The Economics of Health Behavior

The course takes a microeconomic perspective on individual health behavior. We begin by discussing Grossman’s health capital model as a reference. We then discuss several models that challenge the view of health behavior as determined by fully rational investment decisions. Specifically, we discuss Strulik’s model of health deficits, Becker’s model of (rational) addiction, and concepts from behavioral economics, in particular prospect theory and time-inconsistent preferences. Finally, we look at the empirical literature on (risky) health behaviors such as smoking, alcohol and drug consumption, and obesity. There we link theory to empirical methods used in applied health economics.

Dates

The course is taught every Summer semester.

Detailed Information

For information regarding the current semester, please follow the link to the StudOn page