The social costs of alcohol abuse in New Zealand.
OBJECTIVE
This study updates and extends previous New Zealand research on the social costs of alcohol abuse.


METHODS
This economic cost study used the human capital approach.


METHODS
New Zealand, 1991.


METHODS
The total New Zealand population.


METHODS
The estimated cost of alcohol abuse for 1 year included direct and indirect costs. Costs such as lost production resulting from premature death and sickness, reduced working efficiency and excess unemployment comprised indirect costs. Direct costs included hospital costs, accident compensation payments, police and justice system costs. A range of social cost estimates was constructed based on various prevalence rates of alcohol abuse, discount rates for lost production and the excess unemployment rate.


RESULTS
Using a range of assumptions regarding the proportion of each event attributable to alcohol, the sum of social costs ranged from $1045 million to $4005 million in 1991. The direct costs ranged from $341 million to $589 million, respectively.


CONCLUSIONS
While providing an indication of the societal impact of alcohol abuse, these costs pertain to a relatively narrow range of alcohol-related effects. The paper identifies a number of areas where further research is required.
Devlin
N J
NJ
Economics Department, University of Otago, Dunedin, New Zealand.
Scuffham
P A
PA
Bunt
L J
LJ
D000437:Alcoholism / Q000191:economics*; D017281:Cost of Illness; D004526:Efficiency; D017048:Health Care Costs; D017721:Hospital Costs; D006801:Humans; D007221:Industry / Q000191:economics; D009520:New Zealand; D011593:Psychology, Social