Research Papers (2009 – 2013)

Abstract

This article reviews approaches to the problem of estimating the Value of a Statistical Life (VSL) for road safety decisions in Canada. The article is intended as a primer for Canadian professionals who work with VSL values but are not experts in the subject. The article develops a taxonomy to organise nine principal approaches. For each approach, the article outlines the theory, strong points, weak points, and principal users. Finally, the article reveals some trends in Canadian practice. The nine approaches in the study are: (1) vision zero; (2) multi-criteria analysis; (3) human capital; (4) willingness to pay by revealed preferences using wage-risk data; (5) willingness to pay by revealed preferences by consumer behaviour data in markets for risk reducing goods; (6) willingness to pay by stated preferences; (7) unit value benefit transfer; (8) unit value benefit transfer with income adjustment; and (9) benefit transfer by transfer function. In some ways, each of these approaches exerts an influence on Canadian practice. There exists potential for greater unity in the field.

Craig A. Milligan, J.M. (Jake) Kosior