Economic and outcomes assessment

Question 1

Define cost-effectiveness analysis and how you would choose an intervention based on this analysis.

Answer 1

Compare relevant costs and outcomes of 2 competing therapies. The cost-effectiveness ratio is expressed as cost per case cured, cost per life year saved. You would choose the lowest cost per unit of effectiveness. The disadvantage is that only alternatives with the same outcome can be compared.

Question 2

Define cost-utility analysis

Answer 2

Incorporates quality of life and the unit of outcome is quality-adjusted life year (QALY) gained

Question 3

Name costs that would be used in cost-minimization analysis

Answer 3

Cost of drug, costs of administration, labor, monitoring

Question 4

How would you determine QALY?

Answer 4

Utility x time in state
*Can also add the sum of each utilities related to each intervention and subject from the control to determine additional QALY gained

Question 5

What is the human capital approach?

Answer 5

It measures the cost of lost productivity in wages. The very young, women, minorities and older adults are highly undervalued and should be avoided in this analysis. The human capital approach uses average wages for age/sex as the basis.

Question 6

What is cost of illness?

Answer 6

Illness’s impact on society, often done prior to cost-benefit and cost-effectivness