The utility of health and wealth.

Abstract:

:Tradeoffs between health and wealth are among the most important decisions individuals make, and are central to social and economic policy. Yet, only a few studies have investigated the utility of health and wealth empirically. This paper investigates this utility function both theoretically and empirically. We conduct detailed personal interviews with 180 cancer patients, and also obtain questionnaires from 132 diabetes patients. We find strong support for the utility function U(h, w)=h·log(w), where h denotes health and w denotes wealth.

journal_name

J Health Econ

authors

Levy M,Nir AR

doi

10.1016/j.jhealeco.2012.02.003

subject

Has Abstract

pub_date

2012-03-01 00:00:00

pages

379-92

issue

2

eissn

0167-6296

issn

1879-1646

pii

S0167-6296(12)00010-0

journal_volume

31

pub_type

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