This article is intended to systematicaly show all the conditions that the Quality Adjusted Life Year (QALY) must satisfy so that it can be interpreted as a von Newman-Morgenstern utility. Such conditions cover two cases. When health states are chronic, we shall be referring to the conditions...

Two major approaches to measuring risk attitude are compared. One, based on the expected utility model is derived from responses to lotteries and direct scaling. The other measure is a psychometric approach based on Likert statements that produces a unidimensional risk attitude scale. The data...