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The Enhanced I/M Program in Arizona: Costs, Effectiveness, and a Comparison with Pre-regulatory Estimates

Winston Harrington, Virginia McConnell and Amy Ando

No 10867, Discussion Papers from Resources for the Future

Abstract: Using data from 1995 and 1996, we estimate the cost of the Arizona Enhanced I/M Program and the emission reductions achieved. We begin by enumerating briefly the components of I/M costs and discuss their size and incidence. Then we describe the empirical information from Arizona and how we use it to construct cost estimates for both vehicle inspection and repair of failing vehicles. Inspection costs include the costs of operating the test stations and the costs motorists incur in time and money to get to the station and go through the testing process. We find that the inspection costs account for over two-thirds of the full costs of I/M, while costs associated with actual vehicle repair account for only one third. We conclude by comparing the empirical estimates of costs and program effectiveness in the Arizona program with the ex ante estimated Enhanced I/M program costs made by the EPA in the 1992 Regulatory Impact Analysis (RIA). The ex ante EPA analysis appears to have underestimated the costs of achieving the ambitious reductions in emissions hoped for under I/M.

Keywords: Environmental Economics and Policy; Resource/Energy Economics and Policy (search for similar items in EconPapers)
Pages: 23
Date: 1999
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (2)

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Working Paper: The Enhanced I/M Program in Arizona: Costs, Effectiveness, and a Comparison with Pre-regulatory Estimates (1999) Downloads
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Persistent link: https://EconPapers.repec.org/RePEc:ags:rffdps:10867

DOI: 10.22004/ag.econ.10867

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