Environmental Policy Frontiers: Thomas P. Lyon

Competing Environmental Labels

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When

May 21, 2012
from 12:10 PM to 01:00 PM

Where

360 Shields Library

Contact Name

Contact Phone

530-752-2635

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We study markets in which consumers prefer environmentally friendly products but cannot determine the environmental quality of any given firm's product on their own.

A non-governmental organization (NGO) can establish a voluntary standard and label products that comply with it. Alternatively, industry can create its own standard and label. We compare the stringency of these two types of labels, and study their strategic interaction when they co-exist. We find that environmental benefits may be smaller in the presence of both labels than with the NGO label alone, and characterize when label competition is more likely to produce negative environmental effects.

Lyon photoThomas P. Lyon holds the Dow Chair of Sustainable Science, Technology and Commerce at the University of Michigan, with appointments in both the Ross School of Business and the School of Natural Resources and Environment.  Professor Lyon is a leader in using economic analysis to understand corporate environmental strategy and how it is shaped by emerging government regulations, non-governmental organizations, and consumer demands.  His book Corporate Environmentalism and Public Policy, published by Cambridge University Press, is the first rigorous economic analysis of this increasingly important topic. Professor Lyon earned his bachelor’s degree at Princeton University and his doctorate at Stanford University.  His current research focuses on corporate environmental information disclosure, greenwash, and voluntary programs for environmental improvement.

Lunch will be provided.

Institute of Governmental Affairs

University of California, Davis
360 Shields Library
One Shields Avenue
Davis, CA 95616

 
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