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The Impact of an Ambient Pollution Regulation on Industrial Emissions in India

Tanaya Shubhangi

No 360766, 2025 AAEA & WAEA Joint Annual Meeting, July 27-29, 2025, Denver, CO from Agricultural and Applied Economics Association

Abstract: This study is an empirical analysis into the causal claim that India’s National Clean Air Programme (NCAP), despite being an ambient air pollution policy is able to bring down industrial emissions. Using a panel dataset of Indian cities from 2011-2022 and by employing a Synthetic Differences-in-differences (SDID) approach, the study measures the causal impact of NCAP on industrial emissions, proxied by PM10 levels, to answer this question. The SDID model is particularly suited for this analysis as it creates a robust, data-driven counterfactual from a small control group. Results indicate NCAP caused a significant reduction in PM10 concentrations, with an estimated average treatment effect of −14.05 𝜇𝑔/𝑚3. This result suggests well-designed ambient regulations can be a cost-effective policy tool for pollution mitigation in developing countries.

Keywords: Environmental; Economics; and; Policy (search for similar items in EconPapers)
Pages: 16
Date: 2025
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Persistent link: https://EconPapers.repec.org/RePEc:ags:aaea25:360766

DOI: 10.22004/ag.econ.360766

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