Does charity begin at home for air pollution reductions? Unraveling intra familial altruism

Olivier Chanel, Stéphane Luchini and Jason Shogren

Journal of choice modelling, 2021, vol. 38, issue C

Abstract: We propose a structural econometric model that incorporates altruism towards other household members into the willingness to pay for a public good. The model distinguishes preferences for public good improvements for oneself from preferences for improvements for other household members. We test for three different types of altruism - ‘pure self-interest’, ‘pure altruism’ and ‘public-good-focused non-pure altruism’. Using French contingent valuation data regarding air quality improvements, we find positive and significant degrees of concern for children under the age of 18, which are explained by determinants related to health and subjective air quality assessment. All other forms of pure or air-quality-focused altruism within the family are insignificant, including for children over 18, siblings, spouses, and parents. This result suggests that benefit estimates that do not consider altruism could undervalue improvements in air quality in France.

Keywords: Air pollution; Familial altruism; Field experiment; Contingent valuation; Willingness to pay (search for similar items in EconPapers)
JEL-codes: C9 D6 (search for similar items in EconPapers)
Date: 2021
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Working Paper: Does charity begin at home for air pollution reductions? Unraveling intra familial altruism (2021)
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Persistent link: https://EconPapers.repec.org/RePEc:eee:eejocm:v:38:y:2021:i:c:s1755534521000026

DOI: 10.1016/j.jocm.2021.100268

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