Health Economic Evaluation Flashcards
The measure of the consumption of health goods and services
Health spending growth
GDP meaning
Gross domestic product
Highest GDP percentage used in healthcare
17.1% in the US
% of Philippine health expenditure
4.6% of GDP
Reasons why the US has the highest health spending
Large population
Introduction of new or innovative health technology
High cost of care for chronic or long term medical condition
Reasons why the Philippines has low heath spending
We don’t value health
Low salary
Low government investment in healthcare
The process of identifying all available resources labor or monetary then strategically assigning them to task to enable them to do their best work
Resource allocation
It is the comparative analysis of alternative
courses of action in terms of both their
costs and consequences
Economic Evaluation
Markets alone can provide efficient solutions, particularly in health care. T/F
False - Markets alone can’t provide efficient solutions
What are the importance of the free market
Contributes to economic growth and transparency
Ensures competitive markets
Consumers determine what products or services are in demand
Provides best goods and services to consumers at a fair price
Overall aim of Economic evaluation
Markets alone do not provide efficient solutions,
particularly in health care.
Overall aim of economic evaluation
maximize benefits
Cost may be divided into 3
Direct medical cost
Direct Non-medical cost
Indirect cost
Defined as assessing cost and resources
Economic case
3 main methods of economic evaluation
Benefit cost analysis
Cost Effectiveness analysis
Cost Utility analysis
Other Methods of Economic Evaluation
Cost-minimization analysis (CMA)
Cost-effectiveness analysis (CEA)
Cost-benefit analysis (CBA)
Cost-utility analysis (CUA)
analysis is used when the outcomes
of two procedures being compared are identical and it is important that the outcomes of the alternative programs are proven to be the same if the method is used.
Cost-minimization analysis
Aim of Cost-minimization analysis
to find the lowest cost program
It is the evaluation of the costs and consequences of alternative interventions using clinical outcomes
in “natural units.”
Cost-effectiveness analysis
Goal of Cost-effectiveness analysis
Maximize efficiency while being mindful of the cost
Advantage of Cost-effectiveness analysis
Easier to produce
Requires less resources
Tends to be easier for clinicians
If the outcome of two health program differs, then ma common denominator must be established to allow comparisons of outcome.
Cost-benefit analysis
2 main approach of Cost-benefit analysis
The human capital approach
The ‘willingness to pay’ approach
It focuses on measuring the patient’s preference for being in a particular health-state (a form of quality of life outcome).
Cost-utility analysis
