Economic Valuation of Mortality Risk Reduction: Review and Recommendations for Policy and Regulatory Analysis
Government or regulatory programs that address environmental protection, transportation safety, and consumer product safety often involve changes in mortality risks. Thus, quantitative assessments of the benefits of these programs require estimates of the monetary value of reductions in mortality risks. This report updates the previous literature review by Chestnut et al. (1999) and makes new recommendations about appropriate estimates to use when valuing mortality risk changes in policy analyses of Canadian programs expected to reduce mortality risks. This report also provides background information for policy analysts on economic valuation of mortality risk reductions. The average value of a statistical from the Canadian studies is about $6.5 million, which is the recommended central estimate for policy analysis by the authors.