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Contribution Details

Type Journal Article
Scope Discipline-based scholarship
Title The Rise of NGO Activism
Organization Unit
Authors
  • Julien Daubanes
  • Jean-Charles Rochet
Contributors
  • American Economic Journal: Economic Policy
Item Subtype Original Work
Refereed Yes
Status Published in final form
Language
  • English
Journal Title American Economic Journal: Economic Policy
Publisher American Economic Association
Geographical Reach international
ISSN 1945-774X
Volume 11
Number 4
Page Range 183 - 212
Date 2019
Abstract Text Activist nongovernmental organizations (NGOs) increasingly oppose firms' practices. We suggest this might be related to the vulnerability of public regulation to corporate influence. We examine a potentially harmful industrial project subject to regulatory approval. Under industry influence, the regulator may approve the project even though it is harmful. However, an NGO may oppose it. We characterize the circumstances under which NGO opposition occurs and under which it is socially beneficial. Our theory explains the role that NGOs have assumed in the last decades, and has implications for the social legitimacy of activism and the appropriate degree of transparency of industrial activities.
Related URLs
Digital Object Identifier 10.1257/pol.20180027
Other Identification Number merlin-id:17629
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