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Space-Time Dynamics of Regional Income and Air Pollution in China

Author

Listed:
  • Dominguez, Alvaro
  • Li, Jiaqi
  • Mendez, Carlos

Abstract

Relying on a novel satellite dataset, we examine the spatial distribution of air pollution, specifically PM2.5, and income across 285 Chinese prefectural and above-level cities. A static spatial dependence analysis reveals the locations of high-value clusters (hot spots) and low-value clusters (cold spots), highlighting a strong negative assosiation between income and air pollution. Then, through dynamic spatial clustering techniques, we study the intertemporal relationship between air pollution and income and find a polarization effect between different regions. Our integrated approach demonstrates how these analyses complement each other in identifying regions where policies to enhance air standards can improve the population's quality of life.

Suggested Citation

  • Dominguez, Alvaro & Li, Jiaqi & Mendez, Carlos, "undated". "Space-Time Dynamics of Regional Income and Air Pollution in China," AGI Working Paper Series 2024-03, Asian Growth Research Institute.
    • Handle: RePEc:agi:wpaper:02000084
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    References listed on IDEAS

    as
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    JEL classification:

    • C15 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Statistical Simulation Methods: General
    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes
    • P11 - Political Economy and Comparative Economic Systems - - Capitalist Economies - - - Planning, Coordination, and Reform
    • P18 - Political Economy and Comparative Economic Systems - - Capitalist Economies - - - Energy; Environment
    • Q42 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Alternative Energy Sources

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