Working Paper: NBER ID: w29848
Authors: Sandra Aguilar-Gomez; Holt Dwyer; Joshua S. Graff Zivin; Matthew J. Neidell
Abstract: A robust body of evidence shows that air pollution exposure is detrimental to health outcomes, often measured as deaths and hospitalizations. This literature has focused less on subclinical channels that nonetheless impact behavior, performance, and skills. This article reviews the economic research investigating the causal effects of pollution on "non-health" endpoints, including labor productivity, cognitive performance, and multiple forms of decision making. Subclinical effects of pollution can be more challenging to observe than formal health care encounters but may be more pervasive if they affect otherwise healthy people. The wide variety of possible impacts of pollution should be informed by plausible mechanisms and require appropriate hypothesis testing to limit false discovery. Finally, any detected effects of pollution, both in the short and long run, may be dampened by costly efforts to avoid exposure ex-ante and remediate its impacts ex-post; these costs must be considered for a full welfare analysis
Keywords: No keywords provided
JEL Codes: I12; I31; J22; J24; Q51; Q53
Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.
| Cause | Effect |
|---|---|
| Air Pollution Exposure (Q53) | Labor Productivity (O49) |
| Air Pollution Exposure (Q53) | Cognitive Performance (D91) |
| Air Pollution Exposure (Q53) | Test Scores (Y10) |
| Air Pollution Exposure (Q53) | Decision-Making Abilities (D91) |
| Air Pollution Exposure During Formative Years (Q53) | Long-Term Deficits in Educational and Labor Market Outcomes (I21) |