Environmental Externality and Well-Being: A Micro-Level Approach with a Focus on Gujarat

Abstract

This chapter deals with the micro-level approach to find the impact of industrial pollution on the well-being of the local people living at a radius of 10 km from industrial location. The chapter presents the results of the survey conducted for two industries of Gujarat. After giving an overview of the selected area and sample characteristics, the chapter focuses on the household’s awareness about industrial emissions, respondent’s opinion about the impact of industrial pollution on agricultural productivity, livestock and human health and, finally, the estimation results. Since the impact of pollution on society varies according to socio-economic and industry-based factors, the variables related to demographic characteristics, occupational structure, educational and housing status and agricultural status of the household as well as pollution-related variables were taken into consideration.