Benefit transfer refers to the practice of transferring the results of an economic benefits analysis to a new geographical area or context. Benefit transfer techniques offer a cost-effective alternative to primary valuation studies and are often applied where time or budget constraints prevent more detailed analysis.
This technical paper explores approaches for transferring valuation estimates for chemicals-related health effects to countries where no surveys have been conducted. The paper covers ten health effects (asthma, non-fatal cancer, chronic kidney disease, hypertension, infertility, IQ loss among children, miscarriage, underactive thyroid, very low birth weight, and skin sensitisation) using estimates obtained under the OECD Surveys on Willingness-to-pay to Avoid negative Chemicals-related Health Effects (SWACHE) project.
Three benefit transfer approaches are examined, namely simple unit value transfers, income-adjusted unit value transfers and transfers based on a benefit function approach. Using the best performing approach, country-specific valuation estimates are derived for all 38 OECD Member countries and South Africa. These estimates can be directly integrated into cost-benefit analyses and are intended to strengthen the evidence base underlying countries’ chemical risk management options, environmental regulations and health related policies.