The Value of a Statistical Life in Thailand: Evidence from the Labour Market

Using the 2012-2014 Labour Force survey (N = 109 947) and data from the Social Security Office, this study uses the standard hedonic wage approach to estimate the value of a statistical life (VSL) in Thailand. Population-weighted ordinary least-squares (OLS) and quantile regressions conditional on the 10th, 25th, 50th (median), 75th, and 90th percentiles of the income distribution are performed on the repeated cross-sectional sample as well as each of the survey waves. Based on the repeated cross-sectional sample, the mean and median VSLs, averaged across 2012-2014, are estimated to be approximately 1.21 and 0.66 million in 2011 USD, respectively. The mean income elasticity is 1.488, indicating the Thai VSL is income elastic. This study represents the first VSL study in Thailand that uses nationally representative data on actual labour market outcomes. It captures income heterogeneity of the VSL, and demonstrates that VSL estimates vary importantly with time, gender, job sector, and region of residence.