The main objective of this paper is to test the Porter hypothesis by assessing static and dynamic effects of environmental policy on productivity. According to the hypothesis, stringent environmental regulations have dynamic effects on firm performance, and these effects eventually generate...

In 1992, Sweden introduced a producer responsibility ordinance which explicitly states that sorted out, collected waste paper must be material recycled. Another alternative could be to recover energy by incineration. Material recycling was prioritized, although there is no environmental...