Cristián Alejandro Mardones Poblete
This paper provides an empirical assessment on the impact of air pollution, specifically the bad scents produced by heavy industries and industries associated to the production of fish flour on the population¿s economic welfare of Concepci ón-Talcahuano, Chile. The paper applies an indirect method of environmental valuation known as the model of hedonics prices (Rosen, 1974). This approach has been broadly used in urban and environmental economics. The results from this paper reveal that there is a negative effect from bad scents on the price of housing and goes further by carrying out an exercise on the economic effect in a representative housing.
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