{"title":"Substitution and Complementarity in the Consumption of Alcohol, Cannabis, and Opium.","authors":"Siddharth Chandra, Gaurav Doshi","doi":"10.1002/hec.4938","DOIUrl":"https://doi.org/10.1002/hec.4938","url":null,"abstract":"<p><p>Understanding the behavior of populations of drug consumers has been and remains a topic of keen interest. Using a unique dataset on 25 districts from Bengal, India, from 1911 to 1925, we analyze whether populations of consumers treat alcohol, cannabis, and opium as economic substitutes or complements in a legal regime. Additionally, we examine responsiveness to prices and income. Our analysis has three main findings. First, we find evidence of substitution between alcohol and cannabis bud. Second, cannabis leaf is a complement for alcohol but a substitute for cannabis bud. Third, we find negative income elasticity for alcohol, cannabis bud, and opium consumption. These findings on the link between consumption patterns and economic factors can guide harm reduction strategies.</p>","PeriodicalId":12847,"journal":{"name":"Health economics","volume":" ","pages":""},"PeriodicalIF":2.0,"publicationDate":"2025-01-17","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"143004141","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"医学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Vinícius Halmenschlager, Alexandre Nunes de Almeida, Felipe Garcia Ribeiro, Carolina Silva da Trindade
{"title":"The Effects of Hydrological Disasters on the Population's Health in the Northeast Region of Brazil.","authors":"Vinícius Halmenschlager, Alexandre Nunes de Almeida, Felipe Garcia Ribeiro, Carolina Silva da Trindade","doi":"10.1002/hec.4939","DOIUrl":"https://doi.org/10.1002/hec.4939","url":null,"abstract":"<p><p>The Northeast region of Brazil is characterized by long periods of drought. However, the region is also frequently affected by floods. The socioeconomic characteristics of the locality make the population more vulnerable to the impacts of these disasters. Therefore, the aim of this article is to investigate the short to long-term impacts of hydrological disasters in northeastern Brazil on morbidity and mortality rates, by age groups. For this purpose, the difference-in-differences method proposed by Callaway and Sant'Anna was applied to a monthly panel data spanning the period from 2000 to 2012. The results indicate that in the short term there is an increase in the mortality rate associated with drowning. In the medium term, there are effects particularly on morbidity rates, with emphasis on leptospirosis and acute respiratory diseases. For the long-term diseases analyzed, no effects of hydrological disasters were observed.</p>","PeriodicalId":12847,"journal":{"name":"Health economics","volume":" ","pages":""},"PeriodicalIF":2.0,"publicationDate":"2025-01-17","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"143004207","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"医学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Value-Based Pricing for Drugs With Uncertain Clinical Benefits.","authors":"Boshen Jiao, Yuli Lily Hsieh, Meng Li, Stéphane Verguet","doi":"10.1002/hec.4932","DOIUrl":"https://doi.org/10.1002/hec.4932","url":null,"abstract":"<p><p>Policymakers can use cost-effectiveness analysis to set value-based prices (VBP) for new pharmaceuticals. However, the uncertainty of investigational drug benefits complicates this pricing strategy. Such complexity stems from decision-makers' risk aversion and the potential change in the estimated value with emerging evidence. The recent surge in drugs approved via the Accelerated Approval (AA) pathway in the U.S. has made incorporating uncertainty into VBP crucial. We propose to estimate risk-adjusted VBP (rVBP) for drugs with uncertain benefits via integrating value of information and expected utility theory. Our approach involves two assessment points: an initial assessment with existing evidence; and a reassessment with new evidence that reduces uncertainty. This approach enables decision-makers to set rVBP in the initial assessment such that the expected utility, from the exisiting evidence, aligns with the benchmark uncertainty. We evaluate two benchmarks: one with no uncertainty, and one with a decision-maker's acceptable uncertainty level. We show in a case study of a hypothetical AA drug that rVBP may be lower than traditional VBP, especially under high risk aversion or low acceptable uncertainty. Our methodology adjusts VBP to account for uncertainty, supporting decision-makers in balancing timely market access with the risks associated with uncertainty in the benefits of new pharmaceuticals.</p>","PeriodicalId":12847,"journal":{"name":"Health economics","volume":" ","pages":""},"PeriodicalIF":2.0,"publicationDate":"2025-01-14","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"142983246","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"医学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Assessing Cigarette Reduction Tax-Effectiveness in Low Tobacco Expenditure Contexts: An Application to Bolivia.","authors":"Joaquín Morales, Sara Santander","doi":"10.1002/hec.4931","DOIUrl":"https://doi.org/10.1002/hec.4931","url":null,"abstract":"<p><p>In this research we show that ambitious increases in tobacco tax rates can substantially reduce tobacco consumption, increase fiscal revenue, and provide net positive social benefits even in contexts of low consumption prevalence and intensity. Low nicotine intake still constitutes a grave disease risk factor, and the effectiveness of tax increases might be questioned if income effects are small. We adapt spatial variation of price methodologies to deal with low prevalence and intensity, censored data, and small samples using the Bolivian case as an illustration. We find an average price elasticity of demand of <math> <semantics><mrow><mo>-</mo> <mn>0.69</mn></mrow> <annotation>${-}0.69$</annotation></semantics> </math> to <math> <semantics><mrow><mo>-</mo> <mn>0.76</mn></mrow> <annotation>${-}0.76$</annotation></semantics> </math> . Using our estimates of elasticities, we develop a simulation to anticipate the effects of a 35% yearly increase of the Bolivian specific excise on tobacco starting in 2025. Our estimates show that by 2030, this reform could reduce the consumption of cigarettes by 52.6%, diminish the prevalence of smoking by 30.6%, and increase fiscal revenue by $123 million over six years. Moreover, we estimate that the abated direct medical costs of reduced consumption net of the deadweight loss associated with a tax increase would generate a net social gain of over $100 million in five years.</p>","PeriodicalId":12847,"journal":{"name":"Health economics","volume":" ","pages":""},"PeriodicalIF":2.0,"publicationDate":"2025-01-14","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"142983234","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"医学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Fat vs. Sugar: The Case for a Saturated Fat Tax in Italy.","authors":"Valeria di Cosmo, Silvia Tiezzi","doi":"10.1002/hec.4933","DOIUrl":"https://doi.org/10.1002/hec.4933","url":null,"abstract":"<p><p>When judging the distributional impact of unhealthy food taxes, what matters is not just how much low income people would pay but how much the such taxes would benefit or harm them overall. In this paper, we assess the consumer welfare impact of a fat tax net of its expected benefits computed as savings from weight loss. Using Italian data, we estimate a censored Exact Affine Stone Index (EASI) incomplete demand system for food groups, simulating changes in purchases, calorie intake, consumer welfare, and the monetary value of short-run health benefits. While the Italian government has proposed a sugar tax, we show that there is no significant excess consumption of added sugars among Italian adults. Instead, excessive fat consumption is more prevalent, making a fat tax a more compelling and effective solution to address diet-related health risks. Our results suggest costs from fat taxation are larger than benefits at all income levels. As a fraction of income, the net impact would be slightly regressively distributed.</p>","PeriodicalId":12847,"journal":{"name":"Health economics","volume":" ","pages":""},"PeriodicalIF":2.0,"publicationDate":"2025-01-12","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"142970361","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"医学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Ashani Abayasekara, Jun Sung Kim, Liang Choon Wang
{"title":"Impacts of Housing Costs on Health and Satisfaction With Life Circumstances: Evidence From Australia.","authors":"Ashani Abayasekara, Jun Sung Kim, Liang Choon Wang","doi":"10.1002/hec.4934","DOIUrl":"https://doi.org/10.1002/hec.4934","url":null,"abstract":"<p><p>This paper examines the causal impacts of rising housing costs on individual health and satisfaction with life circumstances, using a fixed-effects instrumental variable approach and individual-level panel data from Australia. Relying on the historical patterns of immigrant settlement, we construct an instrumental variable that exploits exogenous variation in housing costs driven by foreign investments that flow differentially into localities. We find that rising housing costs-as measured by composite housing costs faced by homeowners and renters living in an area-have a significant positive impact on individuals' self-assessed physical health and a significant negative impact on satisfaction ratings, but no significant impact on self-assessed emotional health. Heterogeneity analysis suggests that the positive effects on physical health are mainly concentrated among homeowners, the well-educated, and older individuals.</p>","PeriodicalId":12847,"journal":{"name":"Health economics","volume":" ","pages":""},"PeriodicalIF":2.0,"publicationDate":"2025-01-12","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"142970365","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"医学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Cash-Out Puzzle and Long-Term Care Insurance: Welfare of the Elderly.","authors":"Xiaoyan Lei, Chunfeng Zhang","doi":"10.1002/hec.4935","DOIUrl":"https://doi.org/10.1002/hec.4935","url":null,"abstract":"<p><p>This study investigates the effects of diverse payment methods within long-term care insurance (LTCI) on the well-being of elderly individuals, encompassing both in-kind and cash payments. Utilizing panel data from the Chinese Longitudinal Healthy Longevity Survey (CLHLS), we leverage a generalized difference-in-differences (DID) approach and the LTCI pilots across various Chinese cities to identify the impacts of different LTCI payment methods. Our findings indicate that an in-kind LTCI policy significantly decreases the one-year mortality of older adults, with significant improvements on ADL-related care receipt as well as health status. Conversely, no significant impacts are observed under the framework of a cash LTCI policy. We term the weaker effects regarding older adults in cash LTCI policy versus in-kind LTCI policy as \"the cash-out puzzle\". Our findings emphasize the critical importance of developing right incentives of LTCI payment schemes thoughtfully worldwide.</p>","PeriodicalId":12847,"journal":{"name":"Health economics","volume":" ","pages":""},"PeriodicalIF":2.0,"publicationDate":"2025-01-08","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"142947781","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"医学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Hongli Fan, Jinyan Gao, Lu Chen, Zixuan Peng, Peter C Coyte
{"title":"Economic Value of Informal Care: Contingent Valuation From the Perspective of Caregivers and Care Recipients in China.","authors":"Hongli Fan, Jinyan Gao, Lu Chen, Zixuan Peng, Peter C Coyte","doi":"10.1002/hec.4927","DOIUrl":"https://doi.org/10.1002/hec.4927","url":null,"abstract":"<p><p>We estimated the monetary value of informal care from the perspectives of informal caregivers and care recipients in China using the contingent valuation method. Data were obtained from a specially designed survey of 1458 informal caregivers and 972 care recipients. The mean for caregivers' willingness to pay (WTP) for reducing informal care by 1 h per week was CNY32.37 (€4.11), while the mean for willingness to accept (WTA) increasing informal care by 1 h was CNY46.21 (€5.87). The mean for care recipients' WTP (WTA) values for increasing or reducing informal care by 1 h per week were CNY28.74 (€3.65) and CNY44.78 (€5.69), respectively. The WTP and WTA values varied according to care hours and tasks, kinship, and living arrangements, and correlated with the characteristics of both caregivers and care recipients. The WTP and WTA values were also sensitive to a broad range of factors such as health, level of education, employment status, and household income. We highlight the contribution made by informal caregivers to elderly care and recommend the promotion of informal care activities to support and incentivize them.</p>","PeriodicalId":12847,"journal":{"name":"Health economics","volume":" ","pages":""},"PeriodicalIF":2.0,"publicationDate":"2025-01-07","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"142947782","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"医学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Impacts of City Life on Nutrition: Evidence From Resettlement Lotteries in China.","authors":"Ganxiao Leng, Huanguang Qiu, Mateusz Filipski","doi":"10.1002/hec.4925","DOIUrl":"https://doi.org/10.1002/hec.4925","url":null,"abstract":"<p><p>Urban environments are thought to improve food security, by offering enhanced access to markets and income opportunities. Yet this idea is hard to test empirically due to an abundance of confounding factors and selection issues. This study leverages a resettlement program in China to provide the first quasi-experimental estimate of city life on food consumption and nutrition among low-income households. Lottery-determined timing of resettlement enables causal inference. We base our empirics on a 3-year panel and a range of difference-in-differences and matching methodologies. We find that those who were resettled to towns significantly increased both food consumption and diet variety, with increased intake of several macro- and micro-nutrients. Diet quality mostly improved, but we also found signs of over-consumption, notably of carbohydrates. Our evidence further suggests that our impacts are primarily due to improved market access. This stands in contrast to recent literature that finds little or no effect of living environments on food consumption. Instead, we reveal a significant impact of urban environments in shaping diets, bolstering the notion that supply-side channels do matter in some contexts.</p>","PeriodicalId":12847,"journal":{"name":"Health economics","volume":" ","pages":""},"PeriodicalIF":2.0,"publicationDate":"2025-01-05","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"142931312","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"医学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Adding to the Woes: Heterogeneous Effects of Air Pollution on Pandemic Patients.","authors":"Mengdi Liu, Xin Zhao","doi":"10.1002/hec.4930","DOIUrl":"https://doi.org/10.1002/hec.4930","url":null,"abstract":"<p><p>While the direct health impacts of air pollution are widely discussed, its indirect effects, particularly during pandemics, are less explored. Utilizing detailed individual-level data from all designated hospitals in Wuhan during the initial COVID-19 outbreak, we examine the impact of air pollution exposure on treatment costs and health outcomes for COVID-19 patients. Our findings reveal that patients exposed more intensively to air pollution, identified by their residence in downwind areas of high-polluting enterprises, not only had worsened health outcomes but also consumed more medical resources. This increased demand is primarily due to their heightened vulnerability to cardiopulmonary conditions. Using a causal machine learning method called Causal Forests to estimate individual treatment effects, we uncover significant heterogeneity across demographic and socioeconomic characteristics, with older and economically disadvantaged patients showing particular vulnerability. These findings highlight the importance of considering environmental factors in pandemic preparedness and suggest the value of targeted interventions that account for demographic and socioeconomic variations in vulnerability.</p>","PeriodicalId":12847,"journal":{"name":"Health economics","volume":" ","pages":""},"PeriodicalIF":2.0,"publicationDate":"2025-01-04","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"142927078","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"医学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}