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The following information has been gathered on the costs and effectiveness of the two treatments, A and B. In this problem, costs and consequences are not discounted.
|
|
Treatment A |
Treatment B |
|
Mortality rate |
2% |
5% |
|
Life expectancy for survivors |
20 years |
10 years |
|
Initial treatment cost |
$10,000 |
$3,000 |
|
Follow up costs, year 1 |
$5,000 |
$1,000 |
|
Annual follow up costs, all subsequent years |
$1,000 |
$500 |
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