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Abstract: During the Olympic Games in 2008, a driving restriction based on
vehicle license plate numbers was implemented in Beijing to mitigate air pollution and
traffic congestion. Following the Games, the restriction was modified several times. This
paper investigates the effects of two policy changes: a weakening policy change due to a
shorter restricted time period, and a strengthening ... read morepolicy change due to a higher penalty
for violators and the complementary car purchasing restriction. By employing a regression
discontinuity design, I find that the weakening policy change led to more pollution in
restricted areas only, while the strengthening policy change improved air quality in both
restricted and non-restricted areas. One possible explanation for the second result is that
driving in restricted areas and non-restricted areas are complements. Several robustness
checks also confirm the results. I also provide suggestive evidence that driving
restrictions increased the use of public transportation and alleviated traffic
congestion.
Thesis (M.S.)--Tufts University, 2013.
Submitted to the Dept. of Economics.
Advisor: Kelsey Jack.
Committee: Kelsey Jack, and Jeffrey Zabel.
Keywords: Economics, Public policy, and Environmental
economics.read less
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