The triumph of hope over disappointment: A note on the utility value of good health expectations

摘要: In this paper, we present and test the empirical implications of competing theories about how expectations outcomes affect utility. first utility formulation, which is consistent with particular interpretations disappointment, prospect theory regret theory, individuals receive negative from that were worse than expected. This directly implies themselves enter negatively. The second formulation incorporates anticipatory savoring, where positive future lead to more today. We these formulations best explains actual connections between health welfare over time, using data Household Income Labour Dynamics in Australia survey. Estimated coefficients fixed-effects ordered logit models support a strong impact expectations: expecting good increases happiness now. Our results are one argument for benevolent care providers allow maintain unrealistically future.