this post was submitted on 18 Oct 2024
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Economics really sucks at accounting for the value of human life. I remember there was a study on the financial impacts that smokers have on society. The idea going in was that smokers would get health issues which would cause a financial drain on societies which pay for people's healthcare. The study actually found that smokers weren't a drain at all. Smokers tended to die quickly, meaning no chronic health treatments. More importantly, they died young. Meaning they didn't cash in their government pensions. Governments were essentially profiting off smokers. The study did another analysis, this time putting in a fake number for the "value of life" and the result was as expected. Smoking is a negative because it kills people.
Economics is a tool, and yes of course you can get different conclusions based on different assumptions. Doesn't mean economics is bad, just means it is being used in different ways and for different purposes. Same with statistics. assumpsions are important.