Taming polluters: Ratings have spillover effects, leading to reduced toxic emissions
Thursday, April 23, 2015 - 11:30
in Earth & Climate
A new study by the University of Chicago Booth School of Business Assistant Professor Amanda Sharkey and University of Utah Assistant Professor Patricia Bromley found that environmental ratings have spillover effects on other companies' behavior. Rated firms reduce their toxic emissions even more when their peers are also rated. In addition, rated peers can even motivate some unrated companies to reduce their emissions.