Health Economic Evaluation: A Primer for Healthcare ProfessionalsLawrence Leung1,2*
- Corresponding Author:
- Lawrence Leung
Department of Family Medicine, Queen’s University, Canada
Tel: +1-613-533-9303 10
E-mail: [email protected]
Received date: April 12, 2016; Accepted date: April 29, 2016; Published date: May 06, 2016
Citation: Leung L (2016) Health Economic Evaluation: A Primer for Healthcare Professionals. Primary Health Care 6:223. doi:10.4172/2167-1079.1000223
Copyright: © 2016 Leung L. This is an open-access article distributed under the terms of the Creative Commons Attribution License, which permits unrestricted use, distribution, and reproduction in any medium, provided the original author and source are credited.
In its broadest term, economic evaluation (EE) is a comparative analysis of the input (costs) and the output (consequences, outcomes) of two or more alternatives to see if they are economically beneficial or feasible. The earliest form of economic evaluation took place in mid-19th century and since then; three main forms of EE have evolved which are employed in various settings: cost-benefit analysis (CBA), cost-effectiveness analysis (CEA) and cost-utility analysis (CUA). Intended as a primer reading for clinicians, this article starts with the fundamental concepts of economics (e.g., costs, benefits, supply and demand, utilities and efficiency) and then combine them into principles for each tool for EE. The article will present a narrative critique of each EE in the context of modern healthcare system. As a conclusion, the article will mention some of the major challenges of these EE tools plus the role of sensitivity analysis.