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Economic effects of echinococcosis.

Cystic echinococcosis (CE) has a number of important economic effects. The most tangible of these is the cost of expensive medical treatment for human cases. Each confirmed case of CE can cost the health services or individual several thousand dollars. In addition to these costs, the additional cost of loss of edible offal from agricultural animals is well known. This may result in the entire loss of an infected organ or at least the trimming and downgrading of that organ, depending on local legislature. However, these losses may only be a relatively small percentage of the economic losses attributed to CE. Recent evidence suggests, through quality of life surveys, that patients treated for CE never fully recover and have a significant and permanent decreased quality of life. This has yet to be translated into monetary terms, but it almost certainly will result in the loss of income, possibly through a lower paid job, and/or the additional expense of increased ill health. Furthermore, in most reports, between 1 and 2% of CE cases are fatal. The death of these individuals results in the loss of the potential lifetime's economic output of these individuals. With alveolar echinococcosis the mortality rate is much higher and such consequences more severe. There is also a considerable amount of Soviet literature, and small amounts published elsewhere which suggests that CE also significantly affects animal productivity. Thus, infected sheep tend to give birth to fewer lambs, have lower levels of food conversion, produce less milk and have poorer quality fleeces then non-infected sheep. The total cost of the disease is the sum of the various costs to the health services, costs of morbidity and losses in animal productivity. Due to the uncertainty of many of these costs, it is appropriate to model these losses using techniques that can give a range of cost estimates. By using analytical techniques such as Monte-Carlo analysis, on parameters that are difficult to determine accurately, all such variables can be randomly varied simultaneously along likely frequency distributions. The results of this give a useful sensitivity analysis of economic costs. In addition, the purchasing power of money in the local economy must also be taken into account. One US $ buys much more in a developing country than in an industrialized economy. Consequently, each lost $ will be more acutely felt in poor countries. Estimates of the financial burden of disease are beneficial in deciding priorities for control. They are also potentially useful tools to lobby donors or non-governmental organizations to fund control programs in poor countries.

Animals↗

Economic evaluation in the field of cardiology: theory and practice.

Economic evaluations figure largely in health care. Economic evaluation aims at offering structured information about the balance between costs and effects of a intervention in comparison to another intervention. Four basic types of economic evaluation studies exist: cost-minimization analysis, cost-effectiveness analysis, cost-utility analysis, and cost-benefit analysis. In deciding which types of evaluation should be used in the analysis, the aim of the analysis is determinative. This article illustrates the theory of economic evaluation and concentrates on its use within cardiology. Finally, this article describes the project "Appropriate Medical Care," a project developed by the Royal Dutch Medical Association. In this project results from cost-effectiveness analysis will be taken into consideration in forming guidelines for the treatment of coronary artery diseases.

Cardiovascular Diseases↗

Health care economic analyses and value-based medicine.

Health care economic analyses are becoming increasingly important in the evaluation of health care interventions, including many within ophthalmology. Encompassed with the realm of health care economic studies are cost-benefit analysis, cost-effectiveness analysis, cost-minimization analysis, and cost-utility analysis. Cost-utility analysis is the most sophisticated form of economic analysis and typically incorporates utility values. Utility values measure the preference for a health state and range from 0.0 (death) to 1.0 (perfect health). When the change in utility measures conferred by a health care intervention is multiplied by the duration of the benefit, the number of quality-adjusted life-years (QALYs) gained from the intervention is ascertained. This methodology incorporates both the improvement in quality of life and/or length of life, or the value, occurring as a result of the intervention. This improvement in value can then be amalgamated with discounted costs to yield expenditures per quality-adjusted life-year ($/QALY) gained. $/QALY gained is a measure that allows a comparison of the patient-perceived value of virtually all health care interventions for the dollars expended. A review of the literature on health care economic analyses, with particular emphasis on cost-utility analysis, is included in the present review. It is anticipated that cost-utility analysis will play a major role in health care within the coming decade.

Cost of Illness↗

The potential unintended economic consequences of the Medicine Equity and Drug Safety Act of 2000.

BACKGROUND: The Medicine Equity and Drug Safety (MEDS) Act of 2000 was passed by Congress in October 2000 in response to the perception that US pharmaceutical prices and expenditures were rising too quickly and that many people could no longer afford their medication. The Act was terminated at the end of December 2000 for lack of the congressionally required certification by the Department of Health and Human Services of 2 key conditions written into the law. Under the terms of the MEDS Act, pharmacists and wholesalers would have been able to reimport lower-priced pharmaceuticals into the United States from other countries. OBJECTIVE: In this article, we formulate an economic model as the basis for determining the probable unintended effects of the MEDS Act and propose an alternative policy that would achieve the objectives of the MEDS Act. METHODS: An economic model of parallel trade in the pharmaceutical industry was used to demonstrate the likely effects of the MEDS Act. RESULTS: Although in most markets the effects of parallel trade would increase economic efficiency, in the pharmaceutical industry parallel trade would be detrimental to long-term economic efficiency. By encouraging parallel trade into the United States, the Congress would, in effect, be introducing pharmaceutical price controls from other countries that have price controls. Parallel trade erodes price differences across countries and hence undermines the most efficient pricing mechanism for paying for research and development. CONCLUSION: Although the MEDS Act was terminated, important policy lessons can be learned for consideration in the creation of any similar future legislation designed to control pharmaceutical prices.

Cost Control↗

Selection of clinical, patient-reported, and economic end points in acute exacerbation of chronic bronchitis.

BACKGROUND: Acute exacerbation of chronic bronchitis (AECB) places tremendous burden on patients, providers, employers, and health care systems. OBJECTIVE: The purpose of this paper is to (1) review the clinical, patient-reported, and economic measures used to evaluate disease burden and treatment effectiveness in AECB in clinical trials and (2) propose a guide for selecting study end points in AECB that will help capture all the relevant disease outcomes. METHODS: Two literature searches of the PubMed database were conducted to identify studies of clinical trials in bronchitis and evaluate the clinical, patient-reported, and economic end points used in these studies. RESULTS: Previous studies have focused primarily on clinician-assessed outcomes, which do not capture the full impact of AECB on patients' lives. Reporting mechanisms for most end points have been inconsistent, limiting the ability to compare information or interpret differences. Previous studies have given limited attention to patient-reported outcomes and the economic implications of AECB. Patient-reported outcomes such as speed of symptom relief and work productivity are important parameters for assessing treatment effectiveness and provide practical information for treatment evaluation. CONCLUSIONS: Additional research is needed to develop, examine, and validate patient-reported outcomes and the indirect costs of AECB. Measuring the relevant clinical, economic, and patient-reported outcomes in AECB patients using standardized methods may lead to a clearer understanding of the disease burden and the role, effectiveness, and cost-effectiveness of antibiotic treatment.

Acute Disease↗

Simulated economic consequences of foot-and-mouth disease epidemics and their public control in France.

The efficient management of foot-and-mouth disease (FMD) epidemics in France was examined through a simulation model which combines epidemiological and economic modules. From the reactions of the importing countries in terms of the products subject to import bans and the regionalization commitments, the economic module assesses the financial consequences of FMD outbreaks borne not only by the breeding sector but also by the other economic sectors on regional and national levels. Among the control options for FMD, the strategy of stamping out infected herds and dangerous in-contact herds most often contributes to reducing the economic consequences of FMD epidemics. Implementing a campaign of emergency vaccination is socially optimal if the additional export losses associated with the delay of slaughtering the vaccinated animals are offset by the gains of reducing the duration of the FMD epidemic. The importance of reducing as much as possible the total duration of the import bans is stressed by the estimated cost of an extra week of import bans. The optimal control strategy was unaffected by the introduction of stochastic parameters.

Animals↗

An assessment of the economic impact of heartwater (Cowdria ruminantium infection) and its control in Zimbabwe.

Heartwater, caused by the rickettsial organism Cowdria ruminantium, is a serious constraint to livestock development in much of sub-Saharan Africa. Traditionally, the disease has been controlled by the use of chemical acaricides to control the vector tick. The University of Florida/USAID-supported heartwater research project (based in Zimbabwe) is developing a new inactivated vaccine to control the disease. In order that the vaccine is used effectively, the project has been studying the epidemiology of the disease in different livestock production systems of Zimbabwe, and evaluating the economic impact of the disease and of its future control using a vaccine such as the one under development. Initially, field studies were conducted to characterise the communal and commercial livestock-productions systems at risk from heartwater and to understand the epidemiology of the disease. The data from these studies were then applied to an infection-dynamics model of heartwater, which was used to provide estimates of disease incidence and impact under various scenarios over a period of 10 yr. Two principal outputs of the epidemiological model (cumulative annual heartwater incidence and infection-fatality proportion) were key inputs into an economics model. The estimated total annual national losses amount to Z$ 61.3 million (US$ 5.6 million) in discounted value terms over 10 yr. Annual economic losses per animal in the commercial production system (Z$ 56 discounted values) are 25 times greater than the losses in the communal system (Z$ 2.2). The greatest component of economic loss is acaricide cost (76%), followed by milk loss (18%) and treatment cost (5%). Losses in outputs other than milk (beef, traction and manure) appear to be minimal. A new vaccine has the promise of a benefit: cost ratio of about 2.4:1 in the communal and 7.6:1 in the commercial system. A control strategy based on a new vaccine would yield additional non-financial benefits to farmers and the government resulting from reductions in the use of chemical acaricides.

Animals↗

Indonesian heath care and the economic crisis: is managed care the needed reform?

The ramifications of the current economic crisis are being felt throughout Asia, but problems are particularly acute in Indonesia; in the midst of high inflation and unemployment the government is considering expanding managed care reform. In this paper, we discuss the impact of the recent economic crisis on the health sector in Indonesia, and analyze the potential for implementing effective reform following the managed care model. The health sector is discussed, highlighting pre-existing problems in the health care supply environment. The determinants of the economic crisis are summarized, and the broad impacts of the crisis to date on the health sector are assessed. Next the prospects for success of current managed-care reform proposals are examined in some detail: viability of expanded managed care reform measures are assessed in light of the continuing crisis and its likely impacts on the consumers and suppliers of health care. Analysis of the potential impact of the continuing crisis focuses on key participants in health care reform: households, the government, and private health care providers. In conclusion the potential viability of managed care appears poor, given the current economic, political, and institutional conditions and likely future impacts, and suggest some alternative reform measures.

Financing, Government↗

Balancing the number and size of sites: an economic approach to the optimal design of cluster samples.

The design of randomized controlled trials entails decisions that have economic as well as statistical implications. In particular, the choice of an individual or cluster randomization design may affect the cost of achieving the desired level of power, other things being equal. Furthermore, if cluster randomization is chosen, the researcher must decide how to balance the number of clusters, or "sites," and the size of each site. This article investigates these interrelated statistical and economic issues. Its principal purpose is to elucidate the statistical and economic trade-offs to assist researchers to employ randomized controlled trials that have desired economic, as well as statistical, properties.

Cluster Analysis↗

Applying economics in a hostile environment: the health sector.

In this paper we state that health economics is now amongst the leaders in a «paradigm shift» in economics that needs to spread as quickly as possible into the rest of the subject. This conclusion is obtained from considering that economics can be applied to topics that do not appear superficially to be economic topics such as what is the best treatment for a national health service to offer to a patient with a particular disease.

Accounting↗

Biodiesel production from waste cooking oil: 2. Economic assessment and sensitivity analysis.

The economic feasibilities of four continuous processes to produce biodiesel, including both alkali- and acid-catalyzed processes, using waste cooking oil and the 'standard' process using virgin vegetable oil as the raw material, were assessed. Although the alkali-catalyzed process using virgin vegetable oil had the lowest fixed capital cost, the acid-catalyzed process using waste cooking oil was more economically feasible overall, providing a lower total manufacturing cost, a more attractive after-tax rate of return and a lower biodiesel break-even price. On the basis of these economic calculations, sensitivity analyses for these processes were carried out. Plant capacity and prices of feedstock oils and biodiesel were found to be the most significant factors affecting the economic viability of biodiesel manufacture.

Biotechnology↗

Economic evaluation of pharmacy services--fact or fiction?

Previous attempts to conduct economic evaluation of pharmacy services are almost exclusively from the US and the UK. Studies from the US concentrate largely on the drug cost savings realised by pharmacists. Few detail the costs of service provision and even fewer give an estimate of service benefits other than decreased drug expenditure. UK evaluation to date focuses on quantifying pharmacists' interventions, but there is no clear indication of the quality or the impact of these. This article proposes a model for economic evaluation and discusses the factors which make evaluation results useful to decision makers. The costs and outcomes, that need to be considered for economic evaluation, are discussed and the example of a pharmacist led anticoagulation clinic is used. The nature of modern health care systems demands that services are effective and, increasingly, cost-effective. If pharmacy as a profession is to develop, decision makers must decide that pharmaceutical care delivered by pharmacists is a cost-effective use of health care resources. Politics, education and cost pressures will mean that decision makers are likely to put more weight on the results of economic evaluation in future. If pharmacists do not start to provide good quality data about the costs and outcomes of pharmacy services then other evaluators will.

Clinical Trials as Topic↗

Environmental degradation and remediation: is economics part of the problem?

It is argued that standard environmental economic and 'ecological economics', have the same fundamentals of valuation in terms of money, based on a demand curve derived from utility maximization. But this approach leads to three different measures of value. An invariant measure of value exists only if the consumer has 'homothetic preferences'. In order to obtain a numerical estimate of value, specific functional forms are necessary, but typically these estimates do not converge. This is due to the fact that the underlying economic model is not structurally stable. According to neoclassical economics, any environmental remediation can be justified only in terms of increases in consumer satisfaction, balancing marginal gains against marginal costs. It is not surprising that the optimal policy obtained from this approach suggests only small reductions in greenhouse gases. We show that a unidimensional metric of consumer's utility measured in dollar terms can only trivialize the problem of global climate change.

Carbon Dioxide↗

Causal attribution and hindsight bias for economic developments.

Hindsight bias for economic developments was studied, with particular focus on the moderating effects of attitudes and causal attributions. Participants (N = 263) rated the likelihood of several economic developments 6 months before and 6 months after the euro introduction in 2002. Hindsight bias occurred selectively for attitude-consistent economic developments: Euro supporters showed stronger hindsight bias for positive developments than for negative ones; euro opponents showed the opposite pattern. Causal attribution further moderated the hindsight bias: participants who perceived a strong connection between the euro introduction and specific economic developments showed higher attitude-consistent hindsight bias than participants who perceived those developments as unrelated to the euro. It is argued that hindsight bias serves to stabilize subjective representations of the economy.

Adult↗

Economic forecast.

There has been a great deal of speculation in the media about whether or not there are genuine signs of economic recovery in the UK--the now infamous 'Green Shoots'. Although economic growth is picking up, the rate of acceleration is still very weak. Despite this, many commentators are forecasting that the rate of economic growth will steadily increase throughout the rest of the year. Indeed, the forecast for overall economic growth (Gross Domestic Product) for 1993 has been revised upwards from 0.8% to 1.7% since March.

Economics↗

Nutrient intake and iron status of urban poor and rural poor without access to rice fields are affected by the emerging economic crisis: the case of pregnant Indonesian women.

OBJECTIVE: We evaluated the adequacy of nutrient intake in comparison with the Indonesian Estimated Average Requirement (EARs) among pregnant Indonesian women and explain the short-term effect of economic crisis on nutrient intake and iron status. DESIGN: Cross-sectional study. SETTING: Purworejo District, Central Java, located 60 km west of Yogyakarta Province, Indonesia. SUBJECTS: During the period from 1996 to 1998, up to six 24 h recalls were performed during the second trimester of pregnancy among 450 women. Nutrient intake and iron status was evaluated in relation to date of data collection relative to the economic crisis that emerged in August 1997. A computer program (Inafood) was developed to calculate nutrient intake. RESULTS: : Forty percent of the pregnant women were at risk of inadequate intake of energy and protein, and 70% were at risk of inadequate intake of vitamin A, calcium and iron even before the crisis. Our results also demonstrate an effect of short-term economic crisis on nutrient intake and iron status. When the crisis emerged, urban poor experienced a decrease in intake of most nutrients. During the crisis, rich women experienced a significant decrease in fat (P<0.05). Negative changes in fat density during crisis were experienced by the rich and the rural, poor, and access to rice field subgroups (P<0.01). A significant increase in carbohydrate densities was seen for the rich and rural, poor, and access to rice fields groups (P<0.05). Urban poor experienced decreased serum ferritin concentration (P<0.05), whereas rich women experienced a significant increase (P<0.05). CONCLUSIONS: Urban poor and rural poor landless women were most directly affected by the emerging economic crisis.

Adipose Tissue↗

HIV infection associated with drug injecting in the newly independent states, eastern Europe: the social and economic context of epidemics.

AIMS: We review recent trends in HIV associated with injecting drug use (IDU) in the Newly Independent States (NIS) in eastern Europe, including Belarus, Moldova, Russia, Ukraine, and Kazakhstan in central Asia. We aim to draw attention to the social and economic "risk environments" in which rapid HIV spread among IDUs has occurred. METHODS: Findings draw on centrally registered HIV surveillance data, published research studies and assessment reports funded by international development agencies. FINDINGS: Since 1995, there is evidence of rapid HIV spread in Belarus, Kazakhstan, Moldova, Russia and Ukraine, with estimates suggesting between 50% and 90% of new HIV infections among IDUs. At the same time, there have been rapid increases in the incidence of syphilis and declines in health and welfare status, including outbreaks of diphtheria, tuberculosis and cholera. Findings emphasize the potential influence of the social and economic context in creating the "risk environments" conducive to HIV and epidemic spread. Key factors include: rapid diffusions in IDU; population migration and mixing; economic transition and decline; increasing unemployment and impoverishment; the growth of informal economies; modes of drug production, distribution and consumption; declines in public health revenue and infrastructure; and political, ideological and cultural transition. CONCLUSIONS: An understanding of the social and economic contexts mediating HIV spread is a prerequiste to identifying the environmental "pre-conditions" of epidemic outbreaks, and thus also, for predicting and preventing HIV transmission. The "risk environment" may influence the efficacy of individual and community-level HIV prevention and highlights the concomitant urgency for interventions targeting social and environmental change.

Europe, Eastern↗

State-of-the-art principles and practices of medical economics.

In an era of increasing constraints in health care expenditure, it has become necessary for the practising physician to utilise resources economically. Due to expenditure ceilings in many countries, the rational allocation of health care resources has become a central goal in health policy. Medical economics is the discipline which covers the issues of economic evaluation, policy and decision analysis and outcomes research. This paper discusses the fundamentals of this new type of research, highlighting the importance of such results in formulating health policy. Undoubtedly, medical economics will play a similar role as evidence-based medicine and clinical epidemiology in the continuous education within the medical community. This holds specially true for costly indications such as haemophilia and other coagulation disorders.

Economics, Medical↗