Mark versus Luke? Appropriate Methods for the Evaluation of Public Health Interventions

Karl Claxton, Mark Sculpher and Anthony Culyer

No 031cherp, Working Papers from Centre for Health Economics, University of York

Abstract: The purpose of this paper is to demonstrate that a social decision making approach to evaluation can be generalised to interventions such as public health and national policies which have multiple objectives and impact on multiple constraints within and beyond the health sector. We demonstrate that a mathematical programming solution to this problem is possible, but the information requirements make it impractical. Instead we propose a simple compensation test for interventions with multiple and cross-sectoral effects. However, rather than compensation based on individual preferences, it can be based on the net benefits falling on different sectors. The valuation of outcomes is based on the shadow prices of the existing budget constraints, which are implicit in existing public expenditure and its allocation across different sectors. A ‘welfarist’ societal perspective is not sufficient; rather, a multiple perspective evaluation which accounts for costs and effects falling on each sector is required.

Keywords: cost-effectiveness analysis; decision rules; public health (search for similar items in EconPapers)
Pages: 20 pages
Date: 2007-11
New Economics Papers: this item is included in nep-hea
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (14)

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Persistent link: https://EconPapers.repec.org/RePEc:chy:respap:31cherp

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