Abstract

Environmental pollution in the era of sustained economic development is an inevitable occurrence. However, the rising levels of pollutant emissions hamper air quality, hence, affecting health outcomes. Previous studies have assessed the case-by-case effect of ambient air pollution on mortality and morbidity, however, the impact on disability-adjusted life years (DALYs) and welfare cost have not been investigated entirely. Here, we conduct an empirical analysis of the 28-Year trend to analyze the nexus between ambient particulate matter and ozone, mortality, DALYs, and welfare cost across 195 countries and territories by employing novel dynamic panel estimation methods. We find that none of the 195 countries and territories studied between 1990 and 2017 meet WHO guideline for air quality, thus, mitigating ambient air pollution is at risk. However, Spain with an annual average of PM2.5 not exceeding 15.12 μg/m3 is closer to WHO guideline of 10 μg/m3/annum. Among the countries (China, the US, Russia, India, Germany and Japan) with the highest welfare cost of premature death associated with the exposure to outdoor PM2.5 and ozone, China is the most vulnerable to economic burden – spending US$1.58 trillion (constant 2010) in 2017. This study demonstrates that ambient air pollution has a significant impact on economic development (welfare cost) and health outcomes (mortality, premature deaths, and DALYs).

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