By Centre for Health Economics (2016)
This paper proposes a practical measure of individual wellbeing to facilitate the economic evaluation of public policies. It shows how evaluating policies in terms of years of good life gained can complement and generalise conventional cost-benefit analysis in terms of money. It also aims to show how years of good life could be measured in practice by harnessing readily available data on three important elements of individual wellbeing: income, health-related quality of life, and longevity.