Scott Lowe

The City-Level Effects of the 1990 Clean Air Act Amendments

Maximilian Auffhammer et al. — Wed, 24 Aug 2011 12:59:38 PDT

This paper examines whether the 1990 Clean Air Act Amendments caused the decline in ambient concentrations of particulate matter (PM₁₀) in California over the 1990–2000 period. Consistent with previous studies, we find that PM₁₀ nonattainment status at the county level is not a significant factor in explaining the reductions in PM₁₀. However, when we allow for spatially heterogeneous treatment effects within nonattainment counties, and incorporate measures of community characteristics, climate, geography, transboundary pollution, and industrial composition and scale, we find that nonattainment designations at the city level account for a 6% reduction in ambient PM₁₀ concentrations.

Impact of Air Quality Regulations on Entrepreneurial Activity

Scott E. Lowe et al. — Fri, 04 Feb 2011 14:02:23 PST

The objective of this paper is to examine the impact of NAAQS non-attainment status on the entrepreneurial activity in a metropolitan statistical area (MSA). Most of the existing research on the relationship between non-attainment and the financial robustness of areas focuses on the big polluters (e.g., plastics, organic chemicals, steel smelting and refining, etc.), and examines how many of the big polluters failed or relocated, measured by the change in the number of plants/businesses when an area moved from attainment to non-attainment. Our paper will use a 306 MSA panel data set over the 1989-2003 timeframe, to address the question more comprehensively by looking at all industries, not just a targeted few polluters. Controlling for other time-variant confounding effects, such as population growth, per-capita income, tax rate changes, minimum wage rates, energy costs, regional inflation measures, and spatial phenomena (such as, natural disasters) we isolate the effect of non-attainment status on large polluters as well as the linkage industries. We show that if an area is designated non-attainment status in a particular year, it leads to a decline in the total number of business starts in the MSA in the following year. We also determine whether the impact of non-attainment varies across businesses of different sizes.

Climate Variability and Water Infrastructure: Historical Experience in the Western United States

Zeynep K. Hansen et al. — Fri, 04 Feb 2011 13:52:24 PST

Greater historical perspective is needed to enlighten current debate about future human responses to higher temperatures and increased precipitation variation. We analyze the impact of climatic conditions and variability on agricultural production in five semi-arid western states. We assemble county-level data on dams and other major water infrastructure; agricultural crop mixes and yields; precipitation and temperature; soil quality, and topography. Using this extensive data set, we analyze the impact of water infrastructure investments on crop mix and yields in affected counties relative to similarly-endowed counties that lack such infrastructure. We find that water infrastructure smoothes agricultural crop production and increases the likelihood of a successful harvest, especially during times of severe drought or excessive precipitation.

The Economic Value of a Predator: Yellowstone Trout

Joe Kerkvliet et al. — Fri, 04 Feb 2011 09:59:46 PST

The Economic Value of the Greater Yellowstone's Blue-Ribbon Fishery

Joe Kerkvliet et al. — Fri, 04 Feb 2011 08:58:36 PST

The U.S. National Park Service must find a balance in an inherently conflicting mandate that calls for preserving and protecting ecological systems while providing for the public's enjoyment of natural resources through recreation. This conflict is especially intense in the case of fisheries management. Although most of the waters in Yellowstone National Park are managed as catch-and-release fisheries, some individuals still hold that fishing (like hunting) in the park is in fundamental conflict with the goal of preservation. An important element in the National Park Service's balancing act is the economic value of recreation activities. This paper uses the results of a 1993 survey of anglers at five blue-ribbon fishing sites in and near Yellowstone National Park to estimate the economic value that anglers attach to their fishing experiences. We estimate that fishermen place a value of between US$172 and $977 on a day of fishing. For Yellowstone National Park, these estimates translate into a total value of between $67.5 and $385 million for angling within the park. These estimates can provide some guidance to managers in deciding between alternative uses of the Greater Yellowstone's freshwater resources.

The City Level Effects of the 1990 Clean Air Act Amendments

Maximilian Auffhammer et al. — Fri, 04 Feb 2011 08:32:28 PST

This paper examines whether the 1990 Clean Air Act Amendments caused the decline in ambient concentrations of particulate matter (PM10) in California over the 1990 – 2000 period. Consistent with previous studies, we find that PM10 non-attainment status at the county level is not a significant factor in explaining the reductions in PM10. However, when we allow for spatially heterogeneous treatment effects within non-attainment counties, and incorporate measures of community characteristics, climate, geography, transboundary pollution and industrial composition and scale, we find that non-attainment designations at the city-level account for a 6% reduction in ambient PM10 concentrations. This paper examines whether the 1990 Clean Air Act Amendments caused the decline in ambient concentrations of particulate matter (PM10) in California over the 1990 – 2000 period. Consistent with previous studies, we find that PM10 non-attainment status at the county level is not a significant factor in explaining the reductions in PM10. However, when we allow for spatially heterogeneous treatment effects within non-attainment counties, and incorporate measures of community characteristics, climate, geography, transboundary pollution and industrial composition and scale, we find that non-attainment designations at the city-level account for a 6% reduction in ambient PM10 concentrations.

Housing Market Effects of Inclusionary Zoning

Antonio Bento et al. — Fri, 04 Feb 2011 08:32:26 PST

This article presents an empirical analysis of the effects of inclusionary zoning policies on housing prices and starts in California during the period from 1988 through 2005. The analysis compares cities with and without such policies and isolates the effects of inclusionary zoning programs by carefully controlling for spatial and temporal conditions, such as the neighborhood or school district within which the house is located and changing market conditions over time. The analysis found that inclusionary zoning policies had measurable effects on housing markets in jurisdictions that adopt them; specifically, the price of single-family houses increases and the size of single-family houses decreases. The analysis also found that, although the cities with such programs did not experience a significant reduction in the rate of single-family housing starts, they did experience a marginally significant increase in multifamily housing starts. The magnitude of this shift varied with the stringency of the inclusionary requirements. Finally, the analysis found that the size of market-rate houses in cities that adopted inclusionary zoning increased more slowly than in cities without such programs. The results are fully consistent with economic theory and demonstrate that inclusionary zoning policies do not come without costs.

Measuring the Effects of the Clean Air Act Amendments on Ambient PM₁₀ Concentrations: The Critical Importance of a Spatially Disaggregated Analysis

Maximilian Auffhammer et al. — Mon, 21 Sep 2009 17:51:12 PDT

We examine the effects of the 1990 Clean Air Act Amendments (CAAAs) on ambient concentrations of PM₁₀ in the United States between 1990 and 2005. We find that non-attainment designation has no effect on the 'average monitor' in non-attainment counties, after controlling for weather and socioeconomic characteristics at the county level. In sharp contrast, if we allow for heterogeneous treatment by type of monitor and county, we do find that the 1990 CAAAs produced substantial effects. Our best estimate suggests that PM₁₀ concentrations at monitors with concentrations above the national annual standard dropped by between 7µg/m³ and 9µg/m³, which is roughly equivalent to a 11-14% drop. We also show that monitors which were in violation of the daily standard experience two fewer days in violation of the daily standard the following year. Empirical results suggest that this treatment effect is independent of whether the EPA has finalized the non-attainment designation.

Measuring the Effects of Environmental Regulations: The Critical Importance of a Spatially Disaggregated Analysis

Maximilian Auffhammer et al. — Mon, 21 Sep 2009 17:51:11 PDT

We examine the effects of the 1990 Clean Air Act Amendments (CAAA) on ambient concentrations of PM10 in the United States between 1990 and 2005. Consistent with prior literature, we find that non-attainment designation has no effect on the average monitor in non-attainment counties, after controlling for weather, socioeconomic characteristics at the county level and lagged concentrations. In sharp contrast, if we allow for heterogeneous treatment by type of monitor and county, we do find that the 1990 CAAA produced substantial effects. Our estimation results suggest that non-attainment counties with single monitors experienced a drop in concentrations of 10.5% relative to attainment counties. In non-attainment counties with multiple monitors, the overall effect of the regulation is an increase of ambient PM10 concentrations by 1.9%. The dirtiest monitors in these counties, however, experienced drops in PM10 of 6.1%, which suggest that regulators focus their attention on the dirtiest monitors.

ARE Update Volume 8, Number 5

Hoy Carman et al. — Mon, 21 Sep 2009 17:51:11 PDT

Olive Oil: A 'Rediscovered' California Crop.

Forming Coalitions for Cleaner Air?

George Judge Turns 80.

What Would Happen if Federal Farm Subsidies Were Eliminated? Evidence for Colusa and Tulare Counties.