Andrea M. Leiter

The Convergence of Health Care Financing Structures: Empirical Evidence from OECD-Countries

The convergence/divergence of health care systems between countries is an interesting facet of the health care system research from a macroeconomic perspective. In this paper, we concentrate on an important dimension of every health care system, namely the convergence/divergence of health care financing (HCF). Based on data from 22 OECD countries in the time period 1970–2005, we use the public financing ratio (public financing in % of total HCF) and per capita public HCF as indicators for convergence. By applying different concepts of convergence, we find that HCF is converging. This conclusion also holds when we look at smaller subgroups of countries and shorter time periods. However, we find evidence that countries do not move towards a common mean and that the rate of convergence is decreasing over time.

Pricing Damages for Pain and Suffering in Court: The Impact of the Valuation Method

We analyze the pricing of pain and suffering and, in particular, whether the corresponding compensation for pain and suffering is affected by a courts approach to valuing such damages. For this purpose, we use data on pain and suffering verdicts in Austria, where courts are generally free to choose between a per‐diem and a lump‐sum scheme to assess damages for pain and suffering. The per‐diem approach was introduced in 1990 but was not adopted in all Austrian provincial courts. This enables us to estimate the causal impact of the change in calculation schemes. Applying a difference‐in‐difference framework to estimate this treatment effect, we observe that courts increased their compensation by about 38 percent to 59 percent after the implementation of the per‐diem scheme.

Age effects in monetary valuation of reduced mortality risks: the relevance of age-specific hazard rates

This paper highlights the relevance of age-specific hazard rates in explaining the age variation in “value of statistical life” (VSL) figures. The analysis—which refers to a stated preference framework—contributes to the ongoing discussion of whether benefits resulting from reduced mortality risk should be valued differently depending on the age of the beneficiaries. By focussing on a life-threatening environmental phenomenon I show that the consideration of the individual’s age-specific hazard rate is important. If a particular risk affects all individuals regardless of their age so that their hazard rate is age-independent, VSL is rather constant for people at different age; if hazard rate varies with age, VSL estimates are sensitive to age. The results provide an explanation for the mixed outcomes in empirical studies and illustrate in which cases an adjustment to age may or may not be justified. Efficient provision of live-saving measures requires that such differences to be taken into account.

TIMING EFFECTS IN HEALTH VALUATIONS

This paper analyzes the impact of external sources of information, conveyed by the frequency of risky events that vary across time, on the individual willingness to pay (WTP) for a reduction of mortality risk. We collected data from a contingent valuation (CV) exercise conducted in two waves (fall and winter) to examine whether individual WTP varied across periods that differed in the predominance of fatal accidents. Risk valuations were based on fatal snow avalanche accidents, that is, a type of risk with seasonal differences in occurrence. We found slightly lower but statistically significant mean WTP figures in the winter than in the fall sample because of time-varying individual risk attitudes and, therefore, recommend controlling for these factors in risk assessment CV surveys.

Product quality and sustainability: The effect of international environmental agreements on bilateral trade

This paper addresses the impact of sustainability in production on international trade. In particular, it examines the effect of the International Tropical Timber Agreement (ITTA) on tropical timber trade. The empirical analysis is based on a gravity equation in a difference-in-difference setting, which is estimated by a panel Heckmans selection model. This accounts for the potentially systematic selection of trading partners into timber trade activity. We then conduct a comprehensive comparative static analysis solving the structural gravity model with and without the ITTA. This allows us to determine the trade impact of an ITTA induced increase in sustainability for participating as well as for third-countries. We find that countries participating in the ITTA exhibit a significant and substantial increase in trade intensity ranging from 4% to 6%. Furthermore, we observe that this effect is more pronounced for smaller member countries. Non-ITTA countries are confronted with reduced tropical timber flows.

Motivationale Bedingungen des ehrenamtlichen Engagements im Hospiz

Ehrenamtliche Mitarbeiter beeinflussen entscheidend das Leistungsangebot des Hospizes Osterreich und damit die gesellschaftliche Wohlfahrt. Dieses ehrenamtliche Engagement, das eng mit den gesellschaftlichen Tabuthemen Lebensende und Tod verbunden ist, tragt in der Hospizbewegung zum Angebot von Sterbebegleitung als auch Trauerbegleitung bei und erlaubt eine umfassende psychologische, physische und soziale Betreuung (Munley 1982). Ehrenamtliche der Hospizbewegung ermoglichen daher eine Verbesserung der Lebensqualitat von Sterbenden und Kranken, sowie deren Angehorigen. Diese Leistungen garantieren neben den 785 hauptamtlich Tatigen im Hospiz Osterreich rund 3011 Ehrenamtliche, die sich jahrlich insgesamt 316 521 Stunden in ihrer freien Zeit engagieren (Hospiz Osterreich 2010).

Proportionality of Willingness to Pay to Small Risk Changes -The Impact of Attitudinal Factors

Sensitivity (proportionality) of willingness to pay to (small) risk changes is often used as a criterion to test for valid measures of economic preferences. In a contingent valuation (CV) study conducted in Austria in February 2005 1,005 respondents were asked their willingness to pay (WTP) for preventing an increase in risk by 1/42,500 and 3/42,500, respectively. WTP for the higher risk variation is significantly higher than WTP for the lower risk change. We find evidence that those respondents who have personal experience with avalanches combine the information about future risk increase, provided in the survey, with the observed number of mortal avalanche accidents in the past. The proportionality of WTP holds if such prior experiences are taken into account and the influence of attitudinal factors in scope tests are controlled for.