A More Comprehensive Estimate of the Value of Water Quality
Coauthored by researchers at RFF, this article in the Journal of Public Economics estimates homeowners' willingness to pay for water quality improvements.
The estimated marginal cost of US water pollution control often exceeds its marginal benefit. We provide intuition, theory and empirical evidence suggesting that the hedonic property model—a common revealed-preference approach to valuing pollution control—may not capture water’s recreational benefits. Using the case of Tampa Bay, Florida, we estimate willingness to pay (WTP) for water quality improvements by combining a recreation demand model with a hedonic property model. Results indicate that homeowners have significant WTP for both local and regional recreational water quality improvements and suggest that prior hedonic studies may underestimate the benefits of water pollution control.
Click here to view the full journal article.
Resources Radio — Mar 21, 2023
Energy Transition in Canada’s Oil Sands, with Andrew Leach
Andrew Leach discusses the trajectory of oil and gas development in Alberta, Canada, and the political dimensions of Canada’s energy transition.
Resources Radio — Mar 14, 2023
Protecting Habitats and Meeting Net-Zero Emissions Targets, with Grace Wu
Grace Wu discusses strategies that can help us meet net-zero energy targets while minimizing negative impacts on habitats and ecosystems.
Media Highlight — Jan 27, 2023
Bloomberg: "Air and Climate Standards Top EPA's 2023 Rulemaking To-Do List"
Comments made by EPA Deputy Administrator Janet McCabe during RFF's Big Decisions 2023 event in January feature heavily in a story about EPA priorities.