Is Preventive Care Worth the Cost? Evidence from Mandatory Checkups in Japan
This event is jointly sponsored by the Asia Health Policy Program and the Japan Program at the Walter H. Shorenstein Asia-Pacific Research Center (APARC).
Using unique individual-level panel data, we investigate whether preventive care triggered by health checkups is worth the cost. We exploit the fact that the health of individuals just below and above a clinical threshold is similar, whereas treatments differ according to the checkup signals they receive. For the general population, although people respond to health signals about diabetes by increasing utilization, we find no evidence that health outcomes improve after the index checkup. However, if we focus on high-risk individuals, physical measures to improve, and cost-per-life saved is comparable to conventional estimates of the value of a statistical life. This suggests that targeting programs to high-risk groups is essential.
RSVP required by 5PM on Tuesday, October 23, 2018