environmental agency’s mistaken interpretation of Resolution 07/2005 of the State Environmental Council and the Native Vegetation Protection Law, which operates nationally and takes precedence over state resolutions and laws. The study area focuses on eight municipalities contained in the Formoso, Pium, and Javaés river basins. The methodology examines irregular VSA-LRC cases through geospatial data analysis, multitemporal analysis using remote sensing data, and economic assessments in both the origin and destination areas of the compensatory reserve. The results showed that among the 217 VSA-LRC applications during the period, 93 had corresponding geospatial data, indicating that 57.1% of the geospatial data were missing. This discrepancy between the authorized area and the available geospatial information restricts the oversight capability of the regulatory agency. A decade-long deforestation analysis of VSA-LRCs using remote sensing data considered three phases: 2012–2014 (application and issuance of VSA-LRCs), 2015–2018 (operational issuance), and 2019–2022 (post-expiration of VSA-LRCs). The results revealed a total VSA-LRC area of 343.291 km² (34,329.10 ha), with 229.1169 km² (22,911.69 ha) of deforestation. Notably, 54.877 km² (5487.70 ha) of this deforestation occurred in 2019–2022, after the VSA-LRC had expired. The analysis of the LRC origin and destination areas demonstrates a unidirectional strategy, from economically more valuable areas to less valuable ones, according to land market dynamics. Therefore, this investigation concludes the need for greater administrative transparency, the development of a reliable geospatial data system for monitoring, and policy changes and actions to enhance environmental protection.
... GDP per capita for selected cities for 2008 (US dollars) 17 1.10 Cities and per person ecological footprint and bio-capacity 18 1.11 EF, HDI and GNI per capita (2017) 19 2.1 Carbon dioxide sequestration rates for different climates 25 3.1 CO 2 emissions for selected foods 30 3. 2 The energy generated from the same amount of land in different countries compared with one unit of energy from meat 30 3.3 ...
... The same source gives the area of Moscow as 2,511 sq.km and that of Greater Moscow as 26,000 sq.km. This makes the population density of Moscow 4,978 persons/ sq.km, which would lift its ranking to 11th in Table 1 (2,500) and Copenhagen and Sydney (2,100). Obviously, these figures hide very different distributions of space for many citizens of each city. ...
... Evidence on the relationship among law enforcement, criminal sentencing, offenders' behavior, and their socioeconomic conditions has consolidated in the last decade (Crow et al. 2013;Doerner and Demuth 2014;Johnson and Dipietro 2012;Kutateladze et al. 2014;Light 2014). Although there is increased attention to offenses against the environment (Aklin et al. 2014;Almer and Goeschl 2010;Blondiau et al. 2015;Cohen 1992;Faure and Svatikova 2012;Garcia and Fonseca 2018;Gray and Shimshack 2011;Lynch et al. 2016;Miller 2005;Rousseau 2009;Sjöberg 2016;South 1998), there are still significant gaps in the literature concerning the deterrence of environmental offenses. These gaps include the role played by court sentencing Cochran et al. 2018;O'Hear 2004) and prosecutorial failures (Cohen 1992;Lynch and Stretsky 2003;Simon 2000). ...
... 2 Current research on environmental violations and deterrence focuses on criminal prosecution, threat of imprisonment, spillover effects, corruption, the importance of local governments, and decentralized monitoring and enforcement (Almer and Goeschl 2010;Gray and Shimshack 2011;Faure and Svatikova 2012;Aklin et al. 2014;Blondiau et al. 2015;Sjöberg 2016;Lynch et al. 2016). ...
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Objectives This study examines the role of law enforcement procedures for environmental offenses. We test whether reaching the statute of limitations is associated with the recidivism of offenses against the flora in Brazil. Methods We analyze the universe of infractions issued by Brazil’s Federal Environmental Agency from 2000 to 2010 using survival analysis and reweighting methods. Results Findings indicate that reaching the statute of limitations in administrative procedures increases the risk of recidivism for individuals by 188% and firms by 34%. Conclusion Ineffective sentencing practices stimulate repeated offenses against the environment and have significant consequences for environmental degradation in Brazil, a country that is central for actions to mitigate global environmental change.
... Given the context described above, we argue that corruption, as an indicator of institutional weakness, could be related to the firm's decision to invest less in energy efficient equipment because corruption weakens the enforcement of the environmental regulations and law (Aklin et al., 2014). Therefore, this paper aims to investigate the role of corruption in small and mediumsized enterprises (SMEs) to engage in energy efficient investments. ...
... For example, corruption could increase emissions directly by reducing the stringency of environmental regulations and weakening their enforcement (e.g. Aklin et al., 2014). Corruption also impacts emissions indirectly through its effect on per capita income (Cole, 2007). ...
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Energy efficiency is an important issue for developing countries like Vietnam, where the economy is thriving, but energy efficiency is still low. Firms should invest in energy efficiency measures, but the desired level is not reached. While the economic determinants of firms’ investments in energy efficiency have been researched, the role of the institutional setting has not gained so much attention. By employing data from Vietnamese small and medium-sized enterprises that has been administered in 2015, this article investigates how corruption, as a sign of institutional dysfunctionality, is associated with the energy efficiency in firms. Results of a bivariate binary probit estimation revealed that bribery increases the likelihood of energy efficiency environmentally friendly investments. However, findings from instrumental variable two stage least squares estimations demonstrate that bribery increases the cost of the investments. Hence, in the long run, corruption might have a deterring effect on energy efficiency investments by firms.
... In the international literature, the analysis is very often based on reflections of the Brazilian society, the perception of corruption and the role of information (Weitz & Winters, 2017;Winters & Weitz, 2013, 2014Aklin, 2014;Fischer, 2014). If and how the detection of corrupt practices has a significant influence on the voting behavior, is one of the key questions in recent political science studies (e.g., Winters & Weitz, 2015;Aklin, 2014;Fischer, 2014). ...
... In the international literature, the analysis is very often based on reflections of the Brazilian society, the perception of corruption and the role of information (Weitz & Winters, 2017;Winters & Weitz, 2013, 2014Aklin, 2014;Fischer, 2014). If and how the detection of corrupt practices has a significant influence on the voting behavior, is one of the key questions in recent political science studies (e.g., Winters & Weitz, 2015;Aklin, 2014;Fischer, 2014). ...
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Brazil has a myriad of corruptions scandals in its recent history. Nonetheless, research on the organizational level of corruption is underdeveloped. The paradigm of individual deviance related to wealth grabs hardly applies to the ‘active corruption’ of the bribe giver, as seen in recent cases exposed by Operation Car Wash. The holding Odebrecht S.A is at the heart of these scandals. In these cases of bribery, most of the bribe givers are high-ranking, well-educated, and well-paid managers. They are highly connected with public agents and their actions are in line with the company’s goals. We perform an autopsy of the Odebrecht Case and briefly outline what mechanisms and factors on corporate level bolstered a pattern of endemic systemic corruption in the construction sector in Brazil. Our purpose is to contribute to the bigger discussion of corporate crime without overlooking criminological and polity’s perspective, but providing an approach from sociology of organizations. We analyse strengths and weaknesses of regulative institutions and the environmental conditions under which the Brazilian construction company operated and interacted both with its competitors and with public institutions. Based on the judicial documents about Odebrecht and its employees, we reconstruct the factors and mechanisms that are central to organizational deviance and provide an overview of the consequences for the company
... Similar trends in poor implementation are seen elsewhere. In Brazil, for example, corruption is closely linked to poor policy implementation and lack of adherence to environmental laws and is commonplace in many developing nations (Aklin et al., 2014). Jordan (1999) also highlights poor implementation of environmental policy in developed nations within the EU. ...
... The gaps identified here are relevant to many countries globally, including South Africa, covering a broad range of social-ecological and economic contexts (e.g. Raphael et al., 2010;Liquete et al., 2013Aklin, 2014. All of the key needs are issues faced by developed and developing countries to varying degrees as supported by their various case studies mentioned above. ...
... The Indian census defines slums as "residential areas where dwellings are unfit for human habitation by reasons of dilapidation, overcrowding, faulty arrangements and design of such buildings, narrowness or faulty arrangement of street, lack of ventilation, light, or sanitation facilities or any combination of these factors which are detrimental to the safety and health" [26]. 1 Based on 2011 census data, slums hosted about 68 million Indians (over 5% of the total Indian population and 17% of the urban population), and the number was growing. 2 As urbanization continues unabated in India, the number of slum dwellers is expected to continue to increase. In the absence of significant policies which would improve the living conditions in these areas, people will continue to live at risk of poor health, violence, and poverty [37]. ...
... Corruption reduces the quality of public services. It has been related to poor energy and environmental governance [1,14,24]. Instead of being used to design and enforce good regulations, resources are diverted to the personal profit of bureaucrats. These have then little incentives to remedy these problems [27]. ...
... Because Brazilian environmental policies are not adequately enforced and agencies have limited resources for surveillance, there is a large lack of compliance and impunity for environmental crimes, such as illegal hunting. In addition, corruption in agencies intensifies poor enforcement of environmental laws (Aklin et al., 2014). Thus, it is urgent to improve law enforcement efforts. ...
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Globally, illegal sport hunting can threaten prey populations when unregulated. Due to its covert nature, illegal sport hunting poses challenges for data collection, hindering efforts to understand the full extent of its impacts. We gathered social media data to analyze patterns of illegal sport hunting and wildlife depletion across Brazil. We collected data for 2 years (2018–2020) across 5 Facebook groups containing posts depicting pictures of illegal sport hunting events of native fauna. We described and mapped these hunting events by detailing the number of hunters involved, the number of species, the mean body mass of individuals, and the number and biomass of individuals hunted per unit area, stratified by Brazilian biome. We also examined the effects of defaunation on hunting yield and composition via regression models, rank–abundance curves, and spatial interpolation. We detected 2046 illegal sport hunting posts portraying the hunting of 4658 animals (∼29 t of undressed meat) across all 27 states and 6 natural biomes of Brazil. Of 157 native species targeted by hunters, 19 are currently threatened with extinction. We estimated that 1414 hunters extracted 3251 kg/million km². Some areas exhibited more pronounced wildlife depletion, in particular the Atlantic Forest and Caatinga biomes. In these areas, there was a shift from large mammals and reptiles to small birds as the main targeted taxa, and biomass extracted per hunting event and mean body mass across all taxonomic groups were lower than in other areas. Our results highlight that illegal sport hunting adds to the pressures of subsistence hunting and the wild meat trade on Brazil's wildlife populations. Enhanced surveillance efforts are needed to reduce illegal sport hunting levels and to develop well‐managed sustainable sport hunting programs. These can support wildlife conservation and offer incentives for local communities to oversee designated sport hunting areas.
... For example, according to Fredriksson et al. (2004), corruption reduces investment incentives in renewable energy sources and has no positive effect on energy efficiency. By impeding the effective adoption of green policies that support the development of renewable energy, corruption encourages an increase in CO2 emissions (Cole, 2007;Aklin et al., 2014). The relationship between green finance, renewable energy, and the environment is thus dependent on the governance quality levels used to implement green finance policies effectively. ...
Preprint
The importance of green finance in combating climate change has generally been recognized by governments across the globe in recent years. However, depending on the quality of governance and human capital level, unregulated green policies may have counterintuitive effects on environmental quality. Thus, this study illustrated how human capital and good governance moderate the ecological impact of green finance in China, the world's largest CO2 emitter. We used the moments-quantile method with fixed-effect models and several spatial econometric estimators in multivariate models on data from 1992Q1 to 2020Q4. Initially, we demonstrated how human capital development and sound governance helped green finance lower CO2 emissions. Second, in Central and Western China-where, unlike Eastern China, human capital levels and governance quality were above optimal thresholds-green finance marginally enhanced environmental quality. Third, in contrast with Eastern China, the combined impacts of human capital, green finance, and high-quality governance on the environment rose more in high-polluting provinces than in low-polluting areas, with larger magnitudes in Western China. Lastly, there were negative spatial spillover effects on CO2 emissions from green finance, human capital, and governance quality. Nonetheless, as opposed to Western China, their synergy-that is, the interaction terms-had positive spatial spillover effects on the CO2 emissions of the neighboring provinces of the Eastern and Central regions. As such, we provide some policy suggestions for China's sustainable development, thereby establishing China as an invaluable reference point from which other countries can adapt their eco-friendly policies.
... Governments face complex decision-making processes, balancing economic development with environmental sustainability. LAC governments may face challenges maintaining political stability and popular support while implementing remedies potentially disrupting powerful vested interests associated with extractivism, a relationship that fosters corruption (Aklin et al. 2014). For instance, remedies that aim to protect indigenous peoples' rights and territories may be perceived as threatening the smooth operation of an extractivist actor (McNeish 2018). ...
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The climate crisis will continue to affect human and natural systems across Latin America and the Caribbean (LAC). Undoubtedly, this jeopardizes entire communities’ enjoyment of human rights. In that context, the Inter-American Human Rights System (IAHRS) is expected to respond, particularly since its organs have jurisdiction to order remedies over most LAC countries, provided they determine a rights violation. Despite the growing number of domestic human rights-based climate cases in the region, the organs of the IAHRS have yet to adjudicate and order remedies in a case concerning the climate crisis. Against this backdrop, this article inquires how to understand climate remedies from a political ecology perspective to capture the LAC climate litigation experience. Additionally, the article asks what the challenges of implementing such remedies may be. To answer these questions, first, it compares the remedial approaches of domestic courts in six finally decided climate-related cases with those of the Inter-American Court of Human Rights (IACtHR) in ‘anti-extractivist’ cases. Second, it applies a political ecology lens to understand the elements that might hinder the implementation of the identified remedies. The article argues that the socioeconomic cost for States largely determines remedial compliance in domestic climate litigation and the IACtHR’s anti-extractivist litigation. Ultimately, the aim is to anticipate the future of climate remedies and their effectiveness at the IACtHR based on present climate litigation in LAC.
... Here, Fu and Jian (2021) find that the hypothesis's significance is detected in China when controlling for corruption, which is common in developing countries. Studies over the past two decades indicate that corruption breeds looser environmental regulations, resulting in increased pollutant emissions and reduced economic growth (e.g., Welsch (2004), Pellegrini and Gerlagh (2006), Aidt (2011) and Aklin et al. (2014)). This suggests that corruption may play a crucial role in the Porter hypothesis. ...
Article
The Porter hypothesis is not very statistically significant, especially in developing countries. This is likely because it overlooks environmental-policy-related bribes, and reducing the regulatory cost burden through bribes can encourage innovation. Moreover, the more competitive are the international markets, the more likely is it for firms to bribe officials in making export decisions. This study identifies a theoretical mechanism for this hypothesis by analyzing the effects of trade environmental policies and bribes associated with tax evasion on pollution, growth, and productivity in an R&D-based growth model considering exporting firms that engage in environmental tax evasion. The analysis yields a weak Porter hypothesis wherein an increase in environmental tax for exporting firms leads to economic growth and pollution reduction. Then, the greasing-the-wheel-of-trade and sanding-the-whole-of-trade hypotheses are compatible. The different results of trade and environmental policies’ effects on each developing country’s green innovation are likely due to the political institutions’ maturity.
... Existing work on the impact of corruption on environmental outcomes highlights the role of electoral incentives in ensuring the enforcement of environmental regulations (Aklin et al. 2014). This is in line with more general arguments about the ability of electoral accountability to generate effective enforcement and reduce the impact of corruption (Hurwicz 2008;Olken and Pande 2012). ...
Article
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While existing work has demonstrated that campaign donations can buy access to benefits such as favorable legislation and preferential contracting, we highlight another use of campaign contributions: buying reductions in regulatory enforcement. Specifically, we argue that in return for campaign contributions, Colombian mayors who rely on donor-funding (compared with those who do not) choose not to enforce sanctions against illegal deforestation activities. Using a regression discontinuity design, we show that deforestation is significantly higher in municipalities that elect donor-funded as opposed to self-funded politicians. Further analysis shows that only part of this effect can be explained by differences in contracting practices by donor-funded mayors. Instead, evidence of heterogeneity in the effects according to the presence of alternative formal and informal enforcement institutions, and analysis of fire clearance, support the interpretation that campaign contributions buy reductions in the enforcement of environmental regulations.
... To be considered legitimate, enforcement processes and outcomes must be perceived to be effective and fair (Nielsen, 2003;Pinkerton and John, 2008). External context-specific factors (Ramcilovic-Suominen and Epstein, 2012) such as bribery and corruption (Aklin et al., 2014;Enrici and Hubacek, 2016;Erdmann, 2001;Sundström, 2016), poverty (Dasgupta, 2000), and property rights (Ramcilovic-Suominen and Epstein, 2012) also influence compliance. Violating environmental regulations are often the only means for livelihood survival (Ha and van Dijk, 2013;Monzón-alvarado et al., 2014;Ostermann, 2016); hence authorities' reluctance to apply strict obedience on the poor (Nolte, 2016;Thung, 2018). ...
Article
Wildfires, including on carbon-rich peatlands, continue to haunt Indonesia every dry season. They have disastrous health, economic, environmental, and climate consequences. As a key measure to manage wildfires, laws strictly prohibit the burning of land and forests, targeting corporate and individual fire users. The literature suggests that weak law enforcement contributes to Indonesia's persistent wildfires but it lacks systematic analysis. Centred on villagers, this research examines 1) how enforcement of the burning prohibition plays out in practice, by analysing each step along the enforcement chain, and 2) how enforcement has shaped villagers' compliance with the fire rules, and implications for them. We interviewed villagers and enforcement agents and analysed court documents of the year 2019 fire cases. We focused on two fire-prone provinces with extensive peatlands, South Sumatra and Central Kalimantan. We found that some villagers have complied and ceased burning, while others have continued to use fire to maintain their livelihoods. Enforcement contributed to fire prevention, but may have also increased fire risks thus limiting the prevention effect. A multitude of challenges, including physical obstacles, resource constraints, and governance reduced enforcement effectiveness. Key to enforcement is legitimacy of the rule being enforced from the perspective of both enforcement agents and target actors. Investments are required to support viable alternative no-burning cropping methods. At the same time, public awareness raising and long-term education are essential for accidental fire prevention and the reduction of overall enforcement costs.
... These structural challenges which characterize environmental law enforcement efforts in developing countries (Aklin et al., 2014) appear to support the finding by Kennedy (2010) that the existing environmental regulatory framework is insufficient to achieve the sustainable environmental outcomes desired by many (especially developing) countries like Nigeria and Brazil. It also suggests that legislation and regulation are unlikely, by themselves, to positively influence environmental attitudes or change environmental beliefs and behaviors among Nigerian citizens, including those in the Niger Delta region. ...
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This article argues that a community-based social marketing (CBSM) framework can support an environmental health communication and advocacy campaign in Nigeria’s Niger Delta. First, the personal and group environmental attitudes and behavior in the region are identified. Next, a summary is provided of the underlying sources, types, and magnitude of the region’s environmental challenges from oil production agriculture, and illegal logging. Using grounded theory, a CBSM strategy is proposed for enhancing environmental attitudes and behavior for promoting environmental health in Nigeria’s Niger Delta. The analysis identified specific behavior change necessary to improve environmental conditions, themes and resources, including groups and institutions that could be considered as assets, as well as potential barriers to implementing CBSM in the Niger Delta. It also identified the need to combine the CBSM with the social ecological model to make it effective for framing appropriately targeted pro-environmental communication addressing complex socio-political problems.
... 129 The country faces serious issues related to corruption, which makes the enforceability of laws and regulations a real problem, and the consequence is the existence of good legislation that is not being complied with and the environmental results are not being achieved. 130 In terms of SDG 14, life below water, the analysis is more complex than the previously analyzed SDG 6. 131 In a report published by the Applied Economics Research Institute from Brazil (IPEA in Portuguese, 2019), targets 14.1, 14.2, 14.7, and 14c do not have a global methodology to measure them. 132 Target 14.3 (minimize and address the impacts of ocean acidification, including through enhanced scientific cooperation at all levels), 14.6 (degree of implementation of international instruments aiming to combat illegal, unreported and unregulated fishing), 14a (proportion of total research budget allocated to research in the field of marine technology), and 14b (provide access for small-scale artisanal fishers to marine resources and markets) have a known methodology, but there is not enough data in the country, although 14.6 is under construction along with 14b. ...
... In Brazil, there is an important difference between the existence of policies aiming to reduce deforestation and the enforcement of these policies. While Brazil is considered to have one of the strictest environmental law systems in the world, it faces enormous challenges with enforcement [125,126]. Data availability is a challenge in highlighting this important nuance: while data on the existence of environmental laws at the municipal level is readily available, the quality of enforcement at this level is more difficult to measure. Rather than measuring the existence of environmental laws, government agencies may consider sharing metrics related to law enforcement outcomes, such as arrests made and successful prosecutions. ...
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Deforestation continues at rapid rates despite global conservation efforts. Evidence suggests that governance may play a critical role in influencing deforestation, and while a number of studies have demonstrated a clear relationship between national-level governance and deforestation, much remains to be known about the relative importance of subnational governance to deforestation outcomes. With a focus on the Brazilian Amazon, this study aims to understand the relationship between governance and deforestation at the municipal level. Drawing on the World Bank Worldwide Governance Indicators (WGI) as a guiding conceptual framework, and incorporating the additional dimension of environmental governance, we identified a wide array of publicly available data sources related to governance indicators that we used to select relevant governance variables. We compiled a dataset of 22 municipal-level governance variables covering the 2005–2018 period for 457 municipalities in the Brazilian Amazon. Using an econometric approach, we tested the relationship between governance variables and deforestation rates in a fixed-effects panel regression analysis. We found that municipalities with increasing numbers of agricultural companies tended to have higher rates of deforestation, municipalities with an environmental fund tended to have lower rates of deforestation, and municipalities that had previously elected a female mayor tended to have lower rates of deforestation. These results add to the wider conversation on the role of local-level governance, revealing that certain governance variables may contribute to halting deforestation in the Brazilian Amazon.
... In addition, our approach offers a distinct contribution to the study of environmental policy from a political economy perspective. Scholars of environmental policy have long recognized that political favoritism and lax enforcement of rules are potential threats to environmental protection (Woods 2008;Fredriksson and Vollebergh 2009;Aklin et al. 2014;Oliva 2015). Studies have not, however, managed to pinpoint exactly how political economy factors compromise environmental regulation. ...
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Does political alignment at different levels of government influence centralized bureaucratic processes? Environmental clearances are important regulatory tools that allow governments to target the distribution of public goods/bads by both controlling negative externalities and allocating rents from project developers. While commentators advocate for central authorities to control environmental licensing of major projects, in emerging markets with weak formal institutions, it is still possible for local politicians to influence this process. We use data on environmental clearances in India for thermal (primarily coal-fired) power plants between the years 2004 and 2014 to test whether local legislators influence an otherwise bureaucratic process in which they play no formal role. Using a regression discontinuity design, we find that partisan alignment with the state chief minister results in a sharp increase in local clearance applications. This is consistent with the hypothesis that this type of political influence “greases the wheels” of bureaucracy by facilitating more environmental approvals, rather than creating regulatory bottlenecks. Our results contribute to a growing literature that suggests that lower-level politicians can still exert influence on the policy process despite having few institutionalized powers.
... The mechanism between corruption and carbon emissions Current research on the relationship between corruption and carbon emissions has been abundant. Most prior study supports the positive effect of carbon emissions (Rehman et al. 2012;Aklin et al. 2014;Dincer and Fredriksson 2018). The possible explanations are as follows. ...
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s Existing research on the relationship among corruption, energy efficiency, and industrial carbon emissions is limited, while incorporating them into one analytical framework might provide new insights for the mechanism between corruption and industrial carbon emissions. Using the provincial panel data in China’s industry from 2005 to 2015, this study applies the System Generalized Method of Moments (SYS-GMM) to explore the impacts of corruption and energy efficiency on industrial carbon emissions. The results indicate that under current economic development status, the effects of corruption and energy efficiency on industrial carbon emissions are divergent; i.e., corruption can enhance carbon emissions, whereas energy efficiency facilitates carbon emission reduction. Energy efficiency plays a mediating role in the relationship between corruption and carbon emissions for both the whole sample and the sub-samples. In other words, corruption aggravates industrial carbon emissions through lowering energy efficiency. Additionally, for the eastern region in China, there is an inverted U-shaped curve relationship between corruption and carbon emissions, as well as a U-shaped curve relationship between energy efficiency and carbon emissions. For the other regions, there is little sign of nonlinearity. Based on the results, policy implications regarding carbon emissions curbing are proposed.
... A high level of corruption does not stimulate energy efficiency, and it disrupts any incentive for investments in renewable energies (Fredriksson et al., 2004). It also favors the increase of carbon dioxide emissions by hindering the appropriate implementation of environmental regulations promoting renewable energy consumption (Cole, 2007;Aklin et al., 2014). For instance, corrupt public institutions can tolerate the embezzlement of funds that could serve as subsidies, incentives for companies to use renewable energy technologies in their daily activities. ...
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This study analyses the conditional effect of governance quality on the finance‐renewable energy‐growth nexus in 123 countries from 1990 to 2017. We built composite indexes of financial development and governance quality through the principal component analysis (PCA) using several financial variables and governance indicators. We employed the generalized method of moments (GMM) and the two‐stage least squares (2SLS) techniques, but also the Granger non‐causality in Dumitrescu and Hurlin (2012). First, the disaggregated analysis shows that renewable energy consumption, financial inclusion, financial efficiency, and financial stability have positive marginal effects on economic growth under a good governance quality, except for financial depth. Second, the aggregated analysis confirms the positive marginal impact of financial development on growth only in low‐income economies, whereas renewable energy consumption has positive marginal effects only in lower‐middle‐income and upper‐middle‐income economies. Finally, the results of the causality analysis differ among countries. Overall, governance quality has a threshold effect on the finance‐renewable energy‐growth nexus, which varies across countries. Accordingly, our study suggests more improvements in the governance quality in these countries, especially in the low‐income and high‐income countries, to enhance the marginal impacts of financial development and renewable energy consumption on growth.
... A variety of policy interventions have been formulated and researched to overcome the barriers hampering low-carbon technology diffusion (Tian et al., 2014;Zhao et al., 2016;Fan et al., 2017;Tong et al., 2019;. Researchers also show interest in environmental policy failures (Aklin et al., 2014;Edner, 2014;Mackie, 2016;Dangi et al., 2017;Ortmann, 2017;Portman and Teffseker, 2017;Sharma, 2017), which mainly emphasize the key factors of policy implementation. However, even if well implemented, environmental policies might cause unexpected and undesirable issues. ...
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Policy interventions are frequently used by authorities around the world to mitigate carbon emissions. However, economic systems are essentially complex adaptive systems, which often exhibit unexpected responses to exogenous interventions and leave intervenors in a dilemma, even if the interventions are elaborately designed. To explore the behaviors of the diffusion system regarding low-carbon technologies, this study builds an agent-based model (ABM) to simulate enterprises’ reactions to multiple policy interventions aimed at spurring low-carbon technology diffusion. The simulated enterprises are in a complex network where they play evolutionary games with their neighbors, which enables the model to possess two critical features of economic systems: adaptiveness and equilibrium. The model reveals a dilemma of policy interventions: intuitively, carbon taxes, asymmetric penalties (only imposed on un-low-carbon enterprises) and subsidies can improve the diffusion, which is consistent with previous research; counter-intuitively, all these policies turn out to be inefficient or even harmful to low-carbon enterprises because of the diffusion system’s high adaptiveness. Specifically, when carbon taxes and penalties increase, both the low-carbon and un-low-carbon enterprises end up with the equilibrium of equivalent but lower profits. In contrast, all the enterprises earn equivalent but more profits even though subsidies are only given to the low-carbon enterprises, which implies that the un-low-carbon enterprises (indirectly) grab a portion of the subsidies and accordingly weaken the incentive effect of subsidies. These system behaviors are summarized as “equalizing effect” because the system tends to equalize the impact of both positive and negative interventions among all enterprises even though the policy interventions are asymmetrically imposed on one type of the enterprises. The findings also indicate that policies implemented to enlarge green market sizes can help policymakers bypass the dilemma.
... The increases in these three variables have worsened the environmental quality by 1.045%, 0.115% and 0.770%, respectively.Similar to the Malaysian and Indonesian outcomes, corruption rates at the authority level have caused the country to experience more illegal factory activities that have led to higher environmental pollution. These activities might be due to poor enforcement of environmental regulations, as explained by Aklin et al. (2014) and Welsch (2004). Furthermore, the growing number of financial institutions in the Philippines could mean higher credit accessibility for these businesses to run their unauthorised operations. ...
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This paper has examined the short-run and long-run relationships between economic growth, energy consumption, foreign direct investment, trade openness, financial development, corruption, urban population and carbon dioxide (CO2) emissions in three developing countries of ASEAN, i.e. Malaysia, Indonesia and the Philippines (ASEAN–3), with data from 1970 to 2017. Special emphasis has been given to the level of corruption in these three countries as several recent media releases have reported that many firms have been conducting unlawful activities by importing large amounts of waste from developed countries and these wastes, including plastic waste, have been burnt in open spaces and have caused higher releases of carbon emissions. Long-run elasticity results have proven that the higher level of corruption in these three ASEAN countries has caused more environmental pollution. Meanwhile, other tested variables have shown mixed findings across the three tested countries. Improvement of institutional quality is urgently needed for ASEAN-3 countries by adopting more transparent laws and the imposition of heavier penalties on corrupt officials and even on the entrepreneurs who have engaged in unlawful business activities that have caused higher environmental pollution.Keywords: Environmental Quality, Corruption, Bound Estimation, ASEAN-3.JEL Classifications: F64, O57, P28DOI: https://doi.org/10.32479/ijeep.8135
... Ineffective enforcement of environmental policies in Brazil is also a major limitation, since it does not obviously contribute to increased compliance or behavioural change (Barreto et al., 2009;da Silva and Bernard, 2016). Moreover, corruption is perceived by many Brazilians as the main cause of poor enforcement of environmental laws (Aklin et al., 2014). ...
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... As the education system is considered a socio-economic system, we can note a number of works that highlight key problematic aspects of the impact of changes on the socio-economic systems' development . Nowadays it is impossible to study the education system's development without paying attention to the influence of the contact audience (stakeholders), whose theoretical aspects of existence are described in the works (Abramov & Sokolov, 2016;Aklin et al., 2014;Freeman, 1984;Factor & Kang, 2015;Fedotova & Platonova, 2014;Fedotova & Chigisheva, 2015;Hokayem & Gotwals, 2016;Lehrer & Schauble, 2015;Mendelow, 1991;Post et al., 2002;Sokolov, 2016;Spector, 2016;Walker, 2016;Sanin, 2009;Kramin & Kramina, 2011;Tazhitdinov, 2013). However, despite the existence of various studies concerning the nature of the gaps in socio-economic systems, the aspect of emergence, development and consequences of gaps in the higher education system in Russia is being insufficiently explored, as well as the role of stakeholders in all of this. ...
... In addition, corruption has been associated with poor enforcement of environmental regulations (e.g. Aklin et al., 2014;Welsch, 2004), which further strengthens its increasing impact on emissions. Thus, both grand and petty corruption are relevant to pollution from the point of view of the effectiveness of environmental policy (Wilson and Damania, 2005). ...
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... tino de las transacciones comerciales ilícitas (Reuter, 2017). Si bien los tres países cuentan con leyes específicas de control y protección medioambiental, la escasez de recursos administrativos para el monitoreo y regulación junto con las prácticas de corrupción han permitido que todas estas actividades económicas no sean eficazmente penalizadas (Aklin, et.al. 2014). ...
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Illicit economies such as illegal extractivism of natural resources or wildlife trafficking are new challenges for governability. From this starting point, the research aims to analyze social, political, environmental, economic and normative factors of the informal economies in the Amazon basin. The emphasis is placed on the triple border between Brazil, Peru and Colombia, in relation to its impact on political institutionalism. The application of a qualitative analysis based on primary sources infers that policy measures and regulations attuned to environmental crime to ensure social control and protection of biodiversity are still scarce.
... More generally, the implementation of coercive strategies opens a space for corruption since the decision to report/prosecute may be financially negotiable in some cultures (Jin-Li, Huang, & Chu, 2004). In other words, if officials are willing to shut their eyes (for a price), local people can easily avoid fines without needing to change their behaviour (Aklin, Bayer, Harish, & Urpelainen, 2014). ...
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... However, this study omits corruption in their analysis. Yet, Aklin et al. (2014) claim that corruption matters since its effects on environmental quality may be significant and are perceived differently varying with income and wealth levels of citizens. Grafton and Knowles (2004), on the other hand, analyze the importance of social capital on environmental quality. ...
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This article discusses the determinants and the development of public concern for the state of the natural environment. First, we review some theoretical approaches that try to explain individual as well as cross-national differences in environmental attitudes. Particularly, we discuss Inglehart's theory of post-materialism, Dunlap and Mertig's globalization explanation, and the prosperity hypothesis. Second, we test these hypotheses by applying multilevel analysis to the International Social Survey Programme (ISSP) data from the years 1993 and 2000. The results support, above all, the prosperity hypothesis. Individuals with higher relative income within countries display higher levels of environmental concern than their compatriots, and additionally, more concern is reported in wealthier countries than in poorer nations. The results indicate that environmental concern is also closely associated with post-materialistic attitudes and various socio-demographic variables. Comparing the environmental concern measured in the ISSP in 1993 with that in 2000 shows that environmental concern has more or less stabilized since the early 1990s in the countries under scrutiny.
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This article describes and analyzes major laws, decrees, regulations, resolutions, and institutional mandates linked to environmental protection policies in Brazil, from 1934 to 2002. It argues that many early regulations resulted basically from centralization and planning policies conducted by a development-oriented state. However, it shows that most recent regulations were demanded by a more environmentally aware and more organized civil society, in the context of a more participatory and democratic political framework and improved scientific knowledge and requirements.
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How does corruption interact with inequality? To answer this question, we employ afield experiment that examines the manner in which police officers in a major Latin American city respond to socioeconomic distinctions when requiring a bribe. In this experiment,four automobile drivers commit identical traffic violations across a randomized sequence of crossroads, which are monitored by transit police. We identify the effect of citizens' perceived wealth on officers' propensity to solicit bribes and oil the size of the bribes that they solicit. We complement our experimental results With qualitative findings from interviews with police officers. Our core finding is that officers are more likely to target lower class individuals and let more affluent drivers off with warnings. The qualitative results suggest that Officers associate wealth with the capacity to exact retribution and therefore are more likely to demand bribes from poorer individuals. We conclude that a multimethod approach provides a richer account Of corrupt behavior than that found in most contemporary research.
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