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Life-Cycle and Cohort Effects in the Valuation of Air Quality: Evidence from Subjective Well-being Data

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  • Tobias Menz
  • Heinz Welsch

Abstract

By using data on self-rated life satisfaction as an empirical indicator of well-being, this paper estimates the valuation of two major air pollutants differentiated by people’s age category (stage in the life cycle) and birth cohort. Life satisfaction regressions involving about 59,000 individuals in 10 European countries, 1990–1997, imply that, consistent with epidemiological evidence, both life-cycle and cohort effects exist in the valuation of air quality. The age and cohort dependence of the sensitivity to air pollution translates into considerable differences in the valuation of clean air.

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File URL: http://le.uwpress.org/cgi/reprint/88/2/300
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Bibliographic Info

Article provided by University of Wisconsin Press in its journal Land Economics.

Volume (Year): 88 (2012)
Issue (Month): 2 ()
Pages: 300-325

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Handle: RePEc:uwp:landec:v:88:y:2012:ii:1:p:300-325

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Web page: http://le.uwpress.org/

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Cited by:
  1. Ferreira, Susana & Akay, Alpaslan & Brereton, Finbarr & Cuñado, Juncal & Martinsson, Peter & Moro, Mirko & Ningal, Tine F., 2013. "Life satisfaction and air quality in Europe," Ecological Economics, Elsevier, vol. 88(C), pages 1-10.
  2. Ambrey, Christopher L. & Chan, Andrew Yiu-Chung & Fleming, Christopher M., 2013. "Estimating the cost of air pollution in South East Queensland: An application of the life satisfaction non-market valuation approach," 2013 Conference (57th), February 5-8, 2013, Sydney, Australia 152133, Australian Agricultural and Resource Economics Society.
  3. Christine Bertram & Katrin Rehdanz, 2014. "The role of urban green space for human well-being," Kiel Working Papers 1911, Kiel Institute for the World Economy.

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