Your Money or Your Life: A Prescriptive Model for Health, Safety, and Consumption Decisions

@article{Smith2005YourMO,
  title={Your Money or Your Life: A Prescriptive Model for Health, Safety, and Consumption Decisions},
  author={James E. Smith and Ralph L. Keeney},
  journal={Manag. Sci.},
  year={2005},
  volume={51},
  pages={1309-1325}
}
In this paper we develop a conceptual framework and model for valuing risks to an individual's health and life and to support decision making about investments in health, quality of life, and safety. Our treatment of health risks in the model builds on the popular quality-adjusted-life-year (QALY) framework that balances health quality and length of life issues. We extend this framework to consider financial concerns as well as health quality and length of life. Our model considers uncertainty… 

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