8. Cost-benefit & Cost-effectiveness analysisGiven the information below, answer the questions that follow.Effectiveness4 life-years gained10 life-years gainedCurrent TreatmentNew TreatmentCost$100,000$250,000A. Calculate the ICER for the new treatment, assuming that the newtreatment would replace the old one. Should the new treatment beadopted? Why?B. Calculate the cost effectiveness for both current and new treatments.(Hint: use the ratio of costs over benefits) C. What is QALY? Briefly explain how QALY might change your answerto the above questions.D. Assume that to be fully vaccinated, people (in a given population of1,000 individuals) need to get three doses of the new and improvedCOVID-19 m-RNA vaccines. What is the marginal cost of each dose?What is the optimal number of doses suggested by the results of thecost effectiveness analysis?Using the averted hospitalization.Using the averted mortality.Based on your answers above, which is your preferred costeffectiveness measure? Explain in 1-2 sentences.(i)(ii)Dose of Vaccine Total Cost perperson0$400$450$4600123AvertedHospitalization020,00010,0005,000AvertedMortality03,0001,500200

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8. Cost-benefit & Cost-effectiveness analysis Given the information below, answer the questions that follow. Effectiveness 4 life-years gained 10 life-years gained Current Treatment New Treatment Cost $100,000 $250,000 A. Calculate the ICER for the new treatment, assuming that the new treatment would replace the old one. Should the new treatment be adopted? Why? B. Calculate the cost effectiveness for both current and new treatments. (Hint: use the ratio of costs over benefits)

8. Cost-benefit & Cost-effectiveness analysis Given the information below, answer the questions that follow. Effectiveness 4 life-years gained 10 life-years gained Current Treatment New Treatment Cost $100,000 $250,000 A. Calculate the ICER for the new treatment, assuming that the new treatment would replace the old one. Should the new treatment be adopted? Why? B. Calculate the cost effectiveness for both current and new treatments. (Hint: use the ratio of costs over benefits)

EBK HEALTH ECONOMICS AND POLICY

7th Edition

ISBN:9781337668279

Author:Henderson

Publisher:Henderson

Chapter11: The Market For Pharmaceuticals

Section: Chapter Questions

Problem 1QAP

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