@techreport{c76016fb585646cf8bbf379602b7dba4,
title = "Environmental Policies and Directed Technological Change",
abstract = "This article evaluates if and to which extent policy can steer innovation towards eco-friendly technologies. We construct a cross-country dataset on sectoral green innovation and complement it with data on policies designed to address environmental market failures: environmental taxes, regulation, and R&D subsidies. While all of these tools exert a positive effect on green innovation, our IV estimates reveal substantial heterogeneities across policies. Overall, green innovation reacts most strongly to R&D subsidies for renewables, but interaction effects between different policies need to be considered.",
keywords = "climate change, environmental policies, directed technological change, green patents, regulation, taxes, R&D",
author = "Klaus Gugler and Florian Sz{\"u}cs and Thomas Wiedenhofer",
year = "2023",
month = dec,
language = "English",
series = "Department of Economics Working Paper Series",
number = "355",
publisher = "WU Vienna University of Economics and Business",
address = "Austria",
type = "WorkingPaper",
institution = "WU Vienna University of Economics and Business",
}