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Through a series of experiments, we measure the marginal damage of emissions near Atlanta using a sophisticated integrated assessment model. The marginal damages of sulfur dioxide (SO2) are driven by proximity to downtown Atlanta; emissions produced closer to the city lead to higher exposures and therefore damages.The spatial pattern in damages from nitrogen oxide (NOx) emissions are more complex because of the powerful role of atmospheric chemistry. NOx emissions from ground-level sources in downtown Atlanta reduce aggregate exposures to both the tropospheric ozone as well as small particulates. In contrast, NOx discharges in suburban or rural areas lead to higher exposures and damages from both pollutants. These findings raise questions about the current policy of treating all NOx and SOx emissions as though they are alike.
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Muller et al. (2009) studied this question.
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