@booklet {aldy_heterogeneity_2014,
	title = {Heterogeneity in the Value of Life},
	year = {2014},
	publisher = {Harvard Environmental Economics Program},
	type = {Discussion Paper},
	address = {Cambridge, Massachusetts, {USA}},
	abstract = {We develop a numerical life-cycle model with choice over consumption and leisure, stochastic mortalityand labor income processes, and calibrated to U.S. data to characterize willingness to pay ({WTP})for mortality risk reduction. Our theoretical framework can explain many empirical findings in thisliterature, including an inverted-U life-cycle {WTP} and an order of magnitude difference in prime-aged adults {WTP}. By endogenizing leisure and employing multiple income measures, we reconcilethe literature{\textquoteright}s large variation in estimated income elasticities. By accounting for gender- and race-specific stochastic mortality and income processes, we explain the literature{\textquoteright}s black-white and female-male differences.},
	author = {Aldy, Joseph E. and Smyth, Seamus J.}
}
