DALY to money conversion
|Moderator:Teemu R (see all)|
What is the value of a disability-adjusted life year (DALY) in monetary terms?
Based on value of a life year (VOLY),    the range of plausible values in Europe is something in the order of 20000 to 200000 euro (median around 40000 euro) per life year. Statistical life year is not the same as DALY, and it is more appropriate to use VOLYs than DALYs when converting health impacts to money. However, DALYs can be used in preliminary assessments although many aspect then go undetected, such as treatment costs and loss of productivity.
One DALY is estimated to be worth something between 30-60k€.
- 1: . Given the high uncertainty related to VOLYs, the upper end of the range should be higher. Maybe uniform is not a plausible approximation for such a skewed distribution. --Jouni 10:20, 13 February 2011 (UTC) (type: truth; paradigms: science: relevant attack)
Although DALYs are in principle independent of income issues, the DALY to money conversion is expected to vary from country to country due to income levels and cultural valuations.
- Uniform distribution assumed.
n <- 10000 final <- data.frame(obs=1:n,Observation="Cost per DALY",Result=runif(n,3*10^4,6*10^4))
- European Commission 2005. ExternE, Externalities of Energy, Methodology 2005 Update. Bickel P & Friedrich R (Eds.)
- Service Contract for Carrying out Cost-Benefit Analysis of Air Quality Related Issues, in particular in the Clean Air for Europe (CAFE) Programme. Volume 2: Health Impact Assessment. AEA Technology Environment, 2005.
- Desaigues et al. 2006. Final report on the monetary valuation of mortality and morbidity risks from air pollution. Ned Energy Externalities Developments for Sustainability (NEEDS). Sixth framework programme, Project no: 502687.