Improving health and wellbeing metrics

Measuring subjective wellbeing to improve lives as effectively as possible


This profile is tailored towards students studying economics, health sciences and psychology and cognitive sciences, however we expect there to be valuable open research questions that could be pursued by students in other disciplines.

Why is this a pressing problem?

The quality-adjusted life-year (QALY) and the disability-adjusted life-year (DALY) are widely used to evaluate healthcare interventions and quantify the burden of disease. Some people also use these metrics informally as a general indicator of value. However, they have a number of major shortcomings in their current form. For example:

  • They focus on a relatively narrow set of health domains, ignoring many other areas of life that matter to us.

  • They normally assess the disutility of health states using preferences of the general public, who tend to be poor at predicting the impact of changes in health on their overall quality of life.

  • They give no weight to positive mental states, beyond the relief of mental or physical illness.

  • They fail to capture the severity of the most horrendous conditions.

The main alternative, often used within central government, is cost-benefit analysis. CBA allows direct comparisons both within and across domains by expressing all outcomes in monetary terms. (See the UK Treasury’s Green Book for an example of this approach.) However, it generally relies on stated or revealed preferences, which are often a poor measure of welfare for a variety of reasons.

These problems lead to serious misallocation of resources in public institutions, such as national governments, and in some non-profit entities as well.

An alternative metric is the wellbeing-adjusted life-year (WELLBY). This is structurally identical to the QALY but quantifies value in terms of subjective wellbeing (SWB), typically measured using self-reported happiness or life satisfaction. 

In the conference talk below, Michael Plant and Clare Donaldson of the Happier Lives Institute cover some of the issues with currently widely used measures of impact and explain the benefits of the WELLBY as an alternative.

Contributors: The thanks for building this profile go to Derek Foster. Learn more about how we create our profiles.

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Moral weight research

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Moral circle expansion