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Balancing Environment and Growth: Dams, Air Pollution, and Trade Effects in Southeast Asia
- Vu, Ha Dieu
- Advisor(s): Zivin, Joshua G
Abstract
The first chapter examines how upstream dam construction impacts freshwater levels downstream, affecting salinity intrusion and agricultural productivity in the delta. The study combines historical records of dam construction on the Mekong River, water level observations, and agricultural productivity statistics, with satellite data as proxies for salinity index and vegetation coverage. The findings show that increased reservoir capacity significantly reduces downstream freshwater discharge, decreases rice yield, and intensifies saltwater intrusion, while annual electricity output partially mitigates these effects. These impacts are most severe during dry seasons and closer to the shore. Two mechanisms are identified: the disruptive but temporary "filling effect" in the first year post-dam completion, and the persistent, smaller "operational effect" over time.
The second chapter explores the relationship between air pollution and individuals' risk preferences and decision-making behaviors, utilizing remote sensing data on global air pollution and data from the Indonesia Family Life Survey. By matching individual characteristics with pollution levels (Mass Concentration and Aerosol Optical Thickness) on their interview day, preliminary results show that higher dust and PM2.5 levels increase risk aversion. Additionally, increased exposure to SO4 over the previous 30 days also heightens risk aversion.
The third chapter analyzes labor market changes in response to export shocks, incorporating supply chain spillovers. Using trade data from UN COMTRADE, input-output tables from GTAP, and Vietnam's Labor Force Survey (2010-2019), we calculated each worker's total exposure to export changes. This includes direct exposure (changes in their own industry's exports) and indirect exposure (changes in other industries using outputs from their industry as inputs). We find that both direct and indirect export exposures significantly increase wages, boost employment rates, and reduce inactivity. The college premium decreases and the gender wage gap narrows, indicating improved equality. Wage gains are most significant for the lowest income workers, and employment gains are concentrated among unskilled workers, while the employment rate falls for skilled workers.
Main Content
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