Getting used to it: the adaptive global utility model.
Publication
, Journal Article
Bradford, WD; Dolan, P
Published in: J Health Econ
December 2010
This paper expands the standard model of utility maximization to endogenize the ubiquitous phenomenon of adaptation. We assume that total utility is an aggregate function of the utility associated with different domains of life, with relative weights that are optimized according to the effort that the individual expends on producing utility in each domain. Comparative statics from the general maximization problem demonstrate that the traditional Slutsky equation should incorporate an additional response term to account for adaptation processes. Our adaptive global utility maximization model can be used to explain responses to changes in health.
Duke Scholars
Published In
J Health Econ
DOI
EISSN
1879-1646
Publication Date
December 2010
Volume
29
Issue
6
Start / End Page
811 / 820
Location
Netherlands
Related Subject Headings
- Models, Economic
- Income
- Humans
- Health Status
- Health Policy & Services
- Decision Making
- Adaptation, Psychological
- 4407 Policy and administration
- 3801 Applied economics
- 1403 Econometrics
Citation
APA
Chicago
ICMJE
MLA
NLM
Bradford, W. D., & Dolan, P. (2010). Getting used to it: the adaptive global utility model. J Health Econ, 29(6), 811–820. https://doi.org/10.1016/j.jhealeco.2010.07.007
Bradford, W David, and Paul Dolan. “Getting used to it: the adaptive global utility model.” J Health Econ 29, no. 6 (December 2010): 811–20. https://doi.org/10.1016/j.jhealeco.2010.07.007.
Bradford WD, Dolan P. Getting used to it: the adaptive global utility model. J Health Econ. 2010 Dec;29(6):811–20.
Bradford, W. David, and Paul Dolan. “Getting used to it: the adaptive global utility model.” J Health Econ, vol. 29, no. 6, Dec. 2010, pp. 811–20. Pubmed, doi:10.1016/j.jhealeco.2010.07.007.
Bradford WD, Dolan P. Getting used to it: the adaptive global utility model. J Health Econ. 2010 Dec;29(6):811–820.
Published In
J Health Econ
DOI
EISSN
1879-1646
Publication Date
December 2010
Volume
29
Issue
6
Start / End Page
811 / 820
Location
Netherlands
Related Subject Headings
- Models, Economic
- Income
- Humans
- Health Status
- Health Policy & Services
- Decision Making
- Adaptation, Psychological
- 4407 Policy and administration
- 3801 Applied economics
- 1403 Econometrics