This study derives the relationship between environmental production functions and environmental directional distance functions. These two approaches make different assumptions when modeling the joint production of good and bad outputs. The environmental production function credits a producer...

A Malmquist-Luenberger productivity index is employed to account for both marketed output and the output of pollution abatement activities of U.S. state manufacturing sectors for 1974-1986. The index allows us to decompose the change in productivity into measures of change in efficiency and...