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Willingness to pay for improving fatality risks and asthma symptoms: Values for children and adults of all ages

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  • Blomquist, Glenn C.
  • Dickie, Mark
  • O'Conor, Richard M.

Abstract

We examine effects of age on valuation of mortality and morbidity risks using a two-stage contingent valuation survey and a sample including parents of children aged 4-17 years and adults aged 18-92. The survey used a hypothetical improved asthma therapy to elicit (1) tradeoffs between asthma control and fatality risk, (2) willingness to pay (WTP) for reduced fatality risk, and (3) WTP for asthma control. The mean value of statistical life (VSL) at average age is $3.8M, but age affects VSL and nonlinearly. Estimated VSL is highest at age four ($14.1M), falls until age 30 ($3.7M), rises until age 66 ($6.7M), and then falls to $1.5M by age 92. Results from the wide age range considered may partly reconcile apparently conflicting results from previous studies focused on narrower age ranges. The value of asthma control is not as strongly related to age as VSL and ranges from $1700 to $4000 annually.

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  • Blomquist, Glenn C. & Dickie, Mark & O'Conor, Richard M., 2011. "Willingness to pay for improving fatality risks and asthma symptoms: Values for children and adults of all ages," Resource and Energy Economics, Elsevier, vol. 33(2), pages 410-425, May.
    • Handle: RePEc:eee:resene:v:33:y:2011:i:2:p:410-425
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    9. Aldy, Joseph E. & Smyth, Seamus J., 2014. "Heterogeneity in the Value of Life," RFF Working Paper Series dp-14-13, Resources for the Future.
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    13. Kniesner, Thomas J. & Viscusi, W. Kip, 2024. "A Tale of the Tails: The Value of a Statistical Life at the Tails of the Age Distribution," IZA Discussion Papers 16867, Institute of Labor Economics (IZA).
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    19. Han, Ahram & Ten, Gi Khan & Wang, Shun, 2023. "Gray skies and blue moms: The effect of air pollution on parental life satisfaction," World Development, Elsevier, vol. 163(C).
    20. Carla Guerriero & John Cairns & Fabrizio Bianchi & Liliana Cori, 2016. "Are Children Rational Decision Makers when they are Asked to Value their own Health? A Contingent Valuation Study Conducted with Children and their Parents," CSEF Working Papers 448, Centre for Studies in Economics and Finance (CSEF), University of Naples, Italy.
    21. Ketcham, Jonathan & Kuminoff, Nicolai & Saha, Nirman, 2023. "Valuing Statistical Life Using Seniors' Medical Spending," RFF Working Paper Series 23-16, Resources for the Future.
    22. Irene Mussio & Sylvia Brandt & Michael Hanemann, 2021. "Parental beliefs and willingness to pay for reduction in their child's asthma symptoms: A joint estimation approach," Health Economics, John Wiley & Sons, Ltd., vol. 30(1), pages 129-143, January.
    23. Juleen Lam & Erica Koustas & Patrice Sutton & Amy M Padula & Michael D Cabana & Hanna Vesterinen & Charles Griffiths & Mark Dickie & Natalyn Daniels & Evans Whitaker & Tracey J Woodruff, 2021. "Exposure to formaldehyde and asthma outcomes: A systematic review, meta-analysis, and economic assessment," PLOS ONE, Public Library of Science, vol. 16(3), pages 1-44, March.
    24. Jones, Benjamin A. & Berrens, Robert P. & Jenkins-Smith, Hank & Silva, Carol & Ripberger, Joe & Carlson, Deven & Gupta, Kuhika & Wehde, Wesley, 2018. "In search of an inclusive approach: Measuring non-market values for the effects of complex dam, hydroelectric and river system operations," Energy Economics, Elsevier, vol. 69(C), pages 225-236.

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