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JUE insight: Do ride-sharing services cause urban air pollution?

Author

Listed:
  • Liu, Yi
  • Li, Yao
  • Pang, Jindong

Abstract

This paper investigates the impact of ride-sharing services on urban air pollution across 284 cities in China. While the theoretical implications of ride-sharing services on air quality remain ambiguous, empirical analysis of a daily panel dataset reveals that the introduction of ride-sharing services in a city significantly reduces urban air pollution levels. On average, cities experience at least a three percent decrease in air pollution following the launch of these services. Mechanism analysis indicates that ride-sharing services contribute to reduced peak-hour traffic congestion, a decline in new car registrations, and an increase in public transit ridership. These findings quantify the environmental benefits associated with ride-sharing services and provide valuable insights for policymakers seeking to regulate the ride-sharing industry and enhance urban air quality.

Suggested Citation

  • Liu, Yi & Li, Yao & Pang, Jindong, 2025. "JUE insight: Do ride-sharing services cause urban air pollution?," Journal of Urban Economics, Elsevier, vol. 149(C).
    • Handle: RePEc:eee:juecon:v:149:y:2025:i:c:s0094119025000646
    DOI: 10.1016/j.jue.2025.103799
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    JEL classification:

    • Q53 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Air Pollution; Water Pollution; Noise; Hazardous Waste; Solid Waste; Recycling
    • R40 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Transportation Economics - - - General

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