Journal of Risk and Uncertainty

, Volume 13, Issue 2, pp 163–174

To be, or not to be, that is the question: An empirical study of the WTP for an increased life expectancy at an advanced age

  • Magnus Johannesson
  • Per-Olov Johansson
Article

DOI: 10.1007/BF00057866

Cite this article as:
Johannesson, M. & Johansson, PO. J Risk Uncertainty (1996) 13: 163. doi:10.1007/BF00057866

Abstract

This study reports an attempt to measure the value of an increased survival probability at advanced ages. It turns out that the average willingness to pay for a program which would increase the expected length of life by one year, conditional on having survived to the age of 75 years, is lower than $1,500. The willingness to pay increases with a person's age, but at a low and seemingly constant rate (1–4 percent per year).

Key words

expected length of lifetime preferencecontingent valuationwillingness to pay

JEL Classification

J17

Copyright information

© Kluwer Academic Publishers 1996

Authors and Affiliations

  • Magnus Johannesson
    • 1
  • Per-Olov Johansson
    • 2
  1. 1.Department of EconomicsStockholm School of EconomicsStockholmSweden
  2. 2.Department of EconomicsStockholm School of EconomicsStockholmSweden