Measuring environmental inequality from air pollution and health conditions

ABSTRACT

This paper uses panel regression to examine the adverse health effects of fine particles moderated by household income. To identify the causal effect, we employ data from two sources, Korea Health Panel and AirKorea, during the period between 2014 and 2015. We first find that the negative effect of bad air quality is statistically significant for most income groups. Second, this adverse effect of air pollution is moderated by household income levels. This indicates that high-income families are more likely to decrease exposure to bad environmental conditions. This finding suggests that government action needs to consider environmental inequalities among social classes.

KEYWORDS:

• Air pollution
• environmental Inequality
• health
• panel regression

JEL CLASSIFICATION:

• I18
• K32

Disclosure statement

No potential conflict of interest was reported by the authors.

Notes

¹ We assume that other control variables are fixed at sample means and random effects $u_i$= 0.