The location of polluting facilities in low-income neighborhoods and communities of color has severe economic and health consequences. These marginalized areas suffer from higher rates of asthma, heart attacks, and premature death, perpetuating poverty and limiting opportunities across generations. This injustice has far-reaching effects, as highlighted by the COVID-19 pandemic, exposing the interconnectedness of environmental and health disparities.

The environmental justice movement, which emerged in the 1980s, shed light on the link between pollution, race, and poverty. An illustrative case was the 1978 illegal dumping of hazardous chemicals in North Carolina, where a landfill was placed in a predominantly black and impoverished area, despite protests. Subsequent academic research has delved into the correlations between environmental injustices and various measures, revealing inefficiencies resulting from discrimination.

From an economic perspective, environmental justice is vital because it examines how environmental discrimination leads to market inefficiencies. While equity is essential, economics focuses on efficiency and serves as a tool for policymakers and society to enhance decision-making and rectify market failures. The multifaceted nature of environmental injustice demands comprehensive solutions.

Climate justice further emphasizes the need for equitable distribution of the burdens and benefits of climate change resolution, promoting fairness between and within generations. Climate change exacerbates challenges faced by those impacted by environmental injustices.

Rob Verchick and Ed Barbier join Hot Bernice Butler unpack the economic implications of environmental and climate justice at the nexus of health.