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Money or mental health : the cost of alleviating psychological distress with monetary compensation versus psychological therapy

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Boyce, Christopher J. and Wood, Alexander Mathew, 1983-. (2009) Money or mental health : the cost of alleviating psychological distress with monetary compensation versus psychological therapy. Health Economics, Policy and Law, Vol.5 (No.4). pp. 509-516. ISSN 1744-1331

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Official URL: http://dx.doi.org/10.1017/S1744133109990326

Abstract

Money is the default way in which intangible losses, such as pain and suffering, are currently valued and compensated in law courts. Economists have suggested that subjective well-being regressions can be used to guide compensation payouts for psychological distress following traumatic life events. We bring together studies from law, economic, psychology and medical journals to show that alleviating psychological distress through psychological therapy could be at least 32 times more cost effective than financial compensation. This result is not only important for law courts but has important implications for public health. Mental health is deteriorating across the world – improvements to mental health care might be a more efficient way to increase the health and happiness of our nations than pure income growth.

Item Type:	Journal Article
Subjects:	B Philosophy. Psychology. Religion > BF Psychology K Law > K Law (General)
Divisions:	Other > Institute of Advanced Study Faculty of Science > Psychology
Library of Congress Subject Headings (LCSH):	Compensation (Law) -- Philosophy, Distress (Psychology), Mental health services -- Utilization, Mental health
Journal or Publication Title:	Health Economics, Policy and Law
Publisher:	Cambridge University Press
ISSN:	1744-1331
Date:	18 November 2009
Volume:	Vol.5
Number:	No.4
Page Range:	pp. 509-516
Identification Number:	10.1017/S1744133109990326
Status:	Peer Reviewed
Publication Status:	Published
Access rights to Published version:	Open Access
Funder:	Economic and Social Research Council (Great Britain) (ESRC)
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URI:	http://wrap.warwick.ac.uk/id/eprint/2528