Question

Why is the value-of-statistical-life measure not a value of a human life? Explain in detail.

Answer 1

In standard economics or any other discipline there is no definition of value of a human life in particular but due to the various practices around the world where people are actually more engaged towards their life, there came a concept of value of statistical life where this actually tells about the willingness to pay of a particular human to reduce the mortality risk to an extent where the trade off rate is directly linked to that of the marginal cost of providing additional safety for reducing the risk of mortality for that particular person. This is actually money related but the actual value of human life is not defined in economics because no matter what amount you pay, none can stop the mortality all in all and in this way both are different