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¹⁸ These tables measure take-up rates in absolute terms, as well as by the number of certified sites in relation to GDP. Because no comparable data exist on the total number of sites in these countries, we are unable to calculate the ideal comparative measure—the ratio of certified sites to total sites for each country. As such, we assume that GDP is a rough proxy for the total number of sites. We base this assumption on the fact that the U.S., U.K., and German economies have broadly similar structures. In comparing take-up rates of EMAS, which is only available to firms in manufacturing sectors, we also look at the share of manufacturing as percentage of GDP in the U.K. and Germany. In the U.K. manufacturing makes up 21 percent of GDP, while in Germany it makes up 24 percent, again showing that they are roughly similar. It should also be pointed out that we are not comparing the take-up rates of EMAS and ISO 14001 within countries but rather are comparing the take-up rate of each EMS separately across countries. As such we compare only like with like. Data are from World Bank, 1999/2000 World Development Report (New York: Oxford University Press, 2000), 252–53.Google Scholar

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³³ Young (fn. 2).

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³⁸ Other examples of supranational “beyond compliance” codes include the chemical industry's Responsible Care Program, the Valdez Principles, and the International Chamber of Commerce's Business Charter for Sustainable Development. For a theoretical discussion, see Prakash, Aseem, “Responsible Care: An Assessment,” Business and Society 39, no. 2 (2000).CrossRefGoogle Scholar

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⁴¹ Commission of the European Communities, Draft Proposal for a Council Regulation Establishing a Community Scheme for the Evaluation and Improvement of Environmental Performance in Certain Activities and the Provision of Relevant Information to the Public (Eco-Audit) (COM(91)XI/83, 1991).Google Scholar

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⁴⁵ NSF International, International Environmental Management System Demonstration Project: Final Report (Ann Arbor, Mich.: NSF International, 1996).Google Scholar Procter and Gamble, however, estimates a higher figure: $100,000 per site. With 150 facilities worldwide, it would amount to $15 million for Procter and Gamble's worldwide operations. See Kolk, Ans, The Economics of Environmental Management (Essex: Prentice Hall/Financial Times, 2000).Google Scholar

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⁴⁹ Walley, Noah and Whitehead, Bradley, “It's Not Easy Being Green,” Harvard Business Review (May-June 1994).Google Scholar For an opposing view, see Porter, Michael E. and van der Linde, C., “Towards a New Conception of Environment-Competitiveness Relationships,” Journal of Economic Perspectives 9, no. 4 (1995).CrossRefGoogle Scholar

⁵⁰ MNEs have facilities across countries. Pauly and Reich (fn. 15) Research suggests that the nationality of the parent firm continues to matter in many aspects of corporate governance. However, most MNEs try to implement nonmarket strategies, especially in terms of their relationship with regulators, that respond to the characteristics of the host country. In other words, MNEs' nonmarket strategies are multidomestic and not global; Baron, David P., Business and Its Environment (Upper Saddle River, N.J.: Prentice Hall, 1999).Google Scholar This, of course, may prove problematic if the opposition to MNEs assumes a global rather than a local character—Seattle being a case in point. For a detailed discussion, see Prakash, Aseem, “Beyond Seattle: Globalization, the Non-Market Environment, and Business Strategy,” Working Paper no. 2000–03 (Department of Strategic Management and Public Policy, The George Washington University, Washington, D.C., 2000).Google Scholar

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⁵³ The adversarial economy coexists with numerous instances of “capture,” especially in relation to nonenvironmental issues; on “capture,” see Stigler, George, “The Economic Theory of Regulation,” Bell Journal of Economics 2 (Spring 1971).Google Scholar Historically, regulatory agencies have also functioned as cartelenforcing bodies in industries such as trucking, railways, and airlines. Thus, as we argue subsequendy, the notion of adversarial economy needs better specification.

⁵⁴ See Vogel (fn. 12); and Kagan (fn. 12, 1994, 1991).

⁵⁵ Environmental Protection Agency/EPA, Oral History Interview 1, William K. Reilly, http://www.epa.gov/cgi-bin/claritgw, 1995 (retrieved November 17, 2000).

To illustrate further, in the recently decided Browner v. American Trucking and American Trucking v. Browner cases by the U.S. Supreme Court, the trucking industry challenged the EPA's authority to make rules under the Clean Air Act. In 1997 the EPA promulgated regulations on stricter ozone and particulate emission standards. A large number of business groups also filed friends-of-the-courts briefs arguing that such regulatory powers are not inconsonant with the nondelegation doctrine that requires that laws be made by the elective representatives only (the EPA being a nonelected body). Further, firms were outraged that the EPA promulgates regulations predominantly to achieve public health objectives, without doing adequate cost-benefit analysis. At a broader level, this case suggests that businesses are challenging the authority of all federal regulatory agencies and reinforcing the continuation of an adversary economy.

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⁵⁷ Ibid.

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⁶³ Author interview with Martin Cheesborough, Environment Agency, July 14, 1998.

⁶⁴ Author interview with Bernard Walsh, Department of Environment, Transport and the Regions, July 13, 1998.

⁶⁵ For a more in-depth discussion of the effects of procedural versus substantive supranational policy regimes, see Kollman, Kelly, “The Globalization of German Environmental Policy” (Paper presented at the annual meeting of the German Studies Association, Atlanta, Ga., October 7–9, 1999).Google Scholar

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⁶⁷ Author interview with Geoff Smith, Department of Trade and Industry, July 13, 1998, and Ruth Hillary, March 9, 1999.

⁶⁸ Another interview with Bernard Walsh, July 13, 1998.

⁶⁹ See Department of Environment, Transport and the Regions, Environmental Reporting: Getting Started (London: HMSO, 1999)Google Scholar; idem, Sustainable Development: Opportunities for Change and Sustainable Business (London: HMSO, 1998).

⁷⁰ Waskow(fn. 66).

⁷¹ Kagan (fn. 12, 1994, 1991).

⁷² For an account of how American adversarial legalism negatively affected the U.S. government's desire/ability to ratify the Convention on Biological Diversity, see Raustiala (fn. 35).

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⁷⁴ Katzenstein (fn. 13).

⁷⁵ Müller (fn. 56); Weidner (fn. 58).

⁷⁶ Prakash (fn. 1, 2000).

⁷⁷ Levy, Keohane, and Haas, as well as Braithwaite and Drahos, conclude that environmental regimes that are strategically vague (similar to procedural regimes in this paper) provide governments with flexibility in implementing them and are therefore less likely to be opposed in the domestic political economy. See Levy, Marc A., Keohane, Robert O., and Haas, Peter M., “Improving the Effectiveness of International Environmental Institutions,” in Haas, , Keohane, , and Levy, , eds., Institutions for the Earth (Cambridge: MIT Press, 1993), 14Google Scholar; and Braithwaite and Drahos (fn. 1), 295.

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