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This paper analyses long range fractional dependence of China pollution in four major cities, namely Beijing, Shanghai, Guangzhou and Shenzhen from September 28 of 2013 to December 12 of 2015. Unit roots hypotheses are tested by using fractional integration methods using both uncorrelated and autocorrelated errors. The results reveal that the pollution is persistent, meaning that it will continue until strong anti-pollution measures are adopted. Policy implication is derived. [ABSTRACT FROM AUTHOR]

This study examines the causal effect of air pollution on health expenditure using a sample of the China Health and Nutrition Survey in 2015. It concludes that exposure to air pollution is associated with the increase in health expenditure with an elasticity of 10.013. The coefficient is roughly seven times bigger than the cost of traditional respiratory diseases. The large coefficient will be the social cost of medical insurance and various diseases. Results also indicate that sample mobility can underestimate health cost. Meanwhile, we identify heterogeneity among different populations and pollutants. The estimates show that PM 2.5 is the main cause of health expenditure and that males, high-income individuals, highly educated individuals, people with health insurance, and older people are more sensitive to air pollution. Moreover, our evidence suggests that air pollution nonlinearly affects health expenditure. We also find that the mechanism is through diseases occurrence and diseases severity to increase health expenditure. Unlabelled Image • The causal relationship between air pollution and health cost is analyzed. • Identification relies on the random and exogenous variations of air pollution. • China Health and Nutrition Survey data in 2015 are used. • Air pollution rises health cost and has heterogeneous effects. • Incidence, hospitalization, respiratory diseases are potential mechanism. [ABSTRACT FROM AUTHOR]

With the outbreak of COVID-19 (Corona Virus Disease, 2019), China adopted traffic restrictions to reduce the spread of COVID-19. Using daily data before and after the outbreak of COVID-19, an exogenous shock, this paper analyzes the effects of private vehicle restriction policies on air pollution. We find that the private vehicle restriction policies reduce the degree of air pollution to a certain extent. However, their effect varies with other policies implemented in the same period and the economic development of the city itself. Through the analysis of different categories of restrictions, we find that restriction policy for local fuel vehicles and the restriction policy based on the last digit of license plate numbers have the best effect in reducing air pollution. Under the background of COVID-19 epidemic and the implementation of private vehicle restriction policies and other traffic control policies during this period, we have also obtained other enlightenment on air pollution control. • The causal relationship between air pollution and restriction is analyzed. • An exogenous shock from COVID-19 is used to identify this relationship. • The private vehicle restriction reduces the degree of air pollution. • The restriction policies have heterogeneous effects. • The effects of restriction are affected by other policies against COVID-19. [ABSTRACT FROM AUTHOR]

Using the China Health and Nutrition Survey, this study quantifies the causal effects of air pollution on the demand for medical insurance from the perspective of avoidance behavior; an instrumental variable approach was used. The rise in air pollution is associated with an increased probability of purchasing medical insurance. Results suggest that the effect of air pollution on the demand for medical insurance may be overestimated without considering the migration of people. Furthermore, the substitution between basic medical and commercial insurance is becoming increasingly evident with the reform of the medical system. The effect of air pollution on the demand for medical insurance is mainly observed on women, children, the elderly, and people with high income and educational levels, all of whom are more likely to take an avoidance behavior. This study suggests that environmental issues must be considered in future medical insurance designs due to avoidance behavior to mitigate the negative effects of poor air quality. Avoidance costs must also be considered when governments formulate environmental policies. • The causal relationship between air pollution and insurance demand is analyzed. • Instrumental variable approach deals with endogenous problems of air pollution. • China Health and Nutrition Survey (CHNS) data in 2004–2015 are used. • Air pollution rises the demand for medical insurance and has heterogeneous effects. • The medical reform is effective in mitigating negative effects of air pollution. [ABSTRACT FROM AUTHOR]

Civil aviation is a crucial transportation mode, which plays a crucial role in air pollution. This study investigates the effect of aircraft frequency on the PM 2.5 level. This study evaluates whether flight frequency has a significant positive effect on air pollution based on the monthly data of aircraft movements from 59 major airports in China from January 2014 to December 2017 by employing the two-way fixed effects model. The effect occurs mainly through two channels, namely, the aircraft and the emissions while commuting to the airports. The former is significantly positive, whereas the latter is significantly negative. This study utilizes the spatial econometric methods to consider the spatial correlation. Results show that after considering the spatial correlation, the aircraft frequency also has a substantial effect on the PM 2.5 level. These results indicate that decision-makers should provide attention to air pollution driven by aircraft and emissions while commuting to the airport. This study also calls for the concern of the spatial correlation in the reduction of air pollution. Moreover, the study provides a distinctive contribution to the relative field by identifying the influence of each channel and considering the spatial correlation. • Explore the impact of the aircraft's frequency on the PM2.5 concentration. • Use a two-way fixed-effects model with samples of 59 cities during 2014–2017. • Aircraft's frequency has a positive impact on the PM2.5 concentration. • The railway plays a crucial role in mitigating effects of aircraft's frequency. • Considering the spatial correlation, the influence is more substantial. [ABSTRACT FROM AUTHOR]