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On the interpretation of cost-effectiveness acceptability curves

Author

Listed:
  • Löthgren, Mickael

    (Dept. of Economic Statistics, Stockholm School of Economics)

  • Zethraeus, Niklas

    (Centre for Health Economics)

Abstract

This paper discusses the definition, computation and interpretation of cost-effectiveness acceptability curves. A formal definition of the cost-effectiveness acceptability curve based on the net benefit approach is provided. The curve can be computed using parametric or non-parametric techniques and for both computational approaches we establish a formal relation between the cost-effectiveness acceptability curve and statistical inference based on confidence intervals and P-values in cost-effectiveness analysis.

Suggested Citation

  • Löthgren, Mickael & Zethraeus, Niklas, 1999. "On the interpretation of cost-effectiveness acceptability curves," SSE/EFI Working Paper Series in Economics and Finance 323, Stockholm School of Economics, revised 02 May 2000.
    • Handle: RePEc:hhs:hastef:0323
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    Citations

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    Cited by:

    1. Anthony O’Hagan & John Stevens & Jacques Montmartin, 2000. "Inference for the Cost-Effectiveness Acceptability Curve and Cost-Effectiveness Ratio," PharmacoEconomics, Springer, vol. 17(4), pages 339-349, April.
    2. Elisabeth Fenwick & Bernie J. O'Brien & Andrew Briggs, 2004. "Cost‐effectiveness acceptability curves – facts, fallacies and frequently asked questions," Health Economics, John Wiley & Sons, Ltd., vol. 13(5), pages 405-415, May.

    More about this item

    Keywords

    Cost-effectiveness analysis; Cost-effectivenesss acceptability curve; net benefit approach; hypothesis testing; confidence intervals;
    All these keywords.

    JEL classification:

    • I10 - Health, Education, and Welfare - - Health - - - General

    Statistics

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