Distributional cost-effectiveness analysis: a tutorial

Miqdad Asaria, Susan Griffin and Richard Cookson

LSE Research Online Documents on Economics from London School of Economics and Political Science, LSE Library

Abstract: Distributional cost-effectiveness analysis (DCEA) is a framework for incorporating health inequality concerns into the economic evaluation of health sector interventions. In this tutorial, we describe the technical details of how to conduct DCEA, using an illustrative example comparing alternative ways of implementing the National Health Service (NHS) Bowel Cancer Screening Programme (BCSP). The 2 key stages in DCEA are 1) modeling social distributions of health associated with different interventions, and 2) evaluating social distributions of health with respect to the dual objectives of improving total population health and reducing unfair health inequality. As well as describing the technical methods used, we also identify the data requirements and the social value judgments that have to be made. Finally, we demonstrate the use of sensitivity analyses to explore the impacts of alternative modeling assumptions and social value judgments.

Keywords: cost-effectiveness analysis; economic evaluation; efficiency; equality; equity; fairness; health distribution; health inequality; inequality measures; opportunity cost; social value judgments; social welfare functions; tradeoff (search for similar items in EconPapers)
JEL-codes: J50 (search for similar items in EconPapers)
Pages: 12 pages
Date: 2016-01-01
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (20)

Published in Medical Decision Making, 1, January, 2016, 36(1), pp. 8-19. ISSN: 0272-989X

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http://eprints.lse.ac.uk/101271/ Open access version. (application/pdf)

Related works:
Working Paper: Distributional cost-effectiveness analysis: a tutorial (2013)
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