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Monetary Values for Air Pollution Risk of Death: A Contingent Valuation Survey

Author

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  • Olivier Chanel

    (GREQAM - Groupement de Recherche en Économie Quantitative d'Aix-Marseille - EHESS - École des hautes études en sciences sociales - AMU - Aix Marseille Université - ECM - École Centrale de Marseille - CNRS - Centre National de la Recherche Scientifique)

  • Stephane Luchini

    (GREQAM - Groupement de Recherche en Économie Quantitative d'Aix-Marseille - EHESS - École des hautes études en sciences sociales - AMU - Aix Marseille Université - ECM - École Centrale de Marseille - CNRS - Centre National de la Recherche Scientifique)

Abstract

In this paper, we extend the individual dynamic model of life-time resource allocation to assess the monetary value given to the increase in survival probabilities of every member of a household induced by improved air quality. We then interpret this monetary value as a flow of Value of Life Years Lost (VOLY), and estimate the corresponding Value of a Prevented Fatality (VPF) for different ages and different household members. Using French contingent valuation data on air pollution, we estimate a mean VOLY of Euros 150,000 and a mean VPFof Euros 2.15 million. In addition, we find an inverse U-shaped relationship between age and VPF.

Suggested Citation

  • Olivier Chanel & Stephane Luchini, 2008. "Monetary Values for Air Pollution Risk of Death: A Contingent Valuation Survey," Working Papers halshs-00272776, HAL.
    • Handle: RePEc:hal:wpaper:halshs-00272776
    Note: View the original document on HAL open archive server: https://shs.hal.science/halshs-00272776
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    Citations

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    Cited by:

    1. Guignet, Dennis & Alberini, Anna, 2013. "Can Property Values Capture Changes in Environmental Health Risks? Evidence from a Stated Preference Study in Italy and the UK," Climate Change and Sustainable Development 156576, Fondazione Eni Enrico Mattei (FEEM).
    2. Dennis Guignet & Anna Alberini, 2015. "Can Property Values Capture Changes in Environmental Health Risks? Evidence from a Stated Preference Study in Italy and the United Kingdom," Risk Analysis, John Wiley & Sons, vol. 35(3), pages 501-517, March.
    3. Henrik Lindhjem & Ståle Navrud & Nils Axel Braathen & Vincent Biausque, 2011. "Valuing Mortality Risk Reductions from Environmental, Transport, and Health Policies: A Global Meta‐Analysis of Stated Preference Studies," Risk Analysis, John Wiley & Sons, vol. 31(9), pages 1381-1407, September.
    4. Gerardo Sanchez Martinez & Joseph V. Spadaro & Dimitris Chapizanis & Vladimir Kendrovski & Mihail Kochubovski & Pierpaolo Mudu, 2018. "Health Impacts and Economic Costs of Air Pollution in the Metropolitan Area of Skopje," IJERPH, MDPI, vol. 15(4), pages 1-11, March.

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