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Unwatched Pollution: The Effect of Intermittent Monitoring on Air Quality

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  • Eric Yongchen Zou

Abstract

Intermittent monitoring of environmental standards may induce strategic changes in polluting activities. This paper documents local strategic responses to a cyclical, once-every-six-day air quality monitoring schedule under the federal Clean Air Act. Using satellite data of monitored areas, I show that air quality is significantly worse on unmonitored days. This effect is explained by short-term suppression of pollution on monitored days, especially during high-pollution periods when the city's noncompliance risk is high. Cities' use of air quality warnings increases on monitored days, which suggests local governments' role in coordinating emission reductions.

Suggested Citation

  • Eric Yongchen Zou, 2021. "Unwatched Pollution: The Effect of Intermittent Monitoring on Air Quality," American Economic Review, American Economic Association, vol. 111(7), pages 2101-2126, July.
    • Handle: RePEc:aea:aecrev:v:111:y:2021:i:7:p:2101-26
    DOI: 10.1257/aer.20181346
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    More about this item

    JEL classification:

    • K32 - Law and Economics - - Other Substantive Areas of Law - - - Energy, Environmental, Health, and Safety Law
    • Q53 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Air Pollution; Water Pollution; Noise; Hazardous Waste; Solid Waste; Recycling
    • Q58 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environmental Economics: Government Policy
    • R11 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Regional Economic Activity: Growth, Development, Environmental Issues, and Changes

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