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Willingness-to-pay Against Dementia: Effects of Altruism Between Patients and Their Spouse Caregivers

Author

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  • Markus Koenig
  • Peter Zweifel

    (Socioeconomic Institute, University of Zurich)

Abstract

Objectives - Preferences of both Alzheimer patients and their spouse caregivers are related to a willingness-to-pay (WTP) measure which is used to test for the presence of mutual (rather than the conventional one-way) altruism. Methods - Identical contingent valuation interviews were conducted in 2000 - 2002 for 126 Alzheimer patients and their caregiving spouses living in the Zurich metropolitan area (Switzerland). We elicit WTP three hypothetical treatments of the demented patient. The treatment Stabilization prevents the worsening of the disease, bringing dementia to a standstill. Cure restores patient health to its original level. In No burden, dementia takes its normal course while caregiver�s burden is reduced to its level before the disease. Results - Different characteristics of therapies are reflected in differences in WTP values. Accepting WTP values as expression of preferences, one finds that patients do not rank Cure higher than No burden; implying that their WTP is entirely altruistic. Caregiving spouses rank Cure before Burden, some 40 percent of their WTP reflecting an altruistic motive again. Discussion - The evidence suggests that WTP values are reliable measures of subjective preferences even in Alzheimer patients. Using this indicator, it is found that only caregivers have extra WTP for Cure, implying that curing dementia has value exclusively to them.

Suggested Citation

  • Markus Koenig & Peter Zweifel, 2004. "Willingness-to-pay Against Dementia: Effects of Altruism Between Patients and Their Spouse Caregivers," SOI - Working Papers 0411, Socioeconomic Institute - University of Zurich.
    • Handle: RePEc:soz:wpaper:0411
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    References listed on IDEAS

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    Cited by:

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    2. Helga Fehr-Duda & Adrian Bruhin & Thomas Epper & Renate Schubert, 2010. "Rationality on the rise: Why relative risk aversion increases with stake size," Journal of Risk and Uncertainty, Springer, vol. 40(2), pages 147-180, April.
    3. Li-Wei Chao & José A. Pagán & Beth J. Soldo, 2008. "End-of-Life Medical Treatment Choices: Do Survival Chances and Out-of-Pocket Costs Matter?," Medical Decision Making, , vol. 28(4), pages 511-523, July.
    4. Halbheer, Daniel & Fehr, Ernst & Goette, Lorenz & Schmutzler, Armin, 2009. "Self-reinforcing market dominance," Games and Economic Behavior, Elsevier, vol. 67(2), pages 481-502, November.
    5. Mark Oremus & Jean-Eric Tarride & Eleanor Pullenayegum & Natasha Clayton & Parminder Raina, 2013. "Patients’ Willingness-to-Pay for an Alzheimer’s Disease Medication in Canada," The Patient: Patient-Centered Outcomes Research, Springer;International Academy of Health Preference Research, vol. 6(3), pages 161-168, September.
    6. Mark Oremus & Jean-Eric Tarride & Parminder Raina & Lehana Thabane & Gary Foster & Charlie Goldsmith & Natasha Clayton, 2012. "The General Public’s Willingness to Pay for Tax Increases to Support Unrestricted Access to an Alzheimer’s Disease Medication," PharmacoEconomics, Springer, vol. 30(11), pages 1085-1095, November.

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    More about this item

    Keywords

    Alzheimer's Disease; dementia; willingness-to-pay; altruism;
    All these keywords.

    JEL classification:

    • I12 - Health, Education, and Welfare - - Health - - - Health Behavior
    • D13 - Microeconomics - - Household Behavior - - - Household Production and Intrahouse Allocation

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