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A Distributional Analysis Of The Costs Of Foodborne Illness: Who Ultimately Pays?

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  • Golan, Elise H.
  • Ralston, Katherine L.
  • Frenzen, Paul D.

Abstract

This paper traces the economic impact of the costs of foodborne illness on the U.S. economy using a Social Accounting Matrix (SAM) framework. Previous estimates of the costs of seven foodborne pathogens are disaggregated by type, and distributed across the population using data from the National Health Interview Survey. Initial income losses resulting from premature death cause a decrease in economic activity. Medical costs, in contrast, result in economic growth, though this growth does not outweigh the total costs of premature death. A SAM accounting of how the costs of illness are diffused through the economy provides useful information for policy makers.

Suggested Citation

  • Golan, Elise H. & Ralston, Katherine L. & Frenzen, Paul D., 1998. "A Distributional Analysis Of The Costs Of Foodborne Illness: Who Ultimately Pays?," Journal of Agricultural and Applied Economics, Southern Agricultural Economics Association, vol. 30(1), pages 1-13, July.
    • Handle: RePEc:ags:joaaec:15097
    DOI: 10.22004/ag.econ.15097
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    1. Buzby, Jean C. & Roberts, Tanya & Lin, Chung-Tung Jordan & MacDonald, James M., 1996. "Bacterial Foodborne Disease: Medical Costs and Productivity Losses," Agricultural Economic Reports 33991, United States Department of Agriculture, Economic Research Service.
    2. Buzby, Jean C. & Roberts, Tanya, 1995. "ERS Estimates U. S. Foodborne Disease Costs," Food Review/ National Food Review, United States Department of Agriculture, Economic Research Service, vol. 18(2), May.
    3. Landefeld, J.S. & Seskin, E.P., 1982. "The economic value of life: linking theory to practice," American Journal of Public Health, American Public Health Association, vol. 72(6), pages 555-566.
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    1. Oger, Raphaelle & Woods, Timothy A. & Jean-Albert, Pierre & Allan, Daniel, 2001. "Food Safety in the U.S. Fruit and Vegetable Industry: Awareness and Management Practices of Producers in Kentucky," Staff Papers 37867, University of Kentucky, Department of Agricultural Economics.
    2. Kuchler, Fred & Golan, Elise H., 1999. "Assigning Values To Life: Comparing Methods For Valuing Health Risks," Agricultural Economic Reports 34037, United States Department of Agriculture, Economic Research Service.
    3. Frenzen, Paul D. & Buzby, Jean C. & Rasco, Barbara, 2001. "Product Liability And Microbial Foodborne Illness," Agricultural Economic Reports 34059, United States Department of Agriculture, Economic Research Service.

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