Dirty money: Is there a wage premium for working in a pollution intensive industry?

Research output: Contribution to journalArticle


Colleges, School and Institutes


Within a compensating wage differential framework we investigate whether there is a wage premium for working in a pollution intensive industry. Our results for the economy as a whole suggest a small wage premium of approximately one quarter of one percent associated with the risk of working in a dirty job. This premium rises to over fifteen percent for those individuals who work in one of the five dirtiest industries. We also find evidence of a fatal risk wage premium, providing estimates of the value of a statistical life of between A 12 pound million and A 19 pound million (2000 prices).


Original languageEnglish
Pages (from-to)161-180
Number of pages20
JournalJournal of Risk and Uncertainty
Issue number2
Publication statusPublished - 1 Oct 2009


  • Value of statistical life, Compensating wage differentials, Pollution