Which of the following is an approach used by economists to calculate the value of a human life?
A)comparing the salaries of people who live in cities with more traffic lights to those who live in cities with fewer traffic lights
B)comparing the wages of more risky occupations to less risky occupations
C)comparing the costs of vehicles with safety features such as side-impact airbags to those without such safety features
D)All of the above are correct.

Question

Quizplus · Accepted Answer

Comparing the wages of more risky occupations to less risky occupations is a common approach used by economists to calculate the value of a human life. This is called the "value of statistical life" and is based on the idea that people are willing to accept higher wages for riskier jobs because they require compensation for the increased likelihood of injury or death. Comparing the salaries of people who live in cities with more traffic lights or the costs of vehicles with safety features are not direct measures of the value of human life, although they may be related to safety and risk.

Which of the Following Is an Approach Used by Economists