Disproportionate Environmental Risks: An Analysis of Chemical Facilities and Accidents in the U.S

Karlee Cook, Dennis Guignet, Robin R. Jenkins and Margaret Sugg

No 26-04, Working Papers from Department of Economics, Appalachian State University

Abstract: A key objective of the environmental justice movement is to identify and address situations where environmental risks and harms are shouldered disproportionately by historically underserved populations, often based on race, ethnicity, and low-income status. This study examines a unique dataset of chemical facilities that use extremely hazardous substances and subsequent chemical accidents involving fires, explosions, and/or toxic vapors. Using nationwide data on the U.S. Environmental Protection AgencyÕs Risk Management Plan (RMP) program, we examine the proportions of underserved populations living near these facilities both before and after a chemical accident. We find that the proportions of residents who are Black, Hispanic, Asian, and living in poverty are substantially greater in communities near these facilities. Such inequities are exacerbated after a chemical accident occurs, with the results suggesting that the proportion of Black individuals in these fenceline communities is almost triple that compared to the rest of the U.S.; and the proportion of households living in poverty is over 45% higher. Key Words: accident, chemical, environmental justice, equity, toxic, Risk Management Plan, RMP

JEL-codes: D63 Q53 Q56 (search for similar items in EconPapers)
Date: 2026
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Persistent link: https://EconPapers.repec.org/RePEc:apl:wpaper:26-04

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