Healthcare Economic Evaluation When Would Research Paper

Cost analysis methods, 2011, U.S. National Library of Medicine). This will give a picture of the efficacy of the drug, its financial costs, its impact upon society, and impact upon the patient. When a drug is new, data must first be accrued on the drug itself before it can be compared with similar treatments.

What type of economic evaluation should be used when comparing outcomes and costs of two diabetes therapies that affect both the severity of the disease and the survival rate? Why?

A cost-benefit analysis should be used. In this instance, the two therapies do not produce equivalent outcomes. This means a cost-minimization analysis that presumes equivalency cannot be used. The study's designers are not only interested in the costs of the treatment, but also the impact upon patient health, so cost-utility and cost-effectiveness analysis is not appropriate. Only a cost-benefit analysis provides non-quantitative information on the benefits to the patients and the financial costs of the treatment, and weighs the two against one another, determining that given the outcomes and financial costs that one is superior to the other or that they are equivalent (HTA 101: IV. Cost analysis methods, 2011, U.S. National Library of Medicine).

References

HTA 101: IV. Cost analysis methods. (2011). U.S. National Library of Medicine.

Retrieved June 27, 2011 at http://www.nlm.nih.gov/nichsr/hta101/ta10106.html