For the government, measuring firm-level emissions accurately is critical for the enforcement of well-targeted regulation programs, and is also the building block to the establishment of potential Emission Trading Systems. The Chinese government spends substantial resources on firm-level automatic emission monitors: more than 30,000 polluting plants are being monitored by the central government, and another more than 200,000 by local governments. However, firms are able to manipulate the readings of the monitors, leaving the government with inaccurate readings. The researchers are studying the randomized roll-out of a device that detects manipulation of monitors to estimate the effect of improved monitoring quality (reduced government-firm information asymmetry) on firm production and emission outcomes.