Question

Discuss how and why the compensating differential for the risk of death on the job can...

Discuss how and why the compensating differential for the risk of death on the job can be used as the basis for an estimate of the value of human life? Does this seem like a reasonable basis upon which to make such a calculation?

Business   Economics   
0 0
Add a commentTranscribed image text
Next >

Homework Answers

Answer #1

THE COMPENSATING DIFFERENTIAL FOR THE RISK OF THE DEATH ON THE JOB IS THE DIFFERENCE IN THE WAGES OFFERED TO WORKERS WHEN THEY ARE INVOLVED IN A RISKY JOB VS NON RISKY JOB IT IS THE BASICALLY THE VALUE OF STATISTICAL LIFE OF AN INDIVIDUAL OR THE MONEY HE WOULD WISH TO TO MAKE BY PUTTING HIS LIFE IN RISK

ALTHOUGH NO ONE CAN VALUE A LIFE AND IT IS IMPOSSIBLE TO VALUE ANY PERSON LIFE IT IS STILL A CLOSE ESTIMATE TO MAKE SUCH A CALCULATION AS IT IS BASED ON WORKERS WILLINGNESS TO FORE GO THEIR LIFE IN EXCHANGE OF THAT PARTICULAR AMOUNT

THANK YOU

0 0
Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
Discuss how and why the compensating differential for the risk of death on the job can...
Discuss how and why the compensating differential for the risk of death on the job can be used as the basis for an estimate of the value of human life? Does this seem like a reasonable basis upon which to make such a calculation?
Suppose you can take one of two summer jobs. In the first job as a flight...
Suppose you can take one of two summer jobs. In the first job as a flight attendant, with a salary of $5,000, you estimate the probability you will die is 1 in 40,000. Alternatively, you could drive a truck transporting hazardous materials, which pays $12,000 and for which the probability of death is 1 in 10,000. Suppose that you're indifferent between the two jobs except for the pay and the chance of death. If you choose the job as a...
Assume that Ken is risk neutral and his objective is to maximize the present value of...
Assume that Ken is risk neutral and his objective is to maximize the present value of his job earnings. Suppose he has received two job offers with the same starting salary. There is on-the job training for both jobs. For job A, it is general training. For job B, it is specific training. If Ken asks you for professional advice, how would you help him decide which job offer to take? Explain and Discuss. Make reasonable assumptions if necessary. Does...
1. Discuss the definition of trade or business. Why does it matter whether a taxpayer is...
1. Discuss the definition of trade or business. Why does it matter whether a taxpayer is classified as an employee or as self-employed? 2. Discuss the concepts of ordinary, necessary, and reasonable in relation to trade or business expenses.   3. Discuss the concept of electing § 179 expense. Does the election allow a larger expense deduction in the year of asset acquisition? 4. Why were the hobby loss rules established? 5. What factors determine whether an activity is a trade...
How can you explain why more than half of those on death row in the United...
How can you explain why more than half of those on death row in the United States have less than an eleventh-grade education? Does this say something about the need for education to help prevent criminal behavior, or does it speak of the limitations of the capital punishment process?
Describe the role of venture capitalists in the economy and discuss how they reduce their risk...
Describe the role of venture capitalists in the economy and discuss how they reduce their risk when investing in start-up businesses. It can be argued that the decision to accept venture capital is one of the most critical decisions an entrepreneur must make. Explain why
Please read the Graham et al. and discuss why and how management forecast can destroy firm...
Please read the Graham et al. and discuss why and how management forecast can destroy firm value. QUESTION 1. Why are managers willing to give up the options that increase firm value?
Assume that 437 days is a reasonable limit for how long a human can endure constant-velocity...
Assume that 437 days is a reasonable limit for how long a human can endure constant-velocity space travel. Proxima Centauri, the star closest to our Sun, is 4.24 light years away from Earth. If you wanted to fly to Proxima Centauri within the 437-day limit in a rocket of mass 2.40×106 kg , how much energy would be required to accelerate the rocket to the necessary speed in the Earth reference frame? For this rough estimate, ignore the energy required...
Discuss how we can use the Dividend (Gordon) Growth model to indicate the intrinsic value of...
Discuss how we can use the Dividend (Gordon) Growth model to indicate the intrinsic value of company shares. Be sure to provide as part of this discussion certain assumptions we can make regarding the growth and the required rate of return to be used in this analysis and limitations of utilizing this model for valuation purposes.
A poor quality diet and little physical activity are major risk factors for three of the...
A poor quality diet and little physical activity are major risk factors for three of the top five causes of death: heart disease, cancer, and stroke. These causes of deaths are not something your parents or grand-parents develop. Reports are showing and increased rate of hypertension and pre-hypertension in college aged men and women. The food and beverage choices you make now, along with how active you are, can have both immediate and long-term effects on your health. These include:...
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT