Cost-Effectiveness Analysis (HSMP 6609)

This class is an introduction to economic evaluations of health care interventions or technology. Economic evaluations compare the cost and consequences of different alternatives. We cover different forms of economic evaluations --cost analysis, cost effectiveness, cost utility, and cost benefit-- as well as different methods such as decision analysis, Markov models, and different ways of conducting sensitivity analyses. We will review economics concepts that are necessary to understand the foundation of economic evaluations. Registered students have access to additional readings and files on Canvas. Please email me if you want files mentioned in the lecture notes. I no longer teach this class.

Lecture Notes

The lecture notes are from the last time I taught this class (Spring 2020). Since it was pandemic time, I covered COVID-19 models (Lecture 12), which are a type of (dynamic) Markov models, common in cost-effectiveness analysis.

CEA syllabus (2020)

1. Overview of Economic Evaluations

2. Assessment of studies

3. Cost and cost analysis (part I)

4. Cost and cost analysis (part II)

5. Cost savings studies

6. Adding outcomes (cost effectiveness)

7. Preferences (cost utility, part I)

8. Preferences (cost utility, part II)

9. Decision analysis and Markov models (part I)

10. Decision analysis and Markov models (part II)

11. Decision analysis and Markov models (part III)

12. Modeling Infectious Diseases (coronavirus aka COVID-19 version, SIR and SEIR models) [sir model.xls]

13. Uncertainty [Recording a macro.mp4][Tornado diagram.mp4]

14. Value of life, cost benefit, and policy  

Note: Some graphs and quotations are from the textbook “Methods for the Economic Evaluation of Health Care Programmes, Cost-Effectiveness Analysis in Health: A Practical Approach, and/or Decision Modelling for Health Economic Evaluation.”