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Preserving health, protecting economies: Mitigating the impact of forest fires on healthcare expenditure and environmental sustainability

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  • Laxita Soontha
  • Mohammad Younus Bhat

Abstract

Forest fires release harmful pollutants, endangering public health and incurring substantial healthcare costs. This study empirically investigates the environment‐health‐economy relationship, utilizing a robust MM‐QR approach. Findings divulge that economic growth, urbanization, and tourism drive healthcare expenditure, while environmental factors like forest fires, resource depletion, species extinction, and environmental policy stringency also increase health spending. Conversely, renewable energy consumption lowers healthcare costs, while coal extraction raises them. Empirical estimates reveal that 1% increase in forest fires raises health spending by 0.03%−0.08%, socioeconomic indicators by 0.01%−1.07%, and environmental factors by 0.03%−3.74%. Conversely, a 1% rise in renewable energy usage cuts healthcare expenses by 0.06%−0.19%. This study underscores the urgency of addressing environmental degradation, especially forest fires, to mitigate their impacts on human well‐being.

Suggested Citation

  • Laxita Soontha & Mohammad Younus Bhat, 2024. "Preserving health, protecting economies: Mitigating the impact of forest fires on healthcare expenditure and environmental sustainability," Sustainable Development, John Wiley & Sons, Ltd., vol. 32(3), pages 2066-2084, June.
    • Handle: RePEc:wly:sustdv:v:32:y:2024:i:3:p:2066-2084
    DOI: 10.1002/sd.2764
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