Analysis of the Effects of Air Pollution and Its Spatial Overflow on the Health Sector (Case Study: Neighboring Countries of Iran)

Document Type : Research Paper

Authors

1 PhD student in Department of Economics, Faculty of Law and Economics, Khomeinishahr Branch, Islamic Azad University, Khomeinishahr, Isfahan, Iran.

2 Department of Economics and Management, Shahid Beheshti University, Tehran, Iran.

3 Department of Health Economics, Faculty of Law and Economics, Khomeinishahr Branch, Islamic Azad University, Khomeinishahr, Iran.

10.22103/jdc.2025.23037.1470

Abstract

Objective: In the present study, the effect of air pollution and its spatial overflow on the costs of the health sector has been analyzed.
 
Method: The direct and indirect relationship between air pollution and health sector costs was evaluated with a spatial panel approach (spatial camera) due to its dynamic and spreading nature. In this regard, the information of 15 neighboring countries of Iran was used during the years 1990 to 2023.
 
Results: For every one percent increase in air pollution in each country, health costs increase by 0.27 percent on average in other countries. Also, the indirect effect of economic growth in each country has an average of 0.115% on the health sector costs of other countries. The indirect effect of human development is not statistically significant, which means that the level of this variable in each country only reduces the costs of the health sector in that country and has no effect on the costs of the health sector of other countries. Therefore, the results indicate the existence of regional overflows in the model.
 
Conclusion: The increase in air pollution not only has destructive effects on the health sector of each country, but also leads to an increase in health costs in neighboring countries. This phenomenon indicates inter-country communication and common challenges in the field of public health, which requires international cooperation to reduce pollution and improve health conditions at the regional level.

Keywords

Main Subjects


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Articles in Press, Accepted Manuscript
Available Online from 22 December 2025
  • Receive Date: 24 May 2024
  • Revise Date: 13 January 2025
  • Accept Date: 25 August 2025