TY - JOUR
T1 - Entrepreneurs for a low carbon world
T2 - How environmental knowledge and policy shape the creation and financing of green start-ups
AU - Cojoianu, Theodor F.
AU - Clark, Gordon L.
AU - Hoepner, Andreas G.F.
AU - Veneri, Paolo
AU - Wójcik, Dariusz
N1 - Funding Information:
We are very grateful to the editor, Prof. Maryann Feldman, and two anonymous reviewers whose comments and guidance have significantly improved the quality of our paper. We acknowledge that this work has been supported by funding from the Smith School of Enterprise and the Environment , the IRC and the EU Horizon 2020 Marie Sklodowska-Curie grant agreement No. 713279 and the European Research Council (ERC) under the European Union's Horizon 2020 research and innovation programme (grant agreement No. 681337 ) - CityNet Project.
Funding Information:
We are very grateful to the editor, Prof. Maryann Feldman, and two anonymous reviewers whose comments and guidance have significantly improved the quality of our paper. We acknowledge that this work has been supported by funding from the Smith School of Enterprise and the Environment, the IRC and the EU Horizon 2020 Marie Sklodowska-Curie grant agreement No. 713279 and the European Research Council (ERC) under the European Union's Horizon 2020 research and innovation programme (grant agreement No. 681337) - CityNet Project. We are also grateful for the useful comments of Dr. Aoife Brophy Haney, Dr. Alex Money, Sergio Collaco de Carvalho and Dr. Stefania Innocenti and thankful to the participants of the Irish Academy of Finance (2019), of the Global Conference on Economic Geography (Cologne, 2018) and the MIT/YSI Workshop in Innovation, Economic Complexity and Economic Geography (Boston, 2018). We are also grateful to Charmian Love and the team at BLab for facilitating access to data, as well as to Martin Borowiecki (OECD) for assistance with patent data. None of the above should be held responsible for any errors or omissions.The views expressed herein are those of the authors and do not necessarily reflect those of the OECD or its member countries
Publisher Copyright:
© 2020 The Author(s)
PY - 2020/7
Y1 - 2020/7
N2 - We investigate how different types of environmental policies and new regional environmental knowledge affect new venture creation in and financing of green (low carbon), brown (fossil fuel) and gray (unrelated to natural resources) technologies across 24 OECD countries and 293 regions over the period 2001-13. We find that new regional environmental knowledge positively impacts new venture creation in green technologies, and moderately in gray industries. Gray industries also benefit from enhanced start-up financing in regions where new environmental knowledge is created, confirming that environmental knowledge creation yields positive externalities beyond the green sector. We also find that a more stringent environmental policy regime negatively impacts the creation of new ventures across sectors, but most prominently, it discourages new fossil fuel ventures. However, once entrepreneurs decide to start a new business, stringent environmental policies have on aggregate a positive effect on new venture financing across sectors, particularly through feed-in-tariffs and emission standards.
AB - We investigate how different types of environmental policies and new regional environmental knowledge affect new venture creation in and financing of green (low carbon), brown (fossil fuel) and gray (unrelated to natural resources) technologies across 24 OECD countries and 293 regions over the period 2001-13. We find that new regional environmental knowledge positively impacts new venture creation in green technologies, and moderately in gray industries. Gray industries also benefit from enhanced start-up financing in regions where new environmental knowledge is created, confirming that environmental knowledge creation yields positive externalities beyond the green sector. We also find that a more stringent environmental policy regime negatively impacts the creation of new ventures across sectors, but most prominently, it discourages new fossil fuel ventures. However, once entrepreneurs decide to start a new business, stringent environmental policies have on aggregate a positive effect on new venture financing across sectors, particularly through feed-in-tariffs and emission standards.
KW - environmental entrepreneurship
KW - environmental finance
KW - environmental policy
KW - fossil fuels
KW - green venture capital
KW - knowledge spillover
UR - http://www.scopus.com/inward/record.url?scp=85085274136&partnerID=8YFLogxK
U2 - 10.1016/j.respol.2020.103988
DO - 10.1016/j.respol.2020.103988
M3 - Article
AN - SCOPUS:85085274136
SN - 0048-7333
VL - 49
JO - Research Policy
JF - Research Policy
IS - 6
M1 - 103988
ER -