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Make Sure the Kids are OK: Indirect Effects of Ground-Level Ozone on Well-Being

Julia Rechlitz, Luis Sarmiento and Aleksandar Zaklan

No 1877, Discussion Papers of DIW Berlin from DIW Berlin, German Institute for Economic Research

Abstract: This paper uses a panel of German individuals and highly granular pollution data to test if air pollution affects adults’ well-being indirectly through the health of their children. Results show that ozone decreases the well-being of individuals with children while not affecting persons without kids. We confirm the same effect for fine particulate matter and sulfur dioxide. Concerning the mechanism, we find that above-median earners drive this effect and that ozone causes losses in workdays to care for a sick child, providing evidence on the children’s health channel to adults’ welfare losses.

Keywords: Air pollution; ozone; well-being; subjective health; children’s health; parental in- vestments (search for similar items in EconPapers)
JEL-codes: Q53 I31 I18 J22 (search for similar items in EconPapers)
Pages: 32 p.
Date: 2020
New Economics Papers: this item is included in nep-ene, nep-env, nep-eur, nep-hap, nep-hea and nep-lma
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Handle: RePEc:diw:diwwpp:dp1877