The Impact of Cross-Industry Pollution, Consumer Environmental Awareness, and Corporate Social Responsibility on Industrial Environmental Policies

摘要

In this paper, I established a cross-industry pollution externality design and used the three-stage game analysis framework to discuss the issues linked to firm output, labor union negotiation wages, and the government’s optimal environmental tax. We show that with environmentally oriented corporate social responsibility, the government’s optimal environmental tax rate and firms’ residual pollution abatement level will decrease, which is conducive to environmental protection, and the negotiated wages of all firms will increase. With environmentally oriented corporate social responsibility, the profits and union utility of industry firms will increase, as will the overall consumer surplus and the social welfare level, but there will be no effect on the profit and union utility of firms whose productivity is reduced by pollution.