IDEAS home Printed from https://ideas.repec.org/a/gam/jijerp/v16y2019i13p2328-d244866.html
   My bibliography  Save this article

Indirect Economic Impact Incurred by Haze Pollution: An Econometric and Input–Output Joint Model

Author

Listed:
  • Jibo Chen

    (School of Mathematics and Statistics, Nanjing University of Information Science & Technology, Nanjing 210044, China)

  • Keyao Chen

    (National Climate Center, China Meteorological Administration, Beijing 100081, China)

  • Guizhi Wang

    (School of Mathematics and Statistics, Nanjing University of Information Science & Technology, Nanjing 210044, China)

  • Rongrong Chen

    (School of Mathematics and Statistics, Nanjing University of Information Science & Technology, Nanjing 210044, China)

  • Xiaodong Liu

    (School of Computing, Edinburgh Napier University, Edinburgh EH10 5DT, UK)

  • Guo Wei

    (Department of Mathematics and Computer Science, University of North Carolina at Pembroke, Pembroke, NC 28372, USA)

Abstract

Econometrics and input–output models have been presented to construct a joint model (i.e., an EC + IO model) in the paper, which is characterized by incorporating the uncertainty of the real economy with the detailed departmental classification structure, as well as adding recovery period variables in the joint model to make the model dynamic. By designing and implementing a static model, it is estimated that the indirect economic loss for the transportation sector caused by representative haze pollution of Beijing in 2013 was 23.7 million yuan. The industrial-related indirect losses due to the direct economic losses incurred by haze pollution reached 102 million yuan. With the constructed dynamic model, the cumulative economic losses for the industrial sectors have been calculated for the recovery periods of different durations. The results show that: (1) the longer the period that an industrial department returns to normal output after haze pollution has impacted, the greater the cumulative economic loss will be; (2) when the recovery period is one year, the cumulative economic loss value computed by the dynamic EC + IO model is much smaller than the loss value obtained by the static EC + IO model; (3) the recovery curves of industrial sectors show that the recovery rate at the early stage is fast, while it is slow afterwards. Therefore, the governance work after the occurrence of haze pollution should be launched as soon as possible. This study provides a theoretical basis for evaluating the indirect economic losses of haze pollution and demonstrates the value of popularization and application.

Suggested Citation

  • Jibo Chen & Keyao Chen & Guizhi Wang & Rongrong Chen & Xiaodong Liu & Guo Wei, 2019. "Indirect Economic Impact Incurred by Haze Pollution: An Econometric and Input–Output Joint Model," IJERPH, MDPI, vol. 16(13), pages 1-14, July.
  • Handle: RePEc:gam:jijerp:v:16:y:2019:i:13:p:2328-:d:244866
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/1660-4601/16/13/2328/pdf
    Download Restriction: no

    File URL: https://www.mdpi.com/1660-4601/16/13/2328/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Xianhua Wu & Yingying Wang & Lingjuan Yang & Shunfeng Song & Guo Wei & Ji Guo, 2016. "Impact of political dispute on international trade based on an international trade Inoperability Input-Output Model: A case study of the 2012 Diaoyu Islands Dispute," The Journal of International Trade & Economic Development, Taylor & Francis Journals, vol. 25(1), pages 47-70, February.
    2. Ashkan Masouman & Charles Harvie, 2018. "Regional economic modelling through an embedded econometric–inter-industry framework," Regional Studies, Taylor & Francis Journals, vol. 52(9), pages 1237-1249, September.
    3. Guizhi Wang & Rongrong Chen & Jibo Chen, 2017. "Direct and indirect economic loss assessment of typhoon disasters based on EC and IO joint model," Natural Hazards: Journal of the International Society for the Prevention and Mitigation of Natural Hazards, Springer;International Society for the Prevention and Mitigation of Natural Hazards, vol. 87(3), pages 1751-1764, July.
    4. Jibo Chen & Keyao Chen & Guizhi Wang & Lingyan Wu & Xiaodong Liu & Guo Wei, 2019. "PM 2.5 Pollution and Inhibitory Effects on Industry Development: A Bidirectional Correlation Effect Mechanism," IJERPH, MDPI, vol. 16(7), pages 1-21, March.
    5. Fan Yang & Ling Ding & Cai Liu & Lizheng Xu & Stephen Nicholas & Jian Wang, 2018. "Haze Attitudes and the Willingness to Pay for Haze Improvement: Evidence from Four Cities in Shandong Province, China," IJERPH, MDPI, vol. 15(10), pages 1-15, October.
    6. J. Lelieveld & J. S. Evans & M. Fnais & D. Giannadaki & A. Pozzer, 2015. "The contribution of outdoor air pollution sources to premature mortality on a global scale," Nature, Nature, vol. 525(7569), pages 367-371, September.
    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. Dianyuan Ma & Hui Sun & Xuechao Xia & Yan Zhao, 2022. "The Impact of Government and Public Dual-Subject Environmental Concerns on Urban Haze Pollution: An Empirical Research on 279 Cities in China," Sustainability, MDPI, vol. 14(16), pages 1-21, August.

    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. Lanzi, Elisa & Dellink, Rob & Chateau, Jean, 2018. "The sectoral and regional economic consequences of outdoor air pollution to 2060," Energy Economics, Elsevier, vol. 71(C), pages 89-113.
    2. Héctor Jorquera & Ana María Villalobos, 2020. "Combining Cluster Analysis of Air Pollution and Meteorological Data with Receptor Model Results for Ambient PM 2.5 and PM 10," IJERPH, MDPI, vol. 17(22), pages 1-25, November.
    3. Ellen Banzhaf & Sally Anderson & Gwendoline Grandin & Richard Hardiman & Anne Jensen & Laurence Jones & Julius Knopp & Gregor Levin & Duncan Russel & Wanben Wu & Jun Yang & Marianne Zandersen, 2022. "Urban-Rural Dependencies and Opportunities to Design Nature-Based Solutions for Resilience in Europe and China," Land, MDPI, vol. 11(4), pages 1-25, March.
    4. Rogers Kanee & Precious Ede & Omosivie Maduka & Golden Owhonda & Eric Aigbogun & Khalaf F. Alsharif & Ahmed H. Qasem & Shadi S. Alkhayyat & Gaber El-Saber Batiha, 2021. "Polycyclic Aromatic Hydrocarbon Levels in Wistar Rats Exposed to Ambient Air of Port Harcourt, Nigeria: An Indicator for Tissue Toxicity," IJERPH, MDPI, vol. 18(11), pages 1-21, May.
    5. Hongjun Yu & Jiali Cheng & Shelby Paige Gordon & Ruopeng An & Miao Yu & Xiaodan Chen & Qingli Yue & Jun Qiu, 2018. "Impact of Air Pollution on Sedentary Behavior: A Cohort Study of Freshmen at a University in Beijing, China," IJERPH, MDPI, vol. 15(12), pages 1-12, December.
    6. Anderton Charles H. & Anderton Roxane A., 2021. "The Trade Disruption Hypothesis Fails for State-Sponsored Genocides and Mass Atrocities: Why It Matters," Peace Economics, Peace Science, and Public Policy, De Gruyter, vol. 27(2), pages 143-168, May.
    7. Sowmya Malamardi & Katrina A. Lambert & Attahalli Shivanarayanaprasad Praveena & Mahesh Padukudru Anand & Bircan Erbas, 2022. "Time Trends of Greenspaces, Air Pollution, and Asthma Prevalence among Children and Adolescents in India," IJERPH, MDPI, vol. 19(22), pages 1-17, November.
    8. Malayaranjan Sahoo & Narayan Sethi, 2022. "The dynamic impact of urbanization, structural transformation, and technological innovation on ecological footprint and PM2.5: evidence from newly industrialized countries," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 24(3), pages 4244-4277, March.
    9. Liu, Haoming & Salvo, Alberto, 2017. "Severe Air Pollution and School Absences: Longitudinal Data on Expatriates in North China," IZA Discussion Papers 11134, Institute of Labor Economics (IZA).
    10. Li, Shanjun & Liu, Yanyan & Purevjav, Avralt-Od & Yang, Lin, 2019. "Does subway expansion improve air quality?," Journal of Environmental Economics and Management, Elsevier, vol. 96(C), pages 213-235.
    11. K. K. Shukla & Raju Attada & Aman W. Khan & Prashant Kumar, 2022. "Evaluation of extreme dust storm over the northwest Indo-Gangetic plain using WRF-Chem model," Natural Hazards: Journal of the International Society for the Prevention and Mitigation of Natural Hazards, Springer;International Society for the Prevention and Mitigation of Natural Hazards, vol. 110(3), pages 1887-1910, February.
    12. Shichun Xu & Wenwen Zhang & Qinbin Li & Bin Zhao & Shuxiao Wang & Ruyin Long, 2017. "Decomposition Analysis of the Factors that Influence Energy Related Air Pollutant Emission Changes in China Using the SDA Method," Sustainability, MDPI, vol. 9(10), pages 1-18, September.
    13. Bedoya-Maya, Felipe & Calatayud, Agustina & González Mejia, Vileydy, 2022. "Estimating the effect of urban road congestion on air quality in Latin America," IDB Publications (Working Papers) 12468, Inter-American Development Bank.
    14. Ling-Yun He & Xiao-Feng Qi, 2021. "Environmental Courts, Environment and Employment: Evidence from China," Sustainability, MDPI, vol. 13(11), pages 1-16, June.
    15. Wang, Qiang & Kwan, Mei-Po & Zhou, Kan & Fan, Jie & Wang, Yafei & Zhan, Dongsheng, 2019. "Impacts of residential energy consumption on the health burden of household air pollution: Evidence from 135 countries," Energy Policy, Elsevier, vol. 128(C), pages 284-295.
    16. Weicong Fu & Qunyue Liu & Cecil Konijnendijk van den Bosch & Ziru Chen & Zhipeng Zhu & Jinda Qi & Mo Wang & Emily Dang & Jianwen Dong, 2018. "Long-Term Atmospheric Visibility Trends and Their Relations to Socioeconomic Factors in Xiamen City, China," IJERPH, MDPI, vol. 15(10), pages 1-16, October.
    17. Calvo, Rubén & Álamos, Nicolás & Huneeus, Nicolás & O'Ryan, Raúl, 2022. "Energy poverty effects on policy-based PM2.5 emissions mitigation in southern and central Chile," Energy Policy, Elsevier, vol. 161(C).
    18. Carl-Friedrich Schleussner & Joeri Rogelj & Michiel Schaeffer & Tabea Lissner & Rachel Licker & Erich M. Fischer & Reto Knutti & Anders Levermann & Katja Frieler & William Hare, 2016. "Science and policy characteristics of the Paris Agreement temperature goal," Nature Climate Change, Nature, vol. 6(9), pages 827-835, September.
    19. Shen Zhao & Yong Xu, 2019. "Exploring the Spatial Variation Characteristics and Influencing Factors of PM 2.5 Pollution in China: Evidence from 289 Chinese Cities," Sustainability, MDPI, vol. 11(17), pages 1-17, August.
    20. Robert Böhm & Özgür Gürerk & Thomas Lauer, 2020. "Nudging Climate Change Mitigation: A Laboratory Experiment with Inter-Generational Public Goods," Games, MDPI, vol. 11(4), pages 1-20, October.

    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:gam:jijerp:v:16:y:2019:i:13:p:2328-:d:244866. 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: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.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.