Clean technological change in developing-country industrial clusters: Mexican leather tanning

Abstract

In many developing country cities, clusters of small and medium enterprises create severe pollution problems. Because conventional regulatory approaches are typically ineffective in such situations, policy responses have increasingly focused on promoting voluntary clean technological change. Yet the data and analysis needed to guide such efforts are scarce. This paper uses original firm-level survey data on a cluster of small-and medium-scale leather tanneries in León, Guanajuato -Mexico's leather capital-to econometrically identify the factors that drive the adoption of two clean tanning technologies. Using a multivariate probit model to estimate a system of seemingly unrelated regressions, we find-in contrast to conventional wisdom-that neither firm size nor regulatory pressure is positively correlated with adoption. Rather, the key driver of adoption is the firm's human capital, the same factor that often explains conventional productivity-enhancing technological change. We also find that a private-sector trade association is an important sources of technical information about clean technologies.

Energy, the Environment, and Technological Change

“…Blackman and Kildegaard (2003) study the adoption of three clean leather tanning technologies in Mexico. They use original survey data on a cluster of small-and medium-scale leather tanneries in León, Guanajuato, noting that small-and medium-scale enterprises often dominate pollution intensive industries in developing countries.…”

Sheep wool and leather waste as fertilizers in organic production of asparagus (Asparagus officinalis L.) / OVČJA VOLNA IN OSTRUŽKI USNJA KOT GNOJILI V EKOLOŠKI PRIDELAVI ŠPARGLJA (Asparagus officinalis L.)

“…Thereof a potential risk of oxidation and forming of the carcinogenic chromium (VI) are becoming increasingly problematic in the leather industry (Blackman and Kildegaard, 2003). The same applies to dyes containing heavy metals.…”

Industrial Clusters and Corporate Social Responsibility in Developing Countries: What We Know, What We do not Know, and What We Need to Know

“…Prior literature also emphasizes the importance of business associations, as leaders of the implementation of environmental initiatives by clusters (Accountability 2006;Blackman and Kildegaard 2010;Lund-Thomsen and Pillay 2012). However, simply involving business associations does not guarantee the successful implementation of cluster-wide CSR initiatives.…”