Multilateral development banks,transparency and corporate clients: ‘public–private partnerships’ and public access to information

The multilateral development banks (MDB) recognise and promote transparency as a principle of good governance. Public release of information about policies and projects is a central aspect of this transparency, and the five MDBs studied here each adopted new policies during the 1990s to increase the accessibility of such information. The flow of information to local communities is important to the effectiveness of MDBs' social and environmental safeguards and to securing public support. But MDBs also embrace a second strategy, which sometimes conflicts with transparency: each MDB (or an affiliate) lends to private corporations as well as to member states and each bank modifies its information disclosure rules, giving corporate clients greater discretion than member governments. Environmental and social safeguards apply to corporate borrowers as well as to governments and there is a relatively high level of controversy over corporate projects' environmental and social impact. When subjected to a qualitative review of their disclosure standards, emphasising fullness of disclosure, accessibility of information, timeliness of information and availability of recourse, the disclosure policies of all five MDBs are clearly found to accommodate corporate confidentiality while compromising public demands for information. Copyright © 2003 John Wiley & Sons, Ltd.     

Opaque transparency: How material affordances shape intermediary work

How do the material aspects of intermediary work affect regulators, targets, and beneficiaries? To shed light on this question, we studied an information intermediary in the form of a website and the organizations who founded it. Specifically, we analyzed FracFocus, a self‐regulatory initiative with strong industry ties, charged with disclosing data pertaining to the chemicals used in oil and gas wells completed using hydraulic fracturing technology (fracking) in the United States and Canada. We found that between 2010 and mid‐2017, the vast majority of legislation in states and provinces where fracking actively occurred was updated to mandate or encourage disclosure via FracFocus, meaning that it had a considerable effect on the trajectory of official regulation on fracking disclosure. We also found that FracFocus disclosed important data but did so in a manner that limited accessibility and reduced the comprehensibility of environmental and public health risks to beneficiaries. Our analysis suggests that the public's experience of such a device is one of opaque transparency, in which the line between official and non‐official regulation is blurred. We traced these outcomes to the material affordances created by FracFocus.     

Regulation‐by‐information in areas of limited statehood: Lessons from the Philippines' environmental regulation

This research examines conditions under which environmental regulatory disclosure is more versus less likely to work, with focus on the case of the Philippines. Two major findings arise out of a case study. First, we observe a mismatch between the nature of information and the main addressees of the disclosed information, which led the operation of the subject disclosure program to deviate from its targets. Second, this institutional deficiency has to do with the organizational culture and routine practice of the implementing agency. The second finding challenges a major justification of information‐based environmental regulation (IBER) administered in weak states and underscores the role that administrative capacity plays in making novel regulations come into effect. Contrary to the popular belief that IBER creates non‐governmental forces that offset a limited statehood, it may be less likely to work where state administrative capacity is weak.     

The Right to Know? State Politics of Fracking Disclosure

U.S. energy firms are increasingly expanding their production of natural gas oftentimes by relying on a controversial extraction technique known as hydraulic fracturing. While proponents cite a litany of benefits including economic development and reduced carbon emissions, opponents articulate concerns typically centering on environmental quality. Caught between these opposing points of view, states are turning to disclosure requirements. Yet all disclosure statutes are not created equally. In order to better understand this variation, I utilize Abel, Stephan, and Kraft's (ASK) 2007 performance model, which evaluates the effectiveness of information‐based disclosure rules for industry. The model here, however, is applied in an attempt to understand why disclosure regulations emerge and vary across states. Results generally validate the ASK approach but with one caveat. I find that in the context of differing disclosure regulations, the ASK model's pollution severity/risk measure may be refined by including risk perception.     

Corporate Environmentalism, Regulatory Reform, and Industry Self-Regulation: Toward Genuine Regulatory Reinvention in the United States

Increasingly, corporations are proactively managing environmental impacts in response to pressures from the consumer, business-to-business, financial, and government procurement markets. In many cases, these efforts have produced results well beyond what could be required under public regulations. Although the U.S. Environmental Protection Agency began a process of regulatory reinvention in the 1990s as a means of promoting such innovations, the results have been somewhat disappointing. This article examines the recent trends in corporate environmental management and regulatory reform. It concludes with a discussion of changes in regulatory design that could promote ongoing gains in corporate environmental performance through the creation of a hybrid system combining elements of public regulation, government-supervised corporate self-regulation, mandatory information disclosure, and green procurement.     

Reducing Environmental Risks by Information Disclosure: Evidence in Residential Lead Paint Disclosure Rule

Recently, there has been a surge in environmental regulations that require information disclosure. However, existing empirical evidence is limited to certain applications and has yet to generalize the effectiveness of this approach as a policy strategy to reduce environmental risks. This study evaluates the disclosure rule of the residential lead paint hazard (Title X) introduced in 1996. This regulation is one of the most prominent environmental disclosure laws, but its effectiveness has been relatively under‐investigated. Title X was intended to induce information recipients’ risk prevention behavior by proclaiming lead paint risk in old homes. Specifically, this study assumed three types of behavioral changes could be induced by Title X—(1) testing for lead paint, (2) maintaining painted surfaces in a proper condition, and (3) switching buying choice from old houses to new houses. In addition, using the national American Housing Survey, this study examined whether Title X increased the occurrence of those three behaviors. The results show that Title X increased the probability of homebuyers’ lead testing and decreased the probability of the existence of peeling paint in old homes. The analyses on households’ buying choices found that Title X did not result in a substantial switch from old houses to new houses in any socioeconomic status groups. However, it was found that the policy reduced the instances of households with young children occupying old homes. The findings in this study indicate that the policy generally induced more risk management behavior on existing risks and greatly influenced families with young children to such an extent that they changed their buying choice.     

Empirical Research and the Development and Assessment of Transitional Justice Mechanisms

In this paper, we demonstrate different methods of empiricalresearch available to transitional justice practitioners andscholars. Guidelines on how to conduct research in the fieldof transitional justice are outlined on the basis of the principlesof monitoring and evaluation for decision making, program developmentand policy development. We argue that such methods offer policymakers a systematic way to consult a population and constructa comprehensive view of what this population has experienced(e.g., violations), what they know (e.g., knowledge of varioustransitional justice mechanisms), what they believe in (e.g.,definition of justice) or what they need (e.g., accountability).Such knowledge is essential for developing effective evidence-basedtransitional justice programs.     

Voluntary Regulations and Innovation: The Case of ISO 14001

Governments enact environmental regulations to compel firms to internalize pollution externalities. Critics contend that regulations encourage technological lock‐ins and stifle innovation. Challenging this view, the Porter‐Linde hypothesis suggests that appropriately designed regulations can spur innovation because (1) pollution reflects resource waste; (2) regulations focus firms’ attention on waste; and (3) with regulation‐induced focus, firms are incentivized to innovate to reduce waste. This article explores the regulation–innovation linkage in the context of voluntary regulations. The authors focus on ISO 14001, the most widely adopted voluntary environmental program in the world. Examining a panel of 79 countries for the period 1996–2009, they find that country‐level ISO 14001 participation is a significant predictor of a country's environmental patent applications, a standard proxy for innovation activity. The policy implication is that public managers should consider voluntary regulation's second‐order effects on innovation, beyond their first‐order effects on pollution and regulatory compliance.     

Political environment and voluntary disclosure in the U.S.: Evidence from the Carbon Disclosure Project

We investigate whether the political leaning of the state where a given firm is headquartered is related to that firm's decision to voluntarily disclose climate change information. We study S&P 500 firms that were surveyed by the Carbon Disclosure Project (CDP) and find that firms headquartered in more Democratic states are more likely to disclose carbon emissions information to the CDP. Furthermore, firms in more Democratic states are more likely to permit public disclosure of their survey responses and tend to receive higher disclosure scores. We consider two political variables, one based on political power and one based on public political preference. Our results are consistent with political power driving the firm's willingness to voluntarily disclose information about climate change. These results suggest that the relation between the political environment and disclosure is more closely linked to concerns over regulatory threats as opposed to acquiescence to social norms.     

Secondary learning and the unintended benefits of collaborative mechanisms: The Federal Aviation Administration's voluntary disclosure programs

Along with other types of process‐oriented regulation, voluntary disclosure programs are increasingly used by regulatory agencies to supplement traditional inspection activities. Voluntary disclosure programs provide incentives, such as immunity or reduced regulatory enforcement to those submitting reports, while providing regulatory agencies with valuable information on existing risks and areas of non‐compliance. This article contributes to the discussion of voluntary disclosure programs by highlighting an important unconsidered benefit of such programs: the secondary learning they generate, above and beyond information about violations. Beyond the information submitted by firms contained in the self‐disclosures, the programs generate information and insights about the usual practices of the industry, the division of labor, typical problems, and ways to handle them – those details often invisible to those outside an organization or inside the organization but not “on the ground.” This additional information provides important benefits to both industry management and agency officials. We demonstrate the existence of secondary learning and describe the effect of the structure of voluntary programs on secondary learning with evidence from two case studies of the Federal Aviation Administration's voluntary disclosure programs: the Aviation Safety Action Program and the Voluntary Disclosure Reporting Program.     

Does corporate governance affect CEO compensation in Indian manufacturing firms?

This study examines the effects of (a) chief executive officers (CEO) pay dynamics, (b) corporate governance characteristics, and (c) the impact of environmental, social, and governance disclosure practices on CEO compensation. Data of 282 Indian manufacturing firms were collected from Bloomberg database from 2013–14 to 2018–19. This study uses Generalized Method of Moments estimation technique to assess the impact of corporate governance on CEO compensation. The empirical estimates reveal that increase in board size, board independence, women director in board, CEO duality, and institutional holdings reduced CEO compensation. Furthermore, the environmental, social, and governance disclosure confirmed that higher firm disclosures help to streamline CEO compensation. It has also been found that CEOs' current compensation is affected by their previous pay. This study corroborates the objectives of Companies Act 2013 to streamline the governance practices for optimizing CEO compensation.     

Community environmental policing: Assessing new strategies of public participation in environmental regulation

This paper evaluates a new form of public participation in environmental monitoring and regulation advanced through local “bucket brigades,” which allow community members to sample air emissions near industrial facilities. These brigades represent a new form of community environmental policing, in which residents participate in collecting, analyzing, and deploying environmental information, and more importantly, in an array of public policy dialogues. Use of this sampling technology has had marked effects on local residents' perceptions and participation in emergency response and citizens' right‐to‐know. However, when viewed through the lens of the more developed literature on community policing, the bucket brigades are currently limited in their ability to encourage “co‐production” of environmental protection between citizens and the state. Means are examined to strengthen the bucket brigades and to more broadly support community participation in environmental regulation. © 2003 by the Association for Public Policy Analysis and Management.     

Politics of Disclosure: Organizational Transparency as Multiactor Negotiation

Transparency is in vogue, yet it is often used as an umbrella concept for a wide array of phenomena. More focused concepts are needed to understand the form and function of different phenomena of visibility. In this article, the authors define organizational transparency as systematic disclosure programs that meet the information needs of other actors. Organizational transparency, they argue, is best studied as an interorganizational negotiation process on the field level. To evaluate its merit, the authors apply this framework to a case study on the introduction of open data in the Berlin city administration. Analyzing the politics of disclosure, they consider the similarities and differences between phenomena of visibility (e.g., open data, freedom of information), explore the transformative power of negotiating transparency, and deduce recommendations for managing transparency.     

The Cadillac,the mother-in-law,and the ballot: Individual and contextual roots of ambivalence in Swiss direct democracy

Citizens may experience irreconcilable and conflictive values or feelings about a political issue. They may, for instance, both believe in a woman's right to autonomy over her body (pro choice) and that human life begins before birth (pro life). This conflictive situation – referred to as ambivalence in relevant literature – has detrimental effects on political choices. For instance, ambivalence may enhance instability in candidates' evaluations, delay the formation of vote intentions, and finally weaken predictions on vote choices.This being, literature has less looked at what may induce ambivalence, and especially on how informational context may affect it. Our paper aims to compensate for this lack, by assessing under which individual and contextual conditions ambivalence has more chances to be felt by citizens. Through a series of hierarchical estimations based on post-electoral data on Swiss direct democracy and original data retracing content of political campaigns, we will demonstrate that individual determinants (political sophistication, exposure to political campaigns, and heuristics) as well as political campaigning (intensity and negativism) strongly determine the existence of ambivalence.     

Elections Are (Not) Exciting: Need for Cognition and Electoral Behaviour

Need for cognition (NFC) is the personality trait that describes differences in the enjoyment of cognitive efforts. By relying on data collected over two elections in Sweden in 2014, I show the trait's multifaceted political relevance. Individuals who enjoy cognitive challenges are more likely to think that it matters what government that is formed after the election, engage with campaign information, favor complex news over simple news and select stronger reasons for vote choice over weaker, e.g., ideology over habit. Overall, the results suggest that election studies would benefit from measuring need for cognition.     

Legitimacy through targeted transparency? Regulatory effectiveness and sustainability of lobbying regulation in the European Union

Regulating interest groups’ access to decision makers constitutes a key dimension of legitimate and accountable systems of government. The European Union explicitly links lobbying regulation with the democratic credentials of its supranational system of governance and proposes transparency as a solution to increase legitimacy and regulate private actors’ participation in policy making. This lobbying regulation regime consists of a Transparency Register that conditions access to decision makers upon joining it and complying with its information disclosure requirements. The extent to which transparency‐based regulatory regimes are successful in ensuring effective regulation of targeted actors and in being recognised as a legitimate instrument of governance constitutes a key empirical question. Therefore, the study asks: Do stakeholders perceive the transparency‐based EU lobbying regulation regime to be a legitimate form of regulatory governance? The study answers by building on a classic model of targeted transparency and proposes perceived regulatory effectiveness and sustainability as two key dimensions on which to evaluate the legitimacy of the Register. The arguments are tested on a new dataset reporting the evaluations of 1,374 stakeholders on the design and performance of the EU lobbying regulation regime. The findings describe a transparency regime that scores low in perceived effectiveness and moderate to low in sustainability. Citizens criticise the quality of information disclosed and the Register's performance as a transparency instrument. The Register did not effectively bridge the information gap between the public and interest groups about supranational lobbying. In terms of sustainability, interest organisations appreciate the systemic benefits of transparency, but identify few organisation‐level benefits. Organisations that are policy insiders incur more transparency costs so they instrumentally support transparency only insofar it suits their lobbying strategies and does not threaten their position. Insiders support including additional categories of organisations in the Register's regulatory remit but not more types of interactions with policy makers. They support an imperfect regulatory status quo to which they have adapted but lack incentives to support increased transparency and information disclosure. Targeted transparency proves an ineffective approach to regulating interest groups’ participation in EU policy making, constituting a suboptimal choice for ensuring transparent, accountable and legitimate supranational lobbying.     

Political Donations in Australia: What the Australian Electoral Commission Disclosures Reveal and What They Don't

The transparent disclosure of political donations is an important anti‐corruption measure. However Australia's current disclosure system has been too poor to sustain rigorous empirical analysis by either journalists or researchers. The barriers to analysis lie in the data collected and in how it is disclosed to the public. This article seeks to give an overview of the transparency problems in the disclosures. It then outlines what limited insights can be gleaned about the political donations landscape. It finds that donations are dominated by the federal election cycle, transparently declared donations make up a small and declining proportion of parties’ incomes at 12–15%, and the amount of money going entirely undisclosed is more than 50% and growing. It also finds indications of paying for access and donor strikes being used to punish government that require further research.     

Senior Executives' Political Connections and Corporate Environmental Behavior—Empirical Research From the Chinese A‐Share Market

This thesis analyzed the cross‐section data of 630 non‐financial listed enterprises and adopts a logit model to estimate the relationships between political relations and corporate environmental behavior. The paper also adopts an ordered logit method to estimate the marginal impact of political connections to enterprises’ disclosure of information on environment and sustainable development. Through analysis, this thesis found that political connections lower the probability for enterprises to disclose information on environment and sustainable development. With the Level III scoring method, this article classified the performances of disclosing corporate environmental information into three levels. It is found that corporate political connections increase the probability for enterprises not to disclose any environmental information and lower the probability for enterprises to refer to GRI Sustainability Reporting Guidelines.     

“Beggar thy Neighbor:” Testing for Free Riding in State-Level Endangered Species Expenditures

An important public policy question that remains unresolved iswhether devolution will enhance sensible policy making byexploiting informational asymmetries or, instead, trigger a``beggar thy neighbor'' response and stimulate free ridingamongst localities. We analyze this question within theframework of U.S. environmental policymaking by scrutinizing aunique panel data set on state-level endangered speciesexpenditure patterns. Our empirical estimates are consistentwith the notion that states free ride, which may lead to anexpenditure equilibrium that is not Pareto efficient.