Also, it's not as if this is not a major area of economics. Externalities are a well-known problem, one of the biggest economic problems of our times, and it's precisely all about how hiding the bill doesn't remove the cost. Economists study these things a lot. Governments base a lot of decisions on this. This is entirely a choice. The choice of paying more for worse outcomes, seemingly on nothing more than being unable to admit having made a catastrophic series of mistakes while being perfectly willing to throw millions of people in the trash in the process.
en.wikipedia.org