How multilevel structures affect environmental policy in industrialized countries

Abstract

Abstract. Extensive decentralization and devolution efforts among industrialized nations throughout the 1980s and 1990s call for a closer look at the effect these trends have on public policy. This article investigates the impact of these trends on the environmental performance of industrialized countries. There are two competing hypotheses as to how federalism and other multilevel governance structures affect the environmental performance of countries. The first stresses that the resulting institutional fragmentation and regulatory unpredictability is detrimental to the protection of the environment. An alternative hypothesis emphasizes that multilevel systems fare better regarding environmental performance because they can effectively respond to local needs and encourage innovation at the sub‐national level. Based on OECD air pollution data, the study finds that multilevel structures affect the way in which important determinants of environmental performance work. Thus, corporatist accommodation structures, which are known to enhance environmental policy, do so primarily in multi‐tiered systems. A high level of economic development, on the other hand, which has also been shown to contribute to environmental performance, does so mainly in countries that are characterized by weak multilevel structures. The article discusses theoretical and practical implications of these findings.

Environmental Performance in Countries Worldwide: Determinant Factors and Multivariate Analysis

“…This result is in line with Wälti [53], who points out that party politics seem to have no impact on environmental performance. Other authors, such as Midlarsky [31], have found a negative relation between democracy and three environmental indicators, deforestation, carbon dioxide emission and soil erosion by water, contrary to prediction.…”

Are consensus democracies more environmentally effective?

“…These findings confirm a growing literature claiming a positive link between federal systems and environmental effectiveness (see Wa¨lti 2004 for a review of this). It should be noted, however, that these findings stand in stark contrast to Campbell and Thomas's (2002) claim that federalism inhibited biodiversity conservation in Canada; however, the Canadian study focuses on just this one case.…”

“…Federal systems also display more sensitivity to subnational concerns and provide more access points to government (Kincaid 2001). For example, Weidener (1995) and Czada (1993) found in Germany, and Knoepfel (1997) found in Switzerland, that federalism promoted nuclear power safety primarily because promoters of the environmental interest have been able to make use of the multiple access points in the German and Swiss federal systems (Wa¨lti 2004). Therefore we can expect that federal governmental structures will be positively related to environmental effectiveness.…”

Corruption, federalism, and policy formation in the OECD: the case of energy policy

“…None of these papers incorporate multiple government political units or federalism into the analysis, however. 2Wälti (2004) reports that multilevel government structures affect pollution levels in the OECD, but ignores corruption Fredriksson and Millimet (2007). study the effect of bicameralism on the dispersion of environmental policy outcomes in the presence of corruption Treisman (2000).…”