Savings from health benefits dwarf the estimated $14 billion cost of a cap-and-trade program. At the other end of the spectrum, a transportation policy with rigid fuel-economy requirements is the most expensive policy, costing more than $1 trillion in 2006 dollars, with health benefits recouping only a quarter of those costs. The price tag of a clean energy standard fell between the costs of the two other policies, with associated health benefits just edging out costs, at $247 billion versus $208 billion.
"If cost-benefit analyses of climate policies don't include the significant health benefits from healthier air, they dramatically underestimate the benefits of these policies," says lead author Tammy Thompson, now at Colorado State University, who conducted the research as a postdoc in Selin's group.
Most detailed assessment to date
The study is the most detailed assessment to date of the interwoven effects of climate policy on the economy, air pollution, and the cost of health problems related to air pollution. The MIT group paid especially close attention to how changes in emissions caused by policy translate into improvements in local and regional air quality, using comprehensive models of both the economy and the atmosphere.
In addition to carbon dioxide, burning fossil fuels releases a host of other chemicals into the atmosphere. Some of these substances interact to form ground-level ozone, as well as fine particulate matter. The researchers modeled where and when these chemical reactions occurred, and where the resulting pollutants ended up in cities where many people would come into contact with them, or in less populated areas.
The researchers projected the health effects of ground-level ozone and fine particulate matter, two of the biggest health offenders related to fossil
|Contact: Andrew Carleen|
Massachusetts Institute of Technology