IDEAS home Printed from https://ideas.repec.org/
MyIDEAS: Login to save this paper or follow this series

Pollution, Health, and Avoidance Behavior: Evidence from the Ports of Los Angeles

  • Enrico Moretti
  • Matthew Neidell

A pervasive problem in the literature on the health costs of pollution is that optimizing individuals may compensate for increases in pollution by reducing their exposure to protect their health. This implies that estimates of the health effects of pollution may vastly understate the full welfare effects of pollution, particularly for individuals most at risk who have the greatest incentive to adopt compensatory behavior. Furthermore, using ambient monitors to approximate individual exposure to pollution may induce considerable measurement error. We overcome these issues by estimating the short run effects of ozone on respiratory related health conditions using daily boat arrivals and departures into the two major ports of Los Angeles as an instrumental variable for ozone levels. While daily variation in boat traffic is a major contributor to local ozone pollution, time-varying pollution due to port activity is arguably a randomly determined event uncorrelated with factors related to health. Instrumental variable estimates are significantly larger than OLS estimates, indicating the importance of accounting for avoidance behavior and measurement error in understanding the full welfare effects from pollution.

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.

File URL: http://www.nber.org/papers/w14939.pdf
Download Restriction: no

Paper provided by National Bureau of Economic Research, Inc in its series NBER Working Papers with number 14939.

as
in new window

Length:
Date of creation: May 2009
Date of revision:
Publication status: published as Moretti, Enrico and Matthew Neidell. “Pollution, Health, and Avoidance Behavior: Evidence from the Ports of Los Angeles,” Journal of Human Resources, 46(1), 2011.
Handle: RePEc:nbr:nberwo:14939
Note: EEE HE
Contact details of provider: Postal: National Bureau of Economic Research, 1050 Massachusetts Avenue Cambridge, MA 02138, U.S.A.
Phone: 617-868-3900
Web page: http://www.nber.org
Email:


More information through EDIRC

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.:

as in new window
  1. Matthew Neidell, 2009. "Information, Avoidance Behavior, and Health: The Effect of Ozone on Asthma Hospitalizations," Journal of Human Resources, University of Wisconsin Press, vol. 44(2).
  2. 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).
  3. Neidell, Matthew J., 2004. "Air pollution, health, and socio-economic status: the effect of outdoor air quality on childhood asthma," Journal of Health Economics, Elsevier, vol. 23(6), pages 1209-1236, November.
  4. Michael R Ransom & C. Arden Pope Iii, 1995. "External Health Costs Of A Steel Mill," Contemporary Economic Policy, Western Economic Association International, vol. 13(2), pages 86-97, 04.
  5. Francesca Dominici & Jonathan M. Samet & Scott L. Zeger, 2000. "Combining evidence on air pollution and daily mortality from the 20 largest US cities: a hierarchical modelling strategy," Journal of the Royal Statistical Society Series A, Royal Statistical Society, vol. 163(3), pages 263-302.
  6. Seema Jayachandran, 2009. "Air Quality and Early-Life Mortality: Evidence from Indonesia’s Wildfires," Journal of Human Resources, University of Wisconsin Press, vol. 44(4).
  7. Kenneth Y. Chay & Michael Greenstone, 2003. "Air Quality, Infant Mortality, and the Clean Air Act of 1970," NBER Working Papers 10053, National Bureau of Economic Research, Inc.
  8. Anna Alberini & Alan Krupnick, 2000. "Cost-of-Illness and Willingness-to-Pay Estimates of the Benefits of Improved Air Quality: Evidence from Taiwan," Land Economics, University of Wisconsin Press, vol. 76(1), pages 37-53.
  9. Olivier Deschenes & Enrico Moretti, 2007. "Extreme Weather Events, Mortality and Migration," NBER Working Papers 13227, National Bureau of Economic Research, Inc.
  10. Harrington, Winston & Portney, Paul R., 1987. "Valuing the benefits of health and safety regulation," Journal of Urban Economics, Elsevier, vol. 22(1), pages 101-112, July.
  11. 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.
  12. Chay, Kenneth & Dobkin, Carlos & Greenstone, Michael, 2003. " The Clean Air Act of 1970 and Adult Mortality," Journal of Risk and Uncertainty, Springer, vol. 27(3), pages 279-300, December.
  13. Mansfield, Carol & Reed Johnson, F. & Van Houtven, George, 2006. "The missing piece: Valuing averting behavior for children's ozone exposures," Resource and Energy Economics, Elsevier, vol. 28(3), pages 215-228, August.
  14. Kenneth Y. Chay & Michael Greenstone, 2005. "Does Air Quality Matter? Evidence from the Housing Market," Journal of Political Economy, University of Chicago Press, vol. 113(2), pages 376-424, April.
Full references (including those not matched with items on IDEAS)

This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

When requesting a correction, please mention this item's handle: RePEc:nbr:nberwo:14939. 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: ()

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.

This information is provided to you by IDEAS at the Research Division of the Federal Reserve Bank of St. Louis using RePEc data.