Pollution, health and inequality: escape from the environment-health-poverty trap

QI Yu1 LU Hongyou 2

(1.College of Finance and Taxation in Zhongnan University of Economics and Law )
(2.Department of Finance, College of Economic and Management in Wuhan University)

【Abstract】An overlapping generations model was constructed in this study to explore the relationship among environment, health and inequality. Then the Chinese General Social Survey (CGSS) data (2006) about individuals’ features and data of city-level pollution were used in a hierarchical generalized linear model and it was found that pollution is an important transmission mechanism influencing health inequality. Since people with different socioeconomic status vary in the ability of avoiding environmental risks, differentiated exposure levels and health effects caused by environment pollution will become a new source triggering health and social inequality. Hence this study adopted the epidemiological method calculating the health burden of pollution to estimate the health and economic burdens of air pollution and their regional distribution as well as contribution to inter-regional inequality in 112 major cities in China from 2003 to 2010. The results show that the more backward the economy, the heavier the pollution’s health and economic burdens. Moreover, a clear regressive distribution was found. In addition, it was also found that pollution’s health burdens caused an increase of 1.33% to 9.919% in inter-regional real economic inequality. Using simultaneous equations and the panel data from 1998 to 2011, this study further verified and explained that pollution could influence intra-regional and urban-rural inequality through affecting health. Given pollution’s close connection with poverty and the grim pollution situation, China should be alert to the environment-health-poverty trap in the process of industrialization and urbanization.

【Keywords】 environmental quality ; citizens’ health; inequality; the environment-health-poverty trap ;

【DOI】

【Funds】 Supported by National Social Science Foundation (11&ZD041) Project of the Young Scholar Award of the Education Ministry for Doctoral Candidates (505201205001)

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    Footnote

    [1]. 1Including the reports of the 18th National Congress of the Communist Party of China, the Twelfth Five-Year Plan for national environment protection, speech made by President Xi Jinping during the collective learning of ecological civilization health arranged by the Political Bureau of the Central Committee, etc. [^Back]

    [2]. 2"Incidence of environment group events in China in recent years increasing with an average annual 29% ", http://money.163.com/12/1027/02/8EPP4IHP00253B0H.html [^Back]

    [3]. 3http://news.xinhuanet.com/yzyd/health/20130402/c_115245288.htm [^Back]

    [4]. 4UN’s 2013 Human Development Report warns that if no emergency measures are taken to deal with environment threats, the number of people under extreme poverty will increase to 3 billion until 2050. http://env.people.com.cn/n/2013/0321/c1010-20870996.html [^Back]

    [5]. 5Duraiappah (1998) had made detailed comments on the relationship between poverty and environment deterioration in early days. [^Back]

    [6]. 6The main reason is that when there is only a small number of sample individuals at level 2, the regression estimation based on these samples is unstable. For example, there are only several sample individuals in one region while there are abundant samples in other regions. Under such a situation, the estimation conducted based on those two types of samples will be comprehensively weighted, getting a final estimation in the hierarchical linear model. At the two levels, two types of estimations will be carried out: one is OLS (Ordinary Least Square) at level 1, which is more adopted when the sample number is larger; the other is the WLS (Weighted Least Square) at level 2 or between regions, which is more relied on when the sample number is small. [^Back]

    [7]. 7Announcement of the State Council of China on printing and distributing the National Twelfth Five-Year plan of environment protection, http://www.gov.cn/zwgk/2011-12/20/content_2024895.htm [^Back]

    [8]. 8PM10, SO2 and NO2 are current important pollutants recognized by WHO and each country, see WHO Air Quality Guidelines for Particulate Matter, Ozone, Nitrogen Dioxide and Sulfur Dioxide (Global Update 2005), Ambient Air Quality Standard in People's Republic of China (GB 3095-2012). [^Back]

    [9]. 9Meta-analysis is a statistic method to analyze and summarize collected research materials, which hence offers quantitative average effects to study exposure-response function (Aunan & Pan, 2004). [^Back]

    [10]. 10In cohort studies, sample individuals will be divided into different sub-groups according to their exposure degrees to pollution and their activities and situation will be traced until final results are acquired. Then, the frequency differences between sub-groups will be compared in order to investigate whether exposure factors have casual relations with health results and the degree of the correlation. [^Back]

    [11]. 11Values of β are 0.0012 (cough), 0.0048 (bronchitis (acute)), 0.001882 (asthma) and 0.0003668 (emergency cases). [^Back]

    [12]. 12In western developed countries, methods similar to WTP and VSL are adopted to conduct evaluation. [^Back]

    [13]. 13According to 2011 Statistical Bulletin of National Health and Family Planning, the proportion of personal health expenditure in total national health expenditure kept falling from 2008 to 2011 but the proportion was still as high as 34.8%. Government health expenditure only accounted for 30.7% and social one was 34.6%. In the 2012 Statistical Bulletin of National Health and Family Planning, the proportion of personal one was 33.4%, which is still very high. [^Back]

    [14]. 14Details see annually published air quality data of main cities. [^Back]

    [15]. 15Li Keqiang: Basic Environmental quality, the Public Service Shall Guaranteed By Government, http://www.chinanews.com/gn/2011/12-21/3546661.shtml [^Back]

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ISSN:1002-5502

CN: 11-1235/F

Vol , No. 09, Pages 32-51

September 2015

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Abstract

  • 1 Introduction
  • 2 Literature review and theoretical analysis
  • 3 Environmental pollution, socioeconomic status and health inequality
  • 4 Evaluation of health damage caused by the environment and inter-regional inequality: 2003–2010
  • 5 Health burdens and intra-regional inequality (between rural and urban areas)
  • 6 Further discussion
  • 7 Basic conclusion
  • Footnote

    References