Health economic evaluation: Important principles and methodology

L. Rudmik, M. Drummond

Research output: Contribution to journalArticlepeer-review

Abstract

Objectives/Hypothesis To discuss health economic evaluation and improve the understanding of common methodology. Results This article discusses the methodology for the following types of economic evaluations: cost-minimization, cost-effectiveness, cost-utility, cost-benefit, and economic modeling. Topics include health-state utility measures, the quality-adjusted life year (QALY), uncertainty analysis, discounting, decision tree analysis, and Markov modeling. Conclusion Economic evaluation is the comparative analysis of alternative courses of action in terms of both their costs and consequences. With increasing health care expenditure and limited resources, it is important for physicians to consider the economic impact of their interventions. Understanding common methodology involved in health economic evaluation will improve critical appraisal of the literature and optimize future economic evaluations.
Original languageEnglish
Pages (from-to)1341-1347
JournalLaryngoscope
Volume123
Issue number6
DOIs
Publication statusPublished - 1 Jun 2013

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