1. Given: Cost Effectiveness Current Treatment $100,000 4 life-years gained New Treatment $250,000 10 life-years gained & the health-utility index is 0.5 for the current treatment and 0.8 for the new treatment, a. Calculate the Incremental Cost-Effectiveness Ratio (ICER) for the current and new treatment b. Calculate the number of QALYs for the current and new treatment. b. Calculate the cost-utility index for new treatment.
1. Given: Cost Effectiveness Current Treatment $100,000 4 life-years gained New Treatment $250,000 10 life-years gained & the health-utility index is 0.5 for the current treatment and 0.8 for the new treatment, a. Calculate the Incremental Cost-Effectiveness Ratio (ICER) for the current and new treatment b. Calculate the number of QALYs for the current and new treatment. b. Calculate the cost-utility index for new treatment.
Cornerstones of Cost Management (Cornerstones Series)
4th Edition
ISBN:9781305970663
Author:Don R. Hansen, Maryanne M. Mowen
Publisher:Don R. Hansen, Maryanne M. Mowen
Chapter19: Capital Investment
Section: Chapter Questions
Problem 5CE: Keating Hospital is considering two different low-field MRI systems: the Clearlook System and the...
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1. Given: Cost Effectiveness
Current Treatment $100,000 4 life-years gained
New Treatment $250,000 10 life-years gained
& the health-utility index is 0.5 for the current treatment and 0.8 for the new treatment,
a. Calculate the Incremental Cost-Effectiveness Ratio (ICER) for the current and new treatment
b. Calculate the number of QALYs for the current and new treatment.
b. Calculate the cost-utility index for new treatment.
c. Should the new treatment be adopted?
d. Why?
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