Session 9: Resource Allocation and PROMs

Question 1

What is the impact of scarce resources on doctors?

Answer 1

When demand outstrips supply, we have to set priorities and allocate resources wisely.

Question 2

What are the 2 forms of rationing?

Answer 2

Explicit and implicit

Question 3

What is explicit rationing?

Answer 3

Using institutional procedures for systematic allocation of resources within health care system

Question 4

What is implicit rationing?

Answer 4

Allocation of resources through individual clinical decisions without explicit criteria

Question 5

What is NICE?

Answer 5

National Institute for Health and Care Excellence

Question 6

What is NICE’s purpose?

Answer 6

Provides guidance on whether new or existing treatments can be recommended for use in the NHS in England

Question 7

What is scarcity?

Answer 7

Demand outstrips supply, prioritization is inevitable

Question 8

What is efficiency?

Answer 8

Getting the most out of limited resources

Question 9

What is equity?

Answer 9

Extent to which distribution of resources is fair

Question 10

What is effectiveness?

Answer 10

Extent to which an intervention produces desired outcomes

Question 11

What is utility?

Answer 11

Value an individual places on a health state

Question 12

What is opportunity cost?

Answer 12

Value of next best alternative use of resources or benefits foregone

Question 13

What is technical efficiency?

Answer 13

Most efficient way of meeting a need

Question 14

What is allocative efficiency?

Answer 14

Best way to allocate resources to achieve best possible overall outcome

Question 15

What are the 4 types of economic evaluation?

Answer 15

1. Cost minimization analysis
2. Cost effectiveness analysis
3. Cost benefit analysis
4. Cost utility analysis

Question 16

What is cost minimization analysis?

Answer 16

Assume outcomes to be equivalent and only think about costs

Question 17

What is cost effectiveness analysis?

Answer 17

Used to compare treatments that have same outcome, divide cost by unit outcome.

If costs and benefits are higher for a treatment, compare the extra benefit obtained for the extra cost. Then determine if the extra benefit is worth the cost.

Question 18

What is cost benefit analysis?

Answer 18

All inputs and outputs valued in monetary terms, which may be difficult

Question 19

What is cost utility analysis?

Answer 19

Calculate quality of health outcomes produced or foregone - quality adjusted life year (QALY)

Question 20

What does QALY determine?

Answer 20

Adjusts life expectancy for quality of life

Question 21

How to calculate QALY?

Answer 21

1 year of perfect health = 1 QALY = 10 years of 0.1 health

Question 22

What is one instrument used to measure quality of life?

Answer 22

EQ5D

Question 23

What are the advantages of QALY?

Answer 23

Effective way to calculate benefits gained per unit cost

Question 24

What are 3 disadvantages of QALY?

Answer 24

Doesn’t distribute resources based on need
Doesn’t assess impact on carers and family
Imperfect evidence to measure quality of life