Social Cost-Benefit Analysis of Replacing defective Catalytic Converters in Tehran's Light Vehicles to Reduce Air Pollution

Document Type : Original Article


1 Assistant Professor, Department of Economics, Faculty of Economics and Political Science, Shahid Beheshti University, Tehran, Iran

2 Master’s student in Economics, Faculty of Economics and Political Science, Shahid Beheshti University, Tehran, Iran


In this regard, in this study, we used a social cost-benefit analysis to examine one of the most practical methods in reducing the emission of gaseous pollutants, namely the replacement of defective catalytic converters in light vehicles in Tehran. For this purpose, the cost of replacing the converters, willingness to pay for the residents of Tehran to reduce air pollution, and the benefits of reducing pollution have been examined in 2020. The required data was obtained through field studies and filling out questionnaires. According to the results, the total cost associated with replacing catalytic converters for a period is equal to 49834 billion Rials. The annual value of willingness to pay for the citizens of Tehran using the conditional valuation method is equivalent to 31834 billion Rials, and the annual benefit of reducing emissions is 8987 billion Rials. Considering the 20-years review period and the assumptions of the economic model, replacing catalytic converters in different scenarios has financial justification. Therefore, we suggest that urban management institutions, considering the benefits created, pursue financing and replace this part to reduce air pollution in Tehran.


Main Subjects

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Volume 3, Issue 1
May 2022
Pages 104-120
  • Receive Date: 14 December 2021
  • Revise Date: 03 March 2022
  • Accept Date: 16 April 2022
  • First Publish Date: 16 April 2022