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When Particulate Matter Strikes Cities: Social Disparities and Health Costs of Air Pollution

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Abstract

We investigate the heterogeneous effects of daily particular matter (PM) pollution on Italian hospitalizations and their costs. We exploit public transportation strikes as plausibly-exogenous shocks in PM. We find that young individuals, an arguably healthy age group, exhibit economically meaningful responses to changes in air pollution. A higher prevalence of pollution-induced hospitalizations also exists among the elderly, low educated individuals and migrants coming from low income countries. Our results imply a large role for differential avoidance behavior driving heterogeneous marginal effects. PM exposure also affects the intensive margin since pollution-induced hospitalizations are not only more frequent but they are characterized by a higher complexity, generating additional costs.

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  • Matilde Giaccherini & Joanna Kopinska & Alessandro Palma, 2019. "When Particulate Matter Strikes Cities: Social Disparities and Health Costs of Air Pollution," CEIS Research Paper 467, Tor Vergata University, CEIS, revised 04 Aug 2020.
  • Handle: RePEc:rtv:ceisrp:467
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    Cited by:

    1. Brown, Jason P. & Tousey, Colton, 2020. "Death of Coal and Breath of Life: The Effect of Power Plant Closure on Local Air Quality," 2020 Annual Meeting, July 26-28, Kansas City, Missouri 304182, Agricultural and Applied Economics Association.
    2. Krekel, Christian & Rode, Johannes & Roth, Alexander, 2023. "Do Wind Turbines Have Adverse Health Impacts?," IZA Discussion Papers 16505, Institute of Labor Economics (IZA).
    3. Edoardo Porto & Joanna Kopinska & Alessandro Palma, 2021. "Labor market effects of dirty air. Evidence from administrative data," Economia Politica: Journal of Analytical and Institutional Economics, Springer;Fondazione Edison, vol. 38(3), pages 887-921, October.
    4. Martin Hensher, 2023. "Climate change, health and sustainable healthcare: The role of health economics," Health Economics, John Wiley & Sons, Ltd., vol. 32(5), pages 985-992, May.
    5. Mengna Luan & Zhigang Tao & Hongjie Yuan, 2023. "Alive but not well: The neglected cost of air pollution," Health Economics, John Wiley & Sons, Ltd., vol. 32(11), pages 2535-2567, November.
    6. Bagilet, Vincent & Zabrocki-Hallak, Léo, 2022. "Why Some Acute Health Effects of Air Pollution Could Be Inflated," I4R Discussion Paper Series 11, The Institute for Replication (I4R).
    7. Liu, Ziheng & Chen, Xi & Lu, Qinan, 2023. "Blowin' in the Wind of an Invisible Killer: Long-Term Exposure to Ozone and Respiratory Mortality in the United States," IZA Discussion Papers 15981, Institute of Labor Economics (IZA).
    8. Gabriele Curci & Domenico Depalo & Alessandro Palma, 2023. "The Dirtier You Breathe, The Less Safe You Are. The Effect of Air Pollution on Work Accidents," CEIS Research Paper 554, Tor Vergata University, CEIS, revised 24 May 2023.
    9. Singh, Tejendra Pratap, 2022. "Beyond The Haze: Air Pollution and Student Absenteeism - Evidence from India," OSF Preprints pcva2, Center for Open Science.

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    More about this item

    Keywords

    health effects of air pollution; public transportation strikes; hospitalization costs; environmental inequality;
    All these keywords.

    JEL classification:

    • I14 - Health, Education, and Welfare - - Health - - - Health and Inequality
    • Q53 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Air Pollution; Water Pollution; Noise; Hazardous Waste; Solid Waste; Recycling
    • R41 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Transportation Economics - - - Transportation: Demand, Supply, and Congestion; Travel Time; Safety and Accidents; Transportation Noise

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