Abstract
This paper examines the effect of ground-level ozone county non-attainment status on the product-mix decisions of plants in the pulp, paper, and paperboard industries. Plants located in non-attainment counties face more stringent standards than plants located in attainment counties. These standards may plausibly induce firms to reduce output of pollution-intensive products (products that lead to emissions of volatile organic compounds) or drop some of these products entirely. We find evidence that plants in non-attainment counties are more likely to drop pollution-intensive products and more likely to add non-pollution-intensive products.
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