Productivity effects of air pollution: Evidence from professional soccer

We estimate the causal effect of ambient air pollution on individual productivity using panel data on the universe of professional soccer players in Germany over the period from 1999 to 2011 matched to hourly information on the concentration of particulate matter near each stadium at the time of kick-off. We exploit exogenous variation in players' exposure to air pollution due to match scheduling rules that are beyond the control of teams and players. The results of our analysis reveal statistically significant negative effects of air pollution on players' productivity, measured by the total number of passes per match. Allowing for a non-linear dose-response relationship further reveals that our findings are not driven by extreme levels of air pollution. Rather, negative effects already emerge at moderate levels.