Inference Procedures to Quantify the Efficiency–Equality Trade-Off in Health from Stated Preferences: A Case Study in Portugal
Micaela Pinho () and
Additional contact information
Micaela Pinho: University Portucalense
Anabela Botelho: University of Aveiro
Applied Health Economics and Health Policy, 2018, vol. 16, issue 4, 503-513
Abstract Objectives This article develops two inference procedures to calculate the inequality aversion and alpha parameters of a health-related social welfare function with constant elasticity (CES-HRSWF) using stated preferences. Based on the relative concept of inequality, a range of values were proposed for the trade-offs between improving total population health and reducing health inequalities. Methods A self-administered questionnaire was used to collect data from a sample of 422 college students in Portugal. Respondents faced three hypothetical allocation scenarios where they needed to decide between two health programmes that assign different health gains to two anonymous sub-groups of the population and to two sub-groups identified by socioeconomic class. Combinations of the median response to these three questions were used to estimate the parameters of the CES-HRSWF. Results Findings suggest that the quantification of the efficiency–equality trade-off is not independent of the inference procedure used. Plausible values for the inequality aversion and for the alpha parameters were obtained ranging from 2.24 to 4.85 and from 0.5 to 0.58, respectively. Conclusions Respondents revealed some aversion to health inequality. However, the extent of this aversion seems to be sensitive to (1) the identification of the groups by occupation status, (2) the size of the health gain, and (3) the inference procedure used.
References: View references in EconPapers View complete reference list from CitEc
Citations: Track citations by RSS feed
Downloads: (external link)
http://link.springer.com/10.1007/s40258-018-0394-6 Abstract (text/html)
Access to the full text of the articles in this series is restricted.
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
Persistent link: https://EconPapers.repec.org/RePEc:spr:aphecp:v:16:y:2018:i:4:d:10.1007_s40258-018-0394-6
Ordering information: This journal article can be ordered from
Access Statistics for this article
Applied Health Economics and Health Policy is currently edited by Timothy Wrightson
More articles in Applied Health Economics and Health Policy from Springer
Bibliographic data for series maintained by Sonal Shukla ().