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Impact of air pollution on health status and medical expenditure: A panel data assessment in Korea

서병선|Hyungsun Yim
경제연구소 (Hanyang Economic Research Institute)|2023.05|Journal of Economic Research (JER)|제28권 제1호|pp. 63-93|DOI 10.17256/jer.2023.28.1.004

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키워드

HealthAir pollutionPanel dataMedical expenditureSatellite-based dataSimultaneity
주제분류경제학

초록

This study explores the impact of air quality pollution on health status and household medical expenditure using the individual level panel data for the period 2003~2016. Specifically, we provide an assessment on the effect of particulate matter (PM2.5) on medical expenditure through health status deterioration. By combining the satellite-based air pollution (PM2.5) data with the panel data of Korean Labor and Income Panel Study (KLIPS), we first investigate the relationship between air pollution (PM2.5) and individually perceived health status using the panel ordered logit model. We include individual life-style variables as well as other individual and job characteristics based on the Grossman health demand model. We then estimate the effect of air pollution and health status on medical expenditure using the panel data model with fixed effects. Furthermore, we provide empirical results using the two stage least squares estimator to account for simultaneity of health status and medical expenditure. Our results indicate that the impacts of air quality pollution on health status and medical expenditures are substantial and the evidence strengthens as we allow for simultaneity of health status and medical expenditure.

Abstract

This study explores the impact of air quality pollution on health status and household medical expenditure using the individual level panel data for the period 2003~2016. Specifically, we provide an assessment on the effect of particulate matter (PM2.5) on medical expenditure through health status deterioration. By combining the satellite-based air pollution (PM2.5) data with the panel data of Korean Labor and Income Panel Study (KLIPS), we first investigate the relationship between air pollution (PM2.5) and individually perceived health status using the panel ordered logit model. We include individual life-style variables as well as other individual and job characteristics based on the Grossman health demand model. We then estimate the effect of air pollution and health status on medical expenditure using the panel data model with fixed effects. Furthermore, we provide empirical results using the two stage least squares estimator to account for simultaneity of health status and medical expenditure. Our results indicate that the impacts of air quality pollution on health status and medical expenditures are substantial and the evidence strengthens as we allow for simultaneity of health status and medical expenditure.

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관련 논문AI추천

Impacts of Ambient Air Pollution on Health Risk in Korea: A Spatial Panel Model Assessment서병선, 임형선, 조성훈한국계량경제학회 · 계량경제학보2021 · 제32권 제1호대기오염의 보건효과 추정 및 의료비 추계민인식, 유혜림한국보건경제정책학회 · 보건경제와 정책연구2018 · 제24권 제2호Spatial Panel Analysis of Ambient Air Pollution in Korea서병선, 임형선한국경제학회 · The Korean Economic Review2024 · 제40권 제2호Analysis on Socio-cultural Aspect of Willingness to Pay for Air Quality (PM10, PM2.5) Improvement in Seoul김재완, 이동근, 이태동, 정태용한국환경영향평가학회 · 환경영향평가2019 · 제28권 제2호미세먼지는 경기도민의 행복에 부정적 영향을미치는가?김단야, 진장익재단법인 경기연구원 · GRI연구논총2017 · 제19권 제3호Cross-Border Spillover Effect of Particulate Matter Pollution between China and Korea박혜민, 오형나, 임원혁한국경제학회 · The Korean Economic Review2020 · 제36권 제1호

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