Who counts in evaluating the effects of air pollution policies on households? Non-market valuation in the presence of dependencies
Individuals who are likely to realize the largest benefits from improvements in air quality often depend on other members of their households to make time or monetary contributions to their care. The presence of these dependency relationships among household members poses challenges for benefit estimation since it is unlikely that the conditions necessary for recovering the underlying individual preferences from household choices are satisfied in this setting. We propose a conceptual framework that highlights the role of these dependencies in the choice models used to estimate the willingness to pay for environmental quality improvements. We design a complementary stated preference survey that describes hypothetical dependency relationships for household members of different ages to test the implications of our conceptual model. Respondents' stated choices take into account the proposed care-giving responsibilities for young children and teenagers but not for older adults.
If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- François Bourguignon & Martin Browning & Pierre-André Chiappori, 2006.
"Efficient Intra-household Allocations and Distribution Factors: Implications and Identification,"
CAM Working Papers
2006-02, University of Copenhagen. Department of Economics. Centre for Applied Microeconometrics.
- Fran�ois Bourguignon & Martin Browning & Pierre-André Chiappori, 2009. "Efficient Intra-Household Allocations and Distribution Factors: Implications and Identification," Review of Economic Studies, Oxford University Press, vol. 76(2), pages 503-528.
- Alistair Munro & Ian J. Bateman, 2006.
"Household versus individual valuation: what’s the difference?,"
Royal Holloway, University of London: Discussion Papers in Economics
06/02, Department of Economics, Royal Holloway University of London, revised Feb 2006.
- Ian Bateman & Alistair Munro, 2009. "Household Versus Individual Valuation: What’s the Difference?," Environmental & Resource Economics, European Association of Environmental and Resource Economists, vol. 43(1), pages 119-135, May.
- Kenneth Y. Chay & Michael Greenstone, 1999.
"The Impact of Air Pollution on Infant Mortality: Evidence from Geographic Variation in Pollution Shocks Induced by a Recession,"
NBER Working Papers
7442, National Bureau of Economic Research, Inc.
- Mark D. Agee & Thomas D. Crocker, 2004. "Transferring Measures of Adult Health Benefits to Children: A Review of Issues and Results," Contemporary Economic Policy, Western Economic Association International, vol. 22(4), pages 468-482, October.
- Martin Browning & P.A. Chiappori, 1996.
"Efficient Intra-Household Allocations - A General Characterization and Empirical Tests,"
96-10, University of Copenhagen. Department of Economics.
- M. Browning & P. A. Chiappori, 1998. "Efficient Intra-Household Allocations: A General Characterization and Empirical Tests," Econometrica, Econometric Society, vol. 66(6), pages 1241-1278, November.
- Martin Browning & Pierre-Andre Chiappori, 1994. "Efficient Intra-Household Allocations: a General Characterization and Empirical Tests," Department of Economics Working Papers 1994-02, McMaster University.
- Browning, M. & Chiappori, P.A., 1994. "Efficient Intra-Household allocations: A General Characterization and Empirical Tests," DELTA Working Papers 94-16, DELTA (Ecole normale supérieure).
- Stewart, Mark B, 1982.
"On Least Squares Estimation when the Dependent Variable is Grouped,"
The Warwick Economics Research Paper Series (TWERPS)
207, University of Warwick, Department of Economics.
- Stewart, Mark B, 1983. "On Least Squares Estimation When the Dependent Variable Is Grouped," Review of Economic Studies, Wiley Blackwell, vol. 50(4), pages 737-53, October.
- Mark B. Stewart, 1982. "On Least Squares Estimation When the Dependent Variable is Grouped," Working Papers 539, Princeton University, Department of Economics, Industrial Relations Section..
- Dickie, Mark & Messman, Victoria L., 2004. "Parental altruism and the value of avoiding acute illness: are kids worth more than parents?," Journal of Environmental Economics and Management, Elsevier, vol. 48(3), pages 1146-1174, November.
- P.-A. Chiappori & I. Ekeland, 2009. "The Microeconomics of Efficient Group Behavior: Identification," Econometrica, Econometric Society, vol. 77(3), pages 763-799, 05.
- Cameron Trudy Ann & Quiggin John, 1994.
"Estimation Using Contingent Valuation Data from a Dichotomous Choice with Follow-Up Questionnaire,"
Journal of Environmental Economics and Management,
Elsevier, vol. 27(3), pages 218-234, November.
- Trudy Ann Cameron & John Quiggin, 1992. "Estimation Using Contingent Valuation Data From a "Dichotomous Choice with Follow-Up" Questionnaire," UCLA Economics Working Papers 653, UCLA Department of Economics.
- Marjorie B. McElroy, 1990. "The Empirical Content of Nash-Bargained Household Behavior," Journal of Human Resources, University of Wisconsin Press, vol. 25(4), pages 559-583.
- Pierre-André Chiappori & Richard Blundell & Costas Meghir, 2002.
"Collective labour supply with children,"
IFS Working Papers
W02/08, Institute for Fiscal Studies.
- McConnell, K. E., 1990. "Models for referendum data: The structure of discrete choice models for contingent valuation," Journal of Environmental Economics and Management, Elsevier, vol. 18(1), pages 19-34, January.
- Janet Currie & Matthew Neidell, 2004.
"Air Pollution and Infant Health: What Can We Learn From California's Recent Experience,"
NBER Working Papers
10251, National Bureau of Economic Research, Inc.
- Currie, Janet & Neidell, Matthew, 2004. "Air Pollution and Infant Health: What Can We Learn From California's Recent Experience?," IZA Discussion Papers 1056, Institute for the Study of Labor (IZA).
- Pitt, Mark M & Rosenzweig, Mark R, 1990. "Estimating the Intrahousehold Incidence of Illness: Child Health and Gender-Inequality in the Allocation of Time," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 31(4), pages 969-80, November.
- Becker, Gary S, 1974.
"A Theory of Social Interactions,"
Journal of Political Economy,
University of Chicago Press, vol. 82(6), pages 1063-93, Nov.-Dec..
- Heckman, James, 2013.
"Sample selection bias as a specification error,"
Publishing House "SINERGIA PRESS", vol. 31(3), pages 129-137.
- Alberini Anna, 1995. "Efficiency vs Bias of Willingness-to-Pay Estimates: Bivariate and Interval-Data Models," Journal of Environmental Economics and Management, Elsevier, vol. 29(2), pages 169-180, September.
- Chiappori, Pierre-Andre, 1992.
"Collective Labor Supply and Welfare,"
Journal of Political Economy,
University of Chicago Press, vol. 100(3), pages 437-67, June.
- Shelly J. Lundberg & Robert A. Pollak & Terence J. Wales, 1997. "Do Husbands and Wives Pool Their Resources? Evidence from the United Kingdom Child Benefit," Journal of Human Resources, University of Wisconsin Press, vol. 32(3), pages 463-480.
- Lindhjem, Henrik & Navrud, Ståle, 2008. "Asking for Individual or Household Willingness to Pay for Environmental Goods? Implication for aggregate welfare measures," MPRA Paper 11469, University Library of Munich, Germany.
- Dickie, Mark & Gerking, Shelby, 2007. "Altruism and environmental risks to health of parents and their children," Journal of Environmental Economics and Management, Elsevier, vol. 53(3), pages 323-341, May.
- M. Genius & E. Strazzera, 2005. "Modeling Elicitation effects in contingent valuation studies: a Monte Carlo Analysis of the bivariate approach," Working Paper CRENoS 200502, Centre for North South Economic Research, University of Cagliari and Sassari, Sardinia.
- Evans, Mary F. & Smith, V. Kerry, 2005. "Do new health conditions support mortality-air pollution effects?," Journal of Environmental Economics and Management, Elsevier, vol. 50(3), pages 496-518, November.
- Chiappori, Pierre-Andre, 1988. "Rational Household Labor Supply," Econometrica, Econometric Society, vol. 56(1), pages 63-90, January.
When requesting a correction, please mention this item's handle: RePEc:eee:jeeman:v:62:y:2011:i:1:p:65-79. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Zhang, Lei)
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.