Tax Payment, Social Contribution for Pollution Prevention and Happiness
Jing Xu
Southwestern University of Finance and Economics, Chengdu, 611130, China (China)
Jianjun Li
Southwestern University of Finance and Economics, Chengdu, 611130, China (China)
Abstract
Using data from the China part of the World Value Survey (WVS), this paper empirically studies the impact of air pollution on happiness, and further, the citizens’ willingness to pay (WTP) for pollution prevention and its determinants. The result confirms that air pollution significantly worsens happiness. Regarding he WTP, it is differentiated in the form of tax and social contribution. Contrary to the expectation that the air pollution level affects the WTP, the concern on the environment plays a bigger role in increasing the WTP. Besides, the WTP are shown significantly influenced by tax compliance incentives, trust in the government or environmental organizations, attitudes toward environmental protection responsibilities and the family income, which sheds light on effective environmental policy making and implementation.
Keywords:
air pollution, happiness, willingness to pay, World Value SurveyReferences
CUÑADO J., PÉREZ GRACIA F., 2013, Environment and Happiness: New Evidence for Spain, in: Social Indicators Research, vol. 112, no 3, p. 549-567.
Google Scholar
DOLAN P., PEASGOOD T., WHITE M., 2008, Do We Really Know What Makes Us Happy? A Review of the Economic Literature on the Factors Associated with Subjective Well-being, in: Journal of Economic Psychology, vol. 29, no 1, p. 94-122.
Google Scholar
FREY B. S., STUTZER A., 2005, Happiness Research: State and Prospects, in: Review of Social Economy, vol. 62, no 2, p. 207-228.
Google Scholar
FERREIRA S., AKAY A., BRERETON F., CUÑADO J., MARTINSSON P., MORO M., NINGAL T. F., 2013, Life Satisfaction and Air Quality in Europe, in: Ecological Economics, vol. 88, no 4, p. 1-10.
Google Scholar
FERREIRA S., MORO M., 2010, On the Use of Subjective Well-being Data for Environmental Valuation, in: Environmental and Resource Economics, vol. 46, no 3, p. 249-273.
Google Scholar
LEVINSON A., 2012, Valuing Public Goods Using Happiness Data: the Case of Air Quality, in: Journal of Public Economics, vol. 96, no 9, p. 869-880.
Google Scholar
LOUIS V. V., ZHAO S., 2002, Effects of Family Structure, Family SES, and Adulthood Experiences on Life Satisfaction, in: Journal of Family Issues, vol. 23, p. 986-1005.
Google Scholar
LUECHINGER S., 2009, Valuing Air Quality Using the Life Satisfaction Approach, in: The Economic Journal, vol. 119, no 536, p. 482-515.
Google Scholar
LUECHINGER S., 2010, Life Satisfaction and Transboundary Air Pollution, in: Economics Letters, vol. 107, no 1, p. 4-6.
Google Scholar
MACKERRON G., 2012, Happiness Economics from 35000 Feet, in: Journal of Economics Surveys, vol. 26, no 4, p. 705-735.
Google Scholar
MACKERRON G., MOURATO S., 2009, Life Satisfaction and Air Quality in London, in: Ecological Economics, vol. 68, no 5, p. 1441-1453.
Google Scholar
MENZ T., WELSCH H., 2012, Life-cycle and Cohort Effects in the Valuation of Air Quality: Evidence from Subjective Well-being Data, in: Land Economics, vol. 88, no 2, p. 300-325.
Google Scholar
REHDANZ K., MADDISON D., 2008, Local Environmental Quality and Life-satisfaction in Germany, in: Ecological Economics, vol. 64, no 4, p. 787-797.
Google Scholar
SMYTH R., MISHRA V., QIAN X., 2008, The Environment and Well-being in Urban China, in: Ecological Economics, vol. 68, no 1, p. 547-555.
Google Scholar
WELSCH H., 2006, Environment and Happiness: Valuation of Air Pollution Using Life Satisfaction Data, in: Ecological Economics, vol. 58, no 4, p. 801-813.
Google Scholar
WORLD BANK, 2007, Cost of Pollution in China: Economic Estimates of Physical Damages, Conference edition. Washington D.C.
Google Scholar
YANG Y., YANG W., 2011, Environment and Personal Well-being in Urban China, in: Chinese Journal of Population, Resources and Environment, vol. 9, no 4, p. 77-81.
Google Scholar
Authors
Jing XuSouthwestern University of Finance and Economics, Chengdu, 611130, China China
Authors
Jianjun LiSouthwestern University of Finance and Economics, Chengdu, 611130, China China
Statistics
Abstract views: 23PDF downloads: 8
License
This work is licensed under a Creative Commons Attribution-ShareAlike 4.0 International License.