Helping Manufacturers Adapt & Gain the Competitive Edge:
New Study Shows Strict Environmental Regulations as a Source of Innovation
Environmental regulations have often been blamed for driving up the cost of operations, job loss and in some cases destroying industries. There is another side of the story and a study that shows the industries and manufacturers that adapt to these regulations actually gain the competitive edge over time through innovation rather than stagnation.
Strong statements are now being made by the facts found in studies that show environmental regulations and solutions may actually be supporting the manufacturing industry…
“The way environmental laws influence innovation is somewhat simple. When a government introduces an environmental policy like the Clean Power Plan that places strict emissions standards, the industry has to figure out how to comply. Green policies create “incentives to be more efficient or to develop technologies to reach those standards,” Joshua P. Meltzer, senior fellow in global economy and development at the Brookings Institution, told ThinkProgress. Once that happens, he said, the firm or industry often becomes more efficient and gets ahead of competitors.”