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The increase in economic activity, particularly in transport, leads to a significant increase in emissions of pollutants, such as ammonia, arsenic and cadmium, at the European Union (EU) level. This can seriously impact human health and, consequently, public health spending. Based on data from 15 European Union countries from 1992 to 2020, a panel co-integration approach is used to study these pollutants' short- and long-term co-movements and per capita health expenditure. The results show a long-term relationship between ammonia, arsenic and cadmium emissions and per capita health spending, as they are panel-cointegrated. Ammonia and cadmium emissions exert a statistically significant positive effect on health expenditure in the short run, and arsenic emissions have a statistically significant positive impact in the long run. The forecast assessment of reductions in health spending resulting from policies to reduce emissions of air, land and water pollutants, such as ammonia, arsenic and cadmium, from the transport sector supports investments in its policies that reduce pressure on health spending. The reduction in annual healthcare expenditure is greater when these reductions are made sooner and more severely. Indeed, varying the reduction in emissions for each pollutant by 10% and 100%, respectively, from the first year for all countries over a 3-year period results in an average annual reduction in health spending of 2.05% and 51.02%, respectively. However, if we wait until the third year, the annual reduction is only 0.77% and 17.63% respectively. • We examine the impact of emissions of pollutants, such as ammonia, arsenic and cadmium, on public health expenditure. • We use a panel cointegration approach based on data from 15 European Union countries from 1992 to 2020 to investigate short- and long-run co-movements. • We show that ammonia and cadmium emissions exert a statistically significant positive effect on health expenditure in the short run, and arsenic emissions have a statistically significant positive impact in the long run. • We evaluate the magnitude of the financial health costs of ammonia, arsenic, and cadmium emissions. • Stricter policies should be implemented to reduce pollutant emissions as soon as possible to decrease health expenditure. [ABSTRACT FROM AUTHOR]

In their efforts to affect regulations, firms have developed specific strategies to exploit scientific uncertainty. They have manufactured doubt by hiring and funding dissenting scientists, by producing and publicizing favorable scientific findings and by generally concealing their involvement in biased research. We propose a new model to study the interplay between scientific uncertainty, firms' miscommunication and public policies. The government is benevolent but populist, and maximizes social welfare as perceived by citizens. The industry can produce costly reports showing that its activity is not harmful. Citizens are unaware of the industry's miscommunication. We first characterize the industry's optimal miscommunication policy. The industry notably ceases miscommunicating abruptly when scientists' belief reaches a critical threshold. We identify a natural condition under which miscommunication is stronger under a tax on emissions than under command and control. We then analyze research funding. A populist government may support research to enable firms to falsely reassure citizens. Establishing an independent research agency helps limit the welfare losses induced by populist policies. [ABSTRACT FROM AUTHOR]