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The Review of Economics and Statistics Vol. 106 No. 3 2024

Canary in a Coal Mine: Infant Mortality and Tradeoffs Associated with Mid-20th Century Air Pollution

Karen Clay1; Joshua R. Lewis2; Edson Severnini3

1 Carnegie Mellon University and NBER · 2 University of Montréal · 3 Carnegie Mellon, IZA and NBER

Abstract

This paper examines the health tradeoffs associated with the historical expansion in coal-fired electricity generation in the United States. We combine newly digitized data on all major coal-fired power plants for the period 1938–1962 with two complementary difference-in-differences strategies. Coal-fired plants imposed large negative health externalities that were partially offset by the benefits of local electricity generation. The health impacts varied widely according to initial electricity access and evolved as the stock of generating capacity expanded over the sample period. These findings highlight the importance of accounting for both current and future payoffs when designing environmental regulation.

DOI
10.1162/rest_a_01218
Volume
106
Issue
3
Pages
698-711
Language
en
Sources
bibtex:phds-export.bib openalex crossref

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