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We evaluate several concerns related to measuring the demand for public risk prevention policies, using an innovative national survey and new modeling strategies. We find that the omission of avoided morbidity leads to an upward bias in estimates of the marginal utility of avoided deaths. Individuals experience diminishing marginal utility in the scope of mortalityand morbidity-reducing policies. Individual attitudes towards government involvement and, particularly, perceptions of the personal benefits of different policies, appear to be important determinants of demand. Finally, we uncover little evidence of heterogeneity in demand for public health policies according to the proximate health threat (e.g. cancer, stroke, respiratory disease, injury) or the underlying cause (e.g. exposure to contaminants in air, water, food; highway hazards).

Abstract: Using a national survey and a discrete choice experiment format, we estimate demand for environmental polices to improve health. We use a richly detailed community-level approach that describes illnesses avoided, premature deaths avoided, policy duration, and the affected population size. We allow preferences for policy attributes to vary systematically with the scenario design, with the source of risk and type of health threat, and with respondent characteristics. Using a willingness to pay (WTP) framework similar to that used for studies of individual risk, we find that omission of illness information leads to an upward bias in estimates of the value of avoided premature deaths and that individuals view avoided deaths and avoided illnesses as substitutes. We also find evidence of strongly diminishing marginal utility in policy scope. Differences in marginal WTP from different sources of risk or types of illness appear very small relative to differences associated with respondent characteristics and/or perceptions. Self-interest strongly dominates altruistic considerations. [Copyright &y& Elsevier]