Exploring the impacts of coal mining on host communities in Shanxi, China – using subjective data

The neglect of the welfare of host communities in the current mining practice is partly due to the lack of a defensible measurement of the impacts of coal mining on host communities. Subjective indicators, superior to the traditionally used objective indicators in terms of informing policy makers of public preference, are barely used in mining impact assessment. The objective of this study is to illustrate approaches to use subjective data to investigate the impacts of coal mining. It looks at how satisfied people are with multiple wellbeing factors, what matters most/least to people, and at their perception of the impact that coal mining has on these factors. Comparisons are made between location categories characterized with different intensities of coal mining. Two composite indices that blends responses to questions about satisfaction and importance/perceived impacts of coal mining are constructed to identify policy priorities. The general and pervasive message is that coal mining does not seem to improve subjective satisfaction with those wellbeing factors, instead, it has negative impacts on a wide range of wellbeing factors pertaining to the natural environment and the economy. This paper supplies references for public policy to improve local wellbeing, and demonstrates approaches to use subjective data.