The Hidden Cost of Pollution

Everyone knows that pollution is bad. But new economics research now shows it’s even worse than we thought-pollution is making us sick and stupid!
Professor Alex Tabarrok overviews recent research that examines how pollution negatively affects employment, IQ, productivity, and health.
This also means that driving pollution down has even more benefits than we previously thought.
**PAPERS REFERENCED IN VIDEO**
Traffic Congestion and Infant Health: Evidence from E-ZPass: www.aeaweb.org/articles?id=10...
The Impact of Indoor Climate on Human Cognition: Evidence from Chess Tournaments: conference.iza.org/conference_... (PDF download)
The Effect of Pollution on Worker Productivity: Evidence from Call-Center Workers in China: www.nber.org/papers/w22328
Air Quality and Error Quantity: Pollution and Performance in a High-Skilled, Quality-Focused Occupation: www.journals.uchicago.edu/doi...
**INSTRUCTOR RESOURCES**
EconInbox: bit.ly/2VugGm5
High school teacher resources: bit.ly/3bcftqb
Professor resources: bit.ly/2XFdc2O
**MORE LEARNING**
Try out our practice questions: bit.ly/2yfk8cg
More on externalities: bit.ly/3ahJCmP
See more Everyday Economics: bit.ly/2VBd1Tk
More from Marginal Revolution University: bit.ly/2VqyQFi

[@jvb5590]

Very happy to see this channel uploading more animation-based videos. Keep it up!

[@BusinessMadhouse]

Awesome video! Been following you since the very beginning. I was inspired to start my own channel

[@shivamfamily1-ray400]

Great stuff

[@ShivamFamily-]

Subbed

[@sanketbajaj1317]

amazing

[@sanbajaj]

great

[@sanketbajaj4641]

amazing

[@MarginalRevolutionUniversity]

This video is from our Everyday Economics series, which relates the big ideas from economics to everyday life. Full series: bit.ly/2xyYgIT Practice questions: bit.ly/2KbgWks Learn more about externalities: bit.ly/3ahLifY High school teacher resources: bit.ly/2xzNRwq Professor resources: bit.ly/3bdgA94

[@tiendoan1333]

Economists have known about the cost of pollution for a long time. The biggest debate is how and whether one should integrate the cost into a market system, or whether we should approach the problem with central planning

[@toomanymarys7355]

Market. Central planning always has massive externalities.

[@lucymott1736]

Very interesting! Nice video, gives me lots to think about.

[@realFriedrichHayek]

Fascinating research!

[@hadikhan6917]

Please continue this

[@lindeltownsley6932]

I am puzzled by the charts at 3:55. The red line makes sense. Poorer outcomes near the pollution source, but improving and then flat at 'normal' after 1 - 1.5 km. But, after EZ Pass the green line shows outcomes near the toll booth did not just improve to "normal" but literally plunged right next to the toll, then rose sharply until meeting the "normal" at the 1-1.5 km distance. EZ Pass somehow made living very near the toll booth EXTREMELY beneficial ?? People would be vying to move CLOSER to it to ensure their children would benefit ? What am I missing?

[@tinyleopard6741]

@lindeltownsley6932 Maybe it'll be easier if we look at the paper. Sometimes there's an actual effect, and sometimes there are modeling artifacts, and of course there can be other variables at play.

[@hamarikahanivlogs4238]

# love from india..love your videos..please make a video on populism and populist schemes

[@mukundnagarajanrao3034]

awesome video

[@ankitbishnoi]

Please continue the Globalisation series!

[@MarginalRevolutionUniversity]

We're working on it! Thanks for the feedback. -Roman

[@hadikhan6917]

@@MarginalRevolutionUniversity Sir please tell me about another channel of your university for CMA students just like Business Communication and Report Writing etc......

[@Brandon_letsgo]

@@MarginalRevolutionUniversity The US itself reduced pollution. Just ask anyone that lived in the 60s and 70s how bad pollution was back then.

[@foobargorch]

doesn't more pollution only mean more GDP if GDP is doesn't count cleaning up pollution as productivity, which it currently does?

[@hadikhan6917]

Awesome

[@thomasvansant6246]

I understand the toll booth, but is what are the effects of different kinds of pollution? Air vs Water?

[@merryn9000]

this is all about air pollution

[@toomanymarys7355]

Depends on what kinds. What an odd question. Some pollution could kill you immediately!

[@RitikRai-kc4oc]

Why is it then that India is having highest growth rate in GDP? Does that mean pollution is getting less?

[@toomanymarys7355]

No.

[@pknomics8085]

visit 'pknomics' for economics lessons..both english and hindi explanations

[@vanivanov9571]

3:50 ...What the heck is with these charts? So the chance of low birth weight went UP after EZ Pass, for people who were "1.5" distance from the toll booths? Did you do something funny with your locally weighted regression model? Because it's very easy to play with statistics to make them say what you want.

[@JS-qy6cl]

May be the controlled group is affected by other factors far from new toll booths .So they faces a stagnant decline in low infant weights and premature birth

[@linus284]

I wouldn’t call the US a “low pollution society“ but besides that it’s a good video.

[@admiralnelson7338]

compared to some places it is

[@toomanymarys7355]

It literally is.

[@samadams84]

Should we stop farting?