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Air Pollution: Household Soiling and Consumer Welfare Losses

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This paper uses demand and supply functions for cleanliness to estimate household benefits from reduced particulate matter soiling. A demand curve for household cleanliness is estimated, based upon the assumption that households prefer more cleanliness to less. Empirical coefficients, related to particulate pollution levels, for shifting the cleanliness supply curve, are taken from available studies. Consumer welfare gains, aggregated across 123 SMSA's, from achieving the Federal primary particulate standard, are estimated to range from $.9 to $3.2 million per year (1971 dollars).

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Date Linked: 05/28/2009

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