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Can we fix it? Yes we can! But what? A new test of procedural invariance in TTO‐measurement

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  • Arthur E. Attema
  • Werner B. F. Brouwer

Abstract

The TTO‐method is often used to value health states, but it is susceptible to several biases and methodological difficulties. One of these is a violation of procedural invariance, which means that the way a TTO‐question is framed, i.e. either by fixing the period in imperfect health or that in perfect health, can have a substantial effect on the elicited value of a health state. There are four important sources of discrepancy of the two procedures: loss aversion, maximum endurable time, scale compatibility and discounting. In this article, we present the results of a new test of procedural invariance in which we avoided or corrected for two of these sources (discounting and maximum endurable time). Our results indicate that while correcting for discounting does diminish the difference between the two TTO‐procedures, a large and significant violation of procedural invariance remains. Loss aversion is probably the main determinant of the remainder of this difference. Copyright © 2007 John Wiley & Sons, Ltd.

Suggested Citation

  • Arthur E. Attema & Werner B. F. Brouwer, 2008. "Can we fix it? Yes we can! But what? A new test of procedural invariance in TTO‐measurement," Health Economics, John Wiley & Sons, Ltd., vol. 17(7), pages 877-885, July.
    • Handle: RePEc:wly:hlthec:v:17:y:2008:i:7:p:877-885
    DOI: 10.1002/hec.1315
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    Cited by:

    1. Arthur Attema & Werner Brouwer, 2012. "The way that you do it? An elaborate test of procedural invariance of TTO, using a choice-based design," The European Journal of Health Economics, Springer;Deutsche Gesellschaft für Gesundheitsökonomie (DGGÖ), vol. 13(4), pages 491-500, August.
    2. F. E. van Nooten & X. Koolman & W. B. F. Brouwer, 2009. "The influence of subjective life expectancy on health state valuations using a 10 year TTO," Health Economics, John Wiley & Sons, Ltd., vol. 18(5), pages 549-558, May.
    3. Adam Oliver, 2018. "Your money and your life: Risk attitudes over gains and losses," Journal of Risk and Uncertainty, Springer, vol. 57(1), pages 29-50, August.
    4. Arthur E. Attema & Jona J. Frasch & Olivier L’Haridon, 2022. "Multivariate risk preferences in the quality‐adjusted life year model," Health Economics, John Wiley & Sons, Ltd., vol. 31(2), pages 382-398, February.
    5. Attema, Arthur E. & Brouwer, Werner B.F., 2009. "The correction of TTO-scores for utility curvature using a risk-free utility elicitation method," Journal of Health Economics, Elsevier, vol. 28(1), pages 234-243, January.
    6. Sebastian Neumann-Böhme & Stefan A. Lipman & Werner B. F. Brouwer & Arthur E. Attema, 2021. "Trust me; I know what I am doing investigating the effect of choice list elicitation and domain-relevant training on preference reversals in decision making for others," The European Journal of Health Economics, Springer;Deutsche Gesellschaft für Gesundheitsökonomie (DGGÖ), vol. 22(5), pages 679-697, July.
    7. Attema, Arthur & Frasch, Jona & L'Haridon, Olivier, 2020. "Multivariate risk preferences in the QALY model," MPRA Paper 103339, University Library of Munich, Germany.
    8. Oliver, Adam, 2018. "Your money and your life: risk attitudes over gains and losses," LSE Research Online Documents on Economics 88583, London School of Economics and Political Science, LSE Library.
    9. Attema, Arthur E. & Brouwer, Werner B.F., 2013. "In search of a preferred preference elicitation method: A test of the internal consistency of choice and matching tasks," Journal of Economic Psychology, Elsevier, vol. 39(C), pages 126-140.
    10. Arthur Attema & Yvette Edelaar-Peeters & Matthijs Versteegh & Elly Stolk, 2013. "Time trade-off: one methodology, different methods," The European Journal of Health Economics, Springer;Deutsche Gesellschaft für Gesundheitsökonomie (DGGÖ), vol. 14(1), pages 53-64, July.
    11. Arthur E. Attema & Werner B.F. Brouwer, 2014. "Deriving Time Discounting Correction Factors For Tto Tariffs," Health Economics, John Wiley & Sons, Ltd., vol. 23(4), pages 410-425, April.
    12. Eve Wittenberg & Lisa Prosser, 2011. "Ordering errors, objections and invariance in utility survey responses," Applied Health Economics and Health Policy, Springer, vol. 9(4), pages 225-241, July.
    13. Arthur E. Attema & Werner B. F. Brouwer & Karl Claxton, 2018. "Discounting in Economic Evaluations," PharmacoEconomics, Springer, vol. 36(7), pages 745-758, July.
    14. Oliver, Adam & Wolff, Jonathan, 2014. "Are people consistent when trading time for health?," Economics & Human Biology, Elsevier, vol. 15(C), pages 41-46.
    15. Jose María Abellán Perpiñán & Fernando Ignacio Sánchez Martínez & Jorge Eduardo Martínez Pérez & Ildefonso Méndez Martínez, 2009. "Debiasing EQ-5D Tariffs. New estimations of the spanish EQ-5D value set under nonexpected utility," Economic Working Papers at Centro de Estudios Andaluces E2009/06, Centro de Estudios Andaluces.
    16. Arthur E. Attema & Han Bleichrodt & Peter P. Wakker, 2012. "A Direct Method for Measuring Discounting and QALYs More Easily and Reliably," Medical Decision Making, , vol. 32(4), pages 583-593, July.

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