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The Effects Of Domestic And Eu Incentives On Corporate Investment Toward Ecological Transition: A Propensity Score Matching Approach

Author

Listed:
  • Leonardo Becchetti

    (Dipartimento di Economia e Finanza, Università di Roma Tor Vergata)

  • Sara Mancini

    (Dipartimento di Economia e Finanza, Università di Roma Tor Vergata)

  • Nazaria Solferino

    (Dipartimento di Economia, Statistica e Finanza "Giovanni Anania" - DESF, Università della Calabria)

Abstract
We investigate the effects of domestic and EU incentives on different types of corporate investments in ecological transition on a large representative sample of Italian firms including the universe of companies above 250 employees. We perform propensity score matching tests exploiting revealed information of firms that declare to use the incentives for specific ecological transition investments compared to a synthetic counterfactual of “twin” companies matched on selected characteristics. Our findings show that domestic and EU incentives significantly increase green investments, and more so if we consider investment in energy saving plants and for greenhouse emissions reduction.

Suggested Citation

  • Leonardo Becchetti & Sara Mancini & Nazaria Solferino, 2021. "The Effects Of Domestic And Eu Incentives On Corporate Investment Toward Ecological Transition: A Propensity Score Matching Approach," Working Papers 202104, Università della Calabria, Dipartimento di Economia, Statistica e Finanza "Giovanni Anania" - DESF.
    • Handle: RePEc:clb:wpaper:202104
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    References listed on IDEAS

    as
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    More about this item

    Keywords

    EU incentives; green investment; propensity score;
    All these keywords.

    JEL classification:

    • H23 - Public Economics - - Taxation, Subsidies, and Revenue - - - Externalities; Redistributive Effects; Environmental Taxes and Subsidies
    • H25 - Public Economics - - Taxation, Subsidies, and Revenue - - - Business Taxes and Subsidies
    • Q58 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environmental Economics: Government Policy

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