Much as it sounds horribly materialistic, there is actually a way to compute the value of human life. An intriguing application of the value of human life based on the human capital model can be seen in calculating the amount of damage done and its consequential effect on the economy.
Take for example a terrorist attack. It is successful and deals 2 million dollars in damage. Nobody was hurt or killed in the incident. Assuming that each person generates approximately 500k in a lifetime, the attack has effectively destroyed the life's labors of 4 people.
Extrapolating this to Leon's going rate in The Professional (25k), he is really operating at a massive discoun. He really should be raising his prices. In the context of a country's economy, it may be more efficient to negate the labors of the people by damaging the economy instead of killing people. After all, people consume resources to survive and need to redirect their labor to repair what was damaged.
Saturday, April 26, 2008
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