A formal test of the long-term environmental effects of road pricing in Milan

Marco Percoco

Research in Transportation Economics, 2021, vol. 85, issue C

Abstract: Road pricing (the Ecopass) was introduced in Milan in January 2008 with the aim of reducing pollution. The existing literature has argued for a sizeable effect of the charge in reducing pollution in the short term, although long-term effects are less clear. This paper aims to propose a formal test of the impact of the Ecopass in the long term by using a novel methodology which combines regression discontinuity with propensity score matching. Results confirm the poor performance of the policy within 90 days to one year (depending on the pollutant) after introduction.

Keywords: Road pricing; Milan; Conditional independence; Regression discontinuity (search for similar items in EconPapers)
JEL-codes: D78 H23 H77 L98 (search for similar items in EconPapers)
Date: 2021
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DOI: 10.1016/j.retrec.2020.100951

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