by 
The Curious Bag
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Mothballs are a pest-control product made with either naphthalene or paradichlorobenzene, both of which are toxic. Keep these pungent little balls far out of reach of children and pets.
Function
Mothballs kill clothes moths and larvae, and some manufacturers claim they are also effective against carpet beetles.
Misconceptions
Many people recommend the use of mothballs to control other sorts of pests, including fleas, mice and squirrels. Though toxic to these animals, mothballs should only be used in an airtight container to control clothes moths.
Effects
Prolonged exposure to mothballs can cause vomiting, blood in your urine, diarrhea and jaundice.
Considerations
To use a product in a manner contrary to its use as stated on the label is illegal. Leaving mothballs in your attic may fill the house with a noxious smell and cause serious health problems for members of your household.
Prevention/Solution
Whatever pests you are trying to control, there are products designed to get rid of them---it's just a matter of finding the right tool for the job.
Source:
National Pesticide Information Center: Proper Use and Alternatives of Mothballs
More Information:
Pesticides in Indoor Air of Homes
Environmental Protection Agency: Resources for Pest Management
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