The Public Choice Of Payment Vehicle And Willingness To Pay

The Environmental Protection Tax Law of the People's Republic of China(hereinafter referred to as the Environmental Protection Tax Law)came into force on January 1,2018.The implementation of Environmental Protection Tax Law shows the government's determination to control environmental pollution.However,the project of environmental pollution control is huge,and it will not be completed overnight.It needs the active participation of the public.The main social contradictions in our country have been transformed into the contradiction between the people's growing need for a better life and the unbalanced and inadequate development,which means that the people's requirements for the living environment are getting higher and higher,and their awareness of environmental protection is getting stronger than before.However,how to participate in environmental protection and actively promote the development of environmental protection as citizens is still worth discussing.Based on the above background,this paper firstly adopts open-ended face-to-face survey to obtain residents'willingness to pay(WTP)for environmental pollution control.The results of OLS model and sample selection model show that payment methods significantly affect the willingness to pay.Propensity Score Matching method corrected the bias of self-selection of payment mode,and showed that under the compulsory payment,the WTP for the improvement of environmental quality was 14.28 RMB per month higher than that under voluntary payment method,totaling about 171.16 RMB per year.On this basis,we further explores the impact of two compulsory payment vehicle,Higher Price and Higher Tax,on willingness to pay,based on the data from the Chinese General Social Survey(CGSS)environmental module.Using Ordered Logit model to fit the latent WTP,the results show that the WTP is higher under the higher price method.In addition,in the analysis of the influencing factors of WTP,we find that the influencing factors of willingness to pay in different ways of payment are also different.Finally,based on the results of the above empirical analysis,this paper suggests that the government should design an effective payment mechanism to actively guide residents to participate in environmental protection,and should increase the intensity of environmental pollution control,enhance public trust in government work as solutions to solve environmental pollution.