"The Value of a Statistical Life"

The Value of a Statistical Life (VSL) is an economic concept used to estimate the monetary value of reducing the risk of death in a population. It reflects how much society is willing to pay for small reductions in mortality risk, often based on observations of people's behaviors, such as spending on safety measures or health improvements. By assigning a dollar amount to valuing life, policymakers can assess the cost-effectiveness of regulations, safety programs, and healthcare interventions, helping to allocate resources to improve public health and safety in a balanced manner.