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Achieving Air Pollution Control Targets with Technology-Aided Monitoring: Better Enforcement or Localized Efforts?

Author

Listed:
  • Lin Yang
  • Yatang Lin
  • Jin Wang
  • Fangyuan Peng

Abstract

Weak enforcement of environmental regulations remains a global issue due to inadequate monitoring and misaligned incentives. This paper examines the effects of automated monitoring on achieving air pollution control targets amidst China's war on pollution. Utilizing the staggered rollout process and remote-sensing data, we find local governments respond to the advanced monitoring system by strategically targeting areas near monitors, resulting in a 3.2 percent decrease in pollution adjacent to automated monitors compared to areas farther away. Furthermore, we observe heterogeneity in response across cities with varying degrees of preexisting data manipulation and among officials facing different incentives and public pressure.

Suggested Citation

  • Lin Yang & Yatang Lin & Jin Wang & Fangyuan Peng, 2024. "Achieving Air Pollution Control Targets with Technology-Aided Monitoring: Better Enforcement or Localized Efforts?," American Economic Journal: Economic Policy, American Economic Association, vol. 16(4), pages 280-315, November.
    • Handle: RePEc:aea:aejpol:v:16:y:2024:i:4:p:280-315
    DOI: 10.1257/pol.20220810
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    References listed on IDEAS

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    1. Spencer Banzhaf & Lala Ma & Christopher Timmins, 2019. "Environmental Justice: The Economics of Race, Place, and Pollution," Journal of Economic Perspectives, American Economic Association, vol. 33(1), pages 185-208, Winter.
    2. Callaway, Brantly & Sant’Anna, Pedro H.C., 2021. "Difference-in-Differences with multiple time periods," Journal of Econometrics, Elsevier, vol. 225(2), pages 200-230.
    3. Panle Jia Barwick & Shanjun Li & Deyu Rao & Nahim Bin Zahur, 2018. "The Healthcare Cost of Air Pollution: Evidence from the World’s Largest Payment Network," NBER Working Papers 24688, National Bureau of Economic Research, Inc.
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    Cited by:

    1. Robert Metcalfe & Sefi Roth, 2025. "Making the Invisible Visible: The Impact of Revealing Indoor Air Pollution on Behavior and Welfare," Framed Field Experiments 00819, The Field Experiments Website.
    2. Li, Pei & Lu, Yi & Peng, Lu & Wang, Jin, 2024. "Information, incentives, and environmental governance: Evidence from China’s ambient air quality standards," Journal of Environmental Economics and Management, Elsevier, vol. 128(C).
    3. Xiang, Xunyong & Luo, Wenjie & Li, Bin & Liang, Wenquan, 2025. "Decentralized government and firm pollution discharges: Evidence from China’s Province-Managing-County reform," Economic Modelling, Elsevier, vol. 144(C).
    4. Li, Pei & Liu, Kaihao & Lu, Yi & Peng, Lu, 2025. "Organizing regulatory structure and local air quality: Evidence from the environmental vertical management reform in China," Journal of Comparative Economics, Elsevier, vol. 53(1), pages 139-164.

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    More about this item

    JEL classification:

    • O13 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Agriculture; Natural Resources; Environment; Other Primary Products
    • O18 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Urban, Rural, Regional, and Transportation Analysis; Housing; Infrastructure
    • P25 - Political Economy and Comparative Economic Systems - - Socialist and Transition Economies - - - Urban, Rural, and Regional Economics
    • P28 - Political Economy and Comparative Economic Systems - - Socialist and Transition Economies - - - Natural Resources; Environment
    • Q53 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Air Pollution; Water Pollution; Noise; Hazardous Waste; Solid Waste; Recycling
    • Q55 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environmental Economics: Technological Innovation
    • 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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