Valuing the economic consequences of work injury and illness: A comparisonof methods and findings

Background Workplace injuries and fatalities in the US create significant e conomic costs to society. Although economic costs should measure the opport itnity cost to society arising from injuries and fatalities, estimating the m often proves difficult as a practical matter. This leads to a range of es timates for valuing these costs. Methods This paper compares methods of economic valuation, focusing in part icular on how different methods diverge to varying degrees from measuring t he "true" economic costs of injuries and illnesses. In so doing, it surveys the literature that has arisen in the past 25 years to measure different a spects of economic consequences. Results Estimates of the costs of injuries and fatalities tend to understat e the trite economic costs from a social welfare perspective, particularly in how they account for occupational fatalities and losses arising from wor k disabilities. Conclusions Although data availability, often makes estimation of social we lfare costs difficult, researchers should attempt to more fully integrate s uch approaches into estimation procedures and interpretation of their resul ts. (C) 2001 Wiley-Liss, Inc.