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Risk Perceptions and Value of a Statistical Life for Air Pollution and Traffic Accidents: Evidence from Bangkok, Thailand

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Abstract

This paper presents results of two contingent valuation surveys conducted in Bangkok measuring individuals’ willingness to pay (WTP) to reduce mortality risk arising from two risk contexts: air pollution traffic accidents Results from the risk perception survey disclose that respondents view the two risks differently. WTP to reduce air pollution risk is influenced by degrees of dread, severity, controllability and personal exposure, while WTP to reduce traffic accident risk is influenced by perceived immediate occurrence. Nevertheless, the value of a statistical life (VSL) for both air pollution and traffic accidents are comparable (US$0.74 to $1.32 million and US$0.87 to $1.48 million, respectively). This indicates that the risk perception factor alone has little impact on the VSL, a finding similar to previous studies using program choice indifferences.

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Authors and Affiliations

  1. Graduate School for International Development and Cooperation, Hiroshima University, 20/77 M. Aeksin, Naknivas Rd., Ladprao, Bangkok, 10230, Thailand

    Sujitra Vassanadumrongdee & Shunji Matsuoka

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  1. Sujitra Vassanadumrongdee
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  2. Shunji Matsuoka
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Correspondence to Sujitra Vassanadumrongdee.

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JEL Classification: I18, D61, J17, J28

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Vassanadumrongdee, S., Matsuoka, S. Risk Perceptions and Value of a Statistical Life for Air Pollution and Traffic Accidents: Evidence from Bangkok, Thailand. J Risk Uncertainty 30, 261–287 (2005). https://doi.org/10.1007/s11166-005-1155-0

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  • DOI: https://doi.org/10.1007/s11166-005-1155-0

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