Impact of Air Pollution on the Environment and Economy

Abstract

This book with 12 chapters aims to provide a broad overview of the issues surrounding air pollution and how to control and monitor pollution levels. Beginning with a brief background on the subject, the book moves on to discuss global emissions, with an emphasis on megacities and their effects. Possible pollution control measures and methods of air pollution measurement and modelling are also explored. The book ends with descriptions of the various indices used for assessing air quality with a focus on human health impacts, and a discussion on policy making to control air pollution. The book will be useful to students of environmental science and atmospheric science, as well as environmental consultants and researchers interested in air quality.

Full text

© CAB International 2019. Air Pollution: Sources, Impacts and Controls
(eds P. Saxena and V. Naik) 113
Abstract
Air pollution is a growing concern from social, economic and ecological dimensions of society. This chapter
focuses on air pollution effects on the environment and on the economy. Several energy-utilizing anthropogenic
activities emit large amounts of toxic gases and particulate matter into the environment. Through several at-
mospheric processes these pollutants create very critical environmental problems such as acid rain, eutrophica-
tion, and global climate change. Acid rain has a variety of environmental impacts due to the presence of nitro-
gen and sulfur in it. It leaches nutrients from soil and adversely affects trees, sh and wildlife, along with building
materials. Different ranges of pH may affect a variety of species in the aquatic ecosystem. Haze is one of the
signicant factors and a result of air pollution, especially in megacities. Haze is responsible for visibility deg-
radation in both developed and developing countries. Apart from visibility reduction, it also creates cloud for-
mation by forming cloud condensation nuclei (CCN). Emissions from thermal power plants and vehicles also
contribute to a large amount of nitrogen oxides entering the aquatic ecosystem, which ultimately cause eu-
trophication in lakes. The depletion of stratospheric ozone allows harmful solar radiation to reach the Earth’s
surface, which causes a variety of diseases in plants, animals and human beings. In contrast to stratospheric
ozone, ground level ozone has harmful effects on living creatures due to its toxic nature. Ground level ozone
can have adverse impacts on human health even at very low levels in the atmosphere. Global climate change
is also linked to the increasing level of air pollutants, especially greenhouse gases (GHGs). Due to the increas-
ing anthropogenic activities necessary to full today’s energy requirements, a large amount of GHGs are emit-
ted into the atmosphere and are causing a several fold rise in global annual temperature. This chapter tries to
understand how air pollution is affecting global economic growth and the environment. Pollution may cause
direct pressure on economies through increased numbers of deaths due to respiratory disorders or cardiovas-
cular diseases, installation of pollution-control technologies to reduce deaths, management of degraded eco-
systems and carving out conservation strategies for pollution threatened species. It can also affect economic
7 Impact of Air Pollution on the
Environment and Economy
Saurabh Sonwani and Vandana Maurya*
Jawaharlal Nehru University, New Delhi, India
* Corresponding author: maurya.vandana09@gmail.com
It is the predicament of mankind that man can perceive the problematique, yet, despite his considerable
knowledge and skills, he does not understand the origins, signicance, and interrelationships of its many
components and thus is unable to devise effective responses. This failure occurs in large part because we
continue to examine single items in the problematique without understanding that the whole is more than
the sum of its parts, that change in one element means change in the others.
(Meadows et al., 1972)
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114 S. Sonwani and V. Maurya
7.1 Introduction
The relationship between environmental deg-
radation and economic growth is a hugely debated
topic in academic and policy-making circles.
‘With the present growth trends of world pollu-
tion, resource depletion, industrialization, and
population, limits to growth of this planet will be
reached in the next hundred years’ (Meadows
et al., 1972). Air quality is getting worse, espe-
cially in Asian countries, as population, trafc, in-
dustrialization and energy use increase rapidly,
and this is placing a huge burden on econom ies in
terms of deteriorating health, degraded ecosys-
tems, biodiversity loss, and increased mortalities
and morbidities. Air pollution may be dened as
an ‘atmospheric condition in which substances
are present at concentrations higher than their
normal ambient levels to produce signicant ef-
fects on humans, animals, vegetation or mater-
ials’ (Seinfeld, 1986). These substances include
gases such as oxides of sulfur and nitrogen, car-
bon monoxides, hydrocarbons; particulate mat-
ter such as smoke, dust, fumes and radioactive
materials. Urbanization is a signicant factor in
the increase in air pollution in many cities in
Asia, Africa, the Near East and Latin America
(Ashmore, 2005). In 1960, less than 22% of the
developing world’s population was urban, and
the increment reached 34% by 1990. As per ex-
trapolations, population is expected to increase
by 50% in urban areas by 2020 (Satterthwaite,
2009). The uncontrolled use of fossil fuels in in-
dustries and transport sectors has also become
the dominant source of gaseous pollutants such
as SO2, NOx, VOCs, and also particulate matter.
The sources of air pollution can be natural as
well as anthropogenic: natural sources are forest
res, emissions from trees, lightning, volcanic
eruptions, erosion of surfaces of rocks/min-
erals/buildings; while anthropogenic sources
mainly comprise biomass burning, transporta-
tion, vehicular emissions, industrial activities
and mining (Chandrappa and Kulshrestha,
2016). Air pollution may affect living (plants,
animals and human beings) as well as non-living
syste ms (mater ials and buildings). In the past, air
pollution was considered to be a local problem
with a large number of point sources, but due to
the application of tall industrial chimneys and
long-range transport of pollutants, it has be-
come a regional problem. Remote areas also re-
ported high concentrations of pollutants due to
the trans-boundary nature of pollutants. Due to
rapid industrialization, population growth and
increasing numbers of motor vehicles, there is
an adverse effect on the environment, espe-
cially in the Asian region. Apart from the trad-
itional pollutants, black carbon (BC), another
kind of pollutant found and associated with
particulate matter, has the capacity to absorb
solar radiation and can also decrease reection
of sunlight on snow/ice (Waliser et al., 2011;
Hadley and Kirchstetter, 2012). Air pollution
represents the biggest environmental risk to the
health of living organisms and poses a huge
cost to economies. The costs of air pollution not
only includes mortalities but also morbidities
and the shortening of life expectancy. Other
costs include the impact of air pollution on the
built environment, animals and plant health,
agriculture, biodiversity and ecosystems. The
focus of this chapter is to discuss conventional
air pollution and its adverse impacts on the en-
vironment and economy.
7.2 Sources of Air Pollution
The sources of air pollution are numerous and
can be divided into two categories: (i) natural;
and (ii) anthropogenic.
growth indirectly by increasing morbidities, reducing labour working days and productivity. The World Health
Organization reported that 12.6 million deaths per year were found to be linked with environmental pollution
(WHO, 2016b). Out of these, 11.6% of deaths are directly linked to air pollution, from indoor and outdoor
sources. Another report of the World Health Organization (WHO, 2016c) estimated the expected additional
deaths at approximately 250,000 per year from 2030 to 2050 due to malnutrition, malaria, diarrhoea and
heat stress. The direct damage cost due to health issues is estimated to be US$ 2–4billion/year by 2030. There-
fore it is crucial to understand that air pollution not only affects ecological systems but also economic systems.
Thus, this chapter shows the need for more research in the area of air pollution and its impact on the economy
and environment for successful policy making.
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Impact of Air Pollution on the Environment and Economy 115
7.2.1 Natural sources
Natural sources include: volcanic eruptions, pol-
lens, forest res and windblown dust. These re-
lease poisonous gases such as sulfur dioxide (SO2),
hydrogen sulde (H2S) and carbon monoxide (CO).
7.2.2 Anthropogenic sources
Automobile exhaust, industry and biomass
burning are the main anthropogenic sources.
1. Automobiles and thermal power plants: ve-
hicles are the major contributor to total air pol-
lution (i.e. ~60%) (Cadle et al., 1997, 2004).
Automobiles, aircraft and locomotives are the
main sources of the major air pollutants, which
include carbon monoxide, unburned hydrocar-
bons and nitrogen oxide.
2. Industries: paper and pulp factories, petroleum
reneries, fertilizer and steel industries are the
major anthropogenic sources of air pollution.
They release several toxic gases like carbon mon-
oxide (CO), oxides of sulfur (SO2 and SO3), nitric
oxide (NO) and hydrocarbons (HC) into the atmos-
phere. Textile, pesticide and insecticide industries
cause serious problems to human health and the
environment. The offensive odour released by food
processing industries and tanneries also poses a
serious threat to the environment. Gases released
by various accidents are also responsible for ser-
ious threats, e.g. the Bhopal Gas Tragedy, which
killed thousands of people due to the leakage of
methyl isocyanate (MIC) in Bhopal, India.
3. Burning of fossil fuels: burning wood, fossil
fuels and charcoal causes air pollution by releas-
ing carbon dioxide (CO2), carbon and sulfur di-
oxide into the atmosphere.
4. Agricultural activities: pesticides and insecti-
cides used in the agriculture sector cause air pol-
lution. When these are inhaled by animals and
humans, this can create severe problems.
5. Radioactive fallout: testing of nuclear weap-
ons adds to nuclear pollution. Nuclear pollution
is very harmful for ora and fauna.
7.3 Types of Air Pollutants
Air pollutants are mainly classied by category,
as listed in Table 7.1. They may be primary or
secondary on the basis of their origin; organic or
inorganic on the basis of their chemical compos-
ition. They can also be classied on the basis of
their matter, whether it is natural, particulate or
gaseous.
Global emissions of various gases are pro-
jected to increase by 2060 (Fig. 7.1). The emis-
sions of nitrogen oxides (NOx) and ammonia
(NH3) are projected to increase due to a rise in
demand for agricultural products and energy.
The pollutants such as black carbon (BC), car-
bon monoxide (CO) and volatile organic com-
pounds (VOCs) are also projected to increase
(OECD, 2016).
7.4 Environmental Effects
Industrialization and urbanization are the
major causes for the degradation of the envir-
onment. Air pollution is a major cause for
concern, especially in developing countries. For
several decades, authors have explained the
relationship between air pollution and ill health
effects due to air pollution exposure (Prescott
et al., 1998; Pope et al., 2002; Heudorf et al.,
2009; Atkinson et al., 2010; Chuang et al.,
2011). The most commonly discussed health-
related problems were respiratory (asthma and
changes in lung function), cardiovascular dis-
eases, and pregnancy outcomes and even deaths.
Apart from human health, air pollution is re-
sponsible for a variety of environmental effects,
such as visibility degradation/haze, eutrophica-
tion, acid rain, ozone depletion and global cli-
mate change.
7.4.1 Acid rain
Acid rain (acidic deposition) is one of the leading
problems of regional air pollution. It is the result
of the transformation of atmospheric sulfur and
nitrogen emitted from different sources across
different locations throughout the world. It is also
known for its damaging effects and role in
trans-boundary air pollution. Acid rain is a result
of the emission of SO2 (fossil fuel combustion and
metal smelter) and NOx (released from vehicular,
industrial and power plant sources) forming sul-
furic and nitric acid in precipitation. The acidic
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116 S. Sonwani and V. Maurya
Table 7.1. Classification of pollutants on the basis of their origin, composition and state of matter.
On the basis of origin On the basis of chemical composition On the basis of state of matter
Primary pollutants Secondary pollutants Organic pollutants Inorganic pollutants Natural contaminants Particulate matter Gases and vapours
Directly emitted from
identifiable sources
into the atmosphere,
e.g. particulate
matter, SO2, NO,
NO2, CO and
radioactive
compounds
Not directly emitted
into the atmosphere
but formed during
atmospheric
transformation
reactions of different
primary pollutants,
e.g. ozone,
formaldehyde,
photochemical
smog, peroxyacetyl
nitrate (PAN)
This type of pollutant
includes carbon and
hydrogen, e.g.
hydrocarbon,
alcohols, aldehyde,
ketones and organic
sulfur compounds
Inorganic pollutants
mostly comprise
oxides of carbons
(CO and CO2),
carbonates, oxides
of sulfur (SO2 and
SO3), oxides of
nitrogen (NO and
NO2), ozone (O3)
The contaminants
produced from
natural sources are
considered as
natural
contaminants, e.g.
pollen grains are
emitted from weeds,
grasses and trees
These may be liquid
or solid. The
particulate matters
are identified as
aggregates which
are larger than
0.002 μm but
smaller than 500 μm
Carbon monoxide
(CO), oxides of
sulfur such as SO,
SO2, SO3 and SO4,
oxides of nitrogen
such as N2O, NO,
NO2, NO3, N2O, and
hydrocarbons
including both
aliphatic hydrocarbons
and aromatic
hydrocarbons
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Impact of Air Pollution on the Environment and Economy 117
nature of the acid rain (pH range: 4.2 to 4.7) is
due to the presence of nitric acids and sulfuric
acids. The atmospheric transformation reac-
tions convert emissions of SOx and NOx into sul-
furic acid and nitric acids (Fig. 7.2).
Dry deposition (gas and particulates) and
wet deposition (rain, fog, drizzle or snow) are two
important processes by which atmospheric acids
are carried to Earth. Atmospheric conditions
(stable/unstable) also affect the distribution and
transportation of acids into the atmosphere
(Taniyasu et al., 2013). When the precursors of
the acid deposition are dissolved in water during
rain they form various acids. It can be explained
by the following reactions:
CO HO HCOcarbonic acid
22 23
+= ()
SO HO HSOsulfurous acid
22 23
+= ()
NO HO HNO nitrous acids
HNO nitric acids
22 2
3
+=
+
()
()
7.4.1.1 Effects of acid rain on ecosystem
Table 7.2 shows the critical levels of different key
organisms at the point at which they may lose
their lives, due to increasing acid in their envir-
onment. An ecosystem is the interaction of dif-
ferent communities of plants or animals with
their environment; a disturbance in any part of
the ecosystem can harm the function of other
life forms and have a signicant impact on every-
thing else.
7.4.1.2 Plants and trees
Acid rain damages the plant foliage and leaves
and makes them vulnerable to several bacterial
and viral infections. It also makes plants and
trees prone to the harmful UV radiation coming
from the sun, which ultimately affects their me-
tabolism. Acid rain also removes the essential
nutrients and minerals from the soil that plants
require to grow, and releases nutrients from
2010
0.6
0.8
1
1.2
1.4
1.6
1.8
2
2015 2020 2025 2030 2035 2040 2045 2050 2055
2060
BC CO NH3NOxOC SO2VOCs
Fig. 7.1. Emission projections of various pollutants (index with respect to 2010). (From OECD, 2016.)
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118 S. Sonwani and V. Maurya
plants/trees found at high altitude, which makes
them less efcient at absorbing sunlight and ul-
timately weakens their ability to withstand freez-
ing temperatures.
7.4.1.3 Fish and wildlife
Acid rain signicantly alters the pH of the
aquatic environment, such as ponds, rivers,
lakes and marshy lands, which ultimately harms
aquatic life forms. Acid rain causes soil and
water bodies to acidify and makes the water in-
appropriate for life forms. As the acid rain passes
through the soil, it leaches the aluminium from
the soil/clay particles and dumps it into different
water bodies.
The more acid that passes through, the
more aluminium is released into lakes, ponds
and streams. Some of the plants and animals tol-
erate the acidic and aluminium-rich water eco-
system, but many of the sensitive life forms lose
their life due to the lowering in pH of water bod-
ies. Generally, young and elderly animals are very
sensitive to these changes. At pH ≤5, most sh
eggs cannot hatch. Most of the non- chordates
barely survive at pH 5, while mayies are more
sensitive and may not survive below pH 5.5
(USEPA, n.d.). Some of the areas where the acid
rain falls may not be affected by the acid depos-
ition due to the special properties of the soil
where rain water passes through. This type of
soil has some buffering capacity to neutralize
the acidity of the rainwater. This property of soil
depends on the thickness, composition of the
soil and the type of bedrock underneath it.
7.4.1.4 Episodic acidification
Snow melt and heavy rain can deposit high
amounts of acids in to lakes (with much less
acidity on normal days), in the absence of soil
with buffering capacity. In this short time, high
acidity can kill many species present in that lake.
Melting snow and heavy rain downpours have
resulted in high acidity in lakes of the USA and
Canada, due to this episodic acidication.
7.4.1.5 Effects of acid rain on materials
Any form of acid deposition causes the deterior-
ation of building materials (paint and stone), and
buildings of historic and cultural importance, such
as monuments, statues, sculptures and tomb-
stones. Bronze, limestone, carbon-steel, marble,
Oxidation
Emissions
Dry deposition
Wet deposition
Atmospheric transformation reactions
NOxH2SO4H+ SO4
2–
SO2
Natural and anthropogenic sources
Effects on:
ecosystem (aquatic, terrestrial),
flora and fauna, and building materials
HNO3NO3
–
Fig. 7.2. Mechanism involved in acid rain.
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Impact of Air Pollution on the Environment and Economy 119
build-up of black skin of gypsum (calcium sul-
fate) in the sink areas in the buildings. Once the
crystal of gypsum forms on the stone, the pro-
cess may persist for up to 50 years, known as the
memory effect. Several studies found links with
the impacts of acid deposition on diverse mater-
ials. The Taj Trapezium Case (also known as MC
Mehta Taj Trapezium Case) is a good example
of acid rain effects on building material. The
yellowing of the Taj marble was the major issue
in the Taj Trapezium Case. A petition was led
against the threat to the deteriorating beauty of
the Taj Mahal, to invoke the Air Act 1981, Water
Act 1974 and Environmental Protection Act
1986. The purpose behind this petition was to
relocate 292 factories to prevent the Taj from
emissions released by companies using coke or
coal as energy sources. In this case, four Na-
tional Environmental Engineering Research In-
stitute (NEERI) reports, two Varadharajan re-
ports and several reports by the State Pollution
Control Board were presented, which related the
pollution emission from the Agra-Mathura re-
gion and its impact on the Taj. They statistically
explained that by replacing coal with diesel in
the railway yards and closing down two thermal
power stations, sulfur dioxide emissions could
be reduced by 50%. On 11 April 1994, the
court, after hearing learned counsel for the par-
ties, passed the order indicating that as a first
phase, the industries situated in Agra be relocated
out of the Taj Trapezium Zone (TTZ). The decision
taken by the court after considering the evidence
were the Sustainable Development Principle, the
Precautionary Principle and the Polluter Pays
Principle. The nal judgement in this case was
given on 30 December 1996, by Justice Kuldip
Singh and Justice Faizan Uddin.
7.4.1.6 Human health
Acid rain does not directly create problems when
humans are exposed to it. But the compounds
causing acid rain can signicantly harm humans
with exposure. There are various exposure path-
ways (dermal, ingestion and inhalation) through
which pollutants harm human health. Inhalation
of contaminated air (with high levels of particu-
late matter, metals, sulfate and nitrate) may cause
decreased lung function, including difculty in
breathing for people suffering from asthma, car-
diovascular problems, otitis media, etc.
Table. 7.2. Critical pH levels of aquatic animals
(USEPA, n.d.).
Animal Critical
pH level
Snail 6.0
Clam 6.0
Bass 5.5
Crayfish 5.5
Mayfly 5.5
Trout 5.0
Salamander 5.0
Perch 4.5
paint and some plastics are the most vulnerable to
acid deposition. The materials (foundations and
pipes) immersed in the acidied water also suffer
from corrosion. Calcium carbonate in certain
stones dissolves in dilute sulfuric acid to form
calcium sulfate:
CaCO HSOHOCaSO HO CO
3242 42 2
2
++=+
.
This has two effects. First, it removes the details
by breaking down the stones; second, there is a
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120 S. Sonwani and V. Maurya
7.4.2 Eutrophication
Eutrophication is a condition where a water
body has high levels of nutrients, such as nitro-
gen and phosphorus (Figs 7.3(a) and 7.3(b)).
These excessive amounts of nutrient cause algal
bloom, which is ultimately responsible for the
loss of animal and plant diversity. It is also char-
acterized by excessive plant and algal growth
due to the increasing availability of one or more
limiting factors (fertilizers, sunlight and carbon
dioxide) of photosynthesis (Schindler, 2006). It
is a natural ageing process of any lake due to the
deposition of sediment into it over centuries
(Carpenter, 1981). The N, P and K originating
on agricultural land, and fertilizers or animal
waste, are the principal nutrients reaching the
surface water and involved in eutrophication.
Urban and industrial runoff also contribute to
eutrophication. Anthropogenic factors also af-
fect eutrophication severely by increasing the
rate at which nutrients are added to water bod-
ies. Emissions from thermal power plants and ve-
hicles also allow a large amount of nitrogen
oxides to enter aquatic ecosystems.
Basic steps involved in eutrophication are
that lakes and streams receiving more fertilizers
become more productive. The rich nutrient in-
put triggers the growth of algae to increase its
size; this is the condition known as ‘population
explosion’ or ‘bloom’.
1. Due to the algal bloom conditions, the pene-
tration of light into the water is diminished,
which ultimately decreases the productivity of
plants in deeper waters.
2. The water becomes depleted in oxygen. Low
oxygen results in more algae dying and also af-
fects the lowering of primary production in the
deeper waters.
3. The low levels of oxygen result in the death
of large sh which require high amounts of dis-
solved oxygen (DO), such as trout, salmon and
other desirable sport sh.
Essentially, the entire aquatic ecosystem
changes with eutrophication.
7.4.3 Haze
Industrialization and urbanization activities
around the world have led to an increase in air
pollution and a haze problem in developing and
developed countries (Fig.7.4(a–f)). When sun-
light encounters minute suspended particles in
the atmosphere, it reduces visibility, known as
haze or smog. Power plants, vehicular trafc, in-
dustrial facilities and construction activities play
signicant roles in the formation of haze by
emitting various pollutants, especially ne par-
ticulate matters (Watson, 2002). High levels of
pollutants trigger more of the haze, due to their
absorptive and scattering effects. Haze reduces
the clarity and colour of the objects that we see.
Some of the pollutants, like sulfate particles, may
scatter more light during humid conditions (Li-
Jones and Prospero, 1998). Haze mainly origin-
ates from cities or crowded areas, and disperses in
(a) (b)
Fig. 7.3. (a) Eutrophic condition of lake; (b) discharge of waste water into a reservoir.
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Impact of Air Pollution on the Environment and Economy 121
rural and urban areas through wind. Smog
can change the weather conditions due to the
presence of denite dark particles containing
carbon, which play a signicant role in alter-
ing Earth’s radiation budget due to the scatter-
ing and absorbing nature of carbon particles.
Haze can decrease the quantity of solar energy
reaching the Earth’s surface by up to 30%
(Chameides et al., 1999). Apart from the visi-
bility degradation, air particles are involved in
forming cloud condensation nuclei (CCN),
which ultimately affect the rainfall pattern.
Finer particles (apart from soot particles) were
found to be involved in the formation of CCN. It
was also found that oxides of sulfur and nitro-
gen were involved in haze formation. The scav-
enging processes (dry and wet deposition) were
found to be involved in the cleaning of atmos-
pheric pollutants (Gu et al., 2010; Arakaki
et al., 2013). Therefore, atmospheric visibility
is directly linked to the pollution level in the
atmosphere.
(a)
(c)
(e) (f)
(d)
(b)
Fig. 7.4. Haze problems in different countries around the world from (a) to (f): United Kingdom; United
States of America; Singapore; India; China; and Pakistan. Photos are authors’ own.
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122 S. Sonwani and V. Maurya
7.4.4 Ground level and stratospheric
ozone
The gas ozone is ubiquitous throughout the at-
mosphere with lower levels in the troposphere
as compared to the stratosphere. Ground level
ozone acts as a pollutant that can harm human
health, even at very low concentrations. The
elderly, children and people with respiratory
diseases are more prone to being affected after
exposure. Ozone exposure can cause both short-
term and long-term health effects. Wheezing,
coughing, painful breathing and irritation and
inammation of the respiratory tract, resulting
in decreased lung function, can be caused by
short-term ozone exposure (Filippidou and
Koukouliata, 2011). Lippmann (1992) noticed
the neutrophils in the bronchoalveolar region
increase twofold after short-term ozone expos-
ure. Increasing hospital admissions due to
ozone exposure were also noticed by the World
Health Organization in 2003. In contrast to
ground-level ozone, stratospheric ozone is
known as good ozone, which acts as a shield and
protects the Earth from harmful solar radiation
(UV rays). But, this protective covering is grad-
ually weakening day by day, due to the presence
of harmful chemicals in the atmosphere, which
are the products of anthropogenic activities.
Chlorouorocarbons, hydrochlorouorocarbons,
and halons are important ozone depleting chem-
ical substances. These substances are used for
refrigeration, in re extinguishers, pesticides and
as solvents. Thinning of the ozone layer allows
harmful UV radiation to reach the Earth’s surface,
which ultimately causes various types of diseases
such as dermal inammation, skin cancer and
cataracts. UV radiation also reduces the yield of
sensitive crops, such as soybeans. Apart from crop
yields, it also damages forests by affecting tree
seedlings, and increases plant susceptibility to dis-
eases, pests and harsh weather.
7.4.5 Global climate change
Since the start of the industrial revolution, the
pollution load in the atmosphere has been in-
creasing at a very rapid rate. Large consump-
tion of fossil fuels, and changes in transporta-
tion, the agricultural pattern and standards of
living are the main reasons for the increase in
pollution levels in the atmosphere. At the
start of the 21st century, the USA, Canada and
the developing nations focused on regional and
local air pollutants. The introduction of regula-
tory measures and policy along with cleaner
technologies has resulted in an improvement of
air quality (World Bank, 1997). Greenhouse
gases (GHGs) emitted from different sources dis-
turb the balance of the naturally present gases
in the atmosphere. They also disturb the
Earth’s radiation budget through various phys-
icochemical transformation processes. Global
warming signicantly impacts human health,
ecology, agriculture, water resources, forests,
wildlife and coastal areas. Fig. 7.5 shows an-
thropogenic global GHG emissions by different
groups of gases from 1970 to 2010.
According to the IPCC (2014), GHG emis-
sions are increasing at a very high rate. In the
period 2000–2010 they rose with an average
growth rate of 2.2% per year, which was very
high when compared to the period 1970–2000,
where the emission growth rate was only 1.3%
per year. The high use of coal has increased
the carbon energy content over the last few
decades since 1970. The expected global tem-
perature rise is 4–5C annually as compared
to pre-industrial times. The expected rise of
CO2 was 750–1300 ppm of CO2 equivalent till
the end of this century. To explore the most
cost-effective way to keep the temperature rise
below 2C, various emission reduction tech-
nologies, along with policy implementation,
have been taken into consideration to ultim-
ately avoid the unmanageable risks of climate
change (IPCC, 2014).
7.5 Air Pollution and Economic
Growth
Air pollution is detrimental not only for the
environment and its life forms but also to eco-
nomic growth. Pollution-induced health prob-
lems arise from negative market externalities
and affect macro-economic performance of an
economy. Moreover, the health impacts of pollu-
tion are surrounded by uncertainty at the level
of individuals and for the aggregate economy
(Bretschger and Vinogradoval, 2017). The total
market costs due to air pollution include both
direct and indirect costs. Direct costs include the
©CAB International – for chapter 7 authors.

Impact of Air Pollution on the Environment and Economy 123
changes in value generated in different sectors
from changes in labour productivity, increased
health expenditures and changes in value gener-
ated in agriculture from changes in crop yields.
Indirect economic effects include relocation of
factors of production, and changes in inter-
national trade and savings. The market impacts
of air pollution are projected to lead to global
economic costs that increase to 1% of global
GDP by 2060, and the annual number of lost
working days is projected to reach US$3.7 bil-
lion at the global level (OECD, 2016).
7.5.1 Debates surrounding
the environment and economic growth
The environmental degradation caused by air
pollution is affecting world economic growth.
The Environment Kuznets Curve (EKC) is one of
the most preferred approaches to analyse the re-
lationship between environmental degradation
and economic growth (Álvarez-Herránz, 2017;
Özdemir and Özokcu, 2017; Stern and Dijk, 2017).
EKC shows an inverted U-shaped curve character-
ized by an income level (level of GDP per capita)
and after this level, environmental degradation
decreases with economic growth (Fig. 7.6). It
posits that there will be a huge burden on natural
resources in the early stages of development and
later that this burden will be reduced as the econ-
omies grow richer. This relationship is dependent
on scale, composition and technology effects.
Grossman and Krueger (1991) applied EKC
in a study of the potential inuence of the North
American Free Trade Agreement (NAFTA) in
the US. The model includes SO2, dark matter and
suspended particulate matter (SPM). The main
ndings support the existence of EKC for both
SO2 and dark matter while there is a negative re-
lationship between GDP and SPM.
They found that environmental degradation
can be reduced by economic growth and thus eco-
nomic growth is not a threat to the environment
0.44%
7.9%
19%
17%
55%
0.67%
7.9%
18%
15%
58%
0.81%
7.4%
18%
16%
59%
1.3%
6.9%
16%
13%
62%
27 Gt
1970 1975 1980 1985 1990 1995 2000 2005 2010 2010
50
GHG emissions (GtCO
2
eq/yr)
40
30
20
10
0
33 Gt
38 Gt 40 Gt
49 Gt
+2.2%/yr
2000–2010
+1.3%/yr
1970–2000
2.0%
6.2%
16%
11%
65%
Gas F-Gases N2O CH4CO2 FOLU
CO2 fossil fuel and industrial processes
Fig. 7.5. Total annual anthropogenic emissions of greenhouse gases (GHGs) by groups of gases
1970–2010. (From IPCC, 2014.)
©CAB International – for chapter 7 authors.

124 S. Sonwani and V. Maurya
but a remedy for environmental deterioration.
Holtz-Eakin and Selden (1995) analysed the rela-
tionship between income and carbon dioxide.
They found evidence supporting an inverted-
U-shaped relationship between per capita carbon
emissions and per capita income. And further
they discovered that most countries would con-
tinue to operate on an upward sloping portion of
the curve through 2100 leading to a steady in-
crease in global emissions.
Álvarez-Herránz et al. (2017) used panel
data to explore the impact of improvements in
Energy Research and Development (ERD) on
GHG emissions, using the EKC hypothesis for 28
OECD nations during 1990–2014. They found
that energy innovation contributed to the re-
duction of energy intensity and environmental
pollution. Their results indicated that energy in-
novation measures need time to reach their full
effect. Meanwhile, Stern and Dijk (2017) exam-
ined the role of income, convergence, time-relat-
ed factors and spatial effects to explain changes
in national level population-weighted PM2.5 par-
ticulate pollution in various countries between
1990 and 2010, using a model that integrates
EKC and convergence approaches. They found
that economic growth has positive but modest
effects on the growth in PM2.5 concentrations.
Convergence effects are small and not statistic-
ally signicant.
Özdemir and Özokcu (2017) explored the
relationship between economic growth and cli-
mate change by analysing the relationship of
CO2 emissions and income. They found an in-
verted N-shaped curve relationship between en-
vironment degradation and income in select
countries. An N-shaped curve is an indication of
insufciency of environmentally friendly im-
provements, and asks for urgent policies to miti-
gate or adapt to climate change. Therefore, the
relationship of income and air pollution varies
from one nation to another and cannot be gen-
eralized globally (Table 7.3).
EKC is one of the most dominant models
used by various economists and policy makers to
model ambient pollution concentrations and ag-
gregate emissions. But, various studies identied
a number of problems with some of the main
EKC estimators and their interpretations. Stern
et al. (1996) critically examined the concept of
EKC and identied econometric problems with
the EKC estimators.
Environmental
degradation
Environmental
Kuznets curve
Ecological
threshold
A shallow
or flattened
EKC
Income per
capita
Fig. 7.6. Environmental Kuznets curve. (Adapted from Özdemir and Özokcu, 2017.)
©CAB International – for chapter 7 authors.

Impact of Air Pollution on the Environment and Economy 125
Table 7.3. Variations of environmental Kuznets curve (EKC) results. (From Özdemir and Özokcu, 2017.)
Authors and
publication
year
Environmental
indicators
Economic
indicators and
other variables
Regions and
periods
Econometric
technique Results
Shafik and
Bandyopa-
dhyay
(1992)
Deforestation;
per capita
(cap) CO2
emissions;
water (DO
and faecal
coliforms)
GDP per cap, a
time trend
149 countries,
1961–1986
Panel data, log,
quadratic,
cubic, fixed
effect (FE)
model
CO2; monotonic-
ally increasing
Holtz-Eakin
and Selden
(1992)
Per cap CO2
emissions
GDP per cap 130 countries,
1951–1986
Panel data, log,
quadratic,
cubic; FE
model
Quadratic
inverted-U
shape, cubic
N-normal
Moomaw and
Unruh
(1997)
Per cap CO2
emissions
GDP per cap 16 industrial
OECD
countries,
1950–1992
Panel data,
quadratic and
cubic, FE
and pooled
ordinary least
squares
(OLS)
Inverted U-shape
for quadratic,
N-shape for
cubic
De Bruyn
(1997)
Per cap CO2
emissions,
nitrous oxide
(NOx), sulfur
dioxide (SO2)
GDP per cap,
structural
changes,
technology,
population
density
Netherlands,
West
Germany, UK
and USA,
1960–1993
Time series,
log,
decomposition
analysis
Monotonically
increasing
Galeotti and
Lanza
(1999)
Per cap CO2
emissions
GDP per cap 110 countries,
1971–1996
Log, gamma
and Weibull
functions
Inverted U-shape
(all countries,
non-OECD and
OECD)
Ravallion
etal. (2000)
Per cap CO2Average per
cap GDP,
population,
time trend,
GINI
coefficient
(income
inequality)
42 countries,
1975–1992
Panel data,
level and log,
quadratic,
cubic; FE
and pooled
OLS
Pooled OLS is
better; cubic:
insignificant,
quadratic:
monotonically
decrease as
income
inequality
grows
Borghesi
(2000)
CO2 per cap GDP per cap in
PPP,
population
density, GINI
coefficient
126 countries,
1988–1995
Panel data, log
and level,
linear,
quadratic,
cubic; FE
Monotonically
increase, CO2
emissions
decrease
slightly as
inequality
grows
Dijkgraaf and
Vollebergh
(2001)
CO2 per cap GDP per cap,
energy
consumption
per cap
24 OECD
countries,
1960–1997
Panel data, time
series, log,
cubic; FE and
seemingly
unrelated
regressions
(SUR)
N-shape for
panel data;
N-shape for
five countries
in time series
data
Continued
©CAB International – for chapter 7 authors.

126 S. Sonwani and V. Maurya
Table 7.3. Continued.
Authors and
publication
year
Environmental
indicators
Economic
indicators and
other variables
Regions and
periods
Econometric
technique Results
Cole and
Neumayer
(2004)
CO2 per cap,
9 more air
pollutants
and water
pollutants
GDP per cap,
share of
manufacturing
in GNP,
share of
pollution
intensive
exports and
imports in
total exports
and imports,
trade
intensity
21 OECD
countries,
1980–1987
Panel data, log,
cubic
(quadratic for
some of the
equations);
generalized
least squares
(GLS) with
random
effect (RE)
and FE
models
Inverted U-shape
for CO2,
inverted
U-shape and
inverted
N-shape for
other pollutants
Dinda and
Coondoo
(2006)
Per cap CO2
emissions
GDP per cap
and a time
trend
88 countries,
1960–1990
Panel data, log;
cointegration
test, error
correction
Test
Bi-directional
relationship
Akbostancı
etal. (2009)
SO2, SPM, CO2GDP per cap,
population
density
Turkey,
1968–2003,
for time
series;
1992–2001,
for panel
data
(provinces)
Time series;
Johansen
cointegration,
panel data;
GLS, level
and log;
cubic
N-shape for SO2
and SPM;
monotonically
increasing for
CO2
Dutt (2009) Per cap CO2
emissions
GDP per
capita,
governance,
political
institutions,
socioeco-
nomic
conditions,
population
density,
education
124 countries,
1960–2002
Panel data,
quadratic;
robust OLS,
fixed effect
model
Linear,
1960–1980;
inverted
U-shape,
1984–2002
Narayan and
Narayan
(2010)
Per cap CO2
emissions
Real GDP 43 developing
countries,
1980–2004
Panel data;
panel
cointegration
Inverted U-shape
in Middle
Eastern and
South Asia
panels
Jayanthaku-
maran etal.
(2012)
Per cap CO2
emissions
GDP per cap,
energy
consumption
per cap, trade
intensity,
manufacturing
value added
China and India Time series,
log,
cointegration
and ARDL
methodology
Structural breaks
are detected
Continued
©CAB International – for chapter 7 authors.

Impact of Air Pollution on the Environment and Economy 127
Table 7.3. Continued.
Authors and
publication
year
Environmental
indicators
Economic
indicators and
other variables
Regions and
periods
Econometric
technique Results
Jobert et al.
(2014)
Per cap CO2
emissions
Real per cap
GDP and per
cap energy
consumption
55 countries,
1970–2008
Bayesian
shrinkage
estimators
Inverted U-shape
is observed in
some countries
but not all of
them
Franklin and
Ruth (2012)
Per cap CO2
emissions
GDP per cap,
Gini
coefficient,
ratio of exports
to imports,
inflation
adjusted
energy prices
US, 1800–2000 Time series,
level, cubic;
OLS,
Prais-Winsten
AR(1) regres-
sion model
Inverted U-shape
Zhang and
Zhao (2014)
Per cap CO2
emissions
GDP per cap,
energy
intensity,
income
inequality,
urbanization,
the share of
industry
sector in
GDP
28 Chinese
provinces,
1995–2010
Panel data,
log-level,
cubic; fixed
effect model
N shape
Yang et al.
(2015)
Per cap CO2
emissions,
total CO2,
industrial
(Ind) dust,
Ind gas, Ind
smoke, Ind
SO2, Ind
waste water
Real GDP, the
percentage of
exports,
imports,
domestic
trade in GDP,
the ratio of
entry of FDI
over GDP,
the population
density
29 Chinese
provinces,
1995–2010
Panel data;
level and log;
fixed and
random
effects
models,
general
sensitivity
test
Positive linear.
inverted-U and
N form
Bölük and
Mert (2014)
Per cap CO2
emissions
GDP per cap in
constant
USD at 2005
prices,
electricity
production
from
renewable
sources per
cap
Turkey,
1961–2010
Time series;
ARDL
Inverted U-shape
Heidari et al.
(2015)
Per cap CO2
emissions
Real GDP per
cap in constant
USD at 2000
prices, energy
consumption
per cap
5 Asian
countries,
1980–2008
Panel data;
panel smooth
threshold
regression
(PSTR)
model
Inverted U-shape
Continued
©CAB International – for chapter 7 authors.

128 S. Sonwani and V. Maurya
7.5.2 Air pollution and its impact
on economic growth
As discussed earlier in the chapter, air pollution
affects the economy and environment alike. Its
impact on the environment is visible but its im-
pact on the economy is not. It leads to a plethora
of burdens on society in the form of health
issues, reduced productivity, reduced labour and
reduced ecological services, which can pose a huge
cost to any nation. In the following sections, the
impact of air pollution on various sectors, which
affects economic growth, is discussed.
7.5.2.1 Health
WHO (2014) describes air pollution as a major risk
factor in several diseases, leading to disabilities
and deaths, including cancers, lower respiratory
infections, cardiovascular and cerebrovascular dis-
eases. Particulate air pollution causes illness and
leads to death from cardiovascular and respiratory
diseases by provoking alveolar inammation caus-
ing exacerbation of lung disease and increased
blood coagulation (Seaton et al., 1995). Air pollu-
tion claims several million premature deaths and
also imposes annual costs of trillions of dollars. Glo-
bal health care costs are projected to increase from
US$21 billion (using constant 2010 USD and PPP
exchange rates) in 2015 to US$176 billion by 2060
(OECD, 2016).
In 2012, global ambient (outdoor) air pol-
lution caused around 3 million deaths. The
western Pacic region and South East Asian Re-
gion (SEAR) had the highest burden of 1.1 mil-
lion and 799,000 deaths per year, respectively.
Table 7.3. Continued.
Authors and
publication
year
Environmental
indicators
Economic
indicators and
other variables
Regions and
periods
Econometric
technique Results
Chen et al.
(2016)
CO2 emissions Real GDP,
energy
consumption
188 countries,
1993–2010
Panel data;
panel
cointegration,
vector error-
correction
model
Inverted U-shape
Özdemir and
Özokcu
(2017)
Per cap CO2
emissions
Per capita
income
26 OECD,
1980–2010;
52 emerging
nations
Panel data
analysis
Inverted
N-shaped
curve
Gill et al.
(2017)
CO2 emissions GDP Malaysia,
1970–2011
Autoregressive
distributed
lag (ARDL)
Insignificant
relationship
between GHG
and GDP
Ahmad et al.
(2017)
CO2 emissions Income Croatia,
1992–2011
Autoregressive
distributed
lag (ARDL)
Inverted
U-shaped
Atasoy (2017) CO2 emissions,
population
growth rate
and energy
consumption
per capita
GDP per capita 50 US states,
1960–2010
Panel data
estimators,
augmented
mean group
(AMG) and
common
correlated
effects mean
group
estimator
(CCEMG)
AMG strongly
validates EKC
for 30 states
and CCEMG
shows
weak EKC
relationship in
10 states
©CAB International – for chapter 7 authors.

Impact of Air Pollution on the Environment and Economy 129
However, in Europe, America, Western Pacic
and the eastern Mediterranean, a reduced num-
ber of deaths is observed (Fig. 7.7).
In 2012 household air pollution caused
around 4.3 million deaths and these were
mainly concentrated in low- and middle-income
countries. The highest burden was the South
East Asian Region (SEAR) and Western Pacic
region, with 1.69 million and 1.62 million
deaths, respectively (Fig. 7.8). In these regions,
women have a higher risk of developing health
issues as they are more involved in household
chores as compared to men. High-income nations
experienced the lowest burden with 19,000
deaths for that year (WHO, 2014).
A study by Cohen et al. (2017) represented
spatial and temporal trends in mortality and bur-
den of disease due to ambient air pollution at
country, regional and global levels from 1990 to
2015. They found that exposure to PM2.5 caused
Number of deaths (000s)
1500
1250
1000
1102
799
289
211 194 190
93 44 44
10
750
500
250
0Wpr
(LMIC)
SEAR Eur
(HIC)
Afr Emr
(LMIC)
Eur
(LMIC)
Amr
(LMIC)
Amr
(HIC)
Emr
(HIC)
Wpr
(HIC)
Stroke IHD COPD ALRILung cancer
Fig. 7.7. Deaths attributable to ambient air pollution in 2012, by disease and by region (IHD: ischaemic
heart disease; COPD: chronic obstructive pulmonary disease; ALRI: acute lower respiratory infections;
Wpr: Western Pacific region; LMIC: low- and middle-income countries; SEAR: South East Asian Region;
Eur: European Union; HIC: high-income countries; Afr: Africa; Emr: Eastern Mediterranean; Amr:
America). (From WHO, 2016a.)
©CAB International – for chapter 7 authors.

130 S. Sonwani and V. Maurya
4.2 million deaths (representing 7.6% of total
global mortality) and 103.1 million (represent-
ing 4.2% of global burden) disability-adjusted
life years (DALYs) in 2015. Globally, PM2.5 ex-
posure was responsible for 17.1% of mortality
from ischaemic heart disease, 14.2% from stroke,
16.5% from lung cancer, 24.7% from lower
respiratory infections (LRIs), and 27.1% from
chronic obstructive pulmonary disease (COPD)
in 2015. Of all deaths attributable to ambient
PM2.5 in 2015, deaths from ischaemic heart
disease and stroke accounted for 57% (State of
Global Air Report, 2017).
Ozone exposure resulted in an additional
254,000 deaths in the same year. The rise in
mortality rates and DALYs is observed due to ris-
ing levels of pollution and non-communicable
diseases in the largest low-income and mid-
dle-income countries in East and South Asia,
which are experiencing growth in population
and ageing. It is also further estimated that the
number of premature deaths due to outdoor air
pollution will increase to 6–9 million annually
by 2060, especially in highly populated regions
(OECD, 2016).
7.5.2.2 Ecosystems
Air pollution affects various ecosystems by alter-
ing the physical components of the ecosystems.
Sulfur oxides, nitrogen oxides and ozone affect
their growth and functions. Oxides of sulfur and
nitrogen react together to form ‘acid rain’, which
precipitates and increases the acidity of soil. In-
creased acidity affects the ability of ecosystems
to provide various services, i.e. nutrient cyc-
ling, productivity and climate regulation. Tropo-
spheric ozone damages cell membranes of the
plants, inhibiting important processes required
for their growth and development. When these
pollutants enter into water bodies, it causes
the accumulation of nutrients resulting in eu-
trophication, which causes loss of life in aquatic
ecosystems (UNECE n.d.). Persistent toxic air
pollutants are of particular concern in aquatic
ecosystems. These toxic compounds may deposit
into the aquatic systems and may bio-magnify in
the aquatic organisms at the top of the trophic
levels. Most of the ecosystems are exposed to
multiple air pollutants simultaneously and vari-
ous species differ in sensitivity to air pollution
18000
16000
14000
12000
10000
Number of deaths (in 00s)
8000
6000
4000
2000
0
Afr
Amr (LMI
)
Amr (HI)
Emr (LMI
)
Emr (HI)
Eur (LMI)
Eur (HI
)
SEAR
Wpr (LMI
)
Wpr (HI)
Fig. 7.8. Regional distributions of total deaths due to household air pollution in 2012 (Afr: Africa; Amr:
America; LMI: low- and middle-income; HI: high-income; Emr: Eastern Mediterranean; Eur: European
Union; SEAR: South East Asian Region; Wpr: Western Pacific region). (From WHO, 2014.)
©CAB International – for chapter 7 authors.

Impact of Air Pollution on the Environment and Economy 131
and its biogeochemical consequences, and this
differential sensitivity implies that air pollution
will shift the species’ composition or will lead to
outright loss of sensitive species of various eco-
systems (Lovett et al., 2009).
7.5.2.3 Biodiversity
Biodiversity is a vital aspect of our Earth’s system
and it has been indicated that environmental pol-
lution is the main cause of biodiversity loss on
Earth. Air pollution negatively affects biodiver-
sity and can draw species towards the verge of
extinction. There are several paths of exposure
from which air pollutants can affect wildlife
adversely: through direct exposure (inhalation,
dermal contact or ingestion) or indirectly (through
wet/dry deposition processes soil/water surface)
after their exposure to wildlife. Animals can
suffer health-related problems after their expos-
ure, with sufcient levels of air pollutants. Air
pollutants are responsible for birth defects, repro-
ductive failure, and disease in animals. A study
examined the relationship between biodiversity
and economic growth using an indicator of spe-
cies diversity and per capita income (Grossman
and Krueger, 1995; AsafuAdjaye, 2003), which
indicated that economic growth has adverse im-
pact on biodiversity. The countries with high
agricultural output are found to have compara-
tively higher biodiversity loss and this can be due
to faulty agricultural practices (Asafu-Adjaye,
2003) or other human interventions in eco-
logical systems.
7.6 Conclusion
Rapid urbanization and industrialization increases
pollution loads in the ambient atmosphere.
Local, regional and transported pollutants are
all responsible for the pollution level. The high
level of air pollutants may cause environmen-
tal problems such as acid rain, eutrophica-
tion, haze, ozone depletion and global climate
change. Apart from environmental problems,
the health of wildlife and human life has also
been severely affected by increasing air pollu-
tion, which causes various health-related prob-
lems, especially respiratory diseases including
asthma, bronchitis and diseases related to the
heart. GHG emissions from all over the world
have severely affected climate change for the
last few decades. The US and Canada, along
with some developing countries, are taking
preventive measures to reduce the global emis-
sion budget of GHGs.
Air pollutants affect every economy differ-
ently as the sources of each pollutant and demo-
graphic factors may vary from place to place.
Therefore, no-size-ts-all should be the motto
while policy making. Innovation policies can im-
prove the environmental quality. The policies
should be addressed to reduce the economic cost
of air pollution for the long term.
As also pointed out in Meadows et al.
(1972), it is possible to stabilize ecological and
economic conditions, and global equilibrium
can be designed to fulfil the ‘needs’ of each
person, so that each has equal opportunity to
realize his/her individual human potential.
Moreover, it is also crucial to realize the car-
rying capacity of our Earth system. It is de-
pendent on preferences, technology, structure
of production and consumption and an ever-
changing state of interactions between the
physical and biotic environment. Thus, it is
important to protect the capacity of ecological
systems to sustain welfare of all socioeconomic
groups (Arrow et al., 1995).
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