Research: Human life in 45–50 years costs $ 8 million

The price of life grows in youth, falls in old age, and in women it reaches a peak five years later than in men

People value their lives most expensive when they are 45-50 years old. This conclusion was reached by Joseph Aldi from the Harvard Institute of Public Administration. John F. Kennedy and Simus Smith from the Caxton Associates hedfond, conducting a study among 20 thousand respondents. Each of them was asked how much money they are ready to spend in order to reduce the likelihood of their death by 1/10,000 (0.01%).

In general, people estimate their lives at 45–50 years of age-about $ 8 million. This is not surprising: the main factor that affects the assessment of life is income. Before the peak of 45-50 years, the value of life increases with the salary, as well as the willingness to sacrifice money to reduce the risk of mortality, because it will pay off in the future. An increase in salaries by 10% leads to the fact that a person begins to appreciate his life 17% more expensive. On 45–50-year-old workers, according to statistics, the highest salaries in the USA are the highest salaries. After 50 years of expectation of special changes, especially for the better, fall. For women, life acquires the highest price when they are almost 50 years old (that is, about five years later than that of men). The reason is the life expectancy of women in the United States for almost the same five years more. On average, women appreciate their life 13% cheaper than men - again because the salary of women is lower.

The value of life, million $

Age, years

Note: dashed line - results of the previous study of 2008

Source: Voxeu

The rich are ready to pay much more: a person with a median level of income in the United States appreciates his life at a peak one third more than with the arithmetic income, and the richest 5% of the population evaluate their lives more than the poorest 5%.

The value of life depending on income,

Milln $

Age, years

- ∙ - the richest 5% of the population, - people with the arithmetic income, - people with median (most common) income,

∙ ∙ ∙ The poorest 5% of the population Source: Nber , in fact, are indicated by the authors of the study, the decision to spend some of the earnings in order to live longer - not a purely experimental, but everyday task. Whether to spend time and money on a gym, treatment or a safer car - each of us makes these decisions every day.