Asked by caswel mduduzi on May 07, 2024
Verified
Economists argue that we can calculate the value of a human life by observing voluntary risks that people take every day.
Human Life
The existence of an individual human being, from birth to death, including all experiences and actions.
Voluntary Risks
Risks that individuals knowingly and willingly choose to take, often after considering the potential benefits and dangers.
Cost-Benefit Analysis
A systematic approach to estimating the strengths and weaknesses of alternatives used to determine options that provide the best approach to achieving benefits while preserving savings.
- Grasp the significance of externalities and their analysis.
Verified Answer
OR
Onelia RodriguezMay 12, 2024
Final Answer :
True
Explanation :
Economists often use the concept of the "value of a statistical life" (VSL) to estimate the monetary value of a human life based on the trade-offs people make between money and small risks of death. This involves observing how much extra pay people require to take on jobs with higher risks of death or injury, among other voluntary risk-taking behaviors.
Learning Objectives
- Grasp the significance of externalities and their analysis.