Digital Monitoring Technology and Air Quality: Evidence from the People’s Republic of China

Pinghan Liang, Yadi Liu and Shu Tian
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Pinghan Liang: Sun Yat-sen University
Yadi Liu: Sun Yat-sen University
Shu Tian: Asian Development Bank

No 788, ADB Economics Working Paper Series from Asian Development Bank

Abstract: Since the early 21st century, air quality concerns in the People’s Republic of China (PRC) have garnered significant attention from both the public authorities and society. This study investigates the effects of digital environmental monitoring technology on air pollution. Specifically, we explore the data from government procurement of digital environmental monitoring technologies over the 2014–2019 period. The baseline results indicate that on average, each additional environmental contract per 100,000 residents signed by governments is associated with an 8-percentage point reduction in city PM2.5 levels. This effect arises from more accurate pollutant identification, which strengthens enforcement of environmental regulations, facilitating any necessary transition and, where applicable, orderly exit of heavily polluting enterprises, and fosters green innovation. Further, this effect exhibits regional variation in the extent of environmental concern and the level of information disclosure. The results suggest that technology-driven environmental governance, supported by public engagement and policy frameworks, plays a crucial role in enhancing air quality in the PRC.

Keywords: digital environmental monitoring; PM2.5; public monitoring; information disclosure (search for similar items in EconPapers)
JEL-codes: O18 O33 Q50 (search for similar items in EconPapers)
Pages: 34 pages
Date: 2025-07-02
New Economics Papers: this item is included in nep-res
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Persistent link: https://EconPapers.repec.org/RePEc:ris:adbewp:0788

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