[go: up one dir, main page]
IDEAS home Printed from https://ideas.repec.org/a/kap/enreec/v37y2007i2p445-463.html
   My bibliography  Save this article

Flows of Air Pollution, Ill Health and Welfare

Author

Listed:
  • Anni Huhtala
  • Eva Samakovlis
Abstract
We provide a theoretical framework for measuring welfare when pollution influences economic growth by impairing health and driving up defensive medical expenditures. We demonstrate the usefulness of our framework in practice by applying it to data from Swedish valuation studies designed according to the accounting principles suggested here. We estimate that the negative health effects of nitrogen dioxide emissions amount to 0.6% of GDP in Sweden. We also show that a corrective Pigouvian tax should internalize the direct disutility, reduced labor productivity, and increased healthcare expenditures caused by pollution. According to our calculations, harmful health impacts alone (excluding ecosystem effects) justify 65% of the current Swedish tax on nitrogen dioxide. Copyright Springer Science+Business Media, Inc. 2007

Suggested Citation

  • Anni Huhtala & Eva Samakovlis, 2007. "Flows of Air Pollution, Ill Health and Welfare," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 37(2), pages 445-463, June.
    • Handle: RePEc:kap:enreec:v:37:y:2007:i:2:p:445-463
    DOI: 10.1007/s10640-006-9033-z
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1007/s10640-006-9033-z
    Download Restriction: Access to full text is restricted to subscribers.
    File URL: https://libkey.io/10.1007/s10640-006-9033-z?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. David E. Bloom & David Canning & Jaypee Sevilla, 2001. "The Effect of Health on Economic Growth: Theory and Evidence," NBER Working Papers 8587, National Bureau of Economic Research, Inc.
    2. William D. Nordhaus, 2002. "The Health of Nations: The Contribution of Improved Health to Living Standards," NBER Working Papers 8818, National Bureau of Economic Research, Inc.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. repec:hal:wpaper:hal-00930936 is not listed on IDEAS
    2. Hambur Wang, 2024. "Can ESG Investment and the Implementation of the New Environmental Protection Law Enhance Public Subjective Well-being?," Papers 2411.06110, arXiv.org.
    3. Mathieu-Bolh, Nathalie & Pautrel, Xavier, 2016. "Reassessing the effects of environmental taxation when pollution affects health over the life-cycle," Economic Modelling, Elsevier, vol. 52(PB), pages 310-321.
    4. Ibsa Mussa & Awel Feku & Mohammed Mussa, 2018. "Environmental Accounting and Auditing and Eco mark," Current Investigations in Agriculture and Current Research, Lupine Publishers, LLC, vol. 5(3), pages 660-662, November.
    5. Nathalie Mathieu-Bolh & Xavier Pautrel, 2014. "Environmental taxation, health and the life-cycle," Working Papers hal-00990256, HAL.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Mohajan, Haradhan, 2011. "Valuing health impacts of the workers in Bangladesh due to air pollution," MPRA Paper 50697, University Library of Munich, Germany, revised 13 May 2011.
    2. Mohajan, Haradhan, 2011. "Air pollution causes health effects and net national product of a country decreases: a theoretical framework," MPRA Paper 50858, University Library of Munich, Germany, revised 23 May 2012.
    3. UNITA Lucian & STRACIUC Oreste & MAGHIAR T. Traian & BORZA Ciprian Tudor, 2009. "Relationship And Causality Between Economic Growth Rate And Certain Diseases In The European Union," Annals of Faculty of Economics, University of Oradea, Faculty of Economics, vol. 1(1), pages 478-484, May.
    4. Seema Jayachandran & Adriana Lleras-Muney & Kimberly V. Smith, 2009. "Modern Medicine and the 20th Century Decline in Mortality: Evidence on the Impact of Sulfa Drugs," NBER Working Papers 15089, National Bureau of Economic Research, Inc.
    5. Joseph J. Doyle, Jr., 2007. "Returns to Local-Area Health Care Spending: Using Health Shocks to Patients Far From Home," NBER Working Papers 13301, National Bureau of Economic Research, Inc.
    6. Vrachimis Konstantinos & Zachariadis Marios, 2013. "A contribution to the empirics of welfare growth," The B.E. Journal of Macroeconomics, De Gruyter, vol. 13(1), pages 213-244, April.
    7. Ruiz-Tagle, Jaime & Tapia, Pablo, 2011. "Chile: early retirement, impatience and risk aversion," Revista CEPAL, Naciones Unidas Comisión Económica para América Latina y el Caribe (CEPAL), December.
    8. Ms. Lisa L Kolovich & Sakina Shibuya, 2016. "Middle East and Central Asia: A Survey of Gender Budgeting Efforts," IMF Working Papers 2016/151, International Monetary Fund.
    9. Laura Savu & Bogdan Copcea, 2018. "The Relationship Between Healthcare And Growth In Oecd Eastern European Countries," Annals - Economy Series, Constantin Brancusi University, Faculty of Economics, vol. 4, pages 92-101, August.
    10. Jerome Creel & Gwenaelle Poilon, 2008. "Is public capital productive in Europe?," International Review of Applied Economics, Taylor & Francis Journals, vol. 22(6), pages 673-691.
    11. Agénor, Pierre-Richard & Bayraktar, Nihal & El Aynaoui, Karim, 2008. "Roads out of poverty? Assessing the links between aid, public investment, growth, and poverty reduction," Journal of Development Economics, Elsevier, vol. 86(2), pages 277-295, June.
    12. Tiago Sequeira, 2004. "Mortality Rate and Property Rights in a Model with Human Capital and R&D," Development and Comp Systems 0408010, University Library of Munich, Germany.
    13. Natacha Raffin, 2009. "Environmental health and education: Towards sustainable growth," Documents de travail du Centre d'Economie de la Sorbonne 09026, Université Panthéon-Sorbonne (Paris 1), Centre d'Economie de la Sorbonne.
    14. Christopher Ball & John Creedy & Grant Scobie, 2015. "Long-run Fiscal Projections under Uncertainty: The Case of New Zealand," Treasury Working Paper Series 15/10, New Zealand Treasury.
    15. Francesco Ricci & Marios Zachariadis, 2006. "Determinants of Public Health Outcomes: A Macroeconomic Perspective," DEGIT Conference Papers c011_045, DEGIT, Dynamics, Economic Growth, and International Trade.
    16. Esra N. Kilci, 2022. "Can We Increase Health Expenditure Per Capita Through Higher Economic Growth? Empirical Evidence from Turkey," EKOIST Journal of Econometrics and Statistics, Istanbul University, Faculty of Economics, vol. 0(36), pages 137-152, June.
    17. Stolpe, Michael, 2003. "Ressourcen und Ergebnisse der globalen Gesundheitsökonomie: Einführung und Überblick," Kiel Working Papers 1177, Kiel Institute for the World Economy (IfW Kiel).
    18. Karl Claxton & Mark Sculpher & Stuart Carroll, 2011. "Value-based pricing for pharmaceuticals: Its role, specification and prospects in a newly devolved NHS," Working Papers 060cherp, Centre for Health Economics, University of York.
    19. David Cutler & Angus Deaton & Adriana Lleras-Muney, 2006. "The Determinants of Mortality," Journal of Economic Perspectives, American Economic Association, vol. 20(3), pages 97-120, Summer.
    20. Oliviero Carboni & Paolo Russu, 2015. "Assessing Regional Wellbeing in Italy: An Application of Malmquist–DEA and Self-organizing Map Neural Clustering," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 122(3), pages 677-700, July.

    More about this item

    Keywords

    defensive expenditures; externalities; green accounting; respiratory illnesses; I10; O4; Q25;
    All these keywords.

    JEL classification:

    • I10 - Health, Education, and Welfare - - Health - - - General
    • O4 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity
    • Q25 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Water

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:kap:enreec:v:37:y:2007:i:2:p:445-463. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.