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A formal test of the long-term environmental effects of road pricing in Milan

Road pricing (the Ecopass) was introduced in Milan in January 2008 with the aim of reducing pollution. The existing literature has argued for a sizeable effect of the charge in reducing pollution in the short term, although long-term effects are less clear. This paper aims to propose a formal test o...

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Bibliographic Details
Published in:Research in transportation economics 2021-03, Vol.85, p.100951, Article 100951
Main Author: Percoco, Marco
Format: Article
Language:English
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Summary:Road pricing (the Ecopass) was introduced in Milan in January 2008 with the aim of reducing pollution. The existing literature has argued for a sizeable effect of the charge in reducing pollution in the short term, although long-term effects are less clear. This paper aims to propose a formal test of the impact of the Ecopass in the long term by using a novel methodology which combines regression discontinuity with propensity score matching. Results confirm the poor performance of the policy within 90 days to one year (depending on the pollutant) after introduction.
ISSN:0739-8859
1875-7979
DOI:10.1016/j.retrec.2020.100951