Regulatory competition, administrative discretion, and environmental policy implementation

Abstract

This study assesses what causes American states to assume the authority to administer federal environmental programs within their borders, rather than leave implementation to the Environmental Protection Agency. Some observers have argued that interstate competition for mobile capital may motivate states to seek this authority so that they may reduce the regulatory burdens imposed on industrial polluters. Other scholars highlight the importance of intrastate political and economic factors or vertical influences emanating from federal officials. I argue that the relative importance of each of these classes of explanations will vary across environmental policy arenas, depending on the amount of implementation discretion that federal programs provide to state agencies. Results from event history analyses of two major environmental programs are generally, though not entirely, consistent with this theory.