Integrating Mental Health in Welfare Evaluation: An Empirical Application

26 Pages Posted: 18 Aug 2008

See all articles by Sanghamitra Das

Sanghamitra Das

Indian Statistical Institute

Abhiroop Mukhopadhyay

Indian Statistical Institute, New Delhi - Delhi Centre

Tridip Ray

Indian Statistical Institute, New Delhi - Delhi Centre

Date Written: August 15, 2007

Abstract

This paper presents simple measures of individual and family mental health indices based on axiomatic foundations and integrates mental health into a neoclassical model that allows for proper substitution possibilities in the family preferences and quantifies its significance in family utility. We find that mental health effects are far more important than the effect of consumption or children's schooling in determining family utility. We illustrate the usefulness of our approach by considering the case of HIV/AIDS experience in India. Using our approach, we find that while there are no significant differences in per capita consumption and schooling between HIV and NON HIV families, the cost of HIV/AIDS are still considerably large due to the inclusion of mental health. Integrating mental health in a utility maximization framework helps us quantify these costs.

JEL Classification: C10, I31, I10

Suggested Citation

Das, Sanghamitra and Mukhopadhyay, Abhiroop and Ray, Tridip, Integrating Mental Health in Welfare Evaluation: An Empirical Application (August 15, 2007). Available at SSRN: https://ssrn.com/abstract=1230922 or http://dx.doi.org/10.2139/ssrn.1230922

Sanghamitra Das

Indian Statistical Institute ( email )

7 S.J.S. Sansanwal Marg
Planning Unit
New Delhi - 110016
India

Abhiroop Mukhopadhyay

Indian Statistical Institute, New Delhi - Delhi Centre ( email )

7 S .J. S.
Sansanwal Marg
New Delhi, 110016
India

Tridip Ray (Contact Author)

Indian Statistical Institute, New Delhi - Delhi Centre ( email )

7 S .J. S.
Sansanwal Marg
New Delhi, 110016
India

Register to save articles to
your library

Register

Paper statistics

Downloads
22
Abstract Views
428
PlumX Metrics