Willingness to Pay for an Annual Vaccine in an Endemic COVID-19 Scenario: A Contingent Valuation Study in Metro Manila, Philippines

• Main Author: Palanca-Tan, Rosalina
• Format: text
• Published: Archīum Ateneo 2023
• Subjects: Contingent valuation method; Endemic COVID-19; Health benefit model; Vaccine; Willingness to pay; Economics; Health Economics; Social and Behavioral Sciences
• Online Access: https://archium.ateneo.edu/economics-faculty-pubs/201; https://drive.google.com/file/d/1DtD97noIneSQiJi8X1E0vh3MNaXhS4Ml/view?usp=sharing
• Institution: Ateneo De Manila University

Using the Contingent Valuation Method, this paper estimated willingness to pay (WTP) for annual COVID-19 booster vaccines for the endemic phase of the disease. The study found that, on the average, Metro Manila households would be WTP PhP2,199.71–2,410.50 (US$42.71–46.81) for a one-dose vaccine with 90% efficacy for one year. This WTP estimate is a measure of the perceived benefits from preventing COVID-19 infection, suggesting the potential for private markets to cater to those who prefer to obtain the annual booster COVID-19 vaccine privately, while a public vaccination program that subsidizes partially or fully the cost of the vaccine for those with lower capacity to pay is likely to pass a social cost–benefit assessment. Consistent with economic theory, WTP was found to significantly decrease with vaccine price and increase with income. Further, the study found general acceptance (measured in terms of the Health Benefit Model constructs) of COVID-19 vaccines among Metro Manila households despite the dengue vaccine controversy in the country immediately prior to the COVID-19 pandemic.