The aim of the paper is to investigate the effect of environmental stringency on innovation and productivity using a … innovation can be one of the channels through which higher sectoral productivity can be reached. The main findings suggest that … downstream stringency is the most relevant driver for innovation and that most of the effect of regulation on productivity is …

environmental regulation on innovation and on productivity generally in separate analyses and mostly focusing on the USA. The few … existing studies focusing on Europe investigate the effect of environmental regulation either on green innovation or on … performance indicators such as exports. We instead look at overall innovation and productivity impact that are the most relevant …