Abstract of Meeting Paper

Society for Risk Analysis 1998 Annual Meeting

The Cost-Effectiveness of Lifesaving Interventions in Japan. A. Kishimoto and M. Gamo, NIRE, Tsukuba, Japan, and CREST, JST; T. Oka, Fukui Pref. Univ. Fukui, Japan, and CREST, JST; and J. Nakanishi, Yokohama Natl. Univ., Yokohama, Japan, and CREST, JST

We have gathered information on the cost-effectiveness of life-saving interventions in Japan from the health, safety and environmental literature. More than 50 lifesaving interventions are analyzed. We define cost-effectiveness as the cost per life-year saved and calculate it using a common criteria for standardization. It is shown that the cost-effectiveness of risk-reduction policies varies enormously both within and between different sectors, in the same manner with the findings of similar analyses in the United States and Sweden. Considering that decision making concerning risk is mainly based on public demand, we argue that this result is a reflection of the disparity of the risk perception of lay people and the risk assessment of experts. It is often discussed that the risk perception of lay people leads to inefficient resource allocation. Nevertheless, before concluding that democratic resource allocation, based on the preferences of lay people, is bound to be inefficient, it is necessary to explore into the way their risk perception differs from risk assessment by experts. We discuss that the variations may not be so large when we consider some overlooked factors, such as non-fatal injuries, morbidity effect and ecological risk, which seem to be important parts of the public demand for risk reduction. We perform some case studies and attempt to recalculate the cost-effectiveness taking these factors into account.

This work is supported by CREST of Japan Science and Technology Corporation.


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