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Hedonic adaptation to treatment: Evidence from a medical intervention

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  • Marta Barazzetta
  • Simon Appleton
  • Trudy Owens

Abstract

We investigate adaptation of subjective well-being using a randomised controlled trial. We find that providing medical equipment to a random sample of Ugandan adults with lower limb disabilities has a positive effect on their physical health, using both objective and self-reported measures. Treated patients experience a significant improvement in life satisfaction initially, but the effect is not prolonged. After one year, life satisfaction returns to the pre-treatment level. This evidence of adaptation is supported by observations of changes in reference levels and is robust to alternative estimation methods including instrumental variable estimation and intention-to-treat analysis.

Suggested Citation

  • Marta Barazzetta & Simon Appleton & Trudy Owens, 2015. "Hedonic adaptation to treatment: Evidence from a medical intervention," Discussion Papers 2015-08, University of Nottingham, CREDIT.
    • Handle: RePEc:not:notcre:15/08
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    Keywords

    Happiness; adaptation; health;
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