Podcast
Questions and Answers
What does the Incremental Cost-effectiveness Ratio (ICER) calculate?
What does the Incremental Cost-effectiveness Ratio (ICER) calculate?
- The difference in outcomes divided by the difference in costs between alternatives (correct)
- The average cost per unit of health gained across multiple interventions
- The effectiveness of a single treatment option
- The total costs of all treatment options
When should a new intervention be adopted according to its ICER?
When should a new intervention be adopted according to its ICER?
- If the intervention shows a significant improvement in outcomes
- When the ICER is greater than the acceptable cost-effectiveness threshold
- Only if the cost of the intervention is reduced
- When the ICER is less than the acceptable cost-effectiveness threshold (correct)
What does the cost-effectiveness threshold represent?
What does the cost-effectiveness threshold represent?
- The average cost-effectiveness ratio of all interventions available
- The maximum cost allowed for any health intervention
- The overall budget allocated for healthcare interventions
- The amount a decision maker is willing to spend for each additional year of life gained (correct)
If the ICER of a new treatment is higher than the cost-effectiveness threshold, what decision is typically made?
If the ICER of a new treatment is higher than the cost-effectiveness threshold, what decision is typically made?
Which of the following is NOT an example of a unit of health gained that could be used in measuring outcomes in ICER?
Which of the following is NOT an example of a unit of health gained that could be used in measuring outcomes in ICER?
Flashcards
Incremental Cost-Effectiveness Ratio (ICER)
Incremental Cost-Effectiveness Ratio (ICER)
The difference in costs between two healthcare interventions divided by the difference in their health outcomes.
Cost-effectiveness threshold
Cost-effectiveness threshold
A value that represents the maximum amount a decision-maker is willing to pay for a unit of improved health.
When to adopt a new intervention
When to adopt a new intervention
If the cost of a new intervention is less than the maximum acceptable cost for each unit of health gained, then it should be considered for adoption.
Quality-Adjusted Life Year (QALY)
Quality-Adjusted Life Year (QALY)
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Life Year Gained (LYG)
Life Year Gained (LYG)
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Study Notes
Incremental Cost-effectiveness Ratio (ICER)
- ICER measures the difference in costs of different options, divided by the difference in health outcomes (e.g., QALYs, LYGs).
Decision Making with ICER
- If the ICER of a new intervention is less than the acceptable threshold, it should be adopted.
Cost-Effectiveness Threshold
- The cost-effectiveness threshold represents the maximum amount a decision-maker is willing to pay for a single unit of health improvement (e.g., a Quality-Adjusted Life Year (QALY) or a Life-Year Gained (LYG)).
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