title: The value of mortality risk reductions. Pure altruism - a confounder?
abstract: This paper examines public valuations of mortality risk reductions. We set up a theoretical framework that allows for altruistic preferences, and subsequently test theoretical predictions through the design of a discrete choice experiment. By varying the tax scenario (uniform versus individual tax), the experimental design allows us to verify whether pure altruistic preferences are present and the underlying causes. We find evidence of negative pure altruism. Under a coercive uniform tax system respondents lower their willingness to pay possibly to ensure that they are not forcing others to pay at a level that corresponds to their own - higher - valuations. This hypothesis is supported by the observation that respondents perceive other individuals' valuations to be lower than their own. Our results suggest that public valuations of mortality risk reductions may underestimate the true societal value because respondents are considering other individuals' welfare, and wrongfully perceive other people's valuations to be low.
authors: COHERE, Department of Business and Economics, University of Southern Denmark, Campusvej 55, DK-5230 Odense M, Denmark; COHERE, Department of Public Health, University of Southern Denmark, Odense, Denmark; Department of Community Medicine, UiT, The Arctic University of Tromsø, Tromsø, Norway. Electronic address: dgh@sam.sdu.dk.
authors: Dorte
authors: D
authors: Gyrd-Hansen
authors: COHERE, Department of Business and Economics, University of Southern Denmark, Campusvej 55, DK-5230 Odense M, Denmark.
authors: Trine
authors: T
authors: Kjær
authors: COHERE, Department of Business and Economics, University of Southern Denmark, Campusvej 55, DK-5230 Odense M, Denmark; Newcastle University Business School, 5 Barrack Road, NE1 4SE Newcastle upon Tyne, United Kingdom.
authors: Jytte
authors: J
authors: Seested Nielsen
mesh_terms: D000533:Altruism; D002755:Choice Behavior; D006801:Humans; D040242:Risk Reduction Behavior; D012946:Social Welfare
keywords: Altruism; Risk reduction; Stated preferences; Value of statistical life; Willingness to pay