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The Economic Benefits of Air Quality Improvements in Arctic Council Countries

image of The Economic Benefits of Air Quality Improvements in Arctic Council Countries

The Arctic is a vital region that helps preserve the balance of the global climate. The Arctic environment is particularly sensitive to short-lived climate pollutants, including black carbon, due to their strong warming effect. With ambitious policy action to reduce air pollutants, Arctic Council countries would obtain a positive effect on health and the environment throughout their territory, while also helping to slow down climate change by reducing emissions of black carbon. This report calls for ambitious policy action to reduce air pollution in Arctic Council countries, highlighting the environmental, health, and economic benefits from policy action.

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Economic consequences of air pollution policies

This chapter presents the economic consequences of air pollution policies including both macroeconomic and welfare effects. The macroeconomic effects cover the benefits from reduced air pollution and the costs of the policy-induced deployment of best available techniques. These effects are presented in terms of GDP and with a breakdown of costs and benefits by region. The chapter also estimates the economic impacts of welfare improvements arising from improved health, specifically lower mortality and morbidity.

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