Please wait a minute...
Frontiers of Economics in China

ISSN 1673-3444

ISSN 1673-3568(Online)

CN 11-5744/F

Postal Subscription Code 80-978

Front. Econ. China    2014, Vol. 9 Issue (1) : 109-137
research-article |
The Value of Clean Air in China: Evidence from Beijing and Shanghai
Jijun Tan1,Jinhua Zhao2()
1. Research Institute for Economics and Management, Southwest University of Finance and Economics, Chengdu 610074, China
2. Department of Economics; Department of Agriculture, Food and Resource Economics; Environmental Science and Policy Program, Michigan State University, East Lansing, MI 48824, USA Institute for Advanced Studies, Shanghai University of Finance and Economics, Shanghai 200433, China
 Download: PDF(1149 KB)  
 Export: BibTeX | EndNote | Reference Manager | ProCite | RefWorks

We estimate the willingness to pay (WTP) of Beijing and Shanghai residents for improving the air quality of the two cities from their levels prior to the 2008 Beijing Olympic Games to the level achieved during the Olympics. The data are obtained from a contingent valuation study conducted through face-to-face interviews in June 2008 in Beijing and Shanghai prior to the Beijing Olympics, during which time there was intensive debate about Beijing’s air quality. Residents in both cities are willing to pay more when they are more exposed to air pollution, when their disposable income increases, and when they have stronger beliefs that public opinion plays an important role in government policy making. Beijing residents are willing to pay more than Shanghai residents, due possibly to Beijing’s poorer air quality. Overall, aggregate WTP for air quality improvement accounts for about 0.53% of the 2008 GDP in Beijing and 0.22% of the 2008 GDP in Shanghai.

Keywords contingent valuation      Beijing Olympic Games      air quality     
Issue Date: 16 May 2014
 Cite this article:   
Jijun Tan,Jinhua Zhao. The Value of Clean Air in China: Evidence from Beijing and Shanghai[J]. Front. Econ. China, 2014, 9(1): 109-137.
[1] Hua Wang,Yuyan Shi,Yoonhee Kim,,Takuya Kamata. Economic Value of Water Quality Improvement by One Grade Level in Erhai Lake: A Willingness-to-Pay Survey and a Benefit-Transfer Study[J]. Front. Econ. China, 2015, 10(1): 168-199.
[2] Hua Wang,Jie He. Estimating the Economic Value of Statistical Life in China: A Study of the Willingness to Pay for Cancer Prevention[J]. Front. Econ. China, 2014, 9(2): 183-215.
Full text