Exam 12: Economic Evaluation of Health Services

An economic evaluation provides all the answers for making informed choices.

Life tables have been developed that show, for each age cohort of the population, the probability that a person of that age will not survive until his or her next birthday.

When the outcomes are the same for all of the interventions being studied, then the economic analysis method that can be applied is:

The concept related to differences in outcomes between interventions under non-experimental conditions is:

The more narrowly a problem is defined in an economic evaluation, the more alternatives available for solving the problem.

If a new treatment is less costly than an old treatment and the new treatment is more effective then

The net benefit approach in economic analysis compares projects on the basis of the average

What are the steps in an economic analysis, regardless of the method employed?

The economic analysis method used when there are alternative ways of attaining a single type of outcome is:

Patients who were hospitalized for asthma were placed on a new drug. The drug resulted in an extra day of hospitalization (the length of stay went from 6 to 7 days), the extra day would cost $1,600. There were no other differences in the treatment. The drug cost $600 for the dose. Also, administration of the drug and monitoring of the patient after administration took an hour of nursing time (wage = $40 per hour) and $20 in supplies were used in the administration of the drug. The mortality rate was 20 deaths per 100 with the drug and 24 deaths per 100 without it. What is the cost-effectiveness ratio for using the drug?

Clinical outcome measures do not indicate how patients regard their own conditions.

In economic analysis, a decision tree can be used in analyzing events that occur repeatedly or over a long period of time.

Incremental cost-effectiveness ratio (ICER) is another form of cost-effectiveness analysis.

If in each of a 3-year period a quality-adjusted life year (QALY) value of 0.75 is reported, each surviving individual would experience a total of:

A health economist was asked to compare outcomes and costs of two diabetes therapies that affected both the severity of the disease and the survival rate. What evaluation concept should be used? Explain your answer.