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Pollution exposure and social conflicts: Evidence from China's daily data

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  • Li, Jianglong
  • Meng, Guanfei

Abstract

Recent evidence suggests that exposure to air pollution adversely impacts health outcomes, cognitive function, and labor productivity, however, less is known about the effect of air pollution exposure on social conflicts. Using daily air pollution, we study the effect of exposure to air pollution on social conflicts. For identification strategies, we estimate models with high-dimensional fixed effects and two instrumental variables using atmospheric inversions and wind patterns as exogenous shocks to local pollution. Our findings suggest a positive impact of air pollution on social conflicts, and the magnitude is larger with more severe pollution exposure. Moreover, the significant differences exist between social conflicts occurring in different workplaces, and those occurring at development levels, both of which are related to the extent of pollution exposure. Finally, taking lottery sales as a proxy for risk preference to investigate the potential mechanisms, we show that the increased social conflicts alone with pollution exposure may be attributed to the rising risk preference. This provides indirect support for a plausible channel through which air pollution results in behavioral and social outcomes. The results are robust to alternative specifications and placebos. The findings suggest that reducing air pollution gains the unintended consequence of preventing social conflicts.

Suggested Citation

  • Li, Jianglong & Meng, Guanfei, 2023. "Pollution exposure and social conflicts: Evidence from China's daily data," Journal of Environmental Economics and Management, Elsevier, vol. 121(C).
    • Handle: RePEc:eee:jeeman:v:121:y:2023:i:c:s0095069623000888
    DOI: 10.1016/j.jeem.2023.102870
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    References listed on IDEAS

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    1. Deschenes, Olivier & Wang, Huixia & Wang, Si & Zhang, Peng, 2020. "The effect of air pollution on body weight and obesity: Evidence from China," Journal of Development Economics, Elsevier, vol. 145(C).
    2. Matteo Cervellati & Uwe Sunde & Simona Valmori, 2017. "Pathogens, Weather Shocks and Civil Conflicts," Economic Journal, Royal Economic Society, vol. 127(607), pages 2581-2616, December.
    3. Shihe Fu & V Brian Viard & Peng Zhang, 2021. "Air Pollution and Manufacturing Firm Productivity: Nationwide Estimates for China [Management and shocks to worker productivity]," The Economic Journal, Royal Economic Society, vol. 131(640), pages 3241-3273.
    4. Li, Pei & Lu, Yi & Wang, Jin, 2016. "Does flattening government improve economic performance? Evidence from China," Journal of Development Economics, Elsevier, vol. 123(C), pages 18-37.
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    2. Dang, Hai-Anh H. & Do, Minh N. N. & Cuong Viet Nguyen, 2024. "The impacts of climate change and air pollution on children's education outcomes: Evidence from Vietnam," GLO Discussion Paper Series 1464, Global Labor Organization (GLO).
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    4. Sandra Aguilar-Gomez & Nathaly M. Rivera, 2024. "Air Pollution in the Global South: An Overview of Its Sources and Impacts," Working Papers wp561, University of Chile, Department of Economics.
    5. Ai, Hongshan & Tan, Xiaoqing & Zhou, Shengwen & Zhou, Yuhan & Xing, Hongye, 2023. "The impact of environmental regulation on carbon emissions: Evidence from China," Economic Analysis and Policy, Elsevier, vol. 80(C), pages 1067-1079.

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