This project evaluates the causal impact of Limited Traffic Zones (ZTL) introduced in 2015 on air quality in major Italian cities (Milan, Turin, Florence, etc.).

The analysis uses a Difference-in-Differences econometric approach to isolate the effect of the policy:

• Treatment Group: Cities that implemented ZTL in 2015.
• Control Group: Cities with similar characteristics but no ZTL in that period.
• Fixed Effects: Inclusion of City and Year fixed effects to control for time-invariant characteristics and common shocks.

• Parallel Trends: Validated through an Event-Study design (see scripts/02_did_model.py).
• Robustness: Includes "Leave-one-out" analysis and "Placebo tests" to confirm the validity of the results.

1. Install dependencies: pip install -r requirements.txt
2. Run the main model: python scripts/02_did_model.py