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Green infrastructure and air pollution: Evidence from highways connecting two megacities in China

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  • Lee, Wang-Sheng
  • Tran, Trang My
  • Yu, Lamont Bo

Abstract

Following market liberalization, the vehicle population in China has increased dramatically over the past few decades. This paper examines the causal impact of the opening of a heavily used high speed rail line connecting two megacities in China in 2015, Chengdu and Chongqing, on air pollution. We use high-frequency and high spatial resolution data to track pollution along major highways linking the two cities. Our approach involves the use of a novel augmented regression discontinuity in time approach that incorporates machine learning to inform our specification choice in the first stage. Our estimates show that CO is reduced by 6.4% and PM2.5 by 7.1% along the main affected highway. These findings are supported using a difference-in-differences approach.

Suggested Citation

  • Lee, Wang-Sheng & Tran, Trang My & Yu, Lamont Bo, 2023. "Green infrastructure and air pollution: Evidence from highways connecting two megacities in China," Journal of Environmental Economics and Management, Elsevier, vol. 122(C).
  • Handle: RePEc:eee:jeeman:v:122:y:2023:i:c:s009506962300102x
    DOI: 10.1016/j.jeem.2023.102884
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    More about this item

    Keywords

    Air pollution; China; Green infrastructure; High-speed railway; Regression discontinuity; Machine learning;
    All these keywords.

    JEL classification:

    • L92 - Industrial Organization - - Industry Studies: Transportation and Utilities - - - Railroads and Other Surface Transportation
    • O18 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Urban, Rural, Regional, and Transportation Analysis; Housing; Infrastructure
    • Q53 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Air Pollution; Water Pollution; Noise; Hazardous Waste; Solid Waste; Recycling
    • Q54 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Climate; Natural Disasters and their Management; Global Warming
    • R41 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Transportation Economics - - - Transportation: Demand, Supply, and Congestion; Travel Time; Safety and Accidents; Transportation Noise

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