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A model to optimize investments in health technologies, quality of care and research

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  • Afschin Gandjour

Abstract

Funds for health technologies compete with funds for implementing health technologies as well as funds for conducting research to reduce uncertainty around treatment and implementation cost-effectiveness. No study has yet shown how to allocate a combined budget for health technologies, implementation and research. The purpose of this work was to present an allocation model with the goal to maximize health. Based on a constrained optimization formulation, we show that considering opportunities to invest in implementation and research may justify considerable disinvestment in health technologies. This may reduce the willingness to pay for new health technologies significantly.

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  • Afschin Gandjour, 2015. "A model to optimize investments in health technologies, quality of care and research," Applied Economics, Taylor & Francis Journals, vol. 47(20), pages 2031-2039, April.
    • Handle: RePEc:taf:applec:v:47:y:2015:i:20:p:2031-2039
    DOI: 10.1080/00036846.2014.995366
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    References listed on IDEAS

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    1. Afschin Gandjour & Karl Wilhelm Lauterbach, 2003. "When Is It Worth Introducing a Quality Improvement Program? A Mathematical Model," Medical Decision Making, , vol. 23(6), pages 518-525, November.
    2. Martin Buxton, 2005. "How much are health-care systems prepared to pay to produce a QALY?," The European Journal of Health Economics, Springer;Deutsche Gesellschaft für Gesundheitsökonomie (DGGÖ), vol. 6(4), pages 285-287, December.
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    4. Richard H. Chapman & Patricia W. Stone & Eileen A. Sandberg & Chaim Bell & Peter J. Neumann, 2000. "A Comprehensive League Table of Cost-Utility Ratios and a Sub-table of "Panel-worthy" Studies," Medical Decision Making, , vol. 20(4), pages 451-458, October.
    5. Claxton, Karl, 1999. "The irrelevance of inference: a decision-making approach to the stochastic evaluation of health care technologies," Journal of Health Economics, Elsevier, vol. 18(3), pages 341-364, June.
    6. Stinnett, Aaron A. & Paltiel, A. David, 1996. "Mathematical programming for the efficient allocation of health care resources," Journal of Health Economics, Elsevier, vol. 15(5), pages 641-653, October.
    7. Michael Hoel, 2003. "Allocating health care resources when people are risk averse with respect to life time," Health Economics, John Wiley & Sons, Ltd., vol. 12(7), pages 601-608, July.
    8. Claire McKenna & Karl Claxton, 2011. "Addressing Adoption and Research Design Decisions Simultaneously," Medical Decision Making, , vol. 31(6), pages 853-865, November.
    9. Martin Forster & Paolo Pertile, 2013. "Optimal decision rules for HTA under uncertainty: a wider, dynamic perspective," Health Economics, John Wiley & Sons, Ltd., vol. 22(12), pages 1507-1514, December.
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    1. Petra Maresova & Blanka Klimova & Kamil Kuca, 2016. "Financial and legislative aspects of drug development of orphan diseases on the European market -- a systematic review," Applied Economics, Taylor & Francis Journals, vol. 48(27), pages 2562-2570, June.

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