A study published in Cancer, Research, Biomarkers & Prevention showed that children exposed to high levels of a chemical called napthalene that is found it mothballs causes chromosomal damage and puts them at an increased risk for cancer. It is also found in car exhaust, tobacco smoke, paints, and cooking, especially barbequing.
This study looked at 113 kids aged 5 years and measured the breakdown products of napthalene in their urine and found that 30 had chromosomal aberrations and 11 had translocation, which is far more dangerous.