We saw that there are several ways to measure the value of mortality risk reductions. Search the recent empirical literature to locate three different studies measuring the VSL: a wage hedonic, a product market study, and a stated preference study. Compare and contrast the studies according to the following:

(a) What is the specific context that gives rise to the risk/income trade-off in each paper? Discuss the plausibility of each study’s use for informing environmental policy with reference to the static and dynamic models described in the chapter.

(b) Discuss the magnitudes of the three VSL estimates, and explain (or speculate) on what drives any differences you see.

(c) Describe any limitations in the three studies, being careful to explain how this might affect the VSL estimate. Suggest steps you might take if you were going to redo one of the studies.