We document the sensitivity of welfare estimates derived from discrete choice models to assumptions about the choice set. Such assumptions can affect welfare estimates through both the estimated parameters of the model and, conditional on the parameters, the substitution among alternatives. Our analysis involves estimates of the benefits of air quality improvements in Los Angeles based ondiscrete choices of neighborhood and housing. We further illustrate the use of meta analysis to document and summarize voluminous information derived from repeated sensitivity analyses.
H. Spencer Banzhaf
V. Kerry Smith
Explainer — May 11, 2020
Carbon Pricing 105: Effects on Human Health
An overview of the human health benefits of decreased air pollution due to carbon pricing.
Common Resources — Apr 24, 2020
Preparation Now for Environmental Opportunities in Fiscal Stimulus Programs
Coronavirus will motivate some fiscal stimulus spending proposals that could benefit the environment, as long as proponents of environmental programs are prepared for the opportunities.
Resources Radio — Apr 21, 2020
Lessons from 50 Years of the Clean Air Act, with Maureen Cropper
Maureen Cropper assesses the costs and benefits of varying Clean Air Act programs and reflects on how the law can guide future environmental policy.