Consumer Health Investment Analysis under Uncertain Lifetime Condition
10.7664/CHE20131101
- VernacularTitle:寿命不确定条件下的消费者健康投资分析
- Author:
Kexue PU
- Publication Type:Journal Article
- Keywords:
health investment;
health capital;
optimum control;
psychological value
- From:
Chinese Health Economics
2013;(11):5-7
- CountryChina
- Language:Chinese
-
Abstract:
Objective:As the main component of human capital, health capital's dynamic path has been generally received attention. Methods: According to Grossman’s theory of health capital, the health investment return is defined as the monetary benefits and psychological benefits and the optimum control theory is used to study the optimal path of health investment. Results:The optimum path of health investment has sole saddle point equilibrium with both stability and uniqueness. Conclusion: The maximum utility of consumers depends on the their subjective judgment of future life. As a rational consumer, it needs to consider that health risk rises with age gradually, health investment should be increased to maximize lifetime utility.
