The relationship between the environment and human life has long been considered by researchers. Technological growth in the last century, by the intensification of natural resources usage, led to environmental degradation, and thus the importance of recognizing the relationship between human life and the environment has doubled. The present dissertation is organized in three chapters, in each of which we investigate the impacts of a dimension of environmental degradation on human well-being.In the first chapter, we investigate the effect of drought on expenditure and income per capita of Iranian households. To do this, we combine the expenditure and income data of more than 600,000 urban...