The value of statistical life in Singapore.

Abstract

Value of statistical life (VSL) in Singapore is an important piece of information to evaluate the cost of public health programs and environmental policies in Singapore. For policy-makers; quantifying VSL is important for cost-benefit analyses; especially VSL for the elderly and the ill; as Singapore is currently facing an ageing population.; This paper evaluates the results of a contingent valuation survey that elicits willingness-to-pay (WTP) for mortality risk reductions. 801 Singaporeans and Singapore Permanent Residents aged 40 and above were interviewed face-to-face. Mean WTP figures for a simultaneous risk reduction entail a value of statistical life of approximately S$850; 000 to S$2.05 million (2007 S$).; Mean WTP is shown to have an inverse relationship with age; i.e. mean WTP decreases as age increases; and is about 20% lower for persons aged 70 and older. Consistent with existing literature; the study also finds that mean WTP is not affected by physical health; but is affected by mental health. In addition; mean WTP is not affected by covariates such as gender; race; and personal income; but is affected by covariates such as household income; age; occupation and level of education.