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THE IMPACT OF POLLUTION CONTROL ON CONSUMER INCOME A METHODOLOGICAL STUDY
Author(s) -
Yan ChiouShuang,
Chung AnMin
Publication year - 1977
Publication title -
decision sciences
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 1.238
H-Index - 108
eISSN - 1540-5915
pISSN - 0011-7315
DOI - 10.1111/j.1540-5915.1977.tb01071.x
Subject(s) - control (management) , economics , consumption (sociology) , metropolitan area , table (database) , pollution , distribution (mathematics) , quality (philosophy) , public economics , econometrics , agricultural economics , environmental economics , computer science , mathematics , geography , ecology , social science , mathematical analysis , philosophy , management , archaeology , epistemology , sociology , biology , data mining
This paper develops a methodology for assessing the impact of a comprehensive pollution control program on income distribution. A regional input‐output table is employed to determine the overall effect of pollution control costs on prices. These price changes, are then translated into changes in consumption expenditures by income groups, which serve as a measure of the impact on consumers. The validity of this methodology is tested on the metropolitan Philadelphia region. It was found that the EPA air quality standards would raise the spending of middle income groups by about 3 percent as compared to about 2 percent increase for the highest and the lowest income groups. The paper concludes with an examination of the advantages and limitations of the proposed methodology.