Can Markets Save Lives? An Experimental Investigation of a Market for Organ Donations
AbstractMany people die while waiting for organ transplants even though the number of usable organs is far larger than the number needed for transplant. Governments have devised many policies aimed at increasing available transplant organs with variable success. However, with few exceptions, policy makers are reluctant to establish markets for organs despite the potential for mutually beneficial exchanges. We ask whether organ markets could save lives. Controlled laboratory methods are ideal for this inquiry because human lives would be involved when implementing field trials. Our results suggest that markets can increase the supply of organs available for transplant, but that the specific institutional design of such markets must be carefully considered. However, the increased supply of transplantable organs derives disproportionately from the poor. We also find that exogenously reducing incentives to keep one’s organs has a similar effect to creating a market, but with equitable donation rates across income levels.
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Bibliographic InfoPaper provided by Chapman University, Economic Science Institute in its series Working Papers with number 10-16.
Length: 37 pages
Date of creation: 2010
Date of revision:
Organ Donations; Wealth Effects; Market Design; Experimental Economics;
Find related papers by JEL classification:
- C9 - Mathematical and Quantitative Methods - - Design of Experiments
- D6 - Microeconomics - - Welfare Economics
- I1 - Health, Education, and Welfare - - Health
- J1 - Labor and Demographic Economics - - Demographic Economics
- L1 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance
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