Economics at your fingertips  

What Do Emissions Markets Deliver and to Whom? Evidence from Southern California's NOx Trading Program

Meredith Fowlie, Stephen Holland () and Erin Mansur ()

American Economic Review, 2012, vol. 102, issue 2, 965-93

Abstract: An advantage of cap-and-trade programs over more prescriptive environmental regulation is that compliance flexibility and cost effectiveness can make more stringent emissions reductions politically feasible. However, when markets (versus regulators) determine where emissions occur, it becomes more difficult to assure that mandated emissions reductions are equitably achieved. We investigate these issues in the context of Southern California's RECLAIM program by matching facilities in RECLAIM with similar California facilities also in nonattainment areas. Our results indicate that average emissions fell 20 percent at RECLAIM facilities relative to our counterfactual. Furthermore, observed changes in emissions do not vary significantly with neighborhood demographic characteristics. (JEL H23, L51, Q53, Q58)

Date: 2012
References: View references in EconPapers View complete reference list from CitEc
Citations View citations in EconPapers (33) Track citations by RSS feed

Downloads: (external link) (application/pdf) dataset accompanying article (application/zip)
Access to full text is restricted to AEA members and institutional subscribers.

Related works:
Working Paper: What Do Emissions Markets Deliver and to Whom? Evidence from Southern California's NOx Trading Program (2009) Downloads
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link:

Ordering information: This journal article can be ordered from

Access Statistics for this article

American Economic Review is currently edited by Pinelopi Koujianou Goldberg

More articles in American Economic Review from American Economic Association Contact information at EDIRC.
Series data maintained by Jane Voros ().

Page updated 2018-01-13
Handle: RePEc:aea:aecrev:v:102:y:2012:i:2:p:965-93