Cell therapy utilizing mesenchymal stem cells (MSCs) that feature paracrine activities, may stimulate endogenous stem cells, assisting them in differentiating into alveolar epithelium, thereby leading to lung damage repair and to improved pulmonary function. MSCs secrete multiple paracrine factors such as growth factors, factors regulating endothelial and epithelial permeability, and anti-inflammatory cytokines, which can also be beneficial to lung repair due to emphysema.