Title

Examining trends of criteria air pollutants: Are the effects of governmental intervention transitory?

Authors

Authors

J. Lee;J. A. List

Comments

Authors: contact us about adding a copy of your work at STARS@ucf.edu

Abbreviated Journal Title

Environ. Resour. Econ.

Keywords

emissions; intervention analyses; time-series models; UNIT-ROOT; TIME-SERIES; STRUCTURAL-CHANGE; COINTEGRATION; INTENSITY; MODELS; Economics; Environmental Studies

Abstract

Despite its growth in other areas of economics, time series econometric methods have not been widespread in the area of environmental and resource economics. We illustrate one use of time series methods by examining the time path of US nitrogen oxide (NOx) emission data over the period 1900-1994. The analysis highlights that proper time series methods can aid in optimal regulatory policy as well as developing empirical verification of theories put forth to explain economic phenomena. In addition, several interesting results emerge. First, we find that the emissions series contains both a permanent and random component. Second, if one attributed all of the emissions reductions to regulatory policy, intervention analysis suggests that the 1970 Clean Air Act (CAA) did not merely have transitory effects, but permanently influenced the NOx emission path. In terms of total regulatory impact, an upper bound on the emissions saved due to the 1970 CAA is in the range of 27%-48%.

Journal Title

Environmental & Resource Economics

Volume

29

Issue/Number

1

Publication Date

1-1-2004

Document Type

Article

Language

English

First Page

21

Last Page

37

WOS Identifier

WOS:000223609200002

ISSN

0924-6460

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