Technology, Management, and Input Choices to Increase Abatement and Output

Abstract

A firm’s environmental performance and productivity result from decisions regarding input use and technological and management abatement strategy. Using a sample of chemical using/manufacturing/emitting facilities, this article examines how these choices are made and their effects on output and abatement. Not only are technological and management strategy adoption driven by different motives, adopting a management system discourages technological strategy adoption in the succeeding period. Further, dirty input use falls with technological strategy adoption but increases with management strategy adoption. These relationships require a more judicious approach to balancing the promotion of technological and management strategies vis-à-vis dirty input choices.