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Mines: The local wealth and health effects of mineral mining in developing countries

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  • von der Goltz, Jan
  • Barnwal, Prabhat

Abstract

We assess health and wealth impacts of mineral mining using micro-data from about 800 mines in 44 developing countries. Gains in asset wealth (0.3 standard deviations) coexist with a higher incidence of health conditions linked to heavy metal toxicity: anemia among women (ten percentage points), and stunting in young children (five percentage points). Consistent results emerge from a range of distinct identification strategies. Two difference-in-difference tests exploit information on mineral and pollutant characteristics to show that the observed health effects are due to pollution: impacts arise only near mines where metal contamination is to be expected, and the recovery of blood hemoglobin levels in women after childbirth shows a characteristic signature of lead toxicity. Our results add to the nascent literature on health-wealth tradeoffs near industrial operations in developing countries.

Suggested Citation

  • von der Goltz, Jan & Barnwal, Prabhat, 2019. "Mines: The local wealth and health effects of mineral mining in developing countries," Journal of Development Economics, Elsevier, vol. 139(C), pages 1-16.
    • Handle: RePEc:eee:deveco:v:139:y:2019:i:c:p:1-16
    DOI: 10.1016/j.jdeveco.2018.05.005
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    More about this item

    Keywords

    Mining; Health; Development;
    All these keywords.

    JEL classification:

    • I15 - Health, Education, and Welfare - - Health - - - Health and Economic Development
    • O13 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Agriculture; Natural Resources; Environment; Other Primary Products
    • Q53 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Air Pollution; Water Pollution; Noise; Hazardous Waste; Solid Waste; Recycling
    • Q56 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environment and Development; Environment and Trade; Sustainability; Environmental Accounts and Accounting; Environmental Equity; Population Growth

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