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Sample Selection In The Estimation Of Air Bag And Seat Belt Effectiveness

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Author Info
Steven D. Levitt
Jack Porter

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Abstract

Because data are collected for only fatal crashes, it is difficult to accurately measure seat belt and air bag effectiveness. The use of safety devices influences survival rates which in turn determine whether a crash is included in the sample, leading to sample selection bias. We propose a simple solution to the selection problem: limiting the sample to crashes in which someone in a different vehicle dies. Empirically, we find seat belts more effective and air bags to be less effective than previously found. The cost per life saved through seat belts is approximately $30,000, compared to $1.8 million for air bags. © 2001 by the President and Fellows of Harvard College and the Massachusetts Institute of Technolog

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Publisher Info
Article provided by MIT Press in its journal The Review of Economics and Statistics.

Volume (Year): 83 (2001)
Issue (Month): 4 (November)
Pages: 603-615
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Handle: RePEc:tpr:restat:v:83:y:2001:i:4:p:603-615

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Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
  1. Christopher J. Ruhm, 1995. "Alcohol Policies and Highway Vehicle Fatalities," NBER Working Papers 5195, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
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  2. Heckman, James J, 1979. "Sample Selection Bias as a Specification Error," Econometrica, Econometric Society, vol. 47(1), pages 153-61, January. [Downloadable!] (restricted)
  3. Lave, Charles & Elias, Patrick, 1997. "Resource Allocation in Public Policy: The Effects of the 65-MPH Speed Limit," Economic Inquiry, Oxford University Press, vol. 35(3), pages 614-20, July.
  4. Michael Grossman & Frank J. Chaloupka & Henry Saffer & Adit Laixuthai, 1994. "Effects of Alcohol Price Policy on Youth," NBER Working Papers 4385, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
  5. Steven D. Levitt & Jack Porter, 1999. "Estimating the Effect of Alcohol on Driver Risk Using Only Fatal Accident Statistics," NBER Working Papers 6944, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
  6. Imbens, Guido W & Angrist, Joshua D, 1994. "Identification and Estimation of Local Average Treatment Effects," Econometrica, Econometric Society, vol. 62(2), pages 467-75, March. [Downloadable!] (restricted)
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  7. Saffer, Henry & Grossman, Michael, 1987. "Drinking Age Laws and Highway Mortality Rates: Cause and Effect," Economic Inquiry, Oxford University Press, vol. 25(3), pages 403-17, July.
  8. Heckman, James J. & Lalonde, Robert J. & Smith, Jeffrey A., 1999. "The economics and econometrics of active labor market programs," Handbook of Labor Economics, in: O. Ashenfelter & D. Card (ed.), Handbook of Labor Economics, edition 1, volume 3, chapter 31, pages 1865-2097 Elsevier. [Downloadable!] (restricted)
  9. Peltzman, Sam, 1975. "The Effects of Automobile Safety Regulation," Journal of Political Economy, University of Chicago Press, vol. 83(4), pages 677-725, August. [Downloadable!] (restricted)
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Cited by:
(explanations, Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.)

  1. Parry, Ian, 2003. "Comparing Alternative Policies to Reduce Traffic Accidents," Discussion Papers dp-03-07, Resources For the Future. [Downloadable!]
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  2. Alma Cohen & Rajeev Dehejia, 2003. "The Effect of Automobile Insurance and Accident Liability Laws in Traffic Fatalities," NBER Working Papers 9602, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
    Other versions:
  3. Clifford Winston & Vikram Maheshri & Fred Mannering, 2006. "An exploration of the offset hypothesis using disaggregate data: The case of airbags and antilock brakes," Journal of Risk and Uncertainty, Springer, vol. 32(2), pages 83-99, March. [Downloadable!] (restricted)
  4. Henrik Andersson, 2005. "The Value of Safety as Revealed in the Swedish Car Market: An Application of the Hedonic Pricing Approach," Journal of Risk and Uncertainty, Springer, vol. 30(3), pages 211-239, May. [Downloadable!] (restricted)
  5. Makowsky, Michael & Thomas, Stratmann, 2008. "More Tickets, Fewer Accidents: How Cash-Strapped Towns Make for Safer Roads," MPRA Paper 14360, University Library of Munich, Germany. [Downloadable!]
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