Valuing individuals' preferences for air quality improvement: Evidence from a discrete choice experiment in South Delhi

Air pollution is one of the most pressing problems in India, taking millions of lives annually. Despite unprecedented air quality deterioration, little is known about individuals' preferences for air quality improvement in India. As a first step, this study presents results from a discrete choice experiment eliciting the preferences for air quality improvement of inhabitants in South Delhi, India, which is part of the city of Delhi and where air pollution is causing extensive health hazards. Adequate knowledge about individuals' preferences can help in designing more effective health and environmental policies. Overall, we find a significant willingness to pay for improving the air quality in South Delhi. As expected, people with a higher level of education and a higher income are more willing to pay to alleviate and prevent the effects of air pollution. At the same time, significant gender effects are identified; women seem to have more homogeneous preferences regarding air quality than men. Furthermore, due to income inequalities, a significant number of respondents are not willing to pay. (c) 2022 Economic Society of Australia, Queensland. Published by Elsevier B.V. This is an open access article under the CC BY-NC-ND license (http://creativecommons.org/licenses/by-nc-nd/4.0/).

Automated summary

This study investigates the preferences of residents in South Delhi, India, for air quality improvement and finds a significant willingness to pay, especially among those with higher education and income. Women exhibit more homogeneous preferences regarding air quality than men. However, due to income inequalities, a significant number of respondents are not willing to pay.