Abstract

ALVAREZ E., Roberto; FIGUEROA B., Eugenio  and  VALDES DE F., Sebastián. Economic Benefits from a Reduction in Atmospheric Pollution in Santiago de Chile. Inv. Econ [online]. 1999, vol.59, n.227, pp.143-169. ISSN 0185-1667.

This article estimates the benefits of an environmental improvement programme implemented in Santiago de Chile. Using the methodology of contingent value (CV), an estimation was made of the Santiago population's readiness to pay (RTP) for a programme that would reduce the local atmospheric pollution by 50 percent. The estimations made allowed the inference to be drawn that average individual RTP was between USD IO and 17 per year. This would mean that the total benefits of the programme would fluctuate between USD 280 million and 470 million. At the same time, a determination was made of the influence on an individual's RTP of personal characteristics (age, gender and education). Also determined was the individual's perception of the gravity of the pollution problem (seriousness, priority); and the individual's appreciation of, or position in regard to, other variables of interest (the government's effectiveness, interest in the environment, concern for future generations, etc.). The results are discussed in the light of methodological peculiarities in the cv, and of the characteristics of the population studied.