International Journal of Business and Economics Volume 2, No. 1 April​, 2003

Compliance to Environmental Regulations: The Indian Context

Keren Priyadarshini

Indian Institute of Management, Ahmedabad, India

Omprakash K. Gupta

Department of Management and Marketing, Prairie View A&M University, U.S.A.

Abstract

Theoretical exposition of the trade-environment linkage (in the form of Environment Kuznets Curve) has been extensive. While one set of studies show that with the increase in per capita income environmental degradation would decline, the other set of studies has shown that no such trend exists for developing countries. Though environmental laws are in place, firms display a very low level of compliance in developing countries. This article brings out the low level of compliance to environmental regulations in India while trying to identify the main causes.

Keywords：compliance, environment, India, command and control, market instruments.

JEL Classifications：N55, O53, Q21.

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