Cost-benefit analysis methods for assessing air pollution control programs in urban environments-A review

Area of Science:

• Environmental Economics
• Public Policy Analysis
• Environmental Science

Background:

• Cost-benefit analysis (CBA) is the standard method for assessing environmental policy impacts.
• Air pollution poses significant risks to human health, economic productivity, and environmental amenities.
• Existing CBA frameworks require comprehensive review for air pollution policy evaluation.

Purpose of the Study:

• To review and synthesize cost-benefit analysis (CBA) methodologies specific to air pollution impacts.
• To identify and categorize the types of benefits and costs associated with air pollution.
• To provide a framework for applying CBA to urban air pollution and prevention policies.

Main Methods:

• Literature review of CBA methods for air pollution.
• Identification of benefit valuation techniques (market, stated, revealed preference).
• Description of cost valuation approaches (private, societal, governmental).

Main Results:

• Three key air pollution effects were identified: health, productivity, and amenity.
• Various valuation methods for benefits and costs were detailed, referencing established principles.
• Limitations in benefit and cost estimation were summarized, with comparisons of existing analyses.

Conclusions:

• CBA is essential for informed environmental policy decisions regarding air pollution.
• The conceptual framework presented can guide analyses of urban air pollution impacts and prevention.
• Standardized CBA approaches enhance the reliability and comparability of policy evaluations.