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Does clean air increase the demand for the consumer city? Evidence from Beijing

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  • Cong Sun
  • Siqi Zheng
  • Jianghao Wang
  • Matthew E. Kahn

Abstract

Cities offer a large menu of possible employment and leisure opportunities. The gains from such consumer city leisure are likely to be lower on more polluted days. We study the association between daily consumption activity and outdoor air pollution in China and find evidence in favor of the hypothesis that clean air and leaving one's home for leisure trips are complements. Given the high levels of air pollution in cities in the developing world, regulation induced improvement in environmental quality is likely to further stimulate demand for the consumer city.

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  • Cong Sun & Siqi Zheng & Jianghao Wang & Matthew E. Kahn, 2019. "Does clean air increase the demand for the consumer city? Evidence from Beijing," Journal of Regional Science, Wiley Blackwell, vol. 59(3), pages 409-434, June.
    • Handle: RePEc:bla:jregsc:v:59:y:2019:i:3:p:409-434
    DOI: 10.1111/jors.12443
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    2. Xin Dong & Shili Yang & Chunxiao Zhang, 2022. "Air Pollution Increased the Demand for Gym Sports under COVID-19: Evidence from Beijing, China," IJERPH, MDPI, vol. 19(19), pages 1-16, October.
    3. Min Zhang & Mark D. Partridge & Huasheng Song, 2020. "Amenities and the geography of innovation: evidence from Chinese cities," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 65(1), pages 105-145, August.
    4. Shien Xiao & Langang Feng & Shu Shang, 2022. "The Environmental Effect of Industrial Transfer in the Beijing–Tianjin–Hebei Region," Sustainability, MDPI, vol. 14(20), pages 1-20, October.
    5. Fenjie Long & Longfei Zheng & Haifeng Qian, 2023. "Entrepreneurship in China’s peripheral regions," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 70(1), pages 287-313, February.
    6. Lily Shen & Sean Wilkoff, 2022. "Cleanliness is next to income: The impact of COVID‐19 on short‐term rentals," Journal of Regional Science, Wiley Blackwell, vol. 62(3), pages 799-829, June.
    7. Tongshan Liu & Guoying Han & Wan Nie, 2022. "Optimal Residence: Does Air Quality Affect Settlement Decisions of Urban Floating Migrants?," Sustainability, MDPI, vol. 14(13), pages 1-15, June.
    8. Xie, Tingting & Yuan, Ye & Zhang, Hui, 2023. "Information, awareness, and mental health: Evidence from air pollution disclosure in China," Journal of Environmental Economics and Management, Elsevier, vol. 120(C).
    9. Wang, Jianxiong & Zhou, Yonghong, 2021. "Impact of mass media on public awareness: The “Under the Dome” effect in China," Technological Forecasting and Social Change, Elsevier, vol. 173(C).
    10. Kuroda, Yuta, 2022. "The effect of pollen exposure on consumption behaviors: Evidence from home scanner data," Resource and Energy Economics, Elsevier, vol. 67(C).
    11. Zhang, Xiaowei & Yang, Yang & Zhang, Yi & Zhang, Zili, 2020. "Designing tourist experiences amidst air pollution: A spatial analytical approach using social media," Annals of Tourism Research, Elsevier, vol. 84(C).

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