Replication data for: Defensive Investments and the Demand for Air Quality: Evidence from the NOx Budget Program
- Deschênes, Olivier
- Greenstone, Michael
- Shapiro, Joseph S.
AbstractThe demand for air quality depends on health impacts and defensive investments, but little research assesses the empirical importance of defenses. A rich quasi-experiment suggests that the Nitrogen Oxides (NOx) Budget Program (NBP), a cap-and-trade market, decreased NOx emissions, ambient ozone concentrations, pharmaceutical expenditures, and mortality rates. The annual reductions in pharmaceutical purchases, a key defensive investment, and mortality are valued at about $800 million and $1.3 billion, respectively, suggesting that defenses are over one-third of willingness-to-pay for reductions in NOx emissions. Further, estimates indicate that the NBP's benefits easily exceed its costs and that NOx reductions have substantial benefits.
Is supplement to
DOI: 10.1257/aer.20131002 (Text)
Deschênes, Olivier, Michael Greenstone, and Joseph S. Shapiro. “Defensive Investments and the Demand for Air Quality: Evidence from the NOx Budget Program.” American Economic Review 107, no. 10 (October 2017): 2958–89. https://doi.org/10.1257/aer.20131002.
- ID: 10.1257/aer.20131002 (DOI)
Update Metadata: 2020-05-18 | Issue Number: 2 | Registration Date: 2019-10-12