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I won't use oxygen for comfort, but I have definitely used it for placebo effect for pain control. Placebo effect can be a very strong and if I'm in pain, my healthcare provider is welcomed to palcebo the hell out of me.
Though, as more and more literature comes out about the dangers of O2 administration, I do this very rarely nowadays.
The less you do that, the better. Oxygen is indicated for cases of respiratory distress, not for any sort of pain control, placebo or not! You might think it's helping but odds are the patient is less comfortable (ever had an NC for extended period of time) and you are costing them more money. Never mind the whole ethics and breaching the trust of patients issue.
There are BLS pain control measures. Proper positioning, cold and heat packs, blankets, pillows, splinting, and even holding the patient's hand are all more effective than supplementary oxygen.