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Age Variations in Workers' Value of Statistical Life Author info | Abstract | Publisher info | Download info | Related research | Statistics Joseph E. Aldy
W. Kip Viscusi
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This paper develops a life-cycle model in which workers choose both consumption levels and job fatality risks, implying that the effect of age on the value of life is ambiguous. The empirical analysis of this relationship uses novel, age-dependent fatal and nonfatal risk variables. Workers' value of statistical life exhibits an inverted U-shaped relationship over workers' life cycle based on hedonic wage model estimates, age-specific hedonic wage estimates, and a minimum distance estimator. The value of statistical life for a 60-year old ranges from $2.5 million to $3.0 million -- less than half the value for 30 to 40-year olds.
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Paper provided by National Bureau of Economic Research, Inc in its series NBER Working Papers with number
10199.
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Date of creation: Jan 2004Date of revision:
Handle: RePEc:nbr:nberwo:10199Note: HE LS LEContact details of provider: Postal: National Bureau of Economic Research, 1050 Massachusetts Avenue Cambridge, MA 02138, U.S.A. Phone: 617-868-3900 Email: Web page: http://www.nber.org More information through EDIRC
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Find related papers by JEL classification: J17 - Labor and Demographic Economics - - Demographic Economics - - - Value of Life; Foregone Income I12 - Health, Education, and Welfare - - Health - - - Health Production
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references 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.)
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Other versions: Aldy, Joseph E. & Viscusi, W. Kip, 2006.
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Viscusi, W. Kip & Aldy, Joseph, 2006.
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