We found a match
Your institution may have access to this item. Find your institution then sign in to continue.
- Title
Approaches to Estimating the Health State Dependence of the Utility Function.
- Authors
Finkelstein, Amy; Luttmer, Erzo F. P; Notowidigdo, Matthew J
- Abstract
The article discusses the main approaches to estimating health state dependence, which is considered to be the effect of health on the utility of a constant amount of nonmedical consumption. The classes of empirical approaches including those based on individuals' revealed demand for moving resources across health states, and the approach based on observed utility changes associated with health changes for those of different resource levels, are distinguished. The advantages and disadvantages of each are discussed. The researchers conclude, that while neither of these approaches is a cure-all, they offer the potential to give insights on the nature of health state dependence.
- Subjects
ECONOMIC research; CONSUMPTION (Economics); UTILITY functions; MEDICAL care costs; MARGINAL utility; INSIGHT
- Publication
American Economic Review, 2009, Vol 99, Issue 2, p116
- ISSN
0002-8282
- Publication type
Article
- DOI
10.1257/aer.99.2.116