Within an open system of cities, compensating differentials theory predicts that local real estate prices will be higher in cities with higher quality non-market local public goods. In this case, more polluted cities will feature lower home prices. A city’s air pollution levels depend on...

This paper examines the composition of bilateral manufacturing trade in terms of its pollution intensity. A growing share of world trade takes place between nations who are members of the same regional trade agreement (RTA). We analyze how the formation of RTAs affects the composition of trade....

Unexpected events such as environmental catastrophes capture wide public attention. Soon after five major shocks—Three Mile Island, Love Canal, Bhopal, Chernobyl, and the Exxon Valdez oil spill—Congress voted on new risk regulation. This paper conducts an event study to test whether...

This paper uses zip code level data to investigate the spatial distribution of two major "green" products. Using data from California, we document where hybrid vehicles cluster within the state. Using data for the entire nation, we study where LEED registered buildings cluster. By creating a...

Vehicle emissions are falling. As the oldest vehicles in the fleet are scrapped and are replaced by cleaner vehicles, aggregate emissions decline. Given this trend, must costly used car regulation continue? The Clean Air Act of 1990 requires more stringent used car testing without considering...

This papers uses new micro data on vehicle pollution and merges on Census information owner income to study the relationship between air pollution and individual income. It is important to quantify how this externality varies with individual income when considering the equity and efficiency of...

Under communism, Eastern Europe's cities were significantly more polluted than their Western European counterparts. An unintended consequence of communism's decline is to improve urban environmental quality. This paper uses several new data sets to measure these gains. National level data are...