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How Do Travellers Respond to Health and Environmental Policies to Reduce Air Pollution?

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  • Orset, Caroline

Abstract

Despite the various measures taken to reduce air pollution in France, the French continue to use high-emission vehicles. We propose to evaluate the Willingness To Pay (WTP) for four means of transport: two high-emission vehicles (diesel taxi and diesel personal vehicle) and two low-emission vehicles (rented electric vehicle and public transport). Successive messages revealing the effects of air pollution on health and the environment are provided to individuals in a different order. The information conveyed changes both of the WTP of individuals and of their choices. However, the use of high-emission vehicles has not diminished, personal vehicles remain the most popular. Using data collected from our survey, a multinomial logit model is used to determine individual choices. We find that improving individuals' confidence in air pollution recommendations would be a good way to lead them to choose low-emission rather than high-emission means of transport. Moreover, these estimates also indicate that individuals who attach great importance to comfort are less likely to choose low-emission vehicles than those who value price above other factors. Individual interest can therefore prevail over collective interest, thus verifying the theory of the tragedy of the commons. Different policies (taxes, subsidies, or standard) to encourage people to adopt low-emission vehicles are then tested.

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  • Orset, Caroline, 2019. "How Do Travellers Respond to Health and Environmental Policies to Reduce Air Pollution?," Ecological Economics, Elsevier, vol. 156(C), pages 68-82.
    • Handle: RePEc:eee:ecolec:v:156:y:2019:i:c:p:68-82
    DOI: 10.1016/j.ecolecon.2018.08.016
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    1. Sophie Chemarin & Caroline Orset, 2011. "Innovation and Information Acquisition under Time Inconsistency and Uncertainty," The Geneva Risk and Insurance Review, Palgrave Macmillan;International Association for the Study of Insurance Economics (The Geneva Association), vol. 36(2), pages 132-173, December.
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    6. Kotchen, Matthew J. & Boyle, Kevin J. & Leiserowitz, Anthony A., 2013. "Willingness-to-pay and policy-instrument choice for climate-change policy in the United States," Energy Policy, Elsevier, vol. 55(C), pages 617-625.
    7. Jayson L. Lusk, 2003. "Effects of Cheap Talk on Consumer Willingness-to-Pay for Golden Rice," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 85(4), pages 840-856.
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    1. Orset, Caroline, 2021. "Is information a good policy instrument to influence the energy behaviour of households?," Energy Economics, Elsevier, vol. 102(C).
    2. Zhiming Yang & Zhen Wang & Xiao-Chen Yuan & Yu Qi & Yunquan Zhang & Weiqing Wang & Fanglin He & Jing Li, 2022. "Does income inequality aggravate the impacts of air pollution on physical health? Evidence from China," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 24(2), pages 2120-2144, February.
    3. Guihuan Yan & Liming Jiang & Chongqing Xu, 2022. "How Environmental Regulation Affects Industrial Green Total Factor Productivity in China: The Role of Internal and External Channels," Sustainability, MDPI, vol. 14(20), pages 1-14, October.

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    More about this item

    Keywords

    Air pollution; Information campaign; Means of transport; Tax-subsidy-standard; Travellers' Willingness To Pay;
    All these keywords.

    JEL classification:

    • Q53 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Air Pollution; Water Pollution; Noise; Hazardous Waste; Solid Waste; Recycling
    • H23 - Public Economics - - Taxation, Subsidies, and Revenue - - - Externalities; Redistributive Effects; Environmental Taxes and Subsidies
    • I18 - Health, Education, and Welfare - - Health - - - Government Policy; Regulation; Public Health

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