Theories of Health Care Cost-Effectiveness Analysis

Focusing on the theoretical foundations of health care cost-effectiveness analysis, this book serves as a guide for policy authorities, researchers, and students. It outlines decision rules for public health agencies to identify absolutely cost-effective treatments. These rules are derived from utilitarian principles and agency behavior models, equating them with incremental cost-effectiveness ratios and net benefits. Additionally, it addresses probabilistic analysis methods and offers statistical tests for assessing the cost-effectiveness of new treatments.