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Equity and the environment: An application of the Berliant–Strauss vertical and horizontal equity framework to measuring the distributional effects of air quality regulation

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  • Jinhyok Heo
  • Robert P. Strauss

Abstract

The distributional effects of a major air regulation in the United State in 2015 were analyzed using Berliant and Strauss Index Numbers, a set of theoretical and empirical equity metrics, and reduced‐form models that estimate the mortality effects of air pollutant emissions and their source contributions. By viewing the effects of pollution on human mortality as an implicit tax, we found progressivity in 54% to 56% of vertical comparisons and inequity in 92% to 94% of horizontal comparisons. The introduction of the proposed policy made 58% of vertical comparisons more progressive and was equitable to 70% of horizontal comparisons.

Suggested Citation

  • Jinhyok Heo & Robert P. Strauss, 2020. "Equity and the environment: An application of the Berliant–Strauss vertical and horizontal equity framework to measuring the distributional effects of air quality regulation," International Journal of Economic Theory, The International Society for Economic Theory, vol. 16(1), pages 82-94, March.
    • Handle: RePEc:bla:ijethy:v:16:y:2020:i:1:p:82-94
    DOI: 10.1111/ijet.12255
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    Cited by:

    1. Lucas Cain & Danae Hernandez-Cortes & Christopher Timmins & Paige Weber, 2023. "Recent Findings and Methodologies in Economics Research in Environmental Justice," CESifo Working Paper Series 10283, CESifo.

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