Forster, M. (2001) The Meaning of Death: Some Simulations of a Model of Healthy and Unhealthy Consumption. Journal of Health Economics, 20 (4). pp. 613-638. ISSN 0167-6296Full text not available from this repository.
Simulations of a model of healthy and unhealthy consumption are used to investigate the impact of various terminal conditions on life-span, pathways of health-related consumption and health. A model in which life-span and the ‘death’ stock of health are fixed is compared to versions in which (i) the ‘death’ stock of health is freely chosen; (ii) life-span is freely chosen; (iii) both the ‘death’ stock of health and life-span are freely chosen. The choice of terminal conditions has a striking impact on optimal plans. Results are discussed with reference to the existing demand for health literature and illustrate the application of iterative processes to determine optimal life-span, the role played by the marginal value of health capital in determining optimal plans, and the importance of checking the second-order conditions for the optimal choice of life-span.
|Keywords:||The demand for health; Optimal life-span; Healthy and unhealthy consumption; Terminal and transversality conditions|
|Institution:||The University of York|
|Academic Units:||The University of York > Economics and Related Studies (York)|
|Depositing User:||York RAE Import|
|Date Deposited:||03 Aug 2009 13:08|
|Last Modified:||03 Aug 2009 13:08|
|Publisher:||Elsevier Science B.V., Amsterdam.|