TY - RPRT AU - Johnsen, Reid AU - LaRiviere, Jacob AU - Wolff, Hendrik TI - Estimating Indirect Benefits: Fracking, Coal and Air Pollution PY - 2016/Aug/ PB - Institute of Labor Economics (IZA) CY - Bonn T2 - IZA Discussion Paper IS - 10170 UR - https://www.iza.org/publications/dp10170 AB - This paper estimates indirect benefits of improved air quality induced by hydraulic fracturing, or "fracking". The recent increase in natural gas supply led to displacement of coal-fired electricity by cleaner natural gas-fired generation. Using detailed spatial panel data comprising the near universe of US power plants, we find that coal generation decreased by 28%. Further, fracking decreased local air pollution by an average of 4%. We show that benefits vary geographically; air pollution levels decreased by 35% in the most affected region. Back of the envelope calculations imply accumulated health benefits of roughly $17 billion annually. KW - fracking KW - coal-fired power plants KW - air pollution KW - health KW - electricity ER -