Trans-boundary air pollution spillovers: Physical transport and economic costs by distance

نویسندگان

چکیده

The economic costs of trans-boundary pollution spillovers versus local effects is necessary to evaluate centralized decentralized environmental policies. Directly estimating these for air difficult because are high-frequency and vary with distance while outcomes usually measured low-frequency endogenous. We develop an approach quantify spillover as a flexible function utilizing commonly-available weather data. To correct the endogeneity pollution, it uses mixed two-stage least squares method that accommodates (daily) data (annual) outcome can improve efficiency. estimate particulate matter smaller than 10 ?g (PM10) on manufacturing labor productivity in China. A one ?g/m3 annual increase PM10 locally reduces average firm's output by CNY 45,809 (0.30%) same city 50 km away decreases 16,248 (0.11%). This effect declines rapidly 2847 (0.02%) 600 then slowly zero at 1000 km. results suggest need supra-provincial policies or Coasian prices quantified under approach.

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ژورنال

عنوان ژورنال: Journal of Development Economics

سال: 2022

ISSN: ['1872-6089', '0304-3878']

DOI: https://doi.org/10.1016/j.jdeveco.2021.102808