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The intangible costs of overweight and obesity in Germany

Author

Listed:
  • Fan Meng

    (University of Hohenheim)

  • Peng Nie

    (University of Hohenheim
    Xi’an Jiaotong University
    IZA
    University of York)

  • Alfonso Sousa-Poza

    (University of Hohenheim
    IZA)

Abstract

Background Previous literature documents the direct and indirect economic costs of obesity, yet none has attempted to quantify the intangible costs of obesity. This study focuses on quantifying the intangible costs of one unit body mass index (BMI) increase and being overweight and obese in Germany. Methods By applying a life satisfaction-based compensation value analysis to 2002–2018 German Socio-Economic Panel Survey data for adults aged 18–65, the intangible costs of overweight and obesity are estimated. We apply individual income as a reference for estimating the value of the loss of subjective well-being due to overweight and obesity. Results The intangible costs of overweight and obesity in 2018 amount to 42,450 and 13,853 euros, respectively. A one unit increase in BMI induced a 2553 euros annual well-being loss in the overweight and obese relative to those of normal weight. When extrapolated to the entire country, this figure represents approximately 4.3 billion euros, an intangible cost of obesity similar in magnitude to the direct and indirect costs documented in other studies for Germany. These losses, our analysis reveals, have remained remarkably stable since 2002. Conclusions Our results underscore how existing research into obesity’s economic toll may underestimate its true costs, and they strongly imply that if obesity interventions took the intangible costs of obesity into account, the economic benefits would be considerably larger.

Suggested Citation

  • Fan Meng & Peng Nie & Alfonso Sousa-Poza, 2023. "The intangible costs of overweight and obesity in Germany," Health Economics Review, Springer, vol. 13(1), pages 1-10, December.
  • Handle: RePEc:spr:hecrev:v:13:y:2023:i:1:d:10.1186_s13561-023-00426-x
    DOI: 10.1186/s13561-023-00426-x
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    References listed on IDEAS

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    1. Martin Biewen & Martin Ungerer & Max Löffler, 2019. "Why Did Income Inequality in Germany Not Increase Further After 2005?," German Economic Review, Verein für Socialpolitik, vol. 20(4), pages 471-504, November.
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    4. Hamid R. Oskorouchi & Alfonso Sousa‐Poza, 2021. "Floods, food security, and coping strategies: Evidence from Afghanistan," Agricultural Economics, International Association of Agricultural Economists, vol. 52(1), pages 123-140, January.
    5. Timo Zumbro, 2014. "The Relationship Between Homeownership and Life Satisfaction in Germany," Housing Studies, Taylor & Francis Journals, vol. 29(3), pages 319-338, April.
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    Cited by:

    1. Lukas Leitner, 2024. "Imprecision in the Estimation of Willingness to Pay Using Subjective Well-Being Data," Journal of Happiness Studies, Springer, vol. 25(7), pages 1-40, October.

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