Economics
'Optimal' pollution abatement-whose benefits matter, and how much?
Document Type
Article
Abstract
We examine the determinants of environmental regulatory activity (inspections and enforcement actions) and levels of air and water pollution for 409 US pulp and paper mills, using data for 1985-1997. We focus on the benefits to the surrounding population from pollution abatement. Plants with larger benefits emit less pollution, as do those with more kids and elders nearby. Plants in poor areas emit more pollution, though (surprisingly) we find less pollution in minority areas. Out-of-state neighbors seem to count less than in-state ones, although this effect diminishes if the bordering state's Congressional delegation is strongly pro-environment. We use 'spatially lagged' instrumental variables to control for the potential endogeneity of which individuals choose to locate near the plant. The results for regulatory activity are noticeably less significant than the emissions results.
Publication Title
Spatial Aspects of Environmental Policy
Publication Date
5-2004
Volume
47
Issue
3
First Page
510
Last Page
534
ISSN
1096-0449
DOI
10.1016/j.jeem.2003.01.001
Keywords
demographics, enforcement, environmental justice, regulation
Repository Citation
Gray, Wayne B. and Shadbegian, Ronald J., "'Optimal' pollution abatement-whose benefits matter, and how much?" (2004). Economics. 104.
https://commons.clarku.edu/faculty_economics/104