In this paper we study the effects of three large, nearly-simultaneous coal-fired power plant closures on school absences in Chicago. We find that the closures resulted in a 7 percent reduction in absenteeism in nearby schools relative to those farther away following the closures. For the typical elementary school in our sample, this translates into around 372 fewer absence-days per year in the aggregate, or around 0.71 fewer annual absences per student. We find that reductions in absences were larger in schools where pre-closure exposure to coal-fired power plants was more intense: namely, schools with low levels of air conditioning, schools more frequently in the wind path of the plants, and non-magnet (i.e., neighborhood) schools where students were more likely to live nearby. To explore potential mechanisms responsible for these absence reductions we investigate the effects of the closures on housing values and children’s respiratory health. We do not find statistical evidence of endogenous migration into neighborhoods near the coal-fired power plants following the closures but do find declines in emergency department visits for asthma-related conditions among school-age children.
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