IDEAS home Printed from https://ideas.repec.org/a/ucp/renvpo/doi10.1093-reep-reaa006.html
   My bibliography  Save this article

Using Revealed Preference Methods to Estimate the Value of Reduced Mortality Risk: Best Practice Recommendations for the Hedonic Wage Model

Author

Listed:
  • Mary F. Evans
  • Laura O. Taylor

Abstract

The hedonic wage model provides a key input into benefit–cost analyses of public policies that are aimed at reducing mortality risks: an estimate of the value of reduced mortality risk (VRMR), also known as the value of a statistical life. Because a large majority of the benefits associated with policies that improve air quality stem from mortality risk reductions, estimates of the VRMR play an exceptionally important role. The use of VRMR estimates from hedonic wage studies in benefit–cost analyses of environmental policies is not without controversy. This article reviews the use and importance of the VRMR in environmental regulation and policy and summarizes the major shortcomings of existing VRMR estimates derived from hedonic wage models. We propose a set of best practices for estimating and reporting VRMR estimates using the hedonic wage framework

Suggested Citation

  • Mary F. Evans & Laura O. Taylor, 2020. "Using Revealed Preference Methods to Estimate the Value of Reduced Mortality Risk: Best Practice Recommendations for the Hedonic Wage Model," Review of Environmental Economics and Policy, University of Chicago Press, vol. 14(2), pages 282-301.
    • Handle: RePEc:ucp:renvpo:doi:10.1093/reep/reaa006
    DOI: 10.1093/reep/reaa006
    as

    Download full text from publisher

    File URL: http://dx.doi.org/10.1093/reep/reaa006
    Download Restriction: Access to the online full text or PDF requires a subscription.
    File URL: http://dx.doi.org/10.1093/reep/reaa006
    Download Restriction: Access to the online full text or PDF requires a subscription.
    File URL: https://libkey.io/10.1093/reep/reaa006?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Kuminoff, Nicolai V. & Mathes, Sophie M., 2024. "Residential sorting, local environments, and human capital," Regional Science and Urban Economics, Elsevier, vol. 107(C).
    2. Kathleen Segerson & Catherine L. Kling & Nancy E. Bockstael, 2022. "Contributions of women at the intersection of agricultural economics and environmental and natural resource economics," Applied Economic Perspectives and Policy, John Wiley & Sons, vol. 44(1), pages 38-53, March.
    3. Bishop, Kelly C. & Kuminoff, Nicolai V. & Mathes, Sophie M. & Murphy, Alvin D., 2024. "The marginal cost of mortality risk reduction: Evidence from housing markets," Journal of Urban Economics, Elsevier, vol. 139(C).
    4. James Macaskill & Patrick Lloyd‐Smith, 2022. "Six decades of environmental resource valuation in Canada: A synthesis of the literature," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 70(1), pages 73-89, March.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ucp:renvpo:doi:10.1093/reep/reaa006. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Journals Division (email available below). General contact details of provider: https://www.journals.uchicago.edu/REEP .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.