Cost benefit analysis of the sulfur dioxide emissions control policy in Japan

Ikuho Kochi, Shunji Matsuoka, Mushtaq Ahmed Memon, Hiroaki Shirakawa

Research output: Contribution to journalArticle

7 Citations (Scopus)

Abstract

This study attempted to examine the economic efficiency of the sulfur dioxide (SO<inf>2</inf>) emissions control policy in Japan using a cost-benefit analysis (CBA). The SO<inf>2</inf> emissions control policy is divided into three stages by epochal policy decisions. Reducing the incidence of chronic bronchitis and asthma are the two main policy benefits considered in this study, and they are estimated mainly based on the cost of illness approach. Policy costs have been derived from private sector investments for pollution control to meet the pollution standards under command and control (CAC) regulations. The estimated results, using a social discount rate of 2.5%, indicate a cost-benefit ratio of 5.39 in stage 1 (1968–1973), 1.18 in stage 2 (1974–1983), and 0.41 in stage 3 (1984–1993). This result indicates that the CAC in Japan used to have strong efficiency but that this efficiency has decreased over time. Our paper suggests that it is necessary to reconsider policy approaches in light of policy efficiency and in moving from SO<inf>2</inf> to new target priority pollutants.

Original languageEnglish
Pages (from-to)219-233
Number of pages15
JournalEnvironmental Economics and Policy Studies
Volume4
Issue number4
DOIs
Publication statusPublished - 2001
Externally publishedYes

Fingerprint

emission control
cost-benefit analysis
sulfur dioxide
policy approach
discount rate
asthma
cost
pollution control
private sector
policy
Sulfur dioxide
Japan
Cost-benefit analysis
pollution
pollutant
economics

Keywords

  • CBA
  • Cost of illness
  • Japan
  • SO<inf>2</inf> emissions
  • Willingness to pay

ASJC Scopus subject areas

  • Management, Monitoring, Policy and Law
  • Economics and Econometrics

Cite this

Cost benefit analysis of the sulfur dioxide emissions control policy in Japan. / Kochi, Ikuho; Matsuoka, Shunji; Memon, Mushtaq Ahmed; Shirakawa, Hiroaki.

In: Environmental Economics and Policy Studies, Vol. 4, No. 4, 2001, p. 219-233.

Research output: Contribution to journalArticle

Kochi, Ikuho ; Matsuoka, Shunji ; Memon, Mushtaq Ahmed ; Shirakawa, Hiroaki. / Cost benefit analysis of the sulfur dioxide emissions control policy in Japan. In: Environmental Economics and Policy Studies. 2001 ; Vol. 4, No. 4. pp. 219-233.
@article{f2868475d1a24cf794ba6430a05389f9,
title = "Cost benefit analysis of the sulfur dioxide emissions control policy in Japan",
abstract = "This study attempted to examine the economic efficiency of the sulfur dioxide (SO2) emissions control policy in Japan using a cost-benefit analysis (CBA). The SO2 emissions control policy is divided into three stages by epochal policy decisions. Reducing the incidence of chronic bronchitis and asthma are the two main policy benefits considered in this study, and they are estimated mainly based on the cost of illness approach. Policy costs have been derived from private sector investments for pollution control to meet the pollution standards under command and control (CAC) regulations. The estimated results, using a social discount rate of 2.5{\%}, indicate a cost-benefit ratio of 5.39 in stage 1 (1968–1973), 1.18 in stage 2 (1974–1983), and 0.41 in stage 3 (1984–1993). This result indicates that the CAC in Japan used to have strong efficiency but that this efficiency has decreased over time. Our paper suggests that it is necessary to reconsider policy approaches in light of policy efficiency and in moving from SO2 to new target priority pollutants.",
keywords = "CBA, Cost of illness, Japan, SO<inf>2</inf> emissions, Willingness to pay",
author = "Ikuho Kochi and Shunji Matsuoka and Memon, {Mushtaq Ahmed} and Hiroaki Shirakawa",
year = "2001",
doi = "10.1007/BF03354017",
language = "English",
volume = "4",
pages = "219--233",
journal = "Environmental Economics and Policy Studies",
issn = "1432-847X",
publisher = "Springer Japan",
number = "4",

}

TY - JOUR

T1 - Cost benefit analysis of the sulfur dioxide emissions control policy in Japan

AU - Kochi, Ikuho

AU - Matsuoka, Shunji

AU - Memon, Mushtaq Ahmed

AU - Shirakawa, Hiroaki

PY - 2001

Y1 - 2001

N2 - This study attempted to examine the economic efficiency of the sulfur dioxide (SO2) emissions control policy in Japan using a cost-benefit analysis (CBA). The SO2 emissions control policy is divided into three stages by epochal policy decisions. Reducing the incidence of chronic bronchitis and asthma are the two main policy benefits considered in this study, and they are estimated mainly based on the cost of illness approach. Policy costs have been derived from private sector investments for pollution control to meet the pollution standards under command and control (CAC) regulations. The estimated results, using a social discount rate of 2.5%, indicate a cost-benefit ratio of 5.39 in stage 1 (1968–1973), 1.18 in stage 2 (1974–1983), and 0.41 in stage 3 (1984–1993). This result indicates that the CAC in Japan used to have strong efficiency but that this efficiency has decreased over time. Our paper suggests that it is necessary to reconsider policy approaches in light of policy efficiency and in moving from SO2 to new target priority pollutants.

AB - This study attempted to examine the economic efficiency of the sulfur dioxide (SO2) emissions control policy in Japan using a cost-benefit analysis (CBA). The SO2 emissions control policy is divided into three stages by epochal policy decisions. Reducing the incidence of chronic bronchitis and asthma are the two main policy benefits considered in this study, and they are estimated mainly based on the cost of illness approach. Policy costs have been derived from private sector investments for pollution control to meet the pollution standards under command and control (CAC) regulations. The estimated results, using a social discount rate of 2.5%, indicate a cost-benefit ratio of 5.39 in stage 1 (1968–1973), 1.18 in stage 2 (1974–1983), and 0.41 in stage 3 (1984–1993). This result indicates that the CAC in Japan used to have strong efficiency but that this efficiency has decreased over time. Our paper suggests that it is necessary to reconsider policy approaches in light of policy efficiency and in moving from SO2 to new target priority pollutants.

KW - CBA

KW - Cost of illness

KW - Japan

KW - SO<inf>2</inf> emissions

KW - Willingness to pay

UR - http://www.scopus.com/inward/record.url?scp=41949141324&partnerID=8YFLogxK

UR - http://www.scopus.com/inward/citedby.url?scp=41949141324&partnerID=8YFLogxK

U2 - 10.1007/BF03354017

DO - 10.1007/BF03354017

M3 - Article

VL - 4

SP - 219

EP - 233

JO - Environmental Economics and Policy Studies

JF - Environmental Economics and Policy Studies

SN - 1432-847X

IS - 4

ER -