{"id":2069,"date":"2021-05-10T06:12:30","date_gmt":"2021-05-10T06:12:30","guid":{"rendered":"http:\/\/3.35.173.53\/?p=2069"},"modified":"2021-05-10T06:12:30","modified_gmt":"2021-05-10T06:12:30","slug":"chay-k-y-greenstone-m-2005-does-air-quality-matter-evidence-from-the-housing-market-journal-of-political-economy-1132-376-424","status":"publish","type":"post","link":"https:\/\/happyfinder.co.kr\/?p=2069","title":{"rendered":"Chay, K. Y., &#038;Greenstone, M. (2005). Does air quality matter? Evidence from the housing market. Journal of political Economy, 113(2), 376-424."},"content":{"rendered":"<p><span style=\"font-family: \ub9d1\uc740 \uace0\ub515,malgun;\">We exploit the structure of the Clean Air Act to provide new evidence on the capitalization of total suspended particulates (TSPs) air pollution into housing values. This legislation imposes strict regulations on polluters in \u201cnonattainment\u201d counties, which are defined by concentrations of TSPs that exceed a federally set ceiling. TSPs nonattainment status is associated with large reductions in TSPs pollution and increases in county\u2010level housing prices. When nonattainment status is used as an instrumental variable for TSPs, we find that the elasticity of housing values with respect to particulates concentrations ranges from \u22120.20 to \u22120.35. These estimates of the average marginal willingness to pay for clean air are robust to quasi\u2010experimental regression discontinuity and matching specification tests. Further, they are far less sensitive to model specification than cross\u2010sectional and fixed\u2010effects estimates, which occasionally have the \u201cperverse\u201d sign. We also find modest evidence that the marginal benefit of reductions of TSPs is lower in communities with relatively high pollution levels, which is consistent with preference\u2010based sorting. Overall, the improvements in air quality induced by the mid\u20101970s TSPs nonattainment designation are associated with a $45 billion aggregate increase in housing values in nonattainment counties between 1970 and 1980.<\/span><\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p><!--StartFragment--><\/p>\n<p class=\"0\" style=\"background: rgb(255, 255, 255); mso-pagination: none; mso-padding-alt: 0pt 0pt 0pt 0pt;\"><span lang=\"EN-US\" style=\"background: rgb(255, 255, 255); letter-spacing: 0pt; font-family: \ub9d1\uc740 \uace0\ub515,malgun; mso-fareast-font-family: \ud568\ucd08\ub86c\ubc14\ud0d5; mso-font-width: 100%; mso-text-raise: 0pt;\">Chay, K. Y., &amp;Greenstone, M. (2005). Does air quality matter? Evidence from the housing market. <\/span><span lang=\"EN-US\" style=\"background: rgb(255, 255, 255); letter-spacing: 0pt; font-family: \ub9d1\uc740 \uace0\ub515,malgun; font-style: italic; mso-fareast-font-family: \ud568\ucd08\ub86c\ubc14\ud0d5; mso-font-width: 100%; mso-text-raise: 0pt;\">Journal of political Economy, 113<\/span><span lang=\"EN-US\" style=\"background: rgb(255, 255, 255); letter-spacing: 0pt; font-family: \ub9d1\uc740 \uace0\ub515,malgun; mso-fareast-font-family: \ud568\ucd08\ub86c\ubc14\ud0d5; mso-font-width: 100%; mso-text-raise: 0pt;\">(2), 376-424. <\/span><\/p>\n<p class=\"0\" style=\"background: rgb(255, 255, 255); mso-pagination: none; mso-padding-alt: 0pt 0pt 0pt 0pt;\"><a href=\"file:\/\/\/https:\/\/doi.org\/10.1086\/427462\"><u style=\"text-underline: #0000ff single;\"><span lang=\"EN-US\" style=\"background: rgb(255, 255, 255); color: rgb(0, 0, 255); letter-spacing: 0pt; font-family: \ub9d1\uc740 \uace0\ub515,malgun; mso-fareast-font-family: \ud568\ucd08\ub86c\ubc14\ud0d5; mso-font-width: 100%; mso-text-raise: 0pt;\">https:\/\/doi.org\/10.1086\/427462<\/span><\/u><\/a><\/p>\n<p class=\"0\" style=\"background: rgb(255, 255, 255); mso-pagination: none; mso-padding-alt: 0pt 0pt 0pt 0pt;\"><span style=\"font-family: \ub9d1\uc740 \uace0\ub515,malgun;\">  <\/span><!--[if !supportEmptyParas]--><span style=\"font-family: \ub9d1\uc740 \uace0\ub515,malgun;\">&nbsp;<\/span><!--[endif]--><span style=\"font-family: \ub9d1\uc740 \uace0\ub515,malgun;\">  <\/span><o:p><\/o:p><\/p>\n<p>&nbsp;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>We exploit the structure of the Clean Air Act to provide new evidence on the capitalization of total suspended particulates (TSPs) air pollution into housing values. This legislation imposes strict regulations on polluters in \u201cnonattainment\u201d counties, which are defined by concentrations of TSPs that exceed a federally set ceiling. TSPs nonattainment status is associated with [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"jnews-multi-image_gallery":[],"jnews_single_post":[],"jnews_primary_category":[],"jnews_social_meta":[],"jnews_override_counter":[],"footnotes":""},"categories":[28,15],"tags":[403],"_links":{"self":[{"href":"https:\/\/happyfinder.co.kr\/index.php?rest_route=\/wp\/v2\/posts\/2069"}],"collection":[{"href":"https:\/\/happyfinder.co.kr\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/happyfinder.co.kr\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/happyfinder.co.kr\/index.php?rest_route=\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/happyfinder.co.kr\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=2069"}],"version-history":[{"count":1,"href":"https:\/\/happyfinder.co.kr\/index.php?rest_route=\/wp\/v2\/posts\/2069\/revisions"}],"predecessor-version":[{"id":2070,"href":"https:\/\/happyfinder.co.kr\/index.php?rest_route=\/wp\/v2\/posts\/2069\/revisions\/2070"}],"wp:attachment":[{"href":"https:\/\/happyfinder.co.kr\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=2069"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/happyfinder.co.kr\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=2069"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/happyfinder.co.kr\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=2069"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}